Evening star., 1938-09-06
CAPITAL TRANSIT
ADDITIONS CITED
Valued at S3,666,43O Since
1885, Estimates From
Company Show.
By DONALD b. HADLEY.

-dpltdl lIdIlSlt W. III VilS DlSlllIt VI
Columbia since the end of 1885 reached
s3,666 ,430.49 on June 30, 1898, it is
estimated by the company in report
to the Public Utilities Commission
The estimate is of particular inter-
est in view of the commissions deci-
sion last week that the company's Dis
trict property for rate-making pur-
poses at the end of 1885 had been
given a valuation of $24,000,000.
The company reported to the COM
mission that the estimate of additions
might be subject to notifications later,
depending on final ALLEGATION of the
District share of aggregate net addi-
tions. including those in nearby Mary
land.
The aggregate net additions of the
company were reported at S2,236. .022.63
In 1886. $829,3 1858 in 1887 and S6l6,-
1861 in the first six months of 1888,
making a grand total of 1852, l06.07.
From the aggregate the following esti-
mates were allocated to the District
OF Columbia: S2l84. .9679l in 1886,
$869.64l 80 in 1887 and S6ll ,820.69 in
the first six months of 1888, resulting
in a total of $3,666, ,430.49.
Provides Starting Point.
The report on net additions since
1885 illustrated clearly that in future
rate hearings the s24,000,000 valua-
tion will provide nothing more than
starting point for finding an up-to-date
valuation.
1t was intimated at the commission
also that the s240OO,000 in itself would
not be sufficient, that it would bt
necessary to 60 back through the study
which resulted in the S24,000000 basis
and reconsider the entire matter in
the light of later information The
study. conducted over a period of
eight years. however, has provided the
material from which future decisions
can be expedited.
The valuation went far toward IL
Illustrating the wide margin by which
the company is failing to make a
reasonable" return. On basis of
$24.000.000 6la per cent return
would amount to $l.500000. whereas
actual earnings in 1885 reached only
s4l4,823
Properties Excluded.
What NAV be confusing to investors
Is that the valuation fixed by the
commission does not represent all
property of the company. 1t excludes
properties in the District which are
not used or useful in transit operations.
o1c nvolndoS naQrhV
Maryland. including valuable Glen
Echo Amusement Park and transpor-
tation facilities.
Miscellaneous physical property in
the District not used or useful in
transit operations is valued at $685.
608 on cost of reproduction basis
and lands in the same category are
valued at $518,147 representing a
total of sl,2O3,755 of the District
property not included in the valuation.
The Maryland property of the COM
pany is valued by engineers at ST.
GAS, 1857, cost of reproduction new. or
$1,147,628. cost of production less de-
probation.
Cash and current assets also are
not included in the valuation. The
companys balance sheet at the start
OF this year showed 1881 ,554 in cash,
$64O, 900 in marketable securities.
sll4,OO0 in accounts receivable and
S45O,000 in materials and supplies.
Morris Plan Convention.
The 10Th annual convention of the
Morris Plan Bankers Association will
be held at the Greenbrier Hotel, White
Sulphur Springs, w. Va, October 10,
i and II.
Plans are now being completed by
the Convention Committee to present
an outstanding program of timely in
terest, according to Willard G. Barker,
president of the Morris Plan Bank
of Washington.
Mr.. Barker, a member of the Pro-
gram Committee, further stated that
among the speakers scheduled to ad-
dress the convention are Mr. Marshall
r. Diggs, acting controller of the cur
rency: Philip A. Benson, first vice
president of the American Bankers
Association. and Gov. Homer A. Holt
of West Virginia.
Capital Transit Shares Up.
Capital Transit shares were active
:on the Washington Stock Exchange
this morning with 25-share and
s-share lot moving at 9, up l point
from the last previous sale. but a
of point below the years high,
Washington Gas Light preferred
sold unchanged at 997s, with 20 shares,
5 shares and a single share changing
hands. A share of Potomac Electric
per cent preferred sold at ia, down
half a point from the last previous
sale. The same company's 5la per
cent preferred moved at 1l312, also
down a half point.
Fifteen shares of the National Bank
Of Washington changed hands
at 1851.
Financial District Notes.
Robert v. Fleming, president of Riggs
National Bank, and past president Of
the American Bankers Association,
has returned from a vacation at Reho-
both, Indian Beach, Del. l. J. Roberts,
assistant cashier of the institution. is
back from months vacation at Cape
May, N. j. Frank G. Burrow. assis-
tant president, will leave tomorrow
for a vacation.
William D. Hoover. chairman of the
board at the National Savings & Trust
Co., has returned from a visit with his
daughter at New London, N. H. David
Bornet, vice president of the insti-
tuition, is back at his desk after a
motor trip to Pennsylvania. Barnum
L. Cotton real estate officer and John
Calvert, assistant treasurer. have re-
turned from their vacations.
G. B. Chapman, manager of the
Laidlaw & Co. Office here, has re-
turned from a vacation in Germany.
Robert F. Cahill, associate manager
of the same Office, is back from a trip
to Maine and Canada. j. L. Suter,
customers man. has gone to Virginia
Beach for a two-week vacation.
Edward L. Hillyer, vice president of