Evening star., 1932-04-05

FINANCE
The Company met its maturing obligations in.
cluding S., 8oo, 900 Equipment Trust Certificates
Under authority previously given by the Board of
Directors there were issued and sold during the
year s5o.ooo,ooo Fifty,Year N % General Mort,
gage Gold Bonds due April 1st, 1881.
NEW FACILITIES AND EQUIPMENT
The Company expended SIs,36o,o6a in 1881
for improvements on its own road and equipment.
in addition to expenditures by its leased and
affiliated lines The net increase in the investment
in road and equipment for the entire Pennsylvania
Railroad System was $31,o51,8Io.
Important items of new equipment placed in
service were: 1900 allsteel 7o,ton gondola cars.
electric passenger locomotives; locomotive
tenders. Orders for delivery of equipment include:
ooeectrie passenger locomotives; o1 electric freight
locomotives and 20 locomotive tenders. The elec,
tric locomotives constitute part of the equipment
required for use when the electrihcation of the
lines between New York, Philadelphia and Wash
ington is completed and have been designed for
maximum interchangeability between passenger
and freight service.
During the year new design of rail, weighing
I3I lbs. per yard was adopted and placed in
general use replacing the old I3o lb. rail section;
also heavy duty section weighing 15a lbs. per
yard was adopted for experimental use in heavier
traffic territory to provide rail considerably
stronger and sitter for the heavier axle loads and
higher speed. This is the heaviest weight Of rail
ever used.
PROGRESS ON IMPROVEMENT PROGRAM
Substantial progress was made on the Com
pany improvement program including work on
the following principal items: passenger terminal
improvements at West Philadelphia; improvement
and expansion of lines and facilities in and near
Baltimore extensive grade separations in Chicago;
new passenger terminal improvements at Gin
cinnati and electrihcation between New York and
Washington. The new rai,water terminal at
Jersey City was completed and placed in service.
1t is expected to complete identification be,
tween New York and Philadelphia and have this
section of the line ready for service in 1913 when
electric operation of all local and through passenger
trains between those cities will be inaugurated.
This will complete the first unit Of the Company's
electrihcation project between New York and
Washington, designed to speed up and improve
operations in this dense trahc territory as we'll as
improving through service between the north
and south.
Active continuation of the Company's large
program Of construction and electrihcation depends
chiefly upon its ability to obtain the necessary
capital on reasonable terms. Owing to the diff,
Guilty Of obtaining capital for this purpose on
acceptable terms from ordinary investment sources
due to the unfavorable business conditions, the
Company recently applied to the Interstate
Commerce Commission to approve threeyear
SIS ,ooo, 900 loan from the Reconstruction Finance
Corporation.
BETTER AND FASTER SERVICE
As a result Of the constant study being made to
adjust services and facilities to the changing re,
quirements Of passengers and shippers, both pas
senger and fseight services were improved during
the year Faster passenger train time was estab>
hshed between many important centres and faster
Notwithstanding extremely adverse busir
the results accomplished by the Pennsy
better than those attained by railroads gel
fortitude of the officers and the employees
Continued cooperation of stockholder
In securing additional passenger and freil
Philadelphia. Pa, April 4th, 1o37
The PENNSYLA
Carries More Passengers. Hasis More
SHIP AND TRAVEL
ders may obtain COPIES Of the Annua! Report from
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