Evening star., 1953-03-13


top American jet ace, OBJ
served Friday the 18th over
Korea by knocking down his
18th MIG. u. S. Air Force
Photo via AP WirephOtO.
pressed their appreciation of the
more liberal dividend policy
declared Chairman Wolfson in
a foreWord to the report. This
is particularly heartening."
Mr.. WolfSon declared that
many of 1925 problems remain
for the company, but added j:
There is reason to believe that
in the year ahead the company
will continue to move forward
under more favorable conditions
than those which existed last
year."
Pointing to the three-year
wage contract signed with the
union. effective July /, 1852, Mr..
Wolfson said:
There is every reason to be-
lieve that employees are satisfied
with the liberal treatment ac-
corded them.
Your Board of Directors has
aggressively continued it's policy
of reducing the company's
funded debt. The outstanding
first and refunding mortgage
bonds now total $5.7 million.
This is reduction of $1.3 mil.
lion during the past year and a
reduction of $3.3 million since
the funded debt reduction policy
was instituted in 1949. Interest
savings now amount to $4,000
annually"
Reduce Surplus Need.
Another result of the bond
retirements is that they reduce
the amount of surplus the COM
panY must keep on hand to meet
interest requirements under the
agreement with the bond
trustees.
At the end of the year, earned
surplus had dropped to $685.
656, compared with $6,51O,334 at
the end of 1851. This was the
result largely of the extra
dividend. Contributing was the
fact that 1852 earnings did not
cover the increased regular
dividend. Around $725,000 of
the remainder still is available
for dividends.
Higher wages. increasing
traffic congestion. taxes, tagging
and ort-sighted regulatory
procedures and lack of full ap-
probation of the Importance Of
mass transportation by mercan-
tile and political interests served
to retard economic efficiency Of
operations in 1882" the report
said.
Despite higher fares, operat-
ing revenues of $29,139,745 were
only slightly ahead of the $28,-
| 1855 taken in during the pre-
vious year. Operating revenue
deductions rose to $28,025, ,484
from $27,269.544, resulting in
net operating revenues of only
$1,114,261, compared with ST.
496,O33 in the previous year.
The 1852 net income was 4.65
times the bond interest require
ments, the report pointed out.
This compared with 526 times
in 1851.
The average number of en-
ployes decreased further to 4.087
in 1852, compared with 4,098 in
1851, 4,473 in 1850 and 5,121 in
1850.
The company pointed with
pride to opening of a Takoma
Park (Md.) express line and ex-
tensions of Silver Spring express
service to Forest Glen and Four
Corners, as we'll as the Bethesda
express service to Alta Vista as
examples of company efforts to
attract passengers. 1t cited ac-
tivities of the company in a wide
variety of community projects
and civic organizations.
Delivery of 81 new diesel buses
at cost of more than 81 million
also was cited as highlight of
1852.
The passenger appeal and
efficiency of these buses are
conclusive" it said. Not only
are they able to carry seven
more seated passengers, but
standees have more room and
more maneuverability becauSe of
additional aisle space.
:'They maintain schedules as
easily as any bus operated, and
their economy of manpower, fuel
and maintenance have done
much to help prevent further re-
ductionS in net income"
Directors recently authorized
purchase of an additional SO of
these 51-passenger vehicles in
1858 at a cost of $1.1 million.
They will be used on three addi-
tional lines, for which they have
been approved by the District
Commissioners.