THE
Earning JPpwer of RailrO|^4s
1917
JAS. H OLIPHANT & CO.
GHJROADWAY NEW YORK
THE ROOKERY
CHICAGO
^mte ^RoU<.nTOr>..Se tf Y
pm
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Jas. H. Oliphant & Co.
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THE
Earning Power of Railroads
I 9 I 7
Mileage — Capitalization — Bonded Indebtedness — Earnings
— Operating Expenses — Cost of Maintenance — Fixed
Charges — Comparative Statistics — Investments
— Dividends — Guarantees, etc.
Compiled and Edited by
FLOYD W. MUNDY
OF
JAS. H. OLIPHANT & CO.
6i Broadway New York City
I 9 I 7 JAS. H. OLIPHA^
-^VTHSON^/^E^OOKERY
Chicago, III
SEP 0 9
Copyright
BY FLOYD W. MUNDV
The iiijormalion contained in this book, although not guaran- teed, has been obtained from sources believed to be reliable
L MIDDLEOITCH CO.. NEW YORK
PREFACE
In the following pages we present important statistics and other facts relating to the earning power and to the securities of railroads, arranged in convenient form for ready reference. The statistics are given for practically all the important railroads in the United States, Canada, Cuba, and South American countries, the securities of which are known, in a greater or less degree, to American Investors.
The Introductory Chapters explain in a general way the fundamental principles which must be applied by the in- vestor to inform himself as to the value of the stocks or bonds of any railroad.
The Tables, which give vital statistics regarding earn- ings, mileage, capitalization, tonnage, etc., are designed to present the statistics mentioned in such a way as to permit of easy comparison between those of each railroad.
The Notes give information as to dividends and such other information about the railroads' capitalization, in- vestments, physical and financial condition, etc., as appears '"C: to be of direct interest to the investor.
The official annual railroad reports have been used almost exclusively in the preparation of this book.
The one hundred and fifty-eight railroads, whose income
4- accounts are given in the 1917 Edition of the Earning
' t Power of Railroads, operated, in the period under review,
<iOabout 250,000 miles of main track. I
PREFACE
The method of presentation is, we believe, such as will readily commend itself to investors and others interested in the securities of railroads.
Jas. H. Oliphant & Co.
Year 1917.
The author desires to acknowledge his indebtedness to Frederic M. Halsey, Statis- tician of Jas. H. Otiphant & Co., for invalu- able assistance rendered in the work of preparing this book.
CONTENTS
Chapter page
Introductory^ 9
Introductory Comment 11
I. Income Account 15
II. Operating Expenses 17
III. Maintenance Expenses 20
IV. Maintenance of Way 22
V. Maintenance of Equipment -26
VI. Traffic, Transportation and General Expenses 32
VII. The Operating Ratio 36
VIII. Fixed Charges -iO
IX. Stock Outstanding in its Relation to Earning Power 45
X. Guarantees and their Relation to Surplus Available for
Dividends 49
XI. Tables 57
Notes 216
INDEX TO RAILROADS
Li<jht face figures refer to Notes: heavy face figures to Tables.
Pages Notes Tables
Alabama & Vicksbvirg Railway 380 147
Alabama Great Southern Railroad 381 148
Ann Arbor Railroad 286 91
Antofagasta (Chile) & Bolivia Railway 477 215
Argentine North Eastern Railway 471 208
Atchison. Topeka & Santa Fe Railway 393 163
Atlanta & West Point Raih-oad 337 128
Atlanta. Birmingham & Atlantic Railway 337 129
Atlantic Coast Line Raih-oad 339 130
Baltimore & Ohio Railroad 234 65
Baltimore & Ohio Chicago Terminal Railroad 239 66
Bangor & Aroostook Raih-oad 216 58
Boston & Maine Railroad 217 59
Buenos Ayres & Pacific Railway r 472 209
Buenos Aires Central Railway • 473 210
Buenos Ayres Great Southern Railway 473 211
Buenos Ayres Western Railway 474 212
Buffalo & Susquehanna Railroad Corporation 240 67
Buffalo. Rochester & Pittsbiu-gh Railway 241 68
Canadian Xorthei*n Railway S> stem 455 196
Canadian Pacific Railway 457 |97
CaroUna. CUnchfield & Ohio Railway 344 |3I
Central Argentine Railway 475 213
Central of Georgia Railway 345 132
Central Railroad of New Jersey 242 69
Central Vermont Railway 221 60
Charleston & Western Carolina Railway 346 133
Chesapeake & Ohio Railway 347 134
Chicago & Alton Railroad 287 92
Chicago & Eastern Illinois Railroad 288 93
Chicago & Northwestern Railway 291 94
Chicago. Burlington & Quincy Railroad 292 95
Chicago Great Western Railroad 294 96
Chicago. Indianapolis & Louisville Railway 296 97
Chicago. Milwaukee & St. Paul Railway -298 98
Chicago. Peoria & St. I-ouis Raih-oad 300 99
Chicago. Rock Island & Pacific Railway 397 164
Chicago. St. Paul, MinneapoUs & Omaha Railway 301 100
Chicago. Terre Haute & Southeaste'-n Railway 301 101
Cincinnati. Hamilton & Dayton Railway 302 102
Cincinnati. New Orleans & Texas Pacific Railway 3S1 149
Cincinnati Northern Railroad 306 103
Cleveland, Cincinnati. Chicago & St. Louis Railway 307 104
Colorado & Southern Railway 402 165
Copper Range Railroad 453 194
Cuba RaUroad 464 201
Cuban Central Railways 465 202
Cumberland Valley Railroad 244 70
Delaware & Hudson Company 245 71
Delaware, Lackawanna & Western Railroad 247 72
Denver & Rio Grande Railroad 404 166
Detroit & IMackinac Railway 309 105
INDEX TO RAILROADS
Pages Notes Tablep
Detroit. Toledo & Irontoii Railroad 310 106
Duluth, South Shore & Atlantic Railway 454 195
El Paso & Southwestern Company 40S 167
Entre Rios Railways 476 214
Erie Railroad 250 73
Florida East Coast Railway 351 135
Fonda. Johnstown & Gloversville Railroad 256 74
Georgia Southern «fe Florida Railway 352 136
Grand Rapids & Indiana Railway 312 107
Grand Trunk Railway of Canada 460 198
Great Northern Railway 428 181
Green Bay & Western Railroad 313 108
Guantanamo & Western RaUroad 466 203
Gulf & Ship Island Railroad " 383 150
Hocking Valley Railway 313 109
Illinois Central Railroad 314 ■ 1 10
Illinois Southern RaUway 316 III
Indiana Harbor Belt Railroad 317 112
[ntemational & Great Northern Railway 409 168
International Railways of Central America 469 206
Kanawha «fe Michigan Railway 317 113
Kansas City Southern Railway 410 169
Lake Erie & Western Railroad 318 114
Lehigh & Hudson River Railway 257 75
Lehigh & New England Railroad 258 76
Lehigh Valley Railroad 258 77
Long Island Railroad 261 78
Louisiana & Arkansas Railway 384 151
Louisiana Railway «& Navigation Co 384 152
Louisville & NashvUle Railroad 385 153
Louisville, Henderson & St. Louis Railway 386 154
Macon, Dublin & Savannah Railroad 353 137
Maine Central Railroad 222 61
Manistee & Northeastern Railroad 319 115
Maryland & Pennsylvania Railroad 262 79
Michigan Central Railroad 319 116
Midland Valley Railroad 410 170
MinneapoUs & St. Louis Railroad 432 182
Minneapolis, St. Paul & Saidt Ste. Marie Railway 434 183
Mississippi Central Railroad 387 155
Missouri, Kansas & Texas Railway 411 171
Missouri Pacific Railway 413 172
Mobile & Ohio Railroad 388 156
Montana, Wyoming & Southern Railroad 436 185
Nashville, Chattanooga & St. Louis Railway 389 157
Nevada-Califomia-Oregon Railway 452 191
New Orleans & Northeastern Railroad 390 158
New Orleans Great Northern Railroad 390 159
New Orl ans. Texas & Mexico Railway 417 173
New York Central Railroad 262 80
New York, Chicago & St. Louis Railroad 321 117
New York. New Haven & Hartford Railroad 224 62
INDEX TO RAILROADS
Pages Not€8 Tables
New York, Ontario «& Western Railway 270 81
Xew Yorlc, Philadelphia & Norfolk Railroad 270 82
New York, Susquehanna & Western Railroad 271 83
Norfolk Southern Railroad 353 138
Norfolk & Western Railway 355 139
Northern Pacific Railway 437 186
Northwestern Pacific Railroad 453 192
Ohio & Little Kanawha Railroad 321 118
Panama Railroad 470 207
Pennsylvania Railroad 271 84
Pennsylvania Company » 276 85
Pere Marquette Railway 322 119
Philadelphia. Baltimore & Washington Railroad 279 86
Pittsburgh & Lake Erie Railroad 280 87
Pittsburgh & West Virginia Railroad 325 120
Pittsburgh. Cincinnati, Chicago & St. Louis Railway 326 121
Quebec Central Railway 463 199
Reading Company 281 88
Richmond, Fredericksburg & Potomac Railroad 359 140
Rio Grande Southern Railroad 418 174
Rutland Railroad 233 63
St. Johnsbury & Lake Champlain Railroad 234 64
St. Joseph & Grand Island Railway 418 175
St. Louis & San Francisco Railroad 420 176
St. Louis Southwestern Railway 424 177
San Antonio & Aransas Pass Railway 426 178
Seaboard Air Line Railway 360 141
Southern Pacific Company 447 190
Southern Railway 363 142
Spokane & Inland Empire Railroad 439 187
Tacoma Eastern Railroad 441 188
Tennessee Central Railroad 391 160
Texas & Pacific Railway 426 171
Toledo & Ohio Central Railway 328 122
Toledo. Peoria & Western Railway 329 123
Toledo, St. Louis & Western Railroad 330 124
Tonopah & Goldfleld Railroad 453 193
Toronto, Hamilton & Buffalo Railway 463 200
Ulster & Delaware Railroad 284 89
Union Pacific Railroad 441 189
United Railways of the Havana & Regla Warehouses, Ltd 467 204
Vandalia Railroad 331 125
Vicksburg, Shreveport & Pacific Railway 392 161
Virginia & Southwestern Railway 372 143
Virginian Railway 372 144
Wabash Railway 332 126
Western Maryland Railway 374 145
Western Pacific Railroad Corporation 427 180
Western Railway of Alabama 392 162
Western Railway of Havana 468 205
West .Jersey & Seashore Railroad 285 90
Wheehng & Lake Erie Railway 335 127
Wisconsin Central Railway 435 184
Wrightsville & Tennille Railroad - 379 146
INTRODUCTORY
As a necessary preliminary to the discussion which follows, it must be stated that this book treats in a most simple manner of the earning power of railroads, and deals but little with those features alike most essential to investors — the traffic resources and the financial and physical condition of the railroads. As a rule, comparison of the earning power of different roads can be made easily and intelligently owing to the uniformity in this regard of the reports submitted by the railroad companies. Recent legislation by Congress has resulted in establishing in the reports of railroads a practical uniformity which has never before existed. While the balance sheets of many railroads are not as complete and satisfying as they should be, yet individual investigation into the financial condition of any road can readily be made, and. as a rule, its strength or weakness financially ascertained.
All too few details are given in the railroad reports of to- day as to the physical characteristics, the character of rail and ballast, the number of grade crossings, the extent and nature of curvatures and gradients, and the number and character of bridges, culverts, etc., etc. Knowledge of all these, as well as of the character and density of traffic and of the general conditions attendant upon the obtaining and conduct of such traffic, is essential to the complete under- standing of the merits of railroad securities; yet invaluable information bearing upon their relative merits can be ac- quired by comparison of the income accounts of the different roads. While the peculiar and varying conditions
10 INTRODUCTORY
under which each individual road must of necessity be operated impair comparisons^ yet analysis points to certain undisputed conclusions and gives an index to the truth.
There are many railroads of which it must be said that their "cost of road, structures and equipment," as ex- hibited in their financial statements, includes very large items, representing altogether fictitious values. In fairness ii must be stated that owing to the large expenditures for improvements, additions, equipment, etc., which for a series of years have been deducted from their surplus in- come, the "cost of road, structures and equipment" of a large number of railroads is to-day understated in their balance sheets. Where fictitious values are given it will be found that these result from the charges, dating perhaps long ago, of excessive amounts for 'Miscount on bonds," "reorganization expenses," and through the charges for construction of amounts which to-day would be considered fabulous. Per contra, taken in a strict sense, ''bonds and stocks outstanding" represent in many instances little save an equity in earning power. So it becomes of prime im- portance to ascertain the "earning power" of each railroad in order that through the comparison of the "earning power" of each with that of the other, certain conclusions as to the respective merits of their bonds and stocks may be deduced.
INTRODUCTORY COMMENT
It is necessary to point out that the legislation enacted by Congress in June, 1906, has given absolute power to the Interstate Commerce Commission in its discretion to ''pre- scribe the forms of any and all accounts, records, and memoranda to be kept by carriers subject to the provision of this Act, including the accounts, records, and memoranda of the movement of traffic as well as the receipts and expenditures of moneys. The Commission shall at all times have access to all accounts, records, and memoranda kept by carriers subject to this Act, and it shall be unlaw- ful for such carriers to keep any other accounts, records or memoranda than those prescribed or approved by the Commission."
The provisions of this Act in so far as they relate to accounting for receipts and disbursements went into effect July 1st, 1907. The reports issued by the railroads con- cerning operations prior to July 1st, 1907, were made up on the old basis, and the statements and statistics given in this book so far as they relate to operations prior to July 1st, 1907, are made up on the old basis.
On July 1, 1914, a complete revision of the accounting system of railroads was ordered by the Commission. The readjustment of the various accounts makes comparison with former years extremely difficult.
The text of the Chapters immediately following is virtually the same as in the previous editions of this book. The changes in accounting when their operations are perfected will cause several changes to be made in the sug-
12 INTRODUCTORY COMMEXT
tjestions and remarks embodied in the various Chapters ; yet, as a whole, the integrity of the discussion on the analysis of railroad reports will remain virtually without change.
Briefly, the instructions issued by the Commission under the provisions of the Act above referred to, stipulate that, beginning July 1st, 1907, charges for construction, addi- tions, betterments, equipment and all such charges of an extraordinary nature and not strictly operating expenses >hall not be charged to Maintenance Expenses or other- wise included in Operating Expenses so as to constitute <i deduction from Net Earnings. Expenditures of this nature may at the discretion of the railroad be either capitalized or deducted from the year's surplus as ascer- tained after all fixed charges and dividends have been deducted. Eor example, beginning July 1st, 1907, no charges are allowed to be made to Maintenance of Way for improvements or betterments to track or structures where such improvements or betterments exceed in each case $200; so in the case of Maintenance of Equipment, the cost of new equipment, except w^here purchased for replacement, is not allowed to be charged (as in the past it has frequently been charged) to that account. It was the purpose of the Commission to establish definite rules and regulations which should govern ''Renewals" and the "De- preciation" accounts, the purpose of these accounts being that "all the cost of maintenance and not more than the cost of maintenance shall be charged to the maintenance accounts of Operating Expenses." The importance to the investor of the new accounting rules established by the Interstate Commerce Commission cannot be overestimated. 1^0 quote from a communication by the Interstate Com-
INTRODUCTORY COMMENT 13
nierce Commission, "there will arise a general confidence in railway securities which \\\\\ g\\Q them a sure and stable value, provided the enterprise which they represent is a sound commercial enterprise."
The new system when fully established not only will re- sult in close uniformity in the reports of all the railroads, but also wiMend to prevent deception in either undercharg- ing or overcharging Maintenance Expenses on account of repairs and renewals.
For the fiscal years ending June 30, 1908, to June 30. 1916, the accountants of the different railroads w^ere privi- leged to base their charges on account of depreciation of equipment upon what they deemed a fair basis, stating in their reports to the Interstate Commerce Commission the ex- act basis upon which this depreciation was computed. Here- after, as will be discussed in the Chapter ''Maintenance of Equipment," each railroad in its report to the Commis- sion must justify its charges account of depreciation of equipment. It is understood that the Interstate Com- merce Commission will in due course issue definite instruc- tions in regard to this depreciation charge on equipment which will thereafter apply to all the railroads. To the extent that to-day the depreciation charge varies on the different railroads, the present accounting scheme lacks uniformity.
The Commission on July 1, 1914. issued a re-classifica- tion of Operating Expenses, which will be referred to hereafter. This new classification of expenses provides for the creation of depreciation reserves for railroad property other than equipment by means of charges to operating expenses. The use of these depreciation accounts is for the present optional with the carrier. Only a few
U INrKODVCTOKY COMMENT
railroads ina<le any charges to this account during 1914-15 and 1915-16, and it will likely be some years before a basis of comparison may be determined.
In the statements of Income Account in this book taxes are included in Fixed Charges as explained in Chapter XI. Reference is here made to this fact for the reason that according to the rules of the Interstate Commerce Commission, since July 1, 1907, taxes have been deducted from Net Operating Revenues and are not considered as a part of the Fixed Charges.
THE EARNING POWER OF RAILROADS.
CHAPTER I
INCOME ACCOUNT
(Note: Attention is particularly invited to the introductory Comment (page ii) where reference is made to the amendments enacted in June, 1906, of the Act to Regu- late Commerce so far as these relate to the methods of accounting which went into effect July i, 1907.)
The income account, or statement of the earnings and expenses for the fiscal period, is now given in railroad reports as follows :
Operating Revenues $10,000,000
Operating Expenses 6,000,000
Net Operating Revenues $4,000,000
Taxes 375,000
Operating Income $3,625,000 . .
Other Income or Gross Corporate Income.... 200,000
Total Income $3,825,000
Deductions from Income or Fixed Charges :
Interest $1,500,000
Rentals , 75,000
Sinking Funds, Exchange, etc 25,000
Hire of Equipment 25,000
Total Fixed Charges $1,625,000
Net Income $2,200,000
Dividends 1,000,000
Additions and Betterments 700,000
Surplus 500,000
16
THE EARNING POWER
For the sake of uniformity the general accounts as given in the statements of Income Accounts in this book arc arranged in order and styled as explained below.
ACCOUNTS PRESCRIBED BY INTER- STATE COMMERCE COMMISSION.
Operating Revenues, Operating Expense?, Net Operating Revenues, Taxes,
Operating Income,
Xon-Operating Income,
Gross Corporate Income, (or
Gross Income), Deductions from Gross Income,
or Fixed Charges, { Under this lieading are included
"Hire of Freight Cars" — Dr.,
and "Rent of Equipment.")
Net Income.
TERMS USED IN THIS BOOK.
Operating Revenues, Operating Expenses, Net Operating Revenues, Taxes are included in Fixed
Charges and the amount thereof
specified. Not used (see under Taxes). Other Income, Total Net Income,
Fixed Charges,
(Under this heading are included "Hire of Freight Cars" — Dr., and "Rent of Equipment" and "Taxes," the amounts being specified.)
Surplus.
To any one at all familiar with railroad reports each of the above items is self-explanatory. In ascertaining the earning power or the ability of a road to pay interest and dividends, the most important itern of the income account to be considered is the Operating Expenses.
OF RAILROADS 17
CHAPTER II
OPERATING EXPENSES
(Note : Attention is particularly invited to the Introductory Comment (page ii) where reference is made to the amendments enacted in June, 1906, of the Act to Regu- late Commerce so far as these relate to the methods of accounting which went into effect July ist, 1907-)
The operating expenses of almost all the railroads in the United States are classified according to rules prescribed be the Interstate Commerce Commission. The primary accounts are all embodied under seven general accounts, as follows :
1. ^Maintenance of Way and Structures.
2. Maintenance of Equipment.
3. Traffic Expenses.
4. Transportation Expenses.
5. Miscellaneous Operations.
6. General Expenses.
7. Transportation for Investment — Cr.
*Styled Maintenance of Way in this hook.
In the Table Pages of this book accounts (5) Miscel- laneous Operations and (6) General Expenses are con- solidated, while account (7) Transportation for Invest- ment— Cr. is deducted from Transportation Expenses
1. Under Maintenance of \\^ay and Structures fall ex- penses for the repairs and renewals of machinery and tools, for repairs of roadway, track, tunnels and subways, for ballasting, for repairs and renewals of switches, frogs, ties, fences, bridges, culverts, stations, shops, buildings, etc.. likewise according to a ruling of the Interstate Commerce Commission depreciation of track, roadway, etc. (optional).
18 THE EARNING POWER
2. Under Maintenance of Equipment fall expenses for the repairs and renewals, as well as depreciation of loco- motives, passenger cars, freight and other cars and of steamboats and for the maintenace of shop machinery, etc.
3. Under Traffic Expenses fall wages of officers directly in charge of traffic, freight, passenger, baggage and other agents, expenses of outside agencies, advertising, fast freight lines, industrial and immigration bureaus, etc.
4. Under Transportation Expenses* fall wages of station employees, clerks, yardmen, flagmen, watchmen, enginemen and trainmen, cost of dispatching trains, expenses for tele- graph and station service, cost of fuel and supplies for locomotives, expenses for water supply, loss and damage, operating joint yards and terminals (net), etc.
5. Under Miscellaneous Operations fall expenses of dining and buffet service, hotels and restaurants, grain elevators, stockyards, producing power sold, etc.
6. Under General Expenses fall salaries of general offi- cers and office clerks, expenses for legal service, insurance, etc.
7. By means of this account "Transportation for Invest- ment— Cr." operating expenses are credited with the cost of transportation on revenue trains of men engaged in and material for construction, which expense is concurrently charged to various property accounts.
It appears at once from the nature of the expenses which fall under these headings that the amount of the expendi- tures under one fl) and two (2) is, to a considerable de-
(Note: *Where railways operate water lines their expenses include the account •'Transportation- Water Lines" (in this book included in "Transportation Expenses.")
OF RAILROADS 19
gree. subject to the control of. and other things being equal, reflects the conservatism or lack of conservatism in the road's management. On the other hand, under three (3), four (4), five (5), and six (6), fall expenditures which are wholly obligatory in that while they fluctuate each year with the volume of business, train mileage, etc.. they are outlays which are for the most part incident to the present conduct of the road's traffic.
These subdivisions of the operating expenses may then l)e divided into two classes :
A. Maintenance Expenses.
B. Traffic, Transportation, Miscellaneous Operations. General Expenses and Transportation for Investment — Cr.
The classification of Operating Expenses, as above, is in accordance with a ruling of the Interstate Commerce Commission issued July 1, 1914. For the seven years prior to July 1, 1914, Operating Expenses were sub-divided into five accounts, viz: (1) Maintenance of Way and Structures; (2) Maintenance of Equipment; (3) Traffic Expenses; (4) Transportation Expenses; (5) General Expenses. For a number of years prior to July 1, 1907, there. were but four subdivisions of Operating Expenses in general use ; viz : — one and two, as above, Conducting Transportation and General Expenses.
20 THE EARNING POWER
CHAPTER III A
MAINTENANCE EXPENSES
(Note: Attention is particularly invited to the Introductorj- Comment (page ii) where reference is made to the amendments enacted in June, 1906, of the Act to Regu- late Commerce so far as these relate to the methods of accounting which went into effect July ist, 1907 (with subsequent amendments). The uncertainty which exists as to the exact effect which this system, when in full operation, will have on the statements of the railroads renders it undesirable that any important changes be made in the text of the following chapter which is taken practically without change from previous editions of the book.)
There are many railroads in the United States whose maintenance outlays have been, and are, clearly inadequate. Many more railroads are found, however, whose main- tenance outlays have been heavily surcharged each year. Too often investors are deceived by the general statement in the annual report that "the management is gratified to be able to say to the shareholders that the close of the" fiscal year finds the property of the company in as good condition as it was last year." This is not sufficient. Keen competition and the teaching of the numerous re- organizations have forced upon the managers the necessity of charging to income items which were formerly charged, and from an accounting standpoint, often might properly be charged, to capital account. So the management should be able to say, in lieu of the above, that the improvement work has so progressed during the fiscal period as to keep the property substantially abreast of its competitors. There are few railroads in the United States whose finan- cial policy has been of a constructive order, which cannot, with earnings as they have averaged in the past several years, fully maintain their property and pay their fixed charges. There are many which as the . event has proved could not do this and, in addition, pay dividends.
OF RAILROADS 21 :
Analysis of the yearly expenses for Maintenance of Way ^
and for Maintenance of Equipment will show distinctly :
whether or not a road is becoming more liberal in that j regard.
Comparison of the maintenance expenses of dififerefit j
roads operating under like conditions will tend to establish ■ the relative policy pursued by each.
22 THE EARNING POWER
CHAPTER I\'
. MAINTENANCE OF WAY
(Note: Attention is particularly invited to the Introductory Comment (page ii) where reference is made to the amendments enacted in June, 1906, of the Act to Regu- late Commerce so far as these relate to the methods of accounting which went into effect July ist. 1907 (with subsequent amendments). The uncertainty which exists as to the exact effect which this system, when in full operation, will have on the statements of the railroads renders it undesirable that any important changes be made in the text of the following chapter which is taken practically without change from previous editions of this book.)
Taking two roads in good condition, traversing the same territory and meeting with Hke conditions of trafific, etc., a cursory study as- to their maintenance will establish which of the two is following the more conservative policy. The best standard to be followed by the average student of rail- road reports is to reduce the Manitenance of Way Expense? to a "per mile" basis. Take the total expenses under this head and divide them by the average number of miles op- erated for the period under review. A certain amount must be appro] )riatc(l each year for the maintenance of the road- way and structures, whether the business of the road be large or small. While these expenses must of necessity vary somewhat with the density of traffic, yet it by no means follows that a road with a density of 1,000,000 ton miles per mile of road should spend for Maintenance of Way ten times as much as another road which has a dens- ity of but 100,000 ton miles per miles of road. So it cannot be said that a road the Operating Revenues of which are $10,000 per mile should spend ten times as much for Main- tenance of Way as the road which earns but $1,000 per mile. It follows that one road may appropriate 25 per cent, of its gross for a given period for Maintenance of Way and yet not spend so much relatively as the road which so appropriates but 10 per cent, of its gross.
OF RAILROADS 23
Neither the density of the traffic nor the extent of Operating Revenues determines the fair requirement for Alaintenance of Way. Conditions peculiar to each road will mar the comparison between the amounts per mile expended by different roads. One road has a regular pro- file, as the Northern Pacific ; another traverses a mountain- ous country, as the Atchison; another obtains its ballast from its own gravel pits, conveniently located; another its ties with advantage; yet another has many and expensive bridges and tunnels to maintain, etc., etc. One road may expend but $800 per mile for Maintenance of Way and yet better maintain the standard of its property than an- other road which expends an average of $1,000 per mile. Some roads have branch lines where it would be wasteful under existing conditions of traffic to expend more than $500 or so per mile. The small expenditures on these branch lines would reduce considerably the average out- lay for the system, yet it w^ould not follow that this rela- tively small average outlay was working to the disadvantage of this system with reference to competitive business.
Obviously the road with a considerable mileage of sec- ond and third tracks should require a larger expenditure "per mile of road" for Maintenance of Way than the road with few or no additional main tracks. Where the roads to be compared have double tracks, comparison should be made of the Maintenance of Way ''per mile of single main track," although it should be borne in mind that it costs more, under like conditions to maintain two miles of single track than one mile of double track. Another modifica- tion arises from the fact that the nature and extent of the business of certain roads necessitate the maintenance of a relatively large percentaj2:e of side and passing tracks.
24 THE EARNING POWER
During recent years Maintenance of Way Expenses have shown a natural tendency to increase. Railroads, which in the past have used 75 to 80 pound rail in main track have made their renewals largely with the more costly 90 and 100 pound rail; likewise 50 to 60 pound rail has been replaced with 70 to 80 pound rail. The heavier rail has been found necessary owing to the increasing use of steel equipment and larger locomotives. The use of this heavy equipment has compelled the railroads to replace and strengthen bridges, culverts and embankments, and to spend large sums for ballasting, etc. Likewise ties, rail joints and other materials, have considerably advanced in cost.
It is, therefore, safe to say that when a railroad's Maintenance of Way Expenses average below $800 to $1,000 per mile of road these expenses should receive care- ful scrutiny by the intending investor.
As stated in a previous chapter Maintenance of Way expenses will hereafter include accounts for Depreciation. The ruling of the Commission dated J^dy 1, 1914, follows:
"Depreciation of Fixed Improvements. — Deprecia- tion accounts, in which to include uniform monthly charges to cover the depreciation of fixed improvements, have been provided for the purpose of creating reserves which will meet or reduce the amounts otherwise chargeable, as may be appropriate, to operating expense or to profit and loss accounts to cover property retired. Such depreciation charges shall be based in each instance upon the percentage of the original cost (estimated if not known), ledger \alue, or purchase price of the property determined to be equitable by the carrier's experience and best sources of information as to the actual current loss from deprecia-
OF RAILROADS 25
tion. A statement of the bases used by the carrier for computing these charges shall be included in its annual re- port to the Commission. Until further directed the use of depreciation accounts for fixed improvements is optional with the carrier."
26 THE EARNING POWER
CHAPTER V
MAINTENANCE OF EQUIPMENT
(Note: Attention is particularly invited to the Introductory Comment (page ii) where reference is made to the amendments enacted in June, 1906, of the Act to Regu- late Commerce so far as these relate to the methods of accounting which went into effect July ist. 1907 (with subsequent amendments). The uncertainty which exists as to the exact effect which this system, when in full operation, will have on the statements of the railroads renders it undesirable that any important changes be made in the text of the following chapter which is taken practically without change from previous editions of this book.)
Comparison of the Maintenance of Equipment Expenses "per mile of road" avails little. The best basis for testing the sufficiency of these is to ascertain the average amount expended on equipment per unit of service rendered by the equipment; that is, the average outlay per locomotive per mile run, per freight car per mile run and per passenger car per mile run. Maintenance of Equipment depends not alone upon the amount of equipment to be maintained, but also upon the service rendered by the equipment. It stands to reason that the Erie Railroad, for example, with a freight density, as of 1915-16, of 3,793,698 ton miles and a passenger density of 261,698 passenger miles per mile of road, must expend more "per mile of road" for Mainte- nance of Equipment than the Atchison, with a freight density, as of last year, of 875,353 ton miles, and a pas- senger density of 140,879 passenger miles per mile of road. The relatively larger volume of business done or work- performed by the Erie requires a relatively larger amount of Equipment and a greater service to be rendered by its equipment. It will be found that Maintenance of Equip- ment Expenses have usually a direct relation to the road's freight and passenger density, this relation being aflfected to a considerable degree by train and car loading and other essential factors.
OF RAILROADS 27
An example will tend to establish that equipment maintenance has necessarily no relation to gross earnings. Suppose the tonnage of one road consists altogether of low class freight, as coal or iron ores, and the tonnage of another road wholly of high class freight. Each road earns $20,000 per mile. The density of the first road's traffic and, as a consequence, the service rendered by its equip- ment, must be far greater than that of the second road. The business of the one road might be successfully con- ducted with one-third of the equipment and power required by the other : Ergo, an outlay of $2,000 per mile for equipment maintenance on the road with the low class ton- nage might be no greater relatively than an outlay of $1,000 per mile on the other road.
It may be said that under present conditions an average of $2,500 to $3,000 per annum per locomotive, $75 to $85 per annum per freight car and $750 to $850 per annum per passenger car approximate normal maintenance require- ments. All this depends much upon the character of equip- ment required in the service. It usually costs less, for ex- ample, to purchase and maintain coal cars and flat cars than box cars and refrigerator cars. No argument is necessary to show that it must cost more per unit to maintain a small equipment than a larger one.
Among other important considerations which bear upon the cost of maintaining a road's locomotives and cars may be mentioned the location and equipment of its shops.
There are many roads where, although maintenance both for roadway and equipment is clearly surcharged, the ex- tent of the excess of maintenance over normal require- ments cannot be taken as present earning power. Take again, for example, the Erie or Atchison as distinct from
28 THE EARNING POWER
the Baltimore & Ohio, or the Pennsylvania Railroad. While the Baltimore & Ohio and the Pennsylvania do not usually report a surplus much in excess of dividend re- quirements, yet these companies should be able to pay steadily reasonable dividends, for the reason that when there comes a bad year, there is, and for years has been, abundant opportunity for curtailment of maintenance ex- penses. After reorganization, the properties of the Erie and Atchison were turned over to the new managers in a deplorable physical condition. Here the needs were so un- usual as to make imperative extraordinary charges to, operating expenses for maintenance. The excess of these expenses over normal requirements could be considered only as offering opportunity for future retrenchment. It could in no way be taken as an immediate margin of safety.
Following the rulings of the Interstate Commerce Com- tnission, a majority of the railroad companies charged to Maintenance of Equipment during the last fiscal year, amounts for depreciation varying from six per cent, to one per ce^it. and less.
From even a casual examination of the railroad reports for the past fiscal year, it is apparent that until the Com- mission shall specify the exact rate to he charged on ac- count of depreciation of equipment, the desired result for zvhich the law was enacted will not be attained.
Hereafter each railway in its report to the Commission must explain the basis used in charging depreciation as per the following rule of the Commission : ''Equipment Depreciation.
"The various depreciation accounts shall include uniform monthly charges' representing the depreciation of equip-
OF RAILROADS
29
ment. These charges shaU be based upon the percentage of the original cost (estimated if not known), ledger value, or purchase price of such equipment determined to be equitable from the carrier's experience and best sources of information as to the average current loss from deprecia- tion. A statement of the percentages used by the carrier for computing these charges, together with the estimated life of the equipment upon which such percentages are based, shall be included in its annual report to the Commis- sion.
''Depreciation charges with respect to any equipment shall cease when the difference between the ledger value and the estimated scrap value shall have been credited to the accrued depreciation account."
The following table indicates the rates recently reported in use by a number of important railways in computing de- preciation of equipment : —
Atlantic Coast Line R. R...
Baltimore & Ohio. R. R
Boston & Maine R. R
C. R. R. of X. J
Chesapeake & Ohio Rv
Chi., M. & St. Paul Rv
C. C. C. & St. L. Rv...'
Dela.. Lack'a & \V. R. R.. .
Erie R. R
Gt. Northern Rv
Illinois Central 'R. R
Lehigh Valley R. R
Maine Central R. R
X. Y. Central & H. R. R. R..,
Xorfolk & Western Ry
Seaboard Air Line Ry
Southern Ry
|
Passenger Freight |
\\-ork |
||
|
Loco- |
Train |
Train |
Equip- |
|
notives |
Cars |
Cars |
ment |
|
% |
% |
% |
% |
|
3 |
2* |
3 |
2 |
|
4 |
3 |
3 to 5 |
6 |
|
3 |
2 |
2 |
2 |
|
4 |
3 |
4 |
4 |
|
1/2 |
VA |
W2 |
1^/2 |
|
1 |
1 |
1 |
1 |
|
9 |
2 |
2 |
2 |
|
5t |
2i/2t |
6t |
6t |
|
3 |
3 |
4 |
4 |
|
5t |
4 |
+ + |
|
|
3 |
3 |
4 |
5 |
|
234 |
m |
\y^xo2M |
— |
|
3 |
2 |
2 |
2 |
|
2 |
2 |
2 |
2 |
|
3 |
3 |
3 |
3 |
|
2 |
2 |
2 |
2 |
|
2 |
2 |
2V2 to Ya, |
2M |
30 THE EARNING POWER
♦Dining cars 5%. fLess estimated salvage value. $0n steam locomotives rates vary from 2).2>Z% to 7.14% and on electric loco- motives rate is 10% ; on freight and work cars rates vary from ?>.2)2)% to 6.67% (box cars 4%, stock, coal, gondolas, oil tank, etc., 5%).
As an example of the method used by the railroads in charging and crediting Depreciation Reserve the following table is of interest : —
RESERVE FOR DEPRECIATION OF EQUIPMENT.
PENNSYLVANIA R. R.
1915
Credit Balance January 1, 1915 $17,461,707
Credits during year 1915 —
From Charges to Operating Expenses:
Depreciation $6,177,124
Renewals 383,636
From Salvage, etc 1,186.526
Amount ; charged to other com- panies for depreciation on P. K. R.'s equipment used by them .... 1,705,473
$9,452,760
Total Credits $26,914,467
Less —
Equipment Retired :
Locomotives $2,364,766
Passenger Cars 1,517,653
Freight Cars 2,775.645
Work Equipment 110,743
Floating Equipment 108,756
6,877,563
Credit Balance December 31. 1915 $20,036,904
To maintain the standard and value of the equipment there has been expended out of the above for new equipment $13,978,155
And for the balance unexpended, new equipment has been ordered under contract $6,058,749
The following table indicates the approximate amounts
expended during 1914-15 by various railroads for repairs
and renewals also the amounts charged for depreciation of
OF RAILROADS 31
equipment. The methods of calculation used by the com- panies enumerated below, differ radically. Practically no two roads mentioned below follow the same rule in com- puting depreciation of equipment and, likewise, the per unit of equipment expenses of certain roads, for example the Atchison, Topeka & Sante Fe Ry. includes certain amounts charged to superintendence, injuries to persons, shop machinery, maintaining joint equipment at terminals, etc. The table follows: p^j. p^j. p^j.
Loco- Passenger Freight motive Car Car
Atch., Topeka & Santa Fe Ry. . . . $4,600 $1,204 $129
El Paso Southwestern Ry 2.927 1,083 105
St. Louis Southwestern Ry *2,295 *642 101
Union Pacific R. R 3,591 1,021 96
Seaboard Air Line Ry 2.096 734 54
Atlantic Coast Line R. R *2,213 *850 *88
Minneapolis & St. Louis Ry *2,775 *607 *80
tPitts. & L. E. R. R *2,404 *1.500 *100
tNew Orleans, Mob. & Chi. R. R... *1.952 *692 *64
♦Approximate. fYear 1914. JYear 1913-14.
For roads of Class 1 (having annual operating revenues above $1,000,000) for the fiscal year 1914, the average cost of repairs per unit of equipment was as follows :*
Freight Passenger Locomotives cars cars
United States $2,812 $80.47 $634.45
Eastern District 2,812 81.74 600.19
Southern District 2,759 88.80 757.54
Western District 2,836 74.52 637.41
The average cost of repairs, renewals, and depreciation
per unit of equipment was as follows :
Freight Passengei
Locomotives cars cars
United States $3,214 $105.06 %779.37
Eastern District 3,252 107.53 793.28
Southern District 3,142 115.38 904.02
Western District 3,198 96.43 789.60
♦Statistics furnished by Bureau of Railway Economics, Washing ton, D. C.
32 THE EARNING POWER
CHAPTER VI B
TRAFFIC AND TRANSPORTATION EXPENSES, MISCELLANEOUS OPERATIONS, ETC.
As previously suggested, under these subdivisions of the operating expenses fall those expenses which, as distinct from Maintenance of Way and Maintenance of Equip- ment, must be taken as in large part being in the nature of a fixed or obligatory charge. They relate and are incident to the immediate conduct of the road's business, and like those commonly called "fixed charges" — interest, taxes and rentals — their payment cannot long be delayed. If a road is hard pressed, means may be found whereby the payment of a portion of these expenses can be postponed but only for a short time. In the discussion as to main- tenance expenses it was made clear that those expenses are, under necessity or in the discretion of the manage- ment, capable of curtailment. It will be found that the amount per mile of the Transportation Expenses has a general relation to the traffic density. This results from the fact that these expenses depend largely upon the train mileage; engine mileage also is an important factor. As density increases, other things, as trainload and carload, being equal, the train mileage increases.
To the average investor the essential thing to consider is the percentage of Operating Revenues required for these groups of Operating Expenses. Where this and the per- centage of Gross required for Fixed Charges is given, it is seen what remains for maintenance and dividends. The questions of train and engine mileage, train and car
OF RAILROADS Zi
loading, ton and train mile cost and earnings, etc., are of extreme interest and should be carefully dealt with. These will be passed over here in favor of the more vital con- siderations which reflect all these — the bearing of operat- ing expenses (other than maintenance) upon gross earn- ings. It is believed that it is not far from the truth to say that for all the railroads in the United States these ex- penses did not require for the year 1915-16 more than 40 per cent, of the total gross earnings.
Traffic, miscellaneous Operations and General Expenses have no such relation to traffic density as have the Trans- portation Expenses. They tend to constancy and vary but little with the amount of business done. These expenses are often relatively greater on a small than on a large road. As Traffic, Miscellaneous Operations and General Expenses make up but a small part of the operating expenses, and as they partake of the nature of Transportation Expenses, as distinct from Maintenance Expenses, it is right here to class them with the Transportation Expenses.
Where, in the comparison of two roads with like char- acter of business, it is found that these expenses of one require a relatively larger percentage of gross than in the case of the other, it means one or both of two things: either that with relatively like rates, for the work per- formed the one road is not conducting its business with the same degree of economy as the other, or that, with like relative economy in the conduct of its business, the rates received by it for work performed are relatively smaller. In the use here of the word "economy," it is un- derstood that the measure of economy is net results. To show the significance of this percentage to the investor, consult for example, the records of the Chicago Great
34 THE EARNING POWER
Western and the Atchison, Topeka and Santa Fe. The character of the tonnage of these two roads is very similar. For the year ending June 30, 1916, Operating Expenses other than Maintenance consumed 41.4 per cent, of the Great Western's gross income against 32.0 per cent, for the Atchison. These expenses have required a very large percentage of the Great Western's gross income each year for the last ten years, and their ratio to gross income has shown little tendency to become less. When it is remem- bered that these expenses partake of the nature of a fixed charge upon gross, the full significance is apparent. Let ic be assumed that the annual interest, taxes and rentals had required in 1915-16, 20 per cent, of the gross for both the Great Western and the Atchison. Of the Great West- ern's gross, then 61.4 per cent, would have been consumed by these ''fixed" charges, leaving 38.6 per cent, for main- tenance and dividends. Of the Atchison's gross, but 52.0 per cent, would have been consumed by "fixed" charges and 48.0 per cent, would have been left for maintenance and dividends. It is clear that the margin of safety for dividends would have been far greater for the Atchison than for the Great Western. The actual margin of safety for the Atchison was greater than has been here indicated, because interest, taxes and rentals required about 14.9 per cent, of last year's gross income against 18.2 per cent, for the Great Western.
While the larger percentage of gross required for these groups of Operating Expenses in the case of one road re- flects what has been called "relatively less economy" in operation, yet this by no means implies a relative lack of efficiency in the management. A railroad might be operated with the highest degree of efficiency, yet the aver-
OF RAILROADS 35
age rates received, and consequently the gross earnings, might be so small as to make these expenses bear a very high ratio to the gross.
When rates, trainloads, etc., tend to constancy, the ratio of Transportation Expenses varies inversely with Operat- ing Revenues.
It is shown in what follows that the margin for main- tenance and dividends may be greater on the road with large Operating Revenues per mile, where the Operating Expenses other than Maintenance require, say 42 per cent, of the gross, than on the road with small Operating Rev- enues per mile, where those expenses require but 35 per cent, of the gross. For the first road 20 per cent, of the gross might be ample for maintenance, while 35 per cent, of its gross might be an insufficient allowance for the second road. The fact remains after all, that, other things being equal, where these expenses are relatively larger, the margin of safety is relatively less.
36 THE EARNING POWER
CHAPTER VII
THE OPERATING RATIO
What has gone before leads naturally to the discussion of the Operating Ratio in its bearing upon this question of earning power. It is with great difficulty that many inves- tors are dissuaded from the belief that the Operating Ratio counts for all. Where a road is reported as operating at 50 per cent, it is not uncommon to hear it said that "it can- not be done." Another road reports operating at 75 per cent., and it is said that because of this high Operating Ratio there is manifestly "abundant opportunity for cur- tailment in expenses." It may be stated at once that the Operating Ratio, or the ratio which operating expenses bear to gross earnings, has of itself no significance what- soever. A few examples will tend to establish this fact.
The gross earnings (operating revenues) and operating expenses of roads "A," "B," "C," "D," and "E," may be taken as given in the table on page Z7. For the sake of argument, it is assumed that it requires for normal main- tenance of road and equipment no more "per mile of road" for one of these roads than for another.
OF RAILROADS
^7
ad
o o o o o o
fe5
^
^3
o o o o o o
<z> XT) m
^
fe?
O cs o ^"
^
O <N
^
8 g §
c >
|i
^ii >.
Sort
:.l§o
w :^
«c3
S :2
' a-
^' y fc ?2 s"
38 THE EARNING POWER ' * .
It is clear that road "A," operating at 55 per cent., makes more liberal outlay for maintenance than roads "B," "C," and "D," which operate at 60 per cent., 65 per cent., and 75 per cent., respectively. Consequently road "A" has greater room for curtailment in its maintenance. Road "A" includes in its operating expenses sums in excess of normal requirements for maintenance, road "B" spends enough for maintenance, while the expenses of "C" and "D" fall considerably below the average requirements. The $1,500,000 or 15 per cent, of its gross, expended by road ''D" for Maintenance of Way on its 5,000-mile road is by far a relatively smaller outlay than that of road "A," where $1,250,000, or but 12^ per cent, of its gross is so expended on 1,000 miles of road. Now, take road "E." It is seen that while Traffic and other Operating Expenses require the same percentage of Operating Revenues, "E," operating at 50 per cent., spends for maintenance 140 per cent, more than "A," which is operated at 55 per cent. The table ex- plains itself. It is unnecessary to give more examples (many more might be given) to show that the Operating Ratio of itself is of no significance. Wherever it may have significance it will be found to be wholly the result of ac- cident.
Were it not for the diverse conditions which affect peculiarly the question of maintenance in each individual road, it might be possible to arrive at certain definite rules as to the percentage of gross required for mainte- nance in different classes of railroads. One rule would suggest itself : that for average maintenance requirements for Southern and Western roads the Operating Revenues of which amount to, say, $8,000 per mile, an annual appro- priation of from 25 per cent, to 28 per cent, of the gross,
OF RAILROADS 39
would, under present conditions, be ample. Another rule might be found to apply to such roads as the Central of New Jersey, the Delaware, Lackawanna and Western, etc., to the effect that, where gross earnings exceed $30,000 per mile, an appropriation of from 17 per cent, to 20 per cent, of gross would be more than sufficient for average main- tenance requirements. The mere statement of any "rule" must of necessity be clothed with so many exceptions and modifications as to make one lose sight of the rule itself.
40 THE EARNING POWER
CHAPTER VIII
FIXED CHARGES
Under Fixed Charges fall interest on the funded and floating debt, rentals of leased lines, embracing guaranteed dividends, etc., taxes and, in some cases, sinking-fund pay- ments. (The Interstate Commerce Commission has di- rected that, beginning July 1, 1907, taxes are to be deducted from operating income and not included either in Fixed Charges or in Operating Expenses. In this book taxes are included in Fixed Charges.) The investor should examine the annual report carefully to ascertain whether or not the full interest on all the bonds outstanding at the close of the fiscal period has been charged in the Income Account for the period under review. Another important sugges- tion which may be made here is that the investor look to ascertain what opportunity there may be attaching to this or that road for future saving in interest charges through refunding. The Chicago, Burlington and Quincy, the Chicago and Northwestern and the Chicago, Milwaukee and St. Paul may likely, through the refunding in the next ten years of high rate interest bearing bonds, save a con- siderable amount in interest charges.
Very few roads are required to-day to set aside each year from earnings specific amounts for sinking fund pur- poses. The Chicago, Burlington and Quincy's annual ap- propriation for sinking funds are to-day relatively larger than that of any other railroad in this country, excepting where annual payments are made in the retirement of short time serial bonds. For the year ending June 30, 1916, the sinking fund payments of the Chicago, Burlington and Quincy, amounted to $1,753,007. As such appropriations
OF RAILROADS 41
are in their nature extraordinary, and are used for the retirement of obligations of the company, they must be given due weight in the comparison of the respective earning power of different roads.
As there is of itself little significance in the comparison of the average trainloads or average train miles, and as there is of itself no significance in the comparison of the Operating Ratio of different roads, so, from the investor's standpoint, there is necessarily no significance to be at- tached to the fact that one road has a bonded debt of $30,- 000 per mile, while the bonds outstanding on another road amount to but $15,000 per mile. Likewise, the fact alone that the fixed charges of one road amount to $2,000 per mile of road against $1,000 per mile on another shows by no means that the bonds of the latter are more secure. (Compare Richmond, Fredericksburg and Potomac, page 141, and the ^Midland Valley Ry., page 171.) The essential consideration here, as in the case of those quasi-fixed charges, the Operating Expenses other than Maintenance, is the ratio which these charges bear to Operating Rev- enues and the ability of the road to pay these charges. It stands to reason that the New York Central with $29,900 per mile gross earnings, could more easily provide for the interest on bonds aggregating $60,000 per mile than could the "Atchison," with $11,900 per mile gross, provide for interest on a bonded debt of $30,000 per mile.
It demands no proof to show that fixed charges of $600 per mile on one road might be a heavier burden on earn- ings than fixed charges of $1,000 per mile on another, al- though in each case the percentage of gross required for these charges is but 20 per cent. Take as Operating Rev- enues for the first road $3,000 per mile, and for the second
42 THE EARNING POWER
$5,000 per mile. Let Operating Expenses other than Main- tenance require 35 per cent, of the gross for each road. Here is 55 per cent, of gross consumed by "fixed" charges in each case. The one road has 45 per cent, of $3,000 per mile, or $1,350 per mile for maintenance and surplus; the other has 45 per cent, of $5,000 per mile, or $2,250 per mile remaining for maintenance and surplus.
As a rule, where, on a basis of earnings such as these have averaged in recent years, the fixed charges of any given road have required less than, say, 22 per cent, of gross income, and where the surplus after the payment of all operating expenses (including liberal outlays for main- tenance), have amounted to not less than, say, 17 per cent., of the gross income, the interest on the road's bonds may be considered very secure. It should be noted that this is not the same situation as would be presented were it stated for example, that the interest is secure where the fixed charges require say 50 per cent., or less of the net income, for the reason that operating expenses (including proper outlay for maintenance) might in one case require 90 per cent, of the gross income against 60 per cent, in another case. The fixed charges in the first case might require but 50 per cent, of the net, or 5 per cent, of the gross income; in the second case they might require, likewise, 50 per cent, of the net, or 20 per cent, of the gross income. Should the gross income show a proportional decrease of, say 15 per cent, for each road, other things being equal, one road would show a deficit after fixed charges, while the other road would show a surplus. (Compare Missouri, Kansas & Texas Ry., page 172, and Lehigh Valley R. R., page 77.)
OF RAILROADS 43
The percentage of fixed charges varies in an inverse ratio with gross earnings.
Observe the following tables wherein are given the in- come accounts of roads "A" and "B," the figures being stated both in full and reduced to a "per mile" basis.
TABLE I.
A. B.
Miles Operated 1,000 1,000
Operating Revenues $10,000,000 $10,000 $10,000,000 $10,000
Operating Expenses 6,000,000 6,000 6.000.000 6.000
Net Operating Revenues.... 4,000,000 4,000 4,000.000 4,000
Fixed Charges 2,000,000 2,000 3,000,000 3,000
Ratio of Fixed Charges to
Gross 20% 30%
Surplus 2,000,000 2,000 1,000.000 1,000
OPERATING EXPENSES.
Maintenance of Way $1,250,000 $1,250 $1,250,000 $1,250
Maintenance of Equipment.. 1,250,000 1,250 1,250,000 1,250 Ratio of Main te nance to
Gross 20% 25%
Traffic and Transportation.. 3,000,000 3,000 3,000,000 3,000 Miscellaneous Operations and
General Expenses 500,000 500 500,000 500
Ratio of Traffic and Other
Operating Expenses to
Gross 35% 35%
In the above comparison of the income accounts of roads "A" and "B" the operating expenses are in every respect alike. The fixed charges of road "A" require 20 per cent. of the gross and of road ''B" 30 per cent, of the gross. The surplus of "A" amounts to $2,000,000 and that of "B" to $1,000,000.
Assume that operating revenues decrease 25 per cent., and that roads "A" and '*B" are operated as before at 60
44 THE EARNING POWER
per cent. The income accounts would appear somewhat as follows :
TABLE 11.
A. B.
Miles Operated 1,000 1,000
Operating Revenues $7,500,000 $7,500 $7,500,000 $7,500
Operating Expenses 4,500,000 4,500 4,500,000 4,500
Net Operating Revenues 3,000,000 3,000 3,000,000 3,000
Fixed Charges 2,000,000 2,000 3,000.000 3,000
Ratio of Fixed Charges to Gross. 26.6% 40%
Surplus 1,000,000 1,000 0,000,000 0,000
OPERATING EXPENSES.
Maintenance of Way $950,000 $950 $950,000 $950
Maintenance of Equipment 700,000 700 700,000 700
Ratio of Maintenance to Gross.. 22% 22%
Traffic and Transportation 2,350,000 2,350 2,350,000 2,350
Miscellaneous Operations and
General Expenses 500,000 500 500,000 500
Ratio of Traffic and Other
Operating Expenses to Gross. . 38% 38%
Here Maintenance Expenses are curtailed; Traffic and Transportation Expenses, while requiring a greater per- centage of gross, are smaller, due to less business handled; and Miscellaneous Operations and General Expenses re- main the same. The fixed charges remain the same and they require 26.6 per cent, of road "A's" gross and 40 per cent, of road "B's" gross. The percentage of gross re- quired for *'B's" fixed charges is 10 per cent, greater than in the example given first above, while the percentage re- quired for "A's" fixed charges is about 6.6 per cent, greater than it was before the earnings decreased. Road ''A" shows $1,000,000 surplus, while *'B's" surplus is entirely wiped out.
OF RAILROADS 45
CHAPTER IX
STOCK OUTSTANDING IN ITS RELATION TO EARNING POWER
What has gone before shows that a railroad's earning power cannot be measured by the surplus alone. Analysis of the Maintenance Expenses indicates the integrity of the net earnings, and consequently the integrity of the surplus. Where maintenance is found to be insufficient, the investor knows that earnings must be drawn upon to a greater ex- tent, and that if the gross is not large enough to allow of a greater appropriation, future increases in earnings must be used so far as they may be to bring the maintenance outlay up to fair requirements. W^here maintenance is found to be ample or to exceed normal requirements, the investor knows that a future increase in earnings may rightly be re- flected in a larger surplus.
A comparison of the results of Railroad number one and of railroad number two is instructive as illustrating this point. The maintenance expenses of the former road for years prior to say 1915-16 were far below normal re- quirements, while the St. Louis Southwestern for years charged its expenses very fairly. Owing to its large an- nual hxed charges Railroad number one found it impos- sible to appropriate a greater percentage of its gross for maintenance. For the year 1915-16 both of the lines showed large increases in earnings. The greater part of the in- crease of Railroad number one was diverted to the main- tenance accounts, while the increase in the earnings of Rail- road number two was for the most part represented in the net earnings. Many railroads can safely cause a reduction in their maintenance expenses and thus add largely to their
46 THE EARNING POWER
surplus; for example, the maintenance expenses, for 1915, of the Delaware, Lackawanna and Western, and for 1912, 1913 and 1915 of the Pittsburgh and Lake Erie were far alx)ve the necessary requirements.
It has been demonstrated also in the foregoing chapters that where the Operating Expenses other than Maintenances or where Fixed Charges are a relatively heavy burden on gross earnings, the margin of safety represented in the surplus is relatively small. For exactly those reasons that make greater or less the margin of safety represented in a road's surplus, it follows that the margin of safety for divi- dends for one road which earns 10 per cent, on its capital stock is necessarily by no means so great as that for another road which also earns 10 per cent, on its stock.
The capital stock of road "A," the Income Account of which was given on page 43 (Table I.), is, let us say, $20,- 000,000 and that of "B," $10,000,000. While each road earned 10 per cent, on its stock, yet it is shown in Table II., page 44, that with like decreases in gross earnings, "A" earned 5 per cent, on its stock and "B" earned noth- ing at all. So the amount earned on the stock of one road might equal 15 per cent., and yet the margin of safety might not be so great as in the case of another road where but 10 per cent, was earned.
An earning power of 10 per cent, on Mobile and Ohio stock, or on Missouri, Kansas and Texas preferred, means far less as to the margin of safety for dividends than does an earning power of 10 per cent, on Illinois Central stock, Chicago, Burlington and Quincy stock or Louisville and Nashville stock.
OF RAILROADS 47
In any comparison of the earning power of two roads, it is important to note, in connection with other essential facts, what percentage of the operating revenues is re- quired to pay one per cent, on the stock of each.
The capital stock of the New York, Ontario and West- ern, which operates about 568 miles of road, is about as large as that of the Chesapeake and Ohio, which operates 2,375 miles of road. The gross earnings of these roads were approximately, $15,700 and $16,600 per mile, respec- tively, for the year ending June 30, 1916. Inasmuch as the total gross earnings of the New York, Ontario and West- ern for that year was not over 16 per cent, on its capital stock, it must be a long time before the earning power of the road will warrant a high price for the stock.
That the rate of dividends paid on a road's stock does not determine the value of that stock is evidenced as well by the market value of such stocks as Central R. R. of New Jersey and "Lackawanna" as by the comparatively recent market value of such a stock as Seaboard Air Line pre- ferred stock. The value of a stock is usually determined by the earning power or the ability of the road to pay divi- dends. This earning power is determined not only by the margin of safety represented in the surplus, but also by the stability or lack of stability of the operating revenues. The character of the tonnage and the natural resources and de- velopment of the territory traversed are to be considered in their bearing upon the stability of the road's traffic.
Certainly the earnings for any one year cannot be taken as demonstrating a road's ability to pay its interest or to pay dividends. The investor must consider the course of earn- ings for a series of years as well as the prospects for the future. He must recall, when comparing the earning ca-
48 THE EARNING POWER
pacity of Illinois Central with that of Chesapeake and Ohio, that while each of these roads may be earning 10 per cent, on its present outstanding capital stock, the capital stock of Illinois Central includes about $50,000,000 stock sold during recent years at par, the proceeds from the sale of which were used for improvements. No part of the present outstanding stock of the Chesapeake and Ohio rep- resents stock sold by the company for cash. Nearly two- thirds of the outstanding capital stock of the Pennsylvania Railroad has been sold for cash during the past fifteen years at considerably above its par value, and over two- thirds of the outstanding common stock of the Baltimore and Ohio has been sold at par. The Chicago, Milwaukee and St. Paul, Great Northern, Canadian Pacific, Chicago and Northwestern, Northern Pacific, Southern Pacific, and many other companies have secured large sums for im- provements, etc., by the sale of capital stock.
Finally, it must be said (as has been suggested in what has gone before) that absolute knowledge concerning the value of railroad securities can be gained only by a careful and personal examination of the physical condition of each property, as well as of the traffic relations and advantages and the conditions attaching to the same. In this way knowledge can be gained as to the opportunities presented in each case, both for the better handling of business al- ready secured and for the securing of new business.
OF RAILROADS 49
CHAPTER X
GUARANTEES AND THEIR RELATION TO SURPLUS AVAILABLE FOR DIVIDENDS
The many consolidations and leases made by railroads in the last few years emphasize yet another consideration, already referred to, which has an important bearing upon the margin of safety represented by the surplus earnings. On the following page are given the income accounts of six railroads (Roads "A," "B," "C," "D," "E," "F"). These income accounts are shown for three distinct periods rep- resenting three different conditions of affairs which will here be explained. Each of the roads has a capital stock of $200,000, and each earned, as shown in the income account (Schedule L), 10 per cent, on its capital. Road "A," being desirous of extending its sphere of influence or of pro- tecting its existing traffic, arranges for the lease of the other five roads, the rental being in each case 9 per cent, on the capital stock.
The income accounts (Schedule IL) show the result of these leases to the parent road "A" in a prosperous year, when gross earnings were as large as are shown in the in- come accounts first given (Schedule L) When road "A" was operated alone 10 per cent, was earned on its capital stock. Its equity in the surplus earnings of the leased lines in the year following the making of the leases was such as to show 5 per cent, additional earned on its original issue of $200,000 of stock.
50
THE EARNING POWER
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OF RAILROADS 51
Income accounts (Schedule III.) show operating rev- enues of roads reduced. The charges against revenues re- main the same. Road "A" earned, of itself, $15,000 or 7^ per cent, on its stock, but owing to the guarantee of divi- dends on the other five roads, the deficit of each of these roads amounted to $3,000. Inasmuch as these losses fall upon road "A" and are suffered by that road's capital stock, it appears that as against 15 per cent, earned upon road ''A's" stock in the previous year nothing is earned in the year of smaller earnings.
Had road "A" not assumed obligations to the stock- holders of the other roads its surplus earnings in the pros- perous year would have equalled but 10 per cent, on its stock against 15 per cent. On the other hand, in the year of smaller earnings the road would have earned 7^^ per cent, on its stock instead of earning nothing at all.
There will be found in the perusal of the income accounts given in this book several examples showing results very similar to those illustrated above.
52 THE EARNING POWER
CHAPTER XI .
TABLES
Following there are given tables showing, so far as it is possible, for one hundred and fifty-eight railroads in the United States. Canada, Cuba, Central and South American countries.
1. The Average Mileage Operated, the Gross Earnings (Operating Revenues) and the Surplus for a series of years. Where the road has been reorganized, the figures given are, excepting where stated to the contrary, those of the reorganized property.
Wherever an appropriation of an extraordinary nature (for equipment, betterments or additions) has been de- ducted from the net revenues as reported by any road, such an appropriation is considered as having been deducted from the surplus earnings. All interest paid on Income Bonds and all dividends paid on stock are also considered as having been appropriated from the surplus earnings.
2. The total Capital Stock and Bonds outstanding and the Stock and Bonds "per mile of road operated."
The Capital Stock and Bonds are stated as they are given in the general balance sheets of the different com- panies. It must be stated that many railroads do not in- clude in their balance sheets the bonds and stocks of auxil- iary and leased companies on which interest and dividends are guaranteed. The Delaware, Lackawanna & Western R. R., for example, does not show in its balance sheet the bonds and guaranteed stock of the Morris & Essex R. R. Co. and other leased roads, while in the case of the St. Louis and San Francisco the general balance sheet shows among the liabilities, outstanding securities of auxiliary and leased companies. In the final analysis, however, so
OF RAILROADS 53
far as the stockholder is concerned, the result as to margin for dividends is not changed by this different method of bookkeeping, for whether or not the balance sheet shows these obligations,, the interest and guaranteed dividends must be paid each year before the stockholder may receive dividends. It is because of this lack of uniformity that the fixed charges cannot be reckoned even approximately from the statement of the company's bonds as shown in the bal- ance sheet. The item of "rentals" in the "fixed charges" is often many times greater than the item "interest on company's bonds." Therefore in the statistical pages which follow, the amounts included in the fixed charges as "rentals paid" are stated immediately after the statement of capitalization.
Under Capital Stock are usually included Income Bonds. In the statements of capitalization there is given under Capital Stock the amount outstanding at the close of the last fiscal year for which an official report has been issued.
Under Bonds there is given, in each of the tables, the amounts of bonds outstanding at the close of the last fiscal year for which an official report has been issued. Bonds outstanding include in some cases bonds held alive in Sink- ing Funds and bonds held among Treasury Assets.
The Bonds and Capital Stock are given "per mile of road operated" as it is beHeved that general comparisons can be made more readily on that basis than is possible where the capitalization is reduced to a basis "per mile of road owned."
3. The Income Account for the last fiscal year for which an official report has been issued. Included in Other In- come are all dividends on stocks owned, interest on bonds owned, rentals received, credit balance from hire of freight
54 THE EARNING POWER
cars and rent of equipment, etc., and, in the case of a few railroads, profits of coal companies.
Under Fixed Charges are included interest on funded and floating debt, rentals, taxes, net hire and rental of equipment, etc. The amounts paid for rentals and in- cluded in Fixed Charges are stated.
4. The Operating Expenses are stated, subdivided as fol- lows: (a) Maintenance of Way; (&) Maintenance of Equipment; (c) Traffic Expenses; {d) Transportation Ex- penses; (e) Miscellaneous .Operations, and General Expenses. As in the table showing the earnings and dis- bursements, these expenses are given reduced to a "per mile" basis. The ratio which the operating expenses bear to the operating revenues for the year given is also stated.
5. The proportion of the Gross Income represented in (a) Maintenance Expenses, {h) Traffic and other Operat- ing Expenses, (c) Fixed Charges and {d) Surplus.
6. The "ton miles per mile of road" and the "passenger miles per mile of road." In arriving at these figures an effort has been made to disregard the tons of company's freight carried.
7. The miles of second and additional main tracks and the miles of yards and sidings.
Numerous notes are included in the Table pages; these notes are self-explanatory.
In conclusion it may be said that an earnest effort has been made in the compilation of the following tables to ar- range the same so that trustworthy comparisons may be made respecting the earning power of the different roads.
OF RAILROADS 55
COMMENT
The following pages are devoted, firstly (pp. 57 to 215 inclusive), to the presentation in table form of important statistics, showing the range of earnings of the railroads over a series of years, their capitalization, income accounts, etc., as described in Chapter XI ; and secondly (p. 216 and following), to the Notes wherein are given other important facts concerning the capitalization, the dividends, the ap- propriations for improvements, the securities and lands owned, the character of the rail used, etc.
It is important that reference be made to the Notes in connection with the use of the statistical Tables, for not only do the Notes serve to illustrate and supplement the facts given in the Tables, but also in many instances they contain facts which are essential to the proper understand- ing of the figures given in the Tables. For example, the bonds and stock outstanding of the "New Haven", New York Central R. R. and of the Pennsylvania R. R. include large amounts issued for the purpose of acquiring securities of other railroads, operated separately; the Notes show that the New York Central R. R. owns a large majority of the capital stock of the Cleveland, Cincinnati, Chicago & St. Louis Ry., the :\Iichigan Central R. R.. the Rutland R. R., etc., and that the Pennsylvania R. R. owns all the capi- tal stock of the Pennsylvania Co. and practically all the stock of the Philadelphia, Baltimore & Washington R. R., etc. By reference, therefore, to the Notes, infor- mation is found which, used in connection with the Tables giving the income accounts of these controlled railroads, will show the extent of the equities which the controlling
56 THE EARNING POWER
railroads possess in the undivided surplus earnings of the subsidiary railroads.
The fact that large purchases have been made by many of the railroads of the securities of other railroads is alone sufficient to • emphasize the importance which the pro- prietorship of these securities has as a factor in determin- ing the investment value of the stocks and bonds, not only of the controlling railroads, but also of the controlled rail- roads themselves. As the facts regarding the ozvnership of securities as well as other equally important matters are given in the Notes, the Notes should be used concurrently with the statistical Tables.
Note: Owing to the completion of the Panama Canal and to other reasons, the attention of the public is being drawn to the American Couniries other than the United States and Canada, as fields for investment, etc. .For this reason zve have included in this edition the statements of several railroad systems located in Cuba and Central and South America, notably Argentine Republic, in zvhich latter country railroad development has made very rapid progress during recent years.
The tabulations in this book covering the years mentioned in the various tables are almost without exception based on data taken from the original official annual reports of the railroad companies.
OF RAILROADS 57
SUMMARY OF RAILWAY RETURNS.
|
Year |
Avg. Miles Oper. |
Gross |
Surplus |
|
1914-15 |
256.214 |
82,956,193,202 |
8354,786.729 |
The Information contained on this page Is taken from the Annual Report of "Statistics of Railways In the United States," published by the Interstate Commerce Commission.
CAPITALIZATION
(Outstanding in Hands of Public)
Total Per Mile
Stock ' 86,125,^70,387 824,959
Bonds (Includes Income Bonds) 10,181,932,193 41,488
Total 16,307,502,580 66,447
Fixed Charges below Include 824,858,781 for Rentals, 821,672,189 for Hire of Freight Cars, — Dr.. and 81.874.688 Rent for Cars, 83.401.520 Amortization of Discount.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1915
Average miles operated, 256,214. Total Per Mile
Operating Revenues 82,956,193,202 811,538
Operating Expenses 2,088,682,956 8,152
Net Operating Revenues 867,510.246 3,386
Other Income (Incl. 888,394,714 Dividend Income) 182,679.085 713
Gross Corporate Income 1,050,189,331 4,099
Fixed Charges (Including for Taxes, 8139,298,167) 695,402,602 . 2.714
♦Surplus (before 8325,900,869 Dividends Paid) 354,786,729 1,385
OPERATING EXPENSES
Total Per Mile
Maintenance of Way 8381.532,488 81,490
Maintenance of Equipment 509.818,744 1.992
Traffic Expenses 60,962,687 239
Transportation Expenses (incl. 88,688,803 Water Lines) 1,034,148,726 4,040
Miscellaneous Operations and General Expenses 102,220,311 391
Ratio of Operating Expenses to Operating Revenues, 70.6 per cent.
*Thls Surplus before deducting 830,683,537 for Additions and Betterments, 813,631,499 Sinking Fund Payments and 814,601,917 Discount Extinguished.
Other Income above includes 88,752,568 from Rentals, 840,979,333 Income from Funded Securities and 830,706,918 Income from Unfunded Securities.
APPROPRIATION OF GROSS INCOME
1914-15
For Maintenance Expenses 28 .4%
For Traffic, Transportation and General Expenses 38 . 1%
For Fixed Charges ! 22.2%
For Surplus 11.3%
100.0% 1914-15
Ton miles per mile of road 1.080.465
Passenger miles per mile of road 126.395
Miles second and additional main track 33.662
Miles, yards and sidings 99.910
58 THE EARNING POWER
BANGOR & AROOSTOOK R. R.
|
Avg. Miles Year Oper. |
Avg. Miles |
|||||
|
Gross |
Surplus |
Year |
Oper. |
Gross |
Surplus |
|
|
1900-1 370 |
$1,449,464 |
?129,608 |
1908-9 |
515 |
$2,818,444 |
$143,475 |
|
1901-2 371 |
1.708,937 |
172.973 |
1909-10 |
530 |
2.990.530 |
351,179 |
|
1902-3 401 |
1,800,168 |
148.375 |
1910-11 |
618 |
3.172,112 |
162,636 |
|
1903-4 428 |
2,015,356 |
196.344 |
1911-12 |
631 |
3,345,241 |
63.557 |
|
1904-5 428 |
2,159,072 |
230,999 |
1912-13 |
631 |
3.252,421 |
*84,307 |
|
1905-6 455 |
2.496,547 |
299.773 |
1913-14 |
631 |
3,795,413 |
205.731 |
|
1906-7 482 |
3.221.696 |
296.291 |
1914-15 |
631 |
3.747.974 |
226.490 |
|
1907-8 501 |
2,844,082 |
106,919 |
1915-16 |
631 |
3,775.806 |
240.609 |
|
♦Deficit. |
||||||
|
STOCK OUTSTANDING |
BONDS OUTSTANDING |
|||||
|
Jun€ |
; 30. 1916. |
June |
30, 1916. |
|||
|
Common ». |
.$3,448,600 |
Fixed |
Interest |
.$23,292,000 |
Equipment 229,000
Notes (5%) due 1918 2.000.000
CAPITALIZATION
Total Per Mile
Stock $3,448,000 $5,464
Bonds 25,521.000 40.445
Total 28.969.000 45,909
Fixed Charges below include $116 for Rentals; $3,989 for Hire of Equipment, and $10,899 Amortization of Discount on Funded Debt.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated, 6.31. Total Per Mile
Operating Revenues $3,775,806 $5,983
Operating Expenses 2,386,008 3,781
Net Operating Revenues 1,389,798 2,202
Other Income (incl. $185,063 Hire of Equipment) .. 259,888 412
Gross Corporate Income 1,649,686 2,614
Fixed Charges (including for Taxes, $155,964) 1,409,077 2,233
Surplus 240,609 381
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $559,130 $886
Maintenance of Equipment 591,043 936
Traffic Expenses 35,593 56
Transportation Expenses *1,023,939 1,623
General Expenses 176.303 280
Ratio of Operating Expenses to Operating Revenues 63.2 per cent.
* After deducting $732.
Other Income above includes $8,241 from Rentals.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ...28.5% 27.6% 25.8% 26.2% 25.7% 26.0% For Traffic and Other Operating
Expenses 30.7% 31.7% 35.0% 37.9% 35.8% 33.8%
For Fixed Charges 34.9% 35.0% 34.0% 38.4% 36.7% 35.4%
For Surplus 5.9% 5.7% 5.2% Deficit 1.8% 4.8%
100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 378.363 376,175 383,055 339,306
Passenger miles per mile of road 40,740 41,338 44,752 43,049 Miles, second and additional main
track 30 30 24 30
Miles, yards and sidings 208 206 200 199
See Notes, page 216.
OF RAILROADS 59
|
BOSTON & |
MAINE R. R. |
||||||
|
Avg. Miles Oper. |
V |
A\ |
'g. Miles |
||||
|
Year |
Gross |
Surplus |
Year |
Oper. |
Gross |
Surplus |
|
|
1902-3 |
2,280 |
$33,537,491 |
$1,793,908 |
1909-10 |
*2.243 |
$43,357,175 |
$2,850,622 |
|
1903-4 |
2,285 |
34,705,230 |
1,849,456 |
1910-11 |
*2,243 |
44,815,084 |
355,988 |
|
1904-5 |
2,888 |
36,017,074 |
1,883.572 |
1911-12 |
*2.244 |
45.990,364 |
1,290,248 |
|
1905-6 |
2,287 |
38,962,437 |
2,051,920 |
1912-13 |
*2,252 |
48,513,507 |
49,697 |
|
1906-7 |
2,288 |
40,879,653 |
2.. ^99.196 |
1913-14 |
*2,252 |
47,413,906 |
t2.044,742 |
|
1907-8 |
*2.S42 |
38,990.749 |
751,496 |
1914-15 |
*2.252 |
46,673,049 |
t334,462 |
|
1908-9 |
*2.243 |
39.528.698 |
2,. 387. 603 |
1915-16 |
*2,252 |
52,075,428 |
4,065,691 |
♦Does not include Electric Lines (50 miles). fDeflcit.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $39,505,391 Fixed Interest $42,589,000
Preferred (6%) 3,149,800 *Notes 13,306,000
Stock per mile of road
operated $18,949
*As compared with $17,336,000 Notes outstanding June 30, 1915 and $27,000,000 outstanding June 30, 1913. See Notes as to offer to extend these Notes or to extend a portion of the Notes and exchange the bal- ance of the same for Maine Railway Notes secured by and convertible into Maine Central R. R. Stock.
Fixed Charges below include $5,626,029 for Rentals of Leased Lines, $167,284 for Other Rentals, $2,074,248 for Hire of Freight Cars, and $318,559 Rent of Other Equipment and $82,004 Sinking Fund Payments. INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average miles operated, 2,252. Total Per Mile
Operating Revenues $52,075,428 $23,124
Operating Expenses 36,197,958 16,073
Net Operating Revenues 15,877,470 7,051
Other Income 1,170,715 519
Gross Corporate Income 17,048,185 7,570
Fixed Charges (including for Taxes, $1,986,267) 12,982,494 5,764
Surplus 4,065,691 1,806
OPERATING EXPENSES Total Per Mile
Maintenance of Way $5,986,603 $2,658
Maintenance of Equipment 6,588,043 2,925
Traffic Expenses 421,797 187
Transportation Expenses (incl. $14,531 Water Lines) .. 21,757,066 9,662
General Expenses 1,444,443 641
Ratio of Operating Expenses to Operating Revenues 69.5 per cent. Other Income above includes $338,675 from Rentals, and $53,219 from Sinking Fund.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..23.7% 29.0% 29.0% 26.3% 26.1% 26.9% For Traffic and Other Operat- ing Expenses 44.4% 46.0%
For Fixed Charges 24.3% 25.7%
For Surplus 7.6% Deficit
100.0% 100.0% 100.0% 100.0%
|
59.0% |
49.8% |
48.6% |
49.9% |
|
26.2% |
23.8% |
22.6% |
22.4% |
|
Deficit |
0.1% |
2.7% |
0.8% |
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 1,315,097 1.073,028 1,171,327 1,208,347
Passenger miles per mile of road .... 354,660 377,436 338,031 401,447 Miles, second and additional main
track 601 601 601 601
Miles, yards and sidings 1,361 1,354 1,353 1,343
See Notes, page 217.
60 THE EARNING POWER
CENTRAL VERMONT RY.
|
A |
vg. Miles Oper. |
A\ |
g. Miles |
||||
|
Year |
Gross |
Surplus |
Year |
Oper. |
Gross |
Surplus |
|
|
1904-5 |
531 |
$3,557,776 |
$3,669 |
1910-11 |
536 |
$4,337,644 |
$90,251 |
|
1905-6 |
536 |
3,836.976 |
4,516 |
1911-12 |
536 |
4,435.832 |
12,953 |
|
1906-7 |
536 |
3,833,088 |
1,813 |
1912-13 |
536 |
4.577,590 |
*9,796 |
|
1907-8 |
536 |
3,740,760 |
3.553 |
1913-14 |
536 |
4.500.111 |
t259.258 |
|
1908-9 |
536 |
3,795,332 |
3,117 |
1914-15 |
536 |
4.210,411 |
15,418 |
|
1909-10 |
536 |
4,088,411 |
34,774 |
1915-16 |
536 |
4,612.358 |
175.208 |
|
♦Deficit. tDeficit: this |
amount, |
$259,258, was advanced to |
the com- |
pany by the Grand Trunk Railway as per Guarantee.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $3,000,000 *Fixed Interest $11,785,000
Equipment 635,000
Other 243,840
*Does not include $250,000 bonds in Treasury. Loans and Bills Pay- able, June 30, 1916, $7,758,085.
CAPITALIZATION Total Per Mile
Stock $3,000,000 $5,597
Bonds 12,663,840 23.626
Total 15.663.840 29,223
Fixed Charges below include $22,840 for Rentals (net), and $85,710 for Hire of Equipment— debit balance. Net figures are given in the calculation of Fixed Charges and the report is not clear as regards certain important items. Interest on Unfunded Debt is stated as amounting to $373,931. which sum is offset by Income reported as $345,696 from "Unfunded Securities and Accounts."
INCOME ACCOUNT YEAR ENDING JUNE 30. 1916 Average miles operated, 536. Total Per Mile
Operating Revenues $4,612,358 $8,605
Operating Expenses 3.444,719 6.427
Net Operating Revenues 1.167,639 2,178
Other Income 43,720 81
Gross Corporate Income 1,211.359 2,259
F'ixed Charges (including for Taxes, $192,994) 1,036,151 1,933
Surplus 175,208 326
OPERATING EXPENSES Total Per Mile
Maintenance of Way $540,108 $1,008
Maintenance of Equipment 645,230 1.204
Traffic Expenses- 108,400 202
Transportation Expenses 2,021,065 3,770
General Expenses 129,916 243
Ratio of Operating Expenses to Operating Revenues 74.3 per cent. APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 191J-12 1910-11 For Maintenance Expenses ..25.4% 27.9% 32.8% 27.9% 25.4% 26.2% For Traffic and Other Operat- ing Expenses 48.5% 49.1% 5L1% 50.9% 50.7% 48.0%
For Fixed Charges 22.2% 22.6% 2L6% 21.4% 23.6% 23.7%
For Surplus 3.9% 0.4% Deficit Deficit 0.3% 2.1%
100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 605,464 545,901 617,801 594,699
Passenger miles per mile of road .... 76,486 78,612 93.015 101,743 Miles, second and additional main
track 6 6 6 6
Miles, yards and sidings 168 167 166 165
See Notes, page 221.
OF RAILROADS 61
MAINE CENTRAL R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Year Oper. Gross
1903-4 816 $6,773,560, 1910-11 932 $9,067,803
1904-5 816 7,099,219 1911-12 *1,192 *10,643,051
1905-6 816 7,655,655 1912-13 *1,205 *11,331,406
1906-7 • 845 8,200,630 1913-14 *1,207 ■ *11,685,969
1907-8 931 8,514,256 1914-15 *1.216 *11,350.423
1908-9 932 8,337,723 1915-16 *1,220 12,001,673
1909-10 932 8 922 312
♦Includes Portland & Rumf'ord Falls Ry., leased May, 1907; also Somerset Ry. and Washing-ton County R. R. merged July 1, 1911. STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
*Common $14,907,617 fFixed Interest $19,961,500
Preferred (5%) 3,000,000 iMaine Rys. Notes 2,492,000
Per mile of Road Operated, $14,678.
*As compared with $24,888,767 Com.mon Stock Outstanding June 30, 1915. In place of $10,000,000 cancelled Common Stock $3,000,000 5% Pre- ferred Stock and $7,000,000 First and Refunding 5% Bonds were issued.
tincludes $13,000,000 First and Refunding Bonds (Series "A" and "B") issued to retire stock (see above) and $6,000,000 d% Notes due 1919.
JAssumed, called for payment October, 1916.
Fixed Charg-es below include $909,491 for Rentals of Leased Roads, $91,097 for Other Rentals, $119,354 for Hire of Equipment and $297,878 improvements to Leased Roads.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated, 1,220 Total Per Mile
Operating Revenues $12,001,673 $9,837
Operating Expenses 8,192,578 6,715
Net Operating Revenues 3,809,095 3,122
Other Income 621,332 509
Gross Corporate Income 4,430,427 3,631
Fixed Charges (including for Taxes, $636,423) 2,829,951 2,319
*Surpius 1,600,476 1,312
OPERATING EXPENSES Total Per Mile
Maintenance of Way $1,644,715 $1,348
Maintenance of Equipment 1,691,646 1,387
Traffic Expenses 137,860 113
Transportation Expenses (incl. $56,401 Water Lines) . t4,327,411 3,547
Miscellaneous Operations and General Expenses 390,946 320
Ratio of Operating Expenses to Operating Revenues 68.3 per cent.
*This Surplus before deducting $198,628 for Additions and Betterments and $42,867 Sinking Fund Payments.
tAfter deducting $1,531 Transportation for Investment-Cr. APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 F'or Maintenance Expenses ..26.4% 27.8% 28.7% 29.6% 30.7% 29.0% For Traffic and Other Operat- ing Expenses 38.5% 39.2% 41.47o 41.4% 40.5% 40.1%
For Fixed Charges 22.4% 19.7% . 18.8% 19.4% 23.9% 26.4%
For Surplus 12.77o 13.3% 11.1% 9.6% 4.9% 4.5%
100.0% 100.0% 100.0% 100.07o 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 598,905 538,022 587,319 544,690
Passenger rtiles per mile of road .... 118,374 114,229 133,431 139,950 Miles, second and additional main
track 78 78 76 76
Miles, yards and sidings 376 378 372 364
See Notes, page 222.
|
Ave. Miles |
|
|
Year |
Oper. |
|
1906-7 |
2,060 |
|
1907-8 |
2.047 |
|
1908-9 |
2.044 |
|
1909-10 |
2,042 |
|
1910-11 |
2,041 |
|
Avg. Miles |
|||
|
Surplus |
Year Oper. |
Gross |
Surplus |
|
$8,893,042 |
1911-12 2,091 |
$64,933,065 |
$13,385,551 |
|
5,266,569 |
1912-13 2,092 |
68.613.503 |
8,922,238 |
|
7,430.229 |
1913-14 2.046 |
66.617,693 |
268.663 |
|
10.796,874 |
1914-15 2.003 |
65,379,264 |
2,307,971 |
|
11.187.312 |
1915-16 *2.005 |
76,311,653 |
4,315,757 |
62 THE EARNING POWER
NEW YORK, NEW HAVEN & HARTFORD R. R.
Gross $55,601,936 53,050,147 54,347,631 60,693,668 62.153,435 ♦Does not include Street Railways.
STOCK OUTSTANDING *BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $157,117,900 Debentures $155,546,919
Per mile of Road Operated. $78,363 Mortgage Bonds 58,611,000
tNotes, etc 25.007.000
Other 848,393
♦Includes bonds and debentures of Merged Roads Assumed among which are bonds of public service companies; but does not include $2,240,350 Bonds in Treasury and Sinking Fund and does not include Funded Debt of Subsidiary Companies (New England Navigation Co., Central New England Ry., etc.). fDoes not include .$20,000,000 6% Notes of the New England Navigation Co., due May 1, 1917.
Fixed Charges below include $6,156,401 for Rentals of Leased Lines, $3,137,857 for Other Rents. $2,700,888 for Hire of Freight Cars (net) and Rent of Other Equipment and $981,595 Loss Separately Operated Prop- erties (N. Y., Westchester & Boston Ry. : Boston R. R. Holding Co., etc.).
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated, 2,005. Total Per Mile
Operating Revenues $76,311,653 $38,060
Operating Expenses 51,078,358 25.475
Net Operating Revenues 25,233,295 12,585
Other Income (incl. $2,301,854 from Rentals) 6,469,832 3,227
Gross Corporate Income 31,703,127 15,812
Fixed Charges (including for Taxes. $2,856,255) 27,387,370 13,660
♦Surplus 4,315.757 2,152
OPERATING EXPENSES Total Per Mile
Maintenance of Way $8,779,166 $4,379
Maintenance of Equipment 10.859.656 5,416
Traffic Expenses 470,278 234
Transportation Expenses 28,367,046 14,148
Miscellaneous Operations, General Expenses 2.602,212 1,298
Ratio of Operating Expenses to Operating Revenues 66.9 per cent. Other Income above includes $3,863,708 Income from Stocks, Bonds and Unfunded Securities.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..23.7% 24.6% 26.07o 22.0% 19.4% 19.5% For Traffic and Other Operat- ing Expenses 38.0% 37.4% 39.6% 37.5% 35.5% 36.7%
For Fixed Charges 33.1% 34.8% 34.0% 29.2% 27.6% 28.4%
' ' ' ' ' ' ' A%
For Surplus 5.2% 3.2% 0.4% 11.3% 17.5% 15.4
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 1,241,029 1,090,918 1.151,832 1,249.961
Passenger miles per mile of road.... 797.246 737,828 802,908 781,277 Miles, second and additional main
track 1.110 1,113 1,118 1,182
Miles, yards and sidings 1,485 1,418 1,478 1,493
See Notes, page 224.
OF RAILROADS
63
|
RUTLAND R. |
R. |
|||||
|
Avg. Miles |
Avg. Miles |
|||||
|
Year Oper. |
Gross |
Surplus |
Year |
Oper. |
Gross |
Surplus |
|
1901-2 416 |
$2,134,382 |
$263,414 |
1909 |
*468 |
$3,102,432 |
$204,005 |
|
1902-3 415 |
2,376,563 |
97,707 |
1910 |
*468 |
3,339.834, |
313,012 |
|
1903-4 415 |
2,414,452 |
114,602 |
1911 |
*468 |
3,416.713 |
299,614 |
|
1905 *468 |
2,562,088 |
190,847 |
1912 |
*468 |
3,612.521 |
290.946 |
|
1906 ■ *468 |
2,799,210 |
179.625 |
1913 |
*468 |
3.752,774 |
270,407 |
|
1907 *468 |
3.058.087 |
186.492 |
1914 |
*468 |
3.526.095 |
204.008 |
|
1908 *468 |
2,755,204 |
92,486 |
1915 |
*468 |
3,549,591 |
495,444 |
|
♦Includes 53 |
miles operated under trackage right for passenger |
traffic only.
*STOCK OUTSTANDING
Dec. 31, 1915.
Common $199,400
Preferred (7%) 9,057,600
♦Includes $500 Common Stock and $103,200 Preferred ury. tincludes $528,700 bonds in Treasurv.
Loans and Bills Payable, December 31, 1915, $378,000.
tBONDS OUTSTANDING Dec. 31, 1915.
Fixed Interest $10,744,000
Equipmjsnt 783,000
Stock in Treas-
CAPITALIZATION
Total Per Mile
Stock $9,257,000 $19,780
Bonds > 11,527,000 32,198
Total 20,784,000 51,978
F'ixed Charges below include $30,540 for Rentals,
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915
Average miles operated, 468. Total Per Mile
Operating Revenues $3,549,591 $9,915
Operating Expenses 2,472,112 6,905
Net Operating Revenues 1,077,479 3,010
Other Income (incl. $68,781 Hire of Equipment) 182,614 510
Gross Corporate Income -. 1,260,093 3,520
Fixed Charges (including for Taxes, $203,156) 764,649 2,136
*Surplus 495,444 1,384
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $434,210 $1,213
Maintenance of Equipment 566,037 1,581
Traffic Expenses 108.174 302
Transportation Expenses 1,280,989 3,578
General Expenses 82,702 231
Ratio of Operating Expenses to Operating Revenues 69.6 per cent.
*This Surplus before deducting $39,274 for Additions and Betterments.
Other Income above includes $31,635 from Rentals.
APPROPRIATION OF GROSS INCOME
1915 For Maintenance Expenses ..26.8% For Traffic and Other Oper- ating Expenses 39.4%
For Fixed Charges 20.5%
For Surplus 13.3%
1914
45.1%
20.6%
5.5%
1913 31.1%
42.6% 19.4%
1912 30.1%
43.3%
18.8%
7.8%
1911 26.3%
43.8%
21.4%
8.5%
1910 28.0%
41.4%
21.4%
9.2%
100.0% 100.0% 100.0%
100.0% 100.0% 100. 1913
1915 1914 1913 1912
Ton miles per mile of road *582,775 *618,491 *608,468 *629,094
Passenger miles per mile of road ... tl04,008 tn4830 1121,516 tll4,375
Miles, yards and sidings 125 120 119 117
tBased on total of 468 miles operated for passenger service.
*Based on total of 415 miles operated for freight service.
See Notes, page 233.
64 . THE EARNING POWER
ST. JOHNSBURY & LAKE CHAMPLAIN R. R.
|
A |
vg. Miles Oper. |
Av |
g. Miles |
||||
|
Year |
Gross |
Deficit |
Year |
Oper. |
Gross |
Deficit |
|
|
1905-6 |
131 |
$322,673 |
$32,957 |
1^11-12 |
*98 |
$361,. 338 |
$49,360 |
|
1906-7 |
131 |
367,996 |
44,067 |
1912-13 |
98 |
385,450 |
55,165 |
|
1907-8 |
131 |
349,760 |
75,386 |
1913-14 |
98 |
386.464 |
88,394 |
|
l''<08-9 |
12.5 |
333.581 |
66.812 |
1914-15 |
98 |
316.036 |
127.129 |
|
1909-10 |
125 |
361,613 |
58.641 |
1[45-16 |
1)8 |
351,810 |
81,.571 |
|
1910-11 |
125 |
.385,237 |
38,238 |
*A portion of the line was leased in January, 1912, to the Maine Central R. R. This explains decrease in mileage operated.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June .30, 1916.
Common $2,452,449 Fixed Interest $2,500,000
Preferred (6%) 1,154.400 *Other 940,435
♦Non-Negotiable Debt to Affiliated Companies. Loans Payable, June 30, 1916, $30,101.
CAPITALIZATION
Total Per Mile
Stock $3,606,849 $36,805
Bonds 3.440.435 35,106
Total 7,047,284 71,911
Fixed Charges below include $34,219 for Hire of Equipment and Other Rentals but do not include $58,600 interest on Bonds owned by the Boston & Maine R. R. and Boston & Lowell R. R.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 , Average miles operated. 98. Total Per Mile
Operating Revenues $351,810
Operating Expenses
Net Operating Revenues
Other Income
Gross Corporate Income
Fixed Charges (including for Taxes, $15,393)
Deficit
OPERATING EXPENSES
Maintenance of Way
Maintenance of Equipment
Traffic Expenses
Transportation Expenses
General Expenses
Ratio of Operating Expenses to Operating Revenues 84.1 per cent.
Other Income above includes $20,000 from Rentals of Road Leased to the Maine Central R. R.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..32.3% 37.1% 27.7% 23.0% 23.0% 25.1% For Traffic and Other Oper- ating Expenses 47.1% 52.1% 52.1% 50.9% 50.1% 46.5%
For Fixed Charges 42.3% 48.2% 41.6% 39.5% 40.1% 38.3%
For Surplus Dfct. Dfct. Dfct. Dfct. Dfct. Dfct.
|
$351,810 |
$3,590 |
|
295.857 |
3,019 |
|
55,953 |
571 |
|
21,143 |
216 |
|
77,096 |
787 |
|
1.58,667 |
1,609 |
|
81,571 |
822 |
|
Total Pe |
r Mile |
|
$101,959 |
$1,040 |
|
18,322 |
187 |
|
2,364 |
24 |
|
161,790 |
1,651 |
|
11,422 |
117 |
1915-16 1914-15 1913-14 1912-13
Tons miles per mile of road 151,886
Passenger miles per mile of road 39,213
Miles, yards and sidings 16 17 17 16
See Notes, page 234.
OF RAILROADS 65
BALTIMORE & OHIO R. R.
|
Ave. Miles |
Avg. Miles |
||||||
|
Year |
dper. |
Gross |
Surplus |
Year |
Oper. |
Gross |
Surnlus |
|
1902-3 |
3.935 |
$63,449,633 |
$14,905,133 |
1909-10 |
4,434 |
$88,901,252 |
$16,247,587 |
|
1903-4 |
3.987 |
£5,071,081 |
12.766.010 |
1910-11 |
4,4.34 |
88.145.004 |
12.819,991 |
|
1904-5 |
4.026 |
67,689.997 |
14.153.248 |
1911-12 |
4.455 |
92,594.323 |
13.898,058 |
|
1905-6 , |
4,030 |
77.392,056 |
19,130,338 |
1912-13 |
4,456 |
101,556,132 |
13.382,111 |
|
1906-7 |
4,006 |
82,243.922 |
18,545,611 |
1913-14 |
4,478 |
97,411,441 |
9,250,024 |
|
1907-8 |
3,992 |
73,608,781 |
10,422,738 |
1914-15 |
4,535 |
91,815,797 |
10,780.881 |
|
1908-9 |
4,004 |
71.043,519 |
13.020,965 |
1915-16 |
4,539 |
111,668,680 |
13,692.447 |
STOCK OUTSTANDING *BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $151,945,593 fFixed Interest $400,640,330
Preferred (4%) 58,863,182 Equipment 13,735,000
Real Estate 3,055,460
*Does not include $3. .530,4.50 Bonds in Treasury, flncludes $63,250,000 4%% Bonds convertible into Common Stock at 110 (see Notes).
CAPITALIZATION Total Per Mile
Stock $210,808,775 $46,444
Bonds 417.430,790 91,965
Total 628.239,565 138,409
Fixed Charges below include .$1,401,953 for Rentals, $1,163,273 for Hire of Freight Cars— Dr. and $215,218 Rent for Other Equipment.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average miles operated, 4.539. Total Per Mile
Operating Revenues $111,668,680 $24,602
Operating Expenses 79,319,804 17,475
Net Operating Revenues 32,348.876 7,127
Other Income (incl. $207,899 Hire of Equipment) 5,844,375 1,287
Gross Corporate Income 38,193,251 8,414
F'ixed Charges (including for Taxes, $3,674,248) 24,500,804 5,398
♦Surplus 13,692,447 3,016
OPERATING EXPENSES Total Per Mile
Maintenance of Way $13,917,815 $3,066
Maintenance of Equipment 23,513,811 5,180
Traffic Expenses 1.937,389 427
Transportation Expenses 136,782,270 8,104
Miscellaneous Operations and General Expenses 3,168,519 698
Ratio of Operating Expenses to Operating Revenues 71.0 per cent.
*This Surplus before deducting $76,231 Income applied to Sinking and Other Reserve Funds.
t After deducting $.53,650 Transportation for Investment— Cr.
Other Income above includes $1,401,952 from Rentals.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..31.9% 25.8% 27.9% 30.3% 28.9% 28.1% For Traffic and Other Oper- ating Expenses 35.7% 40.1% 41.8% 38.8% 37.8% 39.3%
For Fixed Charges 20.9% 23.0% 21.4% 18.4% 19.0% 18.8%
For Surplus 11.6% 11.1% 8.9% 12.5% 14.3% 13.8%
100.0%o 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 3,479.318 2,860,005 3,112,539 3.211,865
Passenger miles per mile of road .. 164,750 157,514 183,212 180,688 Miles, second and additional main
track 1,498 1,499 1,495 1,488
Miles, yards, and sidings 3,004 2,973 2,935 2,931
See Notes, page 234.
66 THE EARNING POWER
BALTIMORE & OHIO CHICAGO TERMINAL R. R.
Avg, Miles Avg, Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1910-11 77 $1,451,102 *$487,499 1913-14 77 *$1,594,454 $161,831
1911-12 77 1,557,470 *367,197 1914-15 79 1.355,299 131,783
1912-13 77 1,794,351 *357,471 1915-16 79 1,796,502 132,087
Other Income (mostly Rentals) for 1915-16, $1,343,907; 1914-15, $1,463,965; 1913-14, $1,200,348; 1912-13, $803,548; 1911-12, $820,233 and 1910-11, $841,689.
♦Deficit.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $8,000,000 Fixed Interest $33,044,000
CAPITALIZATION
Total Per Mile
Stock $8,000,000 $101,266
Bonds 33,044,000 418,278
Total 41,044,000 519,344
Fixed Charges below include $6,539 for Rentals, $154,957 for Hire of Freight Cars— Dr., and $11,477 Rent for Equipment other than Freight Cars.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average miles operated, 79. Total Per Mile
Operating Revenues $1,796,502 $22,741
Operating Expenses 1,360,215 17,218
Net Operating Revenues 4.36,287 5,523
Other Income (incl. $1,369,608 from Rentals) 1,463,965 18,531
Gross Corporate Income 1,900,252 24,054
Fixed Charges (including for Taxes, $226,967) 1,768,165 22,382
Surplus 132,087 1,672
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $199,073 $2,520
Maintenance of • Equipment 237,435 3,006
Traffic Expenses 11,221 142
Transportation Expenses *791,593 10,020
Miscellaneous Operations and General Expenses 120,893 1,530
Ratio of Operating Expenses to Operating Revenues 75.7 per cent, ♦After deducting $33,075 Transportation for Investment — Cr. Other Income above includes $24,273 Rent from Equipment Other than Freight Cars.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13
For Maintenance Expenses 13.4% 12.2% 16.4% 19.5%
F'or Traffic and other Operating Expenses. .28.3% 25.2% 29.1% 34.6%
For Fixed Charges 54.2% 58.0% 60.3% 59.7%
For Surplus 4.1% 4.6%, Deficit Deficit
100.0% 100.0%» See Notes, page 239.
OF RAILROADS 67
BUFFALO & SUSQUEHANNA R. R. CORPORATION;
(Successor through reorganization to Buffalo & Susquehanna R. R.)
Avg. Miles
Year Oper. Gross Surplus
1914 253 $1,446,196 $162,042
1915 .• *253 1,5.32.863 387,800
STOCK OUTSTANDING BONDS OUTSTANDING
Dec. 31, 1915. Dec. 31, 1915.
Common $3,000 000 Fixed Interest $6,729,900
Preferred (4%) 4,000,000 Equipment 166.000
CAPITALIZATION
Total Per Mile
Stock $7,000,000 $27,668
Bonds 6,895,900 27,256
Total 13,895,900 54,924
F'ixed Charges below include $22,772 for Rentals and $11,692 for Rent of Equipment other than Freight Cars.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915 Average miles operated, 253. Total Per Mile
Operating Revenues $1,532,863 $6,059
Operating Expenses 1,209,396 4,780
Net Operating Revenues 323,467 1,279
Other Income (incl. $70,173 from Rentals) 415,241 1,641
Gross Corporate Income 738,708 2,920
Fixed Charges (including for Taxes, $31,200) 350,908 1,387
*Surplus 387,800 1,533
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $246,483 $974
Maintenance of Equipment 444,536 1,757
Traffic Expenses 14,352 57
Transportation Expenses 433,012 1,711
General Expenses 71,013 281
Ratio of Operating Expenses to Operating Revenues 78.8 per cent.
*This Surplus before deducting $.5,078 Income Applied to Sinking and Other Reserve Funds.
Other Income above includes $182,387 Income from Dividends, Funded and Unfunded Securities and Accounts, $197,880 Hire of F'reight Cars— Cr., and $27,833 Rent from Other Equipment.
APPROPRIATION OF GROSS INCOME
1915 1914
For Maintenance Expenses 35.4% 39.8%
For Traffic and Other Operating Expenses 26.6% 30.8%
For Fixed Charges 18.0% 21.1%
For Surplus 19.9% 8.8%
100.0% 100.0%
1915 1914
Ton miles per mile of road 848.923 824.068
Passenger miles per mile of road 11,489 12,483
Miles, yards and sidings 78 79
See Notes, page 240.
68 THE EARNING POWER
|
BUFFALO, ROCHESTER & PITTSBURGH |
RY. |
|||||
|
Avg. Miles Oper^ Gross |
A^ |
'g. Miles Oper. |
||||
|
Year |
Surplus |
Year |
Gross |
Surplus |
||
|
1902-3 |
472 $7,404,503 |
$1,781,595 |
1909-10 |
567 |
$8,936,117 |
$1,527,373 |
|
i:^03-4 |
499 7.496,521 |
1,513.264 |
1910-11 |
573 |
9.134.402 |
1.709.277 |
|
1904-5 |
538 8,138,274 |
1.387.271 |
1911-12 |
570 |
9.542.368 |
1,770,895 |
|
1905-6 |
568 7.797,248 |
1.510.644 |
1[.12-13 |
576 |
10.947.246 |
2.126,994 |
|
1906-7 |
569 8,595,916 |
1,539.2(J3 |
1913-14 |
581 |
10.709.535 |
1.354.784 |
|
1907-8 |
568 7.422,236 |
1.036.192 |
1914-15 |
586 |
9,479,936 |
912.720 |
|
1908-9 |
568 7.171,897 |
1,042,422 |
1915-16 |
*586 |
11.971,019 |
1,964.137 |
|
♦Includes 130 miles trackage. |
||||||
|
STOCK OUTSTANDING |
•BONDS ' |
OUTSTANDING |
June 30. 191G. June 30, 1916.
Common $10,500,000 Fixed Interest $19,709,000
Preferred (6%) 6,000,000 Equipment 9.184,000
*Does not include $1,604,000 bonds in Treasury and $.368,000 Equipment bonds held in funds.
CAPITALIZATION
Total Per Mile
Stock $16.5(Kl,iX»0 $28,157
Bonds 28,893.000 49,306
Total 45,393.000 77,463
Fixed Charges below include $373,500 for Rentals of Leased Roads, $.314,087 for Joint Facilities Rents and $974 for Hire of Equipment.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average miles operated, S^G. Total Per Mile
Operating Revenues $11,971,019 $20,428
Operating Expenses 8,648,790 14,759
Net Operating Revenues 3,322.229 5,669
Other Income (incl. $165.-587 from Rentals) 1,016,099 1,734
Gross Corporate Income ". 4,338.328 7,403
Fixed Charges (including for Taxes, $250,000) 2,374,191 4,051
Surplus 1,9&4,137 3,351
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $1,652,891 $2,821
Maintenance of Equipment 2,753,623 4,699
Traffic Expenses 142.840 244
Transportation Expenses • 3,819,911 6,518
Miscellaneous Operations and General Expenses 279.525 477
Ratio of Operating Expenses to Operating Revenues 72.2 per cent.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..34.0% 33.4% 31.8% 31.1% 29.1% 29.2% B-or Traffic and Other Oper- ating Expenses < .32.7%
For Fixed Charges 18.37o
For Surplus 15.0%
|
34.6% |
37.1% |
33.0% |
33.5% |
32.4% |
|
23.0% |
19.4% |
18.1% |
20.2% |
21.3% |
|
9.0% |
11.7% |
17.8% |
17.2% |
17.1% |
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 3,816,284 2,868,639 3,407,940 3,542,289
Passenger miles per mi.e of road ... 87,964 86,033 95,752 94,745 Miles, second and additional main
track 208 208 207 195
Miles, yards and sidings 378 373 360 334
See Notes, page 241.
OF RAILROADS ' ■ 69
CENTRAL R. R. OF NEW JERSEY.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1901-5 602 $19,259,117 $5,032,422 1910-11 634 §21.799.235 |7,148,101
1905-6 610 20,533,031 5.659,705 1911-12 1669 25,890,094 6,009.072
1906-7 610 22,772,568 5.782,879 1912-13 t676 28.405,757 7,332,883
1907-8 610 23,184,414 5,123,473 1913-14 t678 27.372,315 5,723,934
1908-9 610 22,068,278 4,537,988 1914-15 t681 28.742.256 5.312.178
1909-10 631 23,851,511 *9,103,899 1915-16 1684 33,462,929 $5,972,573
*Includes profits from sale of Lehigh Valley B. R. stock (amount not specined). -^Includes New York & Long Branch R. R. (38 miles).
■fXat including $1,103,654 dividend on L. b' W.-B. Coal Co. stock (see below).
STOCK OUTSTANDING *BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $27,436,800 Fixed Interest $45,091,000
*Does not include $1,167,000 Bonds and $3,110,000 Equipment Certifi- cates (entire issue) in Treasury.
CAPITALIZATION Total Per Mile
Stock $27,436,800 $40,112
Bonds 45.091,000 65,923
Total 72.527,800 106.035
Fixed Charges below include $2,329,335 Rent for Leased Roads, $348,986 Other Rental and $572,759 Rent for Equipment.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated, 684. Total Per Mile
Operating Revenues $33,462,929 $48,922
Operating Expenses 21,129,895 30.892
Net Operating Revenues 12.333.034 18,030
Other Income Hncl. $349,620 from Rentals) 1.303,786 1,905
Gross Corporate Income 13.636,820 19,935
Fixed Charges (including for Taxes, $1,826,514) 7.6&4,247 11.205
Surplus 5,972,573 8.730
OPERATING EXPENSES Total Per Mile
Maintenance of VTcy $2,775,739 $4,058
Maintenance of Equipment 5,451,510 7,970
Traffic Expenses .359, &11 526
Transportation Expenses (incl. $121,949 Water Lines) 11.661,465 17.(Wt9
Miscellaneous Operations and General Expenses 881.540 1.289
Pcatio of Operating Expenses to Operating Revenues 65.2 per cent. Other Income above includes $349,620 from Rentals, $125,606 Rent from Equipment and $199,231 Dividend Income. Other Income does not in- clude $1,103,6.54 Dividend from Lehigh & Wilkesbarre Coal Co. stock owned (see Notes).
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..23.7% 24.3% 26.3% 22.8% 23.1% 22.8% For Traffic and Other Oper- ating Expenses 37.1% 34.1% 32.1% 30.7% 31.5% 29.1%
For Fixed Charges 22.0% 25.2% 22.8% 22.6% 24.0% 22.0%
For Surplus 17.2% 16.4% 18.8% 23.9% 2L4% 26.1%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 3,875,362 3,309,195 3,499,933 3,672,024
Passenger miles per mile of road .... 589,356 558,757 557,703 556,960 Miles, second and additional main
track 333 332 334 334
Miles, yards and sidings 811 786 782 737
See Notes, page 242.
70 THE EARNING POWER
CUMBERLAND VALLEY R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1902 163 $1,256,501 $316,643 1909 162 $2,668,951 $1,037,361
1903 163 2,019,378 350,064 1910 162 3,128,258 970,397
1904 163 2.165,558 579,059 1911 162 2.891,331 729,635
1905 163 2,472,221 851,259 1912 162 3,291,360 872,542
1906 163 2.904.990 962,624 1913 162 3,574,335 851,535
1907 162 2.935.107 985,101 1914 IW 3,227,054 947.221
1908 162 2,409,762 932,359 1915 164 3,091,214 1,076,755
STOCK OUTSTANDING BONDS OUTSTANDING
December 31, 1915. December 31, 1915.
Common $4,848,650 Equipment $5,420
Preferred 1st (8%) 241,900
Preferred 2d (8%) 243,000
CAPITALIZATION
Total Per Mile
Stock $5,333,550 $32,522
Bonds 5,420 33
Total 5,338,970 32.555
Fixed Charges below include $136,291 for Rentals, and $12,956 for Hire of Equipment.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915
Average miles operated, 164. Total Per Mile
Operaling Revenues (1916. $3,684,644) $3,091,214 $18,849
Operating Expenses (1916. $2,039,343) 1.879,599 11,461
Net Operating Revenues (1916, $1,&45,301) 1,211,615 7,388
Other Income (Including $32,637 from Rentals) 88,136 537
Gross Corporate Income 1,299,751 7,925
Fixed Charges 222,996 1,360
♦Surplus (1916, $1,485,651) 1,076,755 6,565
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $389,471 $2,375
Maintenance of Equipment 349,705 2,132
Traffic Expenses 53,202 324
Transportation Expenses 970,773 5,919
General Expenses 116,439 710
Ratio of Operating Expenses to Operating Revenues 60.6 per cent.
♦This Surplus before deducting $649,991 Income appropriated for In- vestment in Physical Property.
APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 1911 1910 For Maintenance Expenses. ..23.2% 28.1% 31.0% 30.0% 31.2% 26.5% For Traffic and Other Operat- ing Expenses 35.6% 38.1% 37.1% 36.1% 36.3% 34.67o
For Fixed Charges 7.0% 5.4% 8.7% 8.0% 7.9% 8.5%
For Surplus 34.2% 28.4% 23.2% 25.9% 24.6% 30.4%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915 1914 1913 1912
Ton miles per mile of road 2,467,731 2,756.584 3,303,332 2,894,420
Passenger miles per mile of road 192,621 210,971 226,172 224,940
Miles, second and additional main
track 60 60 57 57
Miles, yards and sidings 113 113 109 &4
See Notes, page 244.
OF RAILROADS
71
DELAWARE & HUDSON CO.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1902 689 $11,050,690 $2,497,874 1909 843 |19,525,859 $5,194,840
1903 769 13,642,953 6,205,156 lylO 843 20,431.800 5,330,189
1904 843 15,071.124 5,256,446 1911 878 21,421,817 5,237,681
1905 ■ 843 16,382,074 5,707.743 1912 878 22,480.103 5,506,089
1906 843 17.050,029 5,301,622 1913 904 24,153,495 6,174.736
1907 845 20.175,793 6.466.172 1914 904 22,595.028 4,607.862
1908 845 18,500,731 5,254,458 1915 909 23.787,519 6,071,441
STOCK OUTSTANDING BONDS OUTSTANDING
December 31, 1915. December 31, 1915.
Common $42,503,000 *Fixed Interest $66,635,625
Stock per mile of road Equipment 9,643,000
operated $46,758
*See Notes regarding- issue under date of October 1, 1915, of $14,451,000 5% bonds due 1935 convertible into stock at 150 between October 1. 1917, and October 1. 1927. The proceeds of this issue were used to pay off $13,973,000 4% bonds due June 15, 1915.
Loans Payable, December 31, 1915, .>;2,703.534.
Fixed Charges below include $1,999,352 for Rentals, $75,000 Interest on Divisional Bonds and $135,586 General Interest and Discount.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915
Average miles operated 909. Total Per Mile
Operating Revenues $23,787,519 $26,169
Operating Expenses 14,823,626 16.308
Net Operating Revenues 8.963.893 9.861
Other Income (including $142,489 Hire of Equipment). 2,625,620 2.892
Gross Corporate Income 11.592,513 12.7.53
Fixed Charges (including for R. R. Taxes $680,119).. 5,521.072 6.074
Surplus 6,071,441 6,679
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $1,852,166 $2,038
Maintenance of Equipment 3,703,382 4.074
Traffic Expenses 315,992 348
Transportation Expenses *7,985,6S2 8,785
General Expenses 966.404 1,063
Ratio of Operating Expenses to Operating Revenues 62.3 per cent.
*After deducting $22,299 Transportation for Investment— Cr.
Other Income above includes $879,984 Dividends and Income (largely from Traction Co. Shares owned), and $1,480,800 Gross Income, Coal Department ($1,357,955 in 1914).
APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 1911 1910 For Maintenance Expenses ..21.0% 21.2% 20.7% 20.8% 19.7% 19.5% For Traffic and Other Operat- ing Expenses 35.1% 38.7% 36.1% 35.8% 35.5% 34.6%
For Fixed Charges 20.9% 21.8% 20.1%, 21.2%, 22.2% 22.3%
For Surplus 23.0% 18.3%, 23.1% 22.2% 22.6%, 23.6%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915 1914 1913 1912
Ton miles per mile of road 3,167,185 3,022.296 2,688,070 3,221,937
Passenger miles per mile of road ... 146,841 163,342 140,692 176,565 Miles, second and additional main
track 348 381 371 368
Miles, yards and sidings 642 639 634 650
See Notes, page 245. :^ ^ l.iiU
72
THE EARNING POWER
|
Avg. Miles |
|||
|
year |
Oper. |
Gross |
Year |
|
1902 |
771 |
$21,398,764 |
1909 |
|
1903 |
770 |
29,180,964 |
1910 |
|
1904 |
770 |
28,701,991 |
1911 |
|
1905 |
770 |
31,951,063 |
1912 |
|
1906 |
770 |
32,962.880 |
1913 |
|
1907 |
770 |
37.264,473 |
1914 |
|
1908 |
770 |
32,898,495 |
1915 |
DELAWARE, LACKAWANNA & WESTERN R. R.
Avg. Miles Oper. Gross
815 $34,815,011
815 36,052,932
843 36,586.563
923 37.564,511
923 40.78-1,148
923 39,249,790
*919 44,786,731
*Does not include 62 miles controlled and operated.
STOCK OUTSTANDING BONDS OUTSTANDING
December 31, 1915. December 31, 1915.
Common $42,277,000 B. & P. Ry $320,000
Per mile of road oper- ated $46,003
CAPITALIZATION Fixed Charges below include .1!6,f»63,815 for Renials of Leased Roads and $1,289,700 Discount on Bonds sold.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915 Averag-e miles operated 919. Total Per Mile
Operating Revenues $44,786,731 $48,734
Operating Expenses 27,756.947 30,203
Net Operating Revenues 17.029,784 18,531
Other Income (including $316,530 from Rentals) 5,026,014 5,469
Gross Corporate Income 22,0.55.798 24,000
Fixed Charges (including for Taxes, $2,115,3.34) 9,476,602 10,312
♦Surplus 12,579,196 13,688
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $4,662,311 $5,073
Maintenance of Equipment 6,869,900 7.475
Traffic Expenses 920,556 1,002
Transportation Expenses 114,011,675 15,247
General Expenses 1,292,505 1,406
Ratio of Operating Expenses to Operating Revenues 62.0 per cent. ♦This Surplus before deducting $1,616,056 for Additions and Better- ments ($1,299,256 in 1914; $1,879,576 in 1913). tAfter deducting $210,621 Transportation for Investment— Cr. Other Income above includes $280,920 from Rentals. $22,440 from Hire of Equipment— Cr., $1,536,916 Coal Department Earnings, $1,906,123 Depletion of Coal Deposits and $405,501 Dividends on Stocks.
1915 Earnings as above are classified in accordance with new basis prescribed by the I. C. C.
APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 1911 For Maintenance Expenses ..23.2% 24.5% 24.8% 24.7% 23.8% For Traffic and Other Operat- ing Expenses 32.6% 30.2% 31.2% 30.6% 29.8%
For Fixed Charges 19.1% 16.7% 18.6% 17.7% 17.9%
For Surplus 25.1% 28.6% 25.4% 27.0% 28.5%
1910
21.7%
17.0% 32.5%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
Ton miles per mile of road
Passenger miles per mile of road
Miles, second and additional main
track
Miles, yards and sidings
See Notes, page 247.
1915
.571.589 574,743
653 1,015
1914
4,150,981 574,766
636 1,017
1913
4,398,206 591,884
543 1,102
1912 4,041,439 547,763
541 1,078
OF RAILROADS 73
|
ERIE |
R. R. |
||||||
|
Avg. Miles |
Avg. Miles |
||||||
|
Year |
Oper. |
Gross |
*Surplus |
Year |
Oper. |
Gross |
♦Surplus $5,390,412 |
|
1904-5 |
2,150 |
$43,321,647 |
?4,406.596 |
1910-11 |
2.26.5 |
$53,820,050 |
|
|
1905-6 |
2.151 |
47.461,402 |
5,016.644 |
1911-12 |
2,258 |
53,708.469 |
3,377,203 |
|
1906-7 |
2,151 |
51,194,113 |
5.903.6.58 |
1912-13 |
2,257 |
59,465,185 |
8,105.675 |
|
1907-8- |
2.171 |
46,746.436 |
tl. 623.423 |
1913-14 |
2,257 |
57.804.814 |
1,422,975 |
|
1908-9 |
2.231 |
47,514.859 |
2.947.644 |
1914 |
-3,2.57 |
$31,216,708 |
$771,501 |
|
1909-10 |
2.227 |
51.830,720 |
5,806,543 |
1915 |
2,257 |
66.436.720 |
8,236,041 |
*Svirplus for years 1912-13, 1913-14 and 1915 before deducting Slnhing Fund Payment Surplus for prior years after deducting same. fDeflcit. JFlscal year changed July 1, 1914. to the calendar year; figures are for six months July 1 to December 31.
STOCK OUTSTANDING BONDS OUTSTANDING
December 31, 1915 December 31, 1915
Common $112,378,900 *Fixed Interest $182,605,400
Preferred 1st (4%) 47,892,400 Equipment 13,166,983
Preferred 2nd (4%) 16,000,000 fNotes 23,280,000
Other 907,069
*Does not Include .527,824.000 bonds owned (Dec. 31, 191-5^ and pledged; also 87,781.000 bonds In Sinking Fund. In April, 1916. §19,627.100 Convertible 4% Series "D " bonds were Issued to provide for the retirement of .510,000.000 Notes due April, 1916, and in part for retirement of .513.500,000 5 J^ 'T, Notes due April, 1917. t-510,000,000 of which carried In the balance sheet under "Loans Payable."
CAPITALIZATION Total Per Mile
Stock $176,271,300 $78,100
Bonds 219,959,452 97,456
Total 396.230,752 175.556
Fixed charges below include $2,295,149 for Rent of Leased Roads; $933,517 for Other Rentals; $681,266 Hire for Freight Cars (net); $191,673 Rent for Other Equipment.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915 Average miles operated, 2,257. Total Per Mile
Operating Revenues $66,436,720 $29,436
Operating Expenses 43,416,683 19.237
Net Operating Revenues 23,020,037 10,199
Other Income (incl. $701,557 from Rentals) 2,464,215 1,092
Gross Corporate Income 25,484,252 11,291
Fixed Charges (including for Taxes, $2,206,407) 17,248.211 7.642
♦Surplus 8,236,041 3,649
OPERATING EXPENSES Total Per MUe
Maintenance of Wav $5,630,281 $2,495
Maintenance of Equipment 11,484,233 5,088
Traffic Expenses L339,635 594
Transportation Expenses (incl. $287,497 Water Lines) 123,094,481 10,232
Misc. Operations and General Expenses 1,868,052 828
Ratio of Operating Expenses to Operating Revenues, 65.3 per cent.
♦This Surplus before deducting 51,383,754 for Investment In Physical Property and 5836,068 appropriated to Sinlclng and other Reserve Funds.
fAfter deducting 5116.101 Transportation for Investment — Cr.
APPROPRIATION OF GROSS INCOME
1915 1913-14 1912-13 1911-12 1910-11 1909-10 For Maintenance Expenses. . .24.8% 30.2% 26.0% 26.6% 25.5% 26.1% F'or Traffic, Transportation
and General Expenses 38.2% 40.5%
For Fixed Charges 25.0% 27.0%
For Surplus 12.0% 2.3%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915 1913-14 1912-13 1911-12
Ton miles per mile of road 3,793,698 3,291,110 3,425,199 3,021,949
Passenger miles per mile of road 261,698 243,304 286,675 270,837
Miles, second etc. main track 1,257 1,243 1,146 1,011
Miles, yards and sidings 1,768 1,237 1-699
See Notes, page 250.
|
36.0% |
37.9% |
36.3% |
35.2% |
|
25.6% |
29.7% |
28.6% |
28.3% |
|
12.4% |
5.8% |
9.3% |
10.4% |
74 THE EARNING POWER
FONDA, JOHNSTOWN & GLOVERSVILLE R. R.
|
Avg. Miles |
Avg. Miles |
||||
|
Year Open |
Gross |
Surplus |
Year Oper. |
Gross |
Surplus |
|
1308-9 86 |
$792,659 |
$41,204 |
1912-13 88 |
$988,323 |
$94,101 |
|
1909-10 80 |
904.751 |
. 117,174 |
1913-14 89 |
986.877 |
92,707 |
|
1910-11 86 |
946.366 |
134.304 |
1914-15 88 |
874.762 |
13,263 |
|
1911-12 S8 |
932,168 |
101,661 |
1915-16 88 |
*954,011 |
53,864 |
|
♦Steam and |
r:iectric |
DTvisions; |
passenger revenue from |
Electric |
|
|
Division was ! |
5591,731 in |
1915-16. |
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $2,500,000 Fixed Interest $7,000,000
♦Preferred (6%) 500,000
♦Cumulative.
CAPITALIZATION
Total Per Mile
Stock $3,000,000 $34,091
Bonds 7,000,000 79,545
Total 10,000,000 113,636
Fixed Charges below include $8,100 for Rentals of Leased Lines,
$22,586 for Other Rentals, $28,808 Hire of Equipment and $2,959 Deficit Summer Resort, Sacandaga, N. Y.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average miles operated, 88. Total Per Mile
Operating Revenues $954,011 $10,841
Operating ii,xpenses 493,103 5,603
Net Operating Revenues 460,908 5,238
Other Income 30,560 347
Gross Corporate Income 491,468 5,585
Fixed Charges (including for Taxes, $44,608) 437,604 4,973
Surplus 53,864 612
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $90,750 $1,031
Maintenance of Equipment 57,399 652
Traffic Elxpenses 8,667 99
Transportation Expenses (including $37,665 Power) .... 270,726 3,076
General Expenses 65,561 745
Ratio of Operating Expenses to Operating Revenues 51,7 per cent.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11
For Maintenance Expenses ..15.0% 14.1% 14.0% 14.8% 13.3% 13.2% For Traffic and Other Operat- ing Expenses 35.0% 37.4% 34.5% 34.0% 33.9% 31.9%
For Fixed Charges 44.5% 47.0% 42.4% 42.0% 42.3% 41.2%
For Surplus 5.5% 1.5% 9.1% 9.2% 10.5% 13.7%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13 Miles, second and additional main
track 23 23 23 22
Miles, yards and sidings 14 13 13 13
See Notes, page 256.
OF RAILROADS
75
|
LEHIGH |
& HUDSON RIVER |
RY. |
||||
|
Avg. Miles |
Avg. Miles |
|||||
|
Year |
Open |
Gross |
Surplus |
Year Oper. |
Gross |
Surplus |
|
1904-5 |
77 |
?4M,110 |
122,023 |
1910-11 97 |
$1,465,795 |
1244,264 |
|
1905-6 |
86 |
626.971 |
67,592 |
1911-12 97 |
1,621,891 |
236.771 |
|
1906-7 |
97 |
844,335 |
43,387 |
1912-13 97 |
1,849,435 |
272,175 |
|
1907-8 ■ |
97 |
851,519 |
11,532 |
1913-14 97 |
1,774,792 |
132,693 |
|
190S-9 |
97 |
1,251,316 |
80,400 |
1914-15 97 |
1,816,585 |
261.299 |
|
1909-10 |
97 |
1,440,033 |
245,172 |
1915-16 *97 |
2,109,857 |
483,299 |
♦Includes 22 miles trackage.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916. Common 11,340,000 Fixed Interest $3,151,000
CAPITALIZATION
Total Per Mile
Stock $1,340,000 $13,814
Bonds 3,151,000 32,485
Total 4,491,000 46,299
Fixed Charges below include $87,480 for Rentals and $104,732 for Hire of Equipment — Dr.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average miles operated, 97. Total Per Mile
Operating Revenues $2,109,857 $21,751
Operating Expenses 1,226,629 12,&46
Net Operating Revenues 883,228 9,105
Other Income 5,493 57
Gross Corporate Income 888,721 9,162
Fixed Charges (including for Taxes, $.58,010) 405,422 4,180
Surplus 483,299 4,982
OPERATING EXPENSES
Total Per Mile
Maintenance of Wav $205,440 $2,117
Maintenance of Equipment 269,259 2,777
Traffic Expenses 17,814 184
Transportation Expenses 681.828 7,029
General Expenses 52,2S8 539
Ratio of Operating Expenses to Operating Revenues 58.1 per cent.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 F'or Maintenance Expenses ..22.57o 26.3% 29.4% 27.0% 26.4% 25.0% For Traffic and Other Operat- ing Expenses 35.5% 39.4% 43.2% 40.0% 38.6% 36.9%
For Fixed Charges 19.2% 20.0% 19.9% 18.3% 20.5% 21.4%
For Surplus 22.87o 14.3% 7.5% 14.7% 14.5% 16.77o
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16
Ton miles per mile of road 3,543,041
Passenger miles per mile of road 46,218
Miles, yard.s and sidings 53
See Notes, page 257.
|
1914-15 |
1913-14 |
1912-13 |
|
3,273,811 |
3,245,800 |
3,419,873 |
|
63,266 |
66,781 |
19,773 |
|
52 |
54 |
53 |
76
THE EARNING POWER
LEHIGH & NEW ENGLAND R. R.
|
Avg. Miles |
Av |
'g. Miles |
|||||
|
Year |
Oper. |
Gross |
Surplus |
Year |
Oper. |
Gross |
Surplus |
|
1904-5 |
132 |
$326,433 |
$15,106 |
1910-11 |
170 |
$900,632 |
$52,707 |
|
1905-6 |
137 |
565,109 |
19.682 |
1911-12 |
170 |
869,292 |
19,992 |
|
1906-7 |
168 |
686,277 |
17,831 |
1912-13 |
*269 |
1,793,785 |
358,184 |
|
1907-8 |
170 |
655,514 |
t47,020 |
1913-14 |
*294 |
2,255,800 |
547.112 |
|
1908-9 |
170 |
777,061 |
4:12,384 |
1914-15 |
t296 |
2,646,662 |
692,947 |
|
1909-10 |
170 |
804,324 |
39.328 |
1915-16 |
t296 |
3,278,968 |
939,741 |
♦Mileage at June 30. flncludes 96 miles of trackage. JDeficit.
♦STOCK OUTSTANDING
June 30, 1916.
Common $6,000,000
BONDS OUTSTANDING June 30, 1916.
Fixed Interest $5,000,000
Equipment 2,450,000
♦Includes $5,000,000 stock sold at par 1912-13 to 1914-lo, to provide funds to retire bonds and unfunded debt and to acquire the Panther Creek R. R.
CAPITALIZATION
Total Per Mile
Stock $6,000,000 $20,270
Bonds 7,450,000 25,169
Total 13,450,000 45,439
Fixed Charges below include $111,863 for Rentals, $79,847 for Hire of Freight Cars— Dr., $4,597 Rent of Equipment and $10,339 Amortization of Discount on F'unded Debt
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated, 296.
Total Per Mile
Operating Revenues $3,278,968 $11,077
Operating Expenses 1,758,037 5,939
Net Operating Revenues 1,520.931 5,138
Other Income (including $4,078 Rent of Equipment).. 41,161 139
Gross Corporate Income 1,562,092 5,277
Fixed Charges (including for Taxes, $88,360) 622,351 2,102
Surplus , 939,741 3,175
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $436,557 $1,475
Maintenance of Equipment 386,3.52 1,305
Traffic Expenses 24,201 82
Transportation Expenses 839,055 2,834
General Expenses 71,872 243
Ratio of Operating Expenses to Operating Revenues 53.6 per cent.
Other Income above includes $7,469 from Rentals, and $27,618 Income from Unfunded Securities and Accounts.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11
For Maintenance Expenses ..24.8% For Traffic and Other Operat- ing Expenses 28.2%
For Fixed Charges 18.8%
For Surplus 28.2%
26.8% 26.3% 25.2% 30.6% 25.0%
|
27.8% |
29.2% |
28.4% |
33.8% |
33.1% |
|
19.8% |
20.4% |
26.4% |
36.8% |
36.0% |
|
25.6% |
24.1% |
20.0% |
Dfct. |
5.9% |
100.0% 100.0% 100.0% 100.0%
100.0%
Miles, second and additional main
track
Mile.s, yards and sidings
See Notes, page 258.
1915-16 1914-15 1913-14 1912-13
2 103
40
OF RAILROADS 77
|
LEHIGH VALLEY |
R. R. |
|||||
|
Avg. Miles |
Avg. Miles |
|||||
|
Year Oper. |
Gross |
Surplus |
Year |
Open |
Gross |
Surplus $8,500,007 |
|
1904-5 1,394 |
$31,275,843 |
$7,439,987 |
1910-11 |
1.432 |
$37,687,403 |
|
|
1905-6 1,429 |
32,789,857 |
7,340,300 |
1911-12 |
1,441 |
36,905,935 |
6,813,020 |
|
1906-7 1.443 |
36,068,432 |
8,204,794 |
1912-13 |
1,451 |
43,043,372 |
8,761.828 |
|
1907-8 1,448 |
35,510,154 |
7,759,180 |
1913-14 |
1,440 |
39.783.564 |
7.056,660 |
|
1908-9 ■ 1,446 |
33,137.832 |
5,843.803 |
1914-15 |
1,444 |
42,525,962 |
6,322.445 |
|
1909-10 1,440 |
36,167.398 |
8.137,401 |
1915-16 |
*1.444 |
47,382.569 |
7,666,410 |
♦Includes 44 miles of trackage.
STOCK OUTSTANDING *BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $60,501,700 Fixed Interest $129,030,000
Preferred (10%) 106,300 Equipment 750,000
Real Estate 1,669
*Does not include $15,056,000 Bonds and $3,650,000 Equipment Cer- tificates in Treasury; includes $44.751, CKX) bonds of Leased Roads. CAPITALIZATION
Total Per Mile
Stock $60,608,000 $41,972
Bonds 129.78L669 89,876
Total 190,389,669 131,848
Fixed Charges below include $2,142,589 for Rental of Leased Roads mostly representing interest on bonds (included above under bonds outstanding) ; also $748,657 Other Rentals and $1,(40,279 Hire of Equip- ment— Dr.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated, 1,444. Total Per Mile
Operating Revenues $47,382,569 $32,813
Operating Expenses 33,092.977 22,917
Net Operating Revenues 14,289,592 9,896
Other Income (including $903,313 Dividend Income^ . 2,666,526 1,&46
Gross Corporate Income 16,956,118 11,742
Fixed Charges (including for Taxes, $1,706,093) 9,259,678 6,433
Surplus 7,666,440 5,309
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $4,657,854 $3,225
Maintenance of Equipment 9,364,629 6,485
Traffic Expenses 996,249 690
Transportation Expenses 17,090,113 11,835
General Expenses 984,132 682
Ratio of Operating Expenses to Operating Revenues 69.8 per cent. Other Income above includes $254,531 from Rentals and $431,190 Income from Funded Securities.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..28.1% 26.5% 27.2% 29.2% 26.3% 24.5% Fur Traffic and Other Operat- ing Expenses 38.1% 38.7% 37.6% 35.0% 37.0% 35.0%
F'or Fixed Charges 18.5% 18.6% 18.7% 16.5% 19.2% 18.9%
For Surplus 15.3% 14.2% 16.5% 19.3% 17.5% 2L6%
100.0% 10(10% 100.0% 100. 07o 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 4,149.412 3,689,820 3,624, l.i8 4,005,862
Passenger miles per mile of road.... 158,117 149,403 184,264 187,248 Miles, second and additional main
track 741 739 740 733
Miles, yards and sidings 1,270 1,216 1,208 1,183
See Notes, page 258.
78
THE EARNING POWER
LONG ISLAND R. R.
Year 1902-3 1903-4 1904 1905 1906 1907 1908 ♦Deficit
Avg. Miles Open 392 392 392 392 392 392 392
Gross
$6,440,992 6.835.&18 7.083,807 7,824,986 9,595.596
10,130.408 9,818,545
Surplus
$305,588
*275,205
*54,389
22,529
*28.359
*858,829
*276,088
Avg. Miles Year Oper.
1909 1910 1911 1912 1913 1914 1915
391 399 399 399 398 399 397
|
Gross |
Surplus |
|
10,898,371 |
316,780 |
|
9,779,116 |
*328,563 |
|
10.517,751 |
*457.956 |
|
11,186.656 |
*282,690 |
|
12,204,738 |
*977.985 |
|
13.220.334 |
H94.131 |
|
13,553,780 |
*161,150 |
STOCK OUTSTANDING
December 31, 1915. Common $12,000,000
BONDS OUTSTANDING December 31, 1915.
Fixed Interest' $54,666,488
Equipment 2,866,000
Real Estate 1,767,680
*Other 16,710,359
*Non-Negotiable debt to Affiliated Companies, viz.: Notes, $14,141,286; Open Accounts, $466,551 and Interest, $2,102,522.
CAPITALIZATION
Total Per Mile
Stock $12,000,000 $30,227
Bonds 75,810,527 190,960
Total 87.810,537 221,187
Fixed Charges below include $1,324,577 for Rentals including $664,265 Rent for Leased Roads and $11,715 for Hire of Equipment— Dr.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915 Average miles operated, 397. Total Per Mile
Operating Revenues (1916. $14,971,839) $13,553,780 $34,141
Operating Expenses (1916, $9,927,208) 9,126,922 22,990
Net Operating Revenues (1916. $5,044,631) 4,426,858 n,151
Other Income (including $266,839 from Rentals) 733,625 1,848
Gross Corporate Income 5,160,483 12,999
Fixed Charges (including for Taxes, $934,822) 5,32L633 13,404
Deficit (1916, Surplus, $241,472) 161,150 406
OPERATING EXPENSES Total Per Mile
Maintenance of Way $1,529,223 $3,852
Maintenance of Equipment 1,517,410 3,822
Traffic Expenses 128,898 325
Transportation Expenses 5,449,680 13,8.')3
Miscellaneous Operations and General Expenses 451,711 1,138
Ratio of Operating Expenses to Operating Revenues 67.3 per cent.
APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 1911 1910 For Maintenance Expenses ..2L3% 20.9% 23.1% 22.3%, 22.8%, 23.6%, For Traffic and Other Oper- ating Expenses 42.6%, 44.8%o 44.7%, 43.2%, 45.6%, 45.0%
For F'ixed Charges 37.1% 37.9%o 39.6%o 36.8%, 35.6%o 34.4%,
Dfct. Dfct. - Dfct. Dfct. Dfct. Dfct.
Ton miles per mile of road
Passenger miles per mile of road .. Miles, second and additional main
track
Miles, yards and sidings
See Notes, page 261.
1915 271,894 1,535,386
209 457
1914
257,771
1,519,595
199
1913
236,294
1,489,660
196 i:33
1912
255,379 1,383,728
190 2i'9
OF RAILROADS
79
MARYLAND & PENNSYLVANIA R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1906 SO ?354,354 $69,755 1911 80 $441,396 $56,948
1907 SO 385,654 85.656 1912 80 474.559 5^,859 190S 80 367,033 55.677 1913 80 531,087 14.650
1909 80 399.720 63.541 1914 80 524.081 14,433
1910 80 425,827 85,692 1915 80 480,084 13,749
STOCK OUTSTANDING BONDS OUTSTANDING
December 31, 1915. December 31, 1915.
*Common $1,602,500 fFixed Interest $1,099,450
Income Bonds (4%) 900,000 Equipment 52,500
?Notes due 1920 300,000
*Does not include $lXiOO,000 stock held as Collateral for 10-Yeai' Con- vertible Notes and $997,500 stock in Treasury. jDoes not include $303,000 First Mortgage bonds in Treasury held by Trustee or used as Collateral for Call Loan. JConvertible Into stock at 5C% until July 1, 1923.
CAPITALIZATION
Total Per Mile
Stock and Income Bonds $2,502,500 $31,281
Bonds 1,451,950 18,149
Total 3,954,450 49,430
Fixed Charges below include $11,^2 for Rentals and $19,212 for Hire of Equipment — Dr.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915
Average miles operated, 80. Total Per Mile
Operating Revenues $480,084 $6,001
Operating Expenses ; 350,816 4,385
Net Operating Revenues '. 129,268 1,616
Other Income 733 9
Gross Corporate Income 130,001 1,625
Fixed Charges 116,252 1,453
Surplus 13,749 172
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $79,146 $989
Maintenance of Equipment 50,002 625
Traffic Expenses 6,674 83
Transportation Expenses 193,498 2,419
General Expenses 21,496 269
Ratio of Operating Expenses to Operating Revenues 73.1 per cent.
APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 For Maintenance Expenses ..26.9% 28.2% 30.2% 27.5% For Traffic and Other Operat- ing Expenses 46.1% 45.7% 46.5% 42.0%
For Fixed Charges 24.2% 23.4% 20.6% 17.9%
For Surplus 2.8% 2.7% 2.7% 12.6%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915 1914
Miles, yards and sidings 13
Sec Notes, page 262.
1911
27.6%
42.2% 17.4%
12.8%
1913
1910
23.6%
42.1% 14.3% 20.0%
1912
80 THE EARNING POWER
NEW YORK CENTRAL R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1906 3,784 $92,089,769 $12,275,908 1911 3,790 $103,954,863 $15,304,449
1907 3,782 98.369,060 11,083,829 1912 3,791 109,900,015 1:^,879,837
1908 3,781 83.927.354 8.931,600 1913 3.753 116,904,304 13.243.558
1909 3.782 93.171.861 13,695,420 1914 3,774 112,741,051 8.688,672
1910 3,785 99,908,478 14,288,672 1915 *5,640 167,912,333 27,711,474 *On January l,1915.the New York Central & Hudson River R. R., the Lake Shore & Michi- gan Southern Ry.. the Chicago, Indiana & Southern R. R. and several minor lines were con- solidated a.s the New York Central R. R. This explains large Increase In mileage, etc.
STOCK OUTSTANDING *BONDS OUTSTANDING
December 31, 1915. December 31, 1915.
Common $249,590,460 Fixed Interest $635,211,400
Stock per mile of road Equipment .....' 46,028,753
operated $44,254 Miscellaneous 152,789
♦Includes all bonds of the Lake Shore and other Consolidated Com- panies; includes also $1(J(J,<X)0,(XX) 6% Debenture bonds due 1935 con- vertible into stock at 105, May 1, 1917 to April 30, 1925, inclusive.
See Notes regarding- details as to Consolidation of New York Central, likewise regarding issue of $25,000,000 new stock to stock- holders at par.
Fixed Charges below include $6,270,688 Rent for Leased Roads, and $1.79.3,945 for Other Rental.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915 Average miles operated, 5,64<J. Total Per Mile
Operating Revenues $167,912,333 $29,772
Operating Expenses 109,394,344 19,396
Net Operating Revenues .58,517,989 10,376
Other Income (including $1,722 Misc. Operations) .... 16,630,-593 2,949
Gross Corporate Income 75,148,582 13,325
Fixed Charges (including for Taxes, $8,324,326) 47,437,108 8,411
Surplus 27,711,474 4,914
OPERATING EXPENSES Total Per Mile
Maintenance of Way $17,133,450 $3,038
Maintenance of Equipment 31,628,858 5,608
Traffic Expenses 2,645,373 469
Transportation Expenses , 51,879,176 9,198
Miscellaneous Operations and General Expenses 6,107,488 1,083
Ratio of Operating Expenses to Operating Revenues 65.1 per cent.
Other Income above includes $3,587,449 from Rentals, $72,702 Hire of Equipment— Cr., .$6,961,516 Dividend Income, $3,650,025 Income from Funded and Unfunded Securities and Accounts and $1,875,608 Separately Operated Properties— profit.
•APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 1911 1910 For Maintenance Expenses ..26.4% 26.9% 29.6% 27.5% 25.4% 26.9% For Traffic and Other Operat- ing Expenses 32.9% 38.3% 36.2% 36.0% 36.4% 37.3%
For Fixed Charges 25.7% 27.9% 24.3% 25.7% 25.5% 23.4%
F'or Surplus 15.0% 6.9% 9.9% 10.8% 12.7% 12.4%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0% ♦New York Central R. R. for 1915; N. Y. C. & H. R. R. for previous year.
1915 1914 1913 1912
Ton miles per mile of road 3,140,643 2.632,716 3,013.931 2,753.318
Passenger miles per mile of road .... 418,161 538,066 581,104 .536,016
Miles, second etc. main track 3,618 2.4.30 2,427 2,374
Miles, yards and sidings 4,562 3,252 3,202 3,062
See Notes, page 262.
OF RAILROADS 81
NEW YORK, ONTARIO & WESTERN RY.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper, Gross Surplus
1902-3 548 $6,176,518 $860,972 1909-10 566 $8,578,783 $1,312,797
1903-4 548 6.652,484 886.829 1910-11 566 9,295.702 1.142,936
1904-5 548 7,090,889 1.281.277 1911-12 566 8.527,944 473,729
1905-6 , 546 7.265,058 1,187,501 1912-13 566 9,454,349 1,211,633
1906-7 546 8,202,360 1,654,782 1913-14 568 9,040,012 663,692
1907-8 546 8,121,494 1.520,589 1914-15 *568 8,926,946 612.507
1908-9 546 8,290,170 1,343,127 1915-16 *568 8,942,252 983,878
•Includes 55 miles trackage.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30. 1916. June 30, 1916.
Common $58,113,983 Fixed Interest $28,630,000
Preferred 4,000 Equipment 1,498,000
CAPITALIZATION
Total Per Mile
Stock $58,117,983 $102,320
Bonds 30,128,000 53,042
Total 88,245.983 155,362
Fixed Charges below include $270,727 for Rentals, $178,433 for Hire of Freight Car— Dr., $17,699 Rent of Other Equipment and $11,055 Amorti- zation of Discount on Funded Debt.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average miles operated, 568. Total Per Mile
Operating Revenues $8,942,252 $15,743
Operating Expenses 6.202.922 10,921
Net Operating Revenues 2.739,330 4,822
Other Income (including $26,9-33 Rent of Equipment) . 188.225 332
Gross Corporate Income 2,927,555 5.154
Fixed Charges (including for Taxes, $259,923) 1,943,677 3,422
Surplus 983,878 1,732
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $1,055,019 $1,858
Maintenance of Equipment 1.391,248 2.449
Traffic Expenses 93,119 1&4
Transportation Expenses (inch $168,696 Water Lines) 3,460,087 6,092
General Expenses 203.449 358
Ratio of Operating Expenses to Operating Revenues 68.3 per cent.
Other Income above includes $22,712 from Rentals.
• APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11
For Maintenance Expenses ..26.8% 30.0% 30.7% 27.9% 31.5% 26.7% For Traffic and Other Operat- ing Expenses 41.1% 41.8% 41.7% 39.3% 41.7% 40.8%
For Fixed Charges 21.3% 21.5% 20.4% 20.3% 21.5% 20.7%
Yov Surplus 10.8% 6.7% 7.2% 12.5% 5.3% 11.8%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-lS
Ton miles per mile of road 1.446,695 1.515,398 1,545,437 1,649,803
Passenger miles per mile of road .. 123,206 129,580 152,627 1.54,427 Miles, second and additional main
track 207 207 207 207
Mib'S, yards and sidings 279 276 274 273
See Notes, page 270.
82 THE EARNING POWER
NEW YORK. PHILADELPHIA & NORFOLK R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1908 *147 $2,681,672 $601,556 1912 *147 $3,566,l'.a $595,475
1909 *147 3,163.265 760.923 1913 *147 3,931,218 483,782
1910 *147 3.466,617 763.459 1914 *147 3.743.272 407.607
1911 *147 3.326.455 509,057 1915 *147 4,154,985 686,196 *Includes 36 miles of water routes.
STOCK OUTSTANDING BONDS OUTSTANDING
December 31, 1915. December 31, 1915.
Common $2,500,000 Fixed Interest $2,600,000
Income Bonds (4%) 1,000,000 Equipment 700,000
CAPITALIZATION
Total Per Mile
Stock and Income Bonds $3,500,000 $23,810
Bonds 3,300,000 22,449
Total 6,800,000 46,259
Fixed Charges below include .$3,277 for Rentals. $91,192 for Hire of Equipment— Dr., and $40,000 Interest (4%) on Income Bonds
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915
Average miles operated, 147. Total Per Mile
Operating Revenues (1916. $5,194.1.59) $4,154,985 $28,265
Operating Expenses (1916. $3,443,073) 3,141,199 21,369
Net Operating Revenues (1916. $1.7.51,086) 1,013,786 6,896
Other Income (including $4,645 from Rentals) 65,2.59 444
Gross Corpoi'ate Income 1.079,045 7,340
Fixed Charges (including for Taxes, $120,052) 390,849 2,658
♦Surplus 688,196 4,682
OPERATING EXPENSES
Total Per Mile
Maintenance of Way ^382,251 $2,600
Maintenance of Equipment 863,730 5,876
Traffic Expenses 56,800 386
Transportation Expenses 1,656,800 11,271
General Expenses 181,618 1,236
Ratio of Operating Expenses to Operating Revenues 75.6 per cent.
*This Surplus before deducting $52,953 Appropriations for Sinking and Other Reserve Funds.
Other Income above includes $52,953 Income from Sinking and Other Reserve Funds.
APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 1911 1910 F'or Maintenance Expenses ..29.57o 28.7% 27.6% 25.2% 29.9% 26.7% For Traffic and Other Operat- ing Expenses 44.9% 50.5% 49..3% 46.9% 45.0% 41.9%
For Fixed Charges 9.3% 10.1% 11.0% 11.4% 9.9% 9.5%
For Surplus 16.3% 10.7% 12.1% IG.5% 15.2% 21.9%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915 1914 1913 1912
Ton miles per mile of road 2,947,537 2.622.662 2.967,000 2,592,565
Passenger miles per mile of road .... 132,888 154,480 156,065 144,185 Miles, second and additional main
track .. .. 60 56
Miles, yards and sidings .. .. 89 79
See Notes, page 270.
OF RAILROADS 83
NEW YORK, SUSQUEHANNA & WESTERN R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1901-2 238 $2,583,928 $221,359 1908-9 236 $3,176,096 $120,187
1902-3 238 2,626,554 327,747 1909-10 236 3,356,043 189,754
1903-4 238 2.535.701 243,248 1910-11 236 3.668.714 534.537
1904-5 . 238 2,664,084 92,515 1911-12 239 3,-503.948 172.895
1905-6 238 2,671,503 t24,333 1912-13 239 3,590,070 208,096
1906-7 236 3.017.049 3.238 1913-14 225 3.738,889 230,383
1907-8 236 3.165,164 t84.306 *1915 225 4,101,036 429,766
*The fiscal 3'ear has been changed to the calendar year. For the six months July 1 to December 31, 1914, the N. Y., S. & W. R. R. reported: Operating Revenues, $1,906,029; Operating Expenses, $1,325,- 422; Net Operating Revenues. $580,607; Surplus, $143,934. tDeficit.
STOCK OUTSTANDING BONDS OUIKTANDING
December 31, 1915. December 31, 1915.
Common $13,000,000 Fixed Interest $15,433,500
Preferred (4^c) 13,4XK),000 Equipment 800,000
CAPITALIZATION Total Per Mile
Stock $26,000,000 $115,556
Bonds 16,233,500 72,148
Total ■ 42,233,500 187,704
Fixed Charges below include $101,259 for Rentals, $135,931 Hire of F'reight Cars (balance), $36,814 Rent for Equipment.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915 Average miles operated, 225. Total Per Mile
Operating Revenues $4,107,036 $18.2.53
Operating Expenses 2.611.638 11,607
Net Operating Revenues 1,495,398 6.646
Other Income (including $6,229 Rent of Equipment).. 183,008 813
Gross Corporate Income 1,678,406 7,459
Fixed Charges (including for Taxes, $163,656) 1,248,640 5.549
*Surplus ., 429,766 1,910
OPERATING EXPENSES Total Per Mile
Maintenance of Way : $352,010 $1,564
Maintenance of Equipment 453.993 2,018
Traffic Expenses 38,571 171
Transportation Expenses 1,683,164 7,481
General Expenses 83,900 373
Ratio of Operating Expenses to Operating Revenues 63.6 per cent.
*This Surplus before deducting $105,507 for Additions and Better- ments.
Other Income above includes $133,861 from Rentals.
APPROPRIATION OF GROSS INCOME
1915 1913-14 1912-13 1911-12 1910-11 1909-10
For Maintenance Expenses ..18.8% 21.8% 21.9% 20.3% 19.7% 22.5% For Traffic and Other Operat- ing Expenses 42.1%
For Fixed Charges 29.1%
For Surplus 10.0%,
|
40.4%, |
41.4% |
40.1%, |
36.7% |
37.7% |
|
32.1%o |
31.2% |
34.9%, |
29.7% |
34.3% |
|
5.7% |
5.5% |
4.7% |
13.9%, |
5.5% |
100.0% 100.0%, 100.0% 100.0% 100.0% 100.0%,
1915 1913-14 1912-13 1911-12 Miles, second and additional main
track 30 30 30 30
Miles, yards and sidings 128 126 124 120
See Notes, page 271.
84 THE EARNING POWER
PENNSYLVANIA R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1902 3.638 1112,663.330 $25,313,436 1909 3,947 ?153,564.527 $35,159,088
1903 3,656 122,626,419 24,821,892 1910 3,977 160.457,298 37,775,484
1904 3,820 118,145,270 24.741,628 1911 4,018 157,487,413 37,318,351
1905 3,839 133,921.992 30.102.517 1912 4.025 174,607.598 42.153.964
1906 3,897 148,239,882 35.674,301 1913 4.044 185,400,825 41,920,833
1907 3,903 164,812,826 33.575.056 1914 *4.512 187,251.851 34,090,765
1908 3,980 136,296,871 28,207,661 1915 *4.541 196,628,170 42,425,322 Note — The figures given above are as stated in the annual reports for the years mentioned. Since
the publication of these reports the Company's statements have in a few instances been somewhat revised for the sake of comparison. No changes hare been made above. •Includes Northern Central R. R. merged July 1. 1914.
STOCK OU;rSTANDING BONDS OUTSTANDING
December 31. 1915. December 31, 1915.
Common $499,203,700 F'ixed Interest $222,071,230
Stock per mile of road Equipment 17,583,017
operated $109,932 Guaranteed Stock 14,048,000
Real E.state 2,313,160
Fixed Charges below include $8,574,860 Rent for Leased Roads, $1,795,609 for Other Rental and $1,325,955 Hire of Equipment— Dr.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915 Average miles operated, 4..')11. Total Per Mile
Operating Revenues ri916. $230. 278, .533) $196,628,170 $43,301
Operating Expenses ((1916. $166.164..582) 142,736.561 31,433
Net Operating Revenues (1916, $64,113,9.51) 53,891,609 11.868
Other Income (1916. $23,164,885) 20,375,321 4,487
Gross Corporate Income 74.266,930 16,355
Fixed Charges (including for Taxes, $7,594,404) 31,841,608 7,012
♦Surplus 42,425,322 9,343
OPERATING EXPENSES _ , , « .,.,
Total Per Mile
Maintenance of Way (1916, $28,819,322) .$25,328,513 $5,578
Maintenance of Equipment (1916, $45,805,126) 38,641,078 8.510
Traffic Expenses 2,386,064 525
Transportation Expenses •. 68,6.50,005 15,118
Miscellaneous Operations and General Expenses 7,730,901 1,702
Ratio of Operating Expenses to Operating Revenues 72.6 per cent.
*This Surplus beiore deducting .$7,286,850 for Additions and Better- ments. $3,2.39.913 Construction Expenses on Leased and Branch Roads directly operated and $1.946,.341 Income applied to Sinking and Other Reserve Funds.
APPROPRIATION OF GROSS INCOME ,, . 1915 1914 1913 1912 1911 1910 For Mamtenance Expenses ..29.57o 30..5% 30.7% 29..5% 28.0% 28.9% For Traffic and Other Operat- ing Expenses 36.3% 40.3% 36.6% 35.8% 36.8% 35.6%
For Fixed Charges 14.7% 12..5% 12.2% 13.0% 13.8%, 14.3%,
For Surplus 19..5% 16.7% 20.5%, 21.7% 21.4% 21.2%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
^ ., ., , 1915 1914 1913 1912
Ton miles per mile of road 5,031,834 4.899,285 5,759,586 5,469,201
Passenger miles per mile of road .. 414,235 447,146 488,723 456,753 Miles, second and additional main
^ti'ack 2.423 2,410 2,228 2,212
Miles, yards and sidings 4,187 4,153 3,774 3,690
See Notes, page 271.
OF RAILROADS 85
PENNSYLVANIA CO.
Avg. Miles Avg. Miles
|
Year |
Oper. Gross Surplus |
Year Oper. Gross |
Surplus |
|
1901 |
1.526 136.390,582 $5,187,930 |
1910 1.416 $54,170,874 |
111.342,149 |
|
1905 |
1,389 40,596,439 *6,054,431 |
1911 1.416 50.110.590 |
11,429.981 |
|
1906 |
1.411 46,036,806 *8,933.8SS |
1912 tl.7.51 62,950.425 |
12,702.639 |
|
1907 |
, 1.414 51,337,433 *9. 896.487 |
1913 Tl,750 65,835.378 |
9,793,102 |
|
190S |
1.416 .39.423.796 *9,0Sn.010 |
1914 tl.757 54,698. .327 |
4.728.072 |
|
1909 |
1.416 48.631.988 *10,8S1.667 |
1915 tl,758 60,857.677 |
*9.70i.347 |
|
♦Surplus before deducting Appropriations to Sinking Funds. |
|||
|
tincludes Cleveland, Akron & Columbus Ry. |
|||
|
STOCK OUTSTANDING |
BONDS OUTSTANDING |
||
|
December 31, 1915. |
December 31, 1915 |
Common 180,000,000 *Fixed Interest $121,698,544
Per mile of road op- Equipment 6,131.678
erated $45,532
*Does not include $33,855,275 bonds held by Company.
Fixed Charges below include $10,313,068 Rent for Leased Roads. $642,291 for Other Rentals and $194,487 Hire of Equipment— Dr.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915
Average miles operated, 1,758. Total Per Mile
Operating Revenues (1916, $75.-569,026) $60,857,677 $34,617
Operating Expenses (1916, $51,131,323) 41.097.778 23.378
Net Operating Revenues (1916. $24,437,703) 19,759.899 11,239
Other Income (including $4.33.717 from Rentals) 10,247,424 5.829
Gross Corporate Income (1916. $32,601,663) 30,007,323 17,068
Fixed Charges (including for Taxes, $3,233,108) 20,302,976 11,548
*Surplus 9,704,347 5,520
OPERATING EXPENSES
Total Per Mile
Maintenance of Wav (1916, $8,988,306) $7,848,268 $4,464
Maintenance of Equipm.ent (1916, $13,088,372) 10,-351,509 5,888
Traffic Expenses 909,367 518
Transportation Expenses 20,196.113 11,488
General Expenses " 1.792,521 1.020
Ratio of Operating Expenses to Operating Revenues 67.5 per cent.
*This Surplus before deducting $2,969,723 for Additions and Better- ments and $1.9.34,624 applied to Sinking and Other Reserve Funds.
Other Income above includes $8,130,113 Dividend Income and $1,566,221 Income from Securities, Account and Sinking Funds.
APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 1911
For Maintenance Expenses 25.6% 27.47o 29.4% 26.8% 23.5%
For Traffic and Other Operating Ex- penses 32.2% 35.9% 34.5% 31.3% 30.5%
For Fixed Charges 28.6% 29.5% 23.7% 25.4% 2S.0%
For Surplus 13.6% 7.2% 12.4% 16.5% 18.0%
100.0% 100.0% 100.0% 100.0% 100.0%
1915 1914 1913 1912
Ton miles per mile of road 4,142,809 3,803,575 4,975,615 4,742,271
Passenger miles per mile of road .. 273,894 278,461 295,437 280,467 Miles, second and additional main
track 917 917 929 898
Miles, yards and sidings 1.690 1,661 1,625 1,580
See Notes, page 276.
86
THE EARNING POWER
PHILADELPHIA, BALTIMORE & WASHINGTON R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1904 708 $13,603,863 $2,120,079 1910 713 $19,021,707 $2,231,159
1905 706 14.676.2C>4 2.t!:.3.765 1911 713 18,914,244 2.281.315
1906 706 15.941.241 2.782,5.52 1912 713 20,280.042 2,023.179
1907 715 17,255..572 1.988.876 1913 717 21,164.341 1.375,783
1908 716 16.126,570 1.456..559 1914 717 20.3.57..563 1.229.1.^3
1909 717 17,543,373 2,127,799 1915 717 21,311,137 2,147,173
STOCK OUTSTANDING BONDS OUTSTANDING
December .31, 1915. December 31, 1915.
Common $25,138,925 Fixed Interest $24,500,000
Equipment 27,663
Real Estate 424.527
*Notes 4,900,000
*Xon-negotiable Debt to Other Companies.
CAPITALIZATION Total Per Mile
Stock $25,138,925 $35,061
Bonds 29,852,190 41,635
Total 54,991,115 76,696
Fixed Charges below include $1,477,004 for Rentals and $654,341 Hire of Equipment— Dr.
INCOME ACCOUNT YEAR ENDING DECEMBER 31. 1915 Average miles operated, 717. Total Per Mile
Operating Revenues (1916, $25.-546,425) $21,311,137 $29,72g
Operating Expenses (1916, $18.660.284» 16.446,222 22,938
Net Operating Revenues (1916. $6,886,141) 4,864,915 6,785
Other Income (including $349,697 from Rentals) 1.364.687 1.903
Gross Corporate Income 6.229,602 8,688
Fixed Charges (including for Taxes, $647,.576) 4.082,429 5,694
♦Surplus (1916, $4,065,399) .'•. 2.147,173 2,994
OPERATING EXPENSES Total Per Mile
Maintenance of Wav $3,025,635 $4,220
Maintenance of Equipment 4,032,398 5,62i
Traffic Expenses 320,805 448
Transportation Expenses .: 8,458,592 11,797
Miscellaneous Operations and General Expenses 608,792 849
Ratio of Operating Expenses to Operating Revenues, 77.2 per cent.
*This Surplus before deducting $9(»9.203 Income appropriated for In- vestment in Physical Property and $87,123 Fixed Charges of Branch Lines Directly Operated.
Other Income above includes $989,326 Dividend Income.
APPROPRIATION OF CROSS INCOME
1915 1914 1913 1912 1911 1910 For Maintenance Expenses.... 31.1% 31.6% 32.9% 30.7% 28.7% 30.7% For Traffic and Other Operat- ing Expenses 41.4% 44.7% 44.8% 43.7% 43.7% 42.3%
For Fixed Charges 18.0% 18.0% 16.2% 16.3% 16.1% 15.9%
For Surplus 9..5% 5.7% 6.1% 9.3% U.5% U.1%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915
Ton miles per mile of road 1,755,811
Passenger miles per mile of road 557,395
Miles, second and additional main
track 360
Miles, yards and sidings 379
See Notes, page 279.
1914
1,650,172
605,329
384
1913
1,765,390
623,835
362
1912
1.657,226
583,845
349 363
|
Year |
Oper, |
Gross |
Surplus |
Year |
Oper. |
Gross |
|
1902 |
185 |
$10, 098, TOT |
$1,372,169 |
1909 |
191 |
$14,838,948 |
|
1903 |
101 |
11,283.045 |
1,631,469 |
1910 |
191 |
17.052,698 |
|
1904 |
191 |
10,035.510 |
1,472.889 |
1911 |
215 |
15,308.561 |
|
1905 , |
191 |
12.837,736 |
t6.4.53.634 |
1912 |
223 |
18.162.118 |
|
1906 |
191 |
. 14,481.495 |
7,418,437 |
1913 |
2^4 |
19.. 597. 919 |
|
1907 |
191 |
14,904 401 |
7,043.513 |
1914 |
224 |
15.597.365 |
|
1908 |
191 |
10,382,620 |
4,083,799 |
1915 |
*225 |
18.196,068 |
OF RAILROADS 87
PITTSBURGH & LAKE ERIE R. R.
Avg. Miles _ _ __ Avg. Miles
Surplus $7,615,598
8,16.9.907 6,098,561 7,323,092 6,8.33,737 4.083,419 7,568,779 ♦Includes 28 miles trackage. tSee Notes regarding large annual
deductions from Surplus for Additions, Betterments, Equipment, etc.
Prior to 1905 similar items were included in Operating Expenses.
STOCK OUTSTANDING BONDS OUTSTANDING
December 31, 1915. December 31. 1915.
Common $29,988,285 Fixed Interest $4,000,000
Equipment 3,185,593
$5,997,600 additional stock was subscribed for at par by stockholders in August, 1916.
CAPITALIZATION Total Per Mile
Stock $29,988,285 $133,281
Bonds 7,185,593 31.936
Total 37,173.878 165.217
Fixed Charges below include $530,368 Rent for Leased Roads, $61,488 for Other Rental and $1,106,332 Income Transferred to Other Companies (rentals on traffic basis; $614,017 in 1914 and $1,178,171 in 1913).
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915 Average miles operated, 225. Total Per Mile
Operating Revenues .$18,196,068 $80,871
Operating Expenses 8.9^.316 39,930
Net Operating Revenues 9,211,752 40,941
Other Income (including $75,593 from Rentals) 1,033,688 4,594
Gross Corporate Income 10.245.440 45,535
Fixed Charges (including for Taxes, $593,922) 2.676,661 11.896
Surplus 7,568,779 33,639
OPERATING EXPENSES Total Per Mile
Maintenance of Wav $1,496,267 $6,650
Maintenance of Equipment 2,923,100 12,992
Traffic Expenses 168,170 747
Transportation Expenses 4.022,494 17,878
General Expenses 374,285 1.663
Ratio of Operating Expenses to Operating Revenues 49.4 per cent. APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 1911 1910 For Maintenance Expenses ..22.8% 33.5%. 27.1% 24.1% 24.3% 20.2% For Traffic and Other Operat- ing Expenses 24.0% 28.7% 25.8% 24.4% 26.4% 25.6%
For Fixed Charges 13.9% 13.3% 13.8% 12.8% 10.4% 7.0%
For Surplus 39.3% 24.5% 33.3% 38.7% 38.9% 47.2%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915 1914 1913 1912
Ton miles per mile Of road 8,983,468 7,777.326 10,165,849 9,111,019
Passenger miles per mile of road .... 501,126 530,971 566,873 514,602 Miles, second and additional main
track 262 261 261 261
Miles, yards and sidings .596 588 579 544
See Notes, page 280.
88 THE EARNING POWER
|
READING CO. |
|||
|
Avg. Miles |
Avg. Miles |
||
|
Year |
Oper. *Gross |
tSurplus Year Oper. *Gross |
tSurplus |
|
1908-9 |
1.024 $39,060,234 |
$12,019,842 1912-13 1,020 $50,562,717 |
$18,732,508 |
|
1909-10 |
1,022 44.214,915 |
12,909.599 1913-14 1,120 47.123,370 |
12,161,114 |
|
1910-11 |
1.014 44.365,442 |
12.428,304 1914-15 1.120 40.714.822 |
11.022,236 |
|
1911-12 |
1,015 44,476,525 |
11,551,697 1915-16 1.127 57,298,393 |
19,258,365 |
♦Transportation Revenues — Railway. tTotal for Railway, Coal Co. and Reading Co.
STOCK OUTSTANDING *BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $70,000,000 Reading Co $119,281,809
Preferred 1st (4%) 28,000,000 P. & R. Ry. ." 27,733,804
Preferred 2d (4%) 42,000,000 P. & R. Coal & Iron Co. 990,000
♦Includes only bonds outstanding In the hands of the public. Does not Include bonds owned as follows: by the Reading Co.; S20,000,000 Purchase Money Loan of Ry. Co.; $6,931,- 000 General Mortgage bonds and Eqvilpment Certificates; and SI. 200, 000 Purchase Money bonds of the Reading Co., and by the P. & R. Ry. Co.; S2,092,000 of Its own bonds. The Fixed Charges below do not Include $1,200,000 and S2,830,364 respectively paid by the P. &. R. Ry. to the Reading Co. for Interest on $20,000,000 Purchase Money Loan and for Rent of Equipment. Other Income below likewise does not include these sums. On June 30, 1916, the P. & R. C. & I. Co. owed the Reading Co. S71,603.135 on capital account.
CAPITALIZATION Total Per Mile
Stock $140,000,000 $124,224
Bonds r 148,005,613 131,327
Total 288,005,613 255,.551
Fixed Charges below Include §5,550,392 Fixed Charges and Expenses of Reading Co., $6,645,707 Fixed Charges P. & R. Ry.. Including S2.860.623 for Rent of Leased Roads and $846,045 Hire of Equipment — Dr.. and S57S.783 Fixed Charges P. & R. Coal & Iron Co.
INCOME ACCOUNT YEAR ENDING JUNE 30. 1916
Average miles operated, 1.11^7. Total Per Mile
Operating Revenues (P. &. R. Ry.) $57,298,393 $50,841
Operating Expenses (P. & R. Ry.) 33.389,659 29,627
Net Operatipg Revenues (P. & R. Ry.) 23,908,734 21,214
Other Income (see below) '. 8,124,513 7,209
Gross Corporate Income (All Companies; 32.033,247 28,423
Fixed Charges 12,774,882 11,335
♦Surplus (All Companies) 19,259,365 17,088
OPERATING EXPENSES Total Per Mile
Maintenance of Way $4,019,699 $3,567
Maintenance of Equipment 8,829,256 7,834
Traffic Expenses 574.003 509
Transportation Expenses 18,875.748 16,749
Miscellaneous Operations and General Expenses 1,090,952 968
Ratio of Operating Expen.ses to Operating: Revenues 5S.3 per cent. *Thls Surplus before deducting $426,892 tJenerai Mortgage Sinking Fund, $995,660 Additions and Betterments Railway and $709,345 Improvements at Collieries, etc.
Other Income above includes $2,568,176 Operating Profit of P. & R. Coal & Iron Co. before deducting Fixed Charges and Improvements at Collieries as above.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..19.6% 24.4% 25.4% 22.1% 24.9% 23.9% For Traffic and Other Operat- ing Expenses 31.5%
For Fixed Charges 19.5%
For Surplus 29.4%
l(K).07o 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 5.804,466 4,313,206 4,556,013 5,353.447
Passenger miles per mile of road .... 316,687 321,846 363,165 402,731 Miles, second and additional main
track 645 644 639 623
Miles, yards and sidings 1,106 1,081 1,075 1,1.56
See Notes, page 281.
|
33.8% |
32.1% |
29.4% |
31.9% |
30.6% |
|
21.2% |
20.5% |
16.9% |
20.1% |
21.0% |
|
20.6% |
22.0% |
31.6% |
23.1% |
24.5% |
OF RAILROADS
89
ULSTER & DELAWARE R. R.
Year
1904-5 1905-6 1906-7 1907-8 . 1908-9 1909-10 ♦Deficit
Avg. Miles
Oper.
129 129 129 129 129 129
Gross
1822,836
913,837
888,770
9^.6.698
1,024,439
1.139.253
Surplus
$80,535
99.248
49,003
1.652
101,300
137,196
Year
1910-11 1911-12 1912-13 1913-14 1914-15 1915-16
Avg. Miles Oper.
129 129 129 129 129 129
Gross
$1,122,929 1,061,015 1,138,053 1,076.217 1,033.734 1,025,638
Surplus $56,119
65,085
72.701
23.620
*58.874
150,690
STOCK OUTSTANDING
June 30, 1916. Common $1,900,000
BONDS OUTSTANDING
June 30, 1916. Fixed Interest $3,000,000
CAPITALIZATION
Total Per Mile
Stock $1,900,000 $14,729
Bonds 3,000,000 23,2.56
Total 4,900,000 37,985
Fixed Charges below include $1,171 for Rentals, $46,903 for Hire of Freight Cars and $10,241 Rent for Passenger Train Cars.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average miles operated, 129. Total Per Mile
Operating Revenues $1,025,638 $7,951
Operating Expenses 707,160 5,482
Net Operating Revenues 318,478 2,469
Other Income (including $3,151 from Rentals) 79,959 620
Gross Corporate Income 398,437 3,089
Fixed Charges (including for Taxes, $48,708) 247,747 1,921
Surplus 150,690 1,168
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $106,238 $824
Maintenance of Equipment 122,902 953
Traffic Expenses 21,212 164
Transportation Expenses 411,284 3,188
General Expenses , 45,524 353
Other Income above includes $62,9.50 Income from Funded Securities and $8,238 from Hire of Equipment.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..20.8% 34.5% 26.1% 26.1% 26.9% 28.6% For Traffic and Other Operat- ing Expenses 43.2% 48.5% 49.2% 46.2% 45.3% 45.4%
For Fixed Charges 22.4% 22.5% 22.6% 21.3% 21.7% 21.0%
For Surplus 13.6% Deficit 2.1% 6.4% 6.1% 5.0%
100.0% 100.0% 100.0% 100.0%
Ton miles per mile of road
Passenger miles per mile of road
Miles, yards and sidings
See Notes, page 284.
1915-16
329,684 90,612
1914-15 370,065 102,360
100.0%
1913-14 1912-13
376,277 433.409
109,246 117,531
34 31
90 THE EARNING POWER
WEST JERSEY & SEASHORE R. R.
Avg. Miles Avg. Miles
|
Year Oper. |
Gross |
Surplus |
Year |
Oper. |
Gross |
Surplus $732,838 |
|
1904 321 |
$4,307,597 |
$687,861 |
1910 |
353 |
$5,981,673 |
|
|
1905 322 |
4,652,405 |
967.202 |
1911 |
356 |
6,247,667 |
709,934 |
|
1906 358 |
5,206,284 |
797,648 |
1912 |
356 |
6,395,256 |
887,880 |
|
1907 363 |
5,654,904 |
655.194 |
1913 |
356 |
6.405,787 |
473.394 |
|
1908 356 |
5,114,889 |
527,184 |
1914 |
356 |
6,472,599 |
555,959 |
|
1909 356 |
5,542,101 |
811,124 |
1915 |
*358 |
6,942,485 |
574,784 |
|
♦Includes 34 |
miles of |
trackage. |
STOCK OUTSTANDING BONDS OUTSTANDING
December 31, 1915. December 31, 1915.
Common $9,641,600 Fixed Interest $6,280,000
Guaranteed 83,550 Equipment 4,025
Other 22,155 Real Estate 46,300
*Other 1,984,000
♦Non-negotiable Debt to Affiliated Companies.
CAPITALIZATION Total Per Mile
Stock $9,747,305 $27,227
Bonds 8,314,325 23,224
Total 18,061,630 50,451
Fixed Charges below include $205,624 for Rentals and $73,781 for Hire of Equipment— Dr.
INCOME ACCOUNT YEAR ENDING DECEMBER 31, 1915
Average miles operated, 358. Total Per Mile
Operating Revenues (1916, $7,829,320) $6,942,485 $19,392
Operating Expenses (1916, $5,957,483) 5,435,685 15,183
Net Operating Revenues (1916, $1,871,837) 1,506,800 4,209
Other Income (including $106,474 from Rentals) 134,201 375
Gross Corporate Income 1,641,001 4,584
Fixed Charges (including for Taxes, $419,758) 1,066,217 2,978
♦Surplus 574,784 1,606
OPERATING EXPENSES Total Per Mile
Maintenance of Way $1,218,221 $3,403
Maintenance of Equipment 1,033.443 2,886
Traffic Expenses 146,797 410
Transportation Expenses 2,828,592 7,901
General Expenses 208,632 583
Ratio of Operating Expenses to Operating Revenues 78.3 per cent.
♦This Surplus before deducting $85,862 Income applied to Sinking and Other Reserve Funds.
APPROPRIATION OF GROSS INCOME
1915 1914 1913 1912 1911 1910 For Maintenance Expenses ..31.8% 30.3% 31.3% 28.6% 29.7% 29.4% For Traffic and Other Operat- ing Expenses 45.0% 47.3% 47.1% 44.6% 45.8% 45.5%
For Fixed Charges 15.1% 14.1% 14.4% 13.57o 13.37o 13.0%
For Surplus 8.1% 8.3% 7.2% 13.3% 11.2% 12.1%
100.0% lOO.OTo 100.0% 100.0% 100.0% 100.0%
1915 1914 1913 1912
Ton miles per mile of road 312,764 262.082 276,145 283,873
Passenger miles per mile of road .... 788,588 815,345 839,325 819,824 Miles, second and additional main
track 138 138 138 138
Miles, yards and sidings 120 119 118 115
See Notes, page 285.
OF RAILROADS 91
ANN ARBOR R. R.
|
Avg. Miles |
Avg. Miles |
||||
|
Year Oper. Gross |
Surplus |
Year |
Oper. |
Gross |
Surplus |
|
1904-5 292 $1,922,593 |
$266,299 |
1910-11 |
292 |
$1,934,616 |
$163,146 |
|
1905-6 292 2.175.231 |
4.'^n.705 |
1911-12 |
"^92 |
2.120.385 |
180,2<84 |
|
1906-7 296 2,182.518 |
377.473 |
1912-13 |
292 |
2,084.696 |
153.802 |
|
1907-S . 296 1,8S2.7S2 |
60.396 |
1913-14 |
292 |
2.096.169 |
80.994 |
|
1908-9 301 1,708,481 |
22.244 |
1914-15 |
292 |
*2. 310. 902 |
100.757 |
|
1909-10 292 1,856.160 |
90.292 |
1915-16 |
292 |
*2,684,309 |
335,888 |
♦Outside Operations included.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30. 1916. June .30, 1916.
Common $3,250,000 Fixed Interest $7,000,000
Preferred (S^r) 4,000,000 Fquipment 512,181
*Notes 6% due 1919 618,000
Other 1,277
*$132.000 in Treasury or Pledged ; Secured by $1,500,000 Improvement and Extension Mortgage 5% -Bonds. Loans and Bills Payable, June 30, 1916. $115,500.
CAPITALIZATION Total Per Mile
Stock $7,250,000 $24,829
Bonds 8.131.458 27,847
Total 15,381,458 52.676
F'ixed Charg-es below include $55,305 for Hire of Freight Cars and $8,262 for Hire of Other Equipment.
INCOME ACCOUNT YEAR ENDING JUNE 30. 1916
Average miles operated, 292. Total Per Mile
Operating Revenues $2,684,309 $9,193
♦Operating Ext)enses 1.792,641 6,139
Net Operating Revenues 891.668 3, 054
Other Income (including $27,526 from Rentals) 34,926 120
Gross Corporate Income 926.594 3,174
Fixed Charges (including for Taxes, $159,764) 590,706 2,023
Surplus 335,888 1,151
OPERATING EXPENSES Xotal Per Mile
Maintenance of Way $241,835 $828
♦Maintenance of Equipment 379.899 1,301
Traffic Expenses 966,136 3,309
Transportation Expenses 58,871 202
Miscellaneous Operations and General Expenses 145,900 500
Ratio of Operating Expenses to Operating Revenues 68.1 per cent.
*Not including $35,828 Charges on Account of Equipment Retired, deducted from Surplus.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..22.9% 23.9% 24.1% 25.8% 2L9% 25.4% For Traffic and Other Operat- ing Expenses 43.1%
For Fixed Charges 21,7%
For Surplus 12.3%o
|
46.3%, |
44.5%7 |
41.1% |
43.5% |
40.3% |
|
25.5% |
27.6% |
25.9%, |
26.3% |
26.1% |
|
4.3%, |
3.8%, |
7.2% |
8.3% |
8.2% |
100.0% 100.0% 100.0%, 100.0% 100.0%c> 100.0%,
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 1,187,110 934,045 952,095 9.57.819
Passenger miles per mile of road .... 94,518 88,578 101,570 103.253
Miles, 3'ards and sidings 122 109 108
See Notes, page 286.
92 THE EARNING POWER
CHICAGO & ALTON R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1904-5 915 111,797.314 $1,602,3&5 1910-11 1,025 $14,592,519 $157,474
1905-6 970 11.586.094 1,009,980 1911-12 1,026 14,535,722 t303,722
1906-7 970 12,809,426 1.827.561 1912-13 1,026 15,2.54.865 tl.883,291
1907-8 994 12,087,735 1.320,912 1913-14 1,033 14.156.275 t2,762.290
1908-9 998 12.500,682 1,666.261 1914-15 1,050 14.245,624 11,690,156
1909-10 998 13,358.475 1,071,988 1915-16 *1,052 16,-325,288 tl71,578
♦Includes 37 miles of trackage. fDeficit.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $19,542,800 tFixed Interest $85,920,000
Preferred (4%) 19,544,000 Equipment 847,000
♦Preferred {A%) 868,700 Guaranteed Stocks 3,693,200
Other 32.615
♦Cumulative; "Prior Lien and Participating Preferred Stock." tincludes $16,8.34,000 General Mortgage 6% bonds due 1932, issued 1912-13 to 1914-15. Loans and Bills Payable, June 30. 1916. $2,657,040.
CAPITALIZATION Total Per Mile
Stock $39,955,500 $37,981
Bonds 90,492,815 86,019
Total 130.448,315 124.000
Fixed Charges below include $.396,537 for Rentals. $419,880 for Hire of Equipment. $250,024 Guaranteed Dividends and Interest on Securities of Subsidiary Companies, and $109,949 Amortization of Discount on Funded Debt.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated, 1.052. Total Per Mile
Operating Revenues $16^25.288 $15,518
Operating Expenses 11,601,794 11,028
Net Operating Revenues 4,723,494 4,490
Other Income (including $209,104 from Rentals) 254,182 242
Gross Corporate Income 4,977,676 4,732
Fixed Charges (including for Taxes, $566,839) 5,149,254 4.895
Deficit 171,578 163
OPERATING EXPENSES Total Per Mile
Maintenance of Way $1,849,002 $1,758
Maintenance of Equipment 3,421,351 3,252
Traffic Expenses 430.104 409
Transportation Expenses ^5, 414,097 5,146
General Expenses 487,241 463
Ratio of Operating Expenses to Operating Revenues 71.1 per cent. •After deduction $06,821 Transportation for Investment— Cr. APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..3L8% 34.7% 39.37o 38.7% 31.6% 28.3% For Traffic and Other Operat- ing Expenses 38.2% 42.5% 46.1% 45.2% 43.3% 43.2%
For Fixed Charges 3L1% 34.6% 34.0% 28.4% 27.2% 27.4%
For Surplus Deficit Deficit Deficit Deficit Deficit 1,1%
100.0%
1915-16 1914-15 1913-14 1912-13
Ton 'miles per mile of road 1,865,451 1,367.001 1,417,882 1,722,506
Passenger miles per mile of road .... 194,227 188,805 211,581 209,952 Miles, second and additional main
track 256 256 195 195
Miles, yards and sidings 450 449 441 418
See Notes, page 287.
OF RAILROADS 93
CHICAGO & EASTERN ILLINOIS R. R.
Receivers appointed May 27, 1913. Avg. Miles Avg. Miles
|
Year |
Oper. |
Gross |
Surplus |
Year |
Oper |
Gross |
Surplus |
|
1904-5 |
880 |
$8,423,378 |
1780,466 |
1910-11 |
*1,275 |
$14,880,409 |
$1,541,767 |
|
1905-6 |
948 |
9.928.563 |
1,144,958 |
1911-12 |
*1,275 |
15,215,513 |
1,0.57.799 |
|
1906-7 , |
948 |
11.337,714 |
1.670.168 |
1912-13 |
*1,275 |
16.214.972 |
1449.366 |
|
1907-8 |
957 |
10.742.731 |
1,136.228 |
1913-14 |
*1,283 |
15,544,286 |
tl, 525,892 |
|
1908-9 |
966 |
10.269,619 |
695.171 |
1914-15 |
*1.282 |
14.210,602 |
tl,844.497 |
|
1909-10 |
966 |
11,750.356 |
1.175,790 |
1915-16 |
1.234 |
16.698.404 |
86.579 |
♦Includes EvansvUle Terre Haute R. R. (310 miles) merged, and 159 miles of trackage 1914-15). tDeflcit.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $7,217,800 Fixed Interest $58,379,150
Preferred (6%) 11,070,400 Equipment 4,302,000
Other 14,552 Receiver's Certificates ... 6,200,000
CAPITALIZATION Total Per Mile
Stock $18,302,752 $14,832
Bonds 68,879,150 55.817
Total 87,181,902 70,649
Fixed Charges below include $801,130 for Rentals, $2,837,019 Interest Accrued on bonds, etc., but not paid and $13,628 loss. Separately Oper- ated Properties.
INCOME ACCOUNT YEAl5 ENDING JUNE 30, 1916
Average miles operated, 1.234. Total Per Mile
Operating Revenues $16,698,404 $13,532
Operating Expenses 12,680,319 10,276
Net Operating Revenues 4,018,085 3,256
Other Income (including $308,427 from Rentals) 1,077,501 873
, Gross Corporate Income 5,095,586 4,129
** Fixed Charges (including for Taxes, $703,457) 5,009,007 4,059
Surplus 86,579 70
OPERATING EXPENSES Total Per Mile
Maintenance of Way $2,284,191 $1,851
Maintenance of Equipment 3,849,471 3,119
Traffic Expenses 302,563 245
Transportation Expenses ; 5,693,140 4,614
General Expenses 550,955 447
Ratio of Operating Expenses to Operating Revenues 75.9 per cent.
Other Income above includes $594,107 from Hire of Equipment.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..34.5% 36.7% 37.8% 33.9% 26.4% 24.5% For Traffic and Other Operat- ing Expenses 36.8% 41.8% 40.0%, 40.5% 41.4% 39.4%,
For Fixed Charges 28.2% 34.0% 31.3% 28.2% -25.6%, 26.3%
For Surplus 0.5% Deficit Deficit Deficit 6.6% 9.8%
100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 1,901,203 1,522,213 1,724,429 1,824,851
Passenger miles per mile of road .... 125,758 116,696 129,773 131,630 Miles, second and additional main
track 335 3.35 210 210
Miles, yards and sidings 685 720 712 674
See Notes, page 288.
94 THE EARNING POWER
CHICAGO & NORTHWESTERN RY.
|
Avg. Miles |
Avg. Mil |
es |
||||
|
Year Oper. |
Gross |
Surplus |
Year |
Oper. |
Gross |
Surplus |
|
1904-5 7,408 |
$55,745,275 |
$10,417,822 |
1910-11 |
7.719 |
$74,918,186 |
$12,603,100 |
|
LU05-6 7.429 |
63,481.577 |
14,800,552 |
1911-12 |
7,859 |
73,698,591 |
11,467,330 |
|
1906-7 7,551 |
68,878,931 |
15,740,566 |
1912-13 |
7,974 |
83.035,921 |
14.875.013 |
|
1907-8 7.631 |
63.219,-344 |
13,638.691 |
1913-14 |
8.071 |
83,677,0.51 |
12,306,142 |
|
1908-9 7,635 |
65,978,471 |
13,935,294 |
1914-15 |
8,108 |
80,779.675 |
11.914 049 |
|
1909-10. 7,629 |
74.175,685 |
12,298,497 |
1915-16 |
8.108 • |
91,313,866 |
17,282,510 |
|
♦STOCK |
OUTSTANDING |
JBONDS |
OUTSTANDING |
|||
|
Ju |
ne 30, 1916. |
June 30, 1916. |
Common $130,117,029 Fixed Interest .....$203,848,000
tPreferred (7%) 22,395,120 Equipment 7,396,000
*Does not include S2, 338,502 Common Stock and $3,835 Preferred Stcct in Treasury. tSee Notes as to provisions governing the payment ot dividends. JDoes not include $3,391,000 Bonds and Equipment Certifi- cates in Sinking Fund, $3,680,000 Equipment Certificates owned by Company.
CAPITALIZATION Total Per Mile
Stock $152,512,149 $18,810
Bonds 211,244,000 26,054
Total 363,756,149 44,864
Fixed Charges below include $941,169 for Rentals.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated, 8.108. Total Per Mile
Operating Revenues $91,313,866 $11,262
Operating Expenses 61,952,329 7,641
Net Operating Revenues 29,361,537 3,621
Other Income (including $841,242 Rentals) 3,053,476 377
Gross Corporate Income 32.415,013 3,998
Fixed Charges (including for Taxes. $4,754,830) 15.132,503 1,866
♦Surplus 17.282,510 2,131
OPERATING EXPENSES Total Per Mile
Maintenance of Way $11,608,646 $1,432
Maintenance of Equipment 14,598,777 1,801
Traffic Expenses 1.307,139 161
Transportation Expenses t31.899.287 3.934
Miscellaneous Operations and General Expenses — 2.538.480 313
Ratio of Operating Expenses to Operating Revenues 67.8 per cent. *This Surplus before deducting $216,570 paid account of Sinking Funds. tAfter deducting $219,936 Transportation for Investment— Cr. Other Income above includes $1,561,932 Dividend Income; the larger part of this latter item represents Dividends received on C, St. P., M. & O. Ry. Stock.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..27.8% 27.6% 28.1% 26.7% 24.6% 24.8% For Trafl!ic and Other Operat- ing Expenses 37.9% 39.9% 40.5% 40.7% 43.9% 43.2%
For Fixed Charges 16.0% 18.3% 17.2% 15.4% 16.6% 15.8%
For Surplus 18.3% 14.2% 14.2%, 17.2% 14.9% 16.2%
100.0% 100.0%, 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 766,685 766,685 771,892 787,925
Passenger miles per mile of road .... 139,405 139,405 145,389 139,683 Miles, second and additional main
track 1,110 1,106 1,106 1,105
Miles, yards and sidings 3,421 3,407 3,364 3,279
See Notes, page 291.
OF RAILROADS 95
CHICAGO, BURLINGTON & QUINCY R. R.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1904-5 S.871 $65,973,046 $13,804,778 1910-11 *9,071 $88,272,208 $16,843,763
1905-6 8.896 74.146.671 12.742.431 1911-12 *9.n74 86.723.068 14.106.754
1906-7 9.122 82,473,2.51 13,155.207 1912-13 *9,109 94.374.4.^6 19.430.746
1907-8 9,236 78,459,064 12.115.489 1913-14 *9.1.39 92.7.50.934 17.114.407
1908-9' 9.282 79.414,357 12.338.136 1914-15 *9..339 91.125.061 19.041.919
1909-10 *9,023 87.869.517 13.308.746 1915-16 *9.368 102,358,893 29.846,270 *Does not include operations of Quincj'. Omaha & Kansas City R. R. (262 miles), previously included.
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $110.8.39.100 *Fixed Interest $179,858,500
*Does not include $23,074,600 bonds in Sinking- Funds and $11,069,900 bonds held by company.
CAPITALIZATION Total Per Mile
Stock $110,839,100 $11,832
Bonds 179.8.58.500 19,199
Total 290.697.600 31,031
Fixed Charges below include $1,380,446 for Rentals, $204,865 for Hire of Equipment and $41,888 Loss from Separately Operated Properties.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated. 9.368. Total Per Mile
Operating Revenues $102,358,893 $10,926
Operating Expenses 61,713,161 6,588
Net Operating Revenues 40,645,732 4,338
Other Income (including $590.5-59 Hire of Equipment) . 2,394,152 256
Gross Corporate Income 43,0.39,884 4,594
Fixed Charges (including for Taxes, $4,449,291) 13,193.614 1,408
*Surplus ' • 29,846,270 3,186
OPERATING EXPENSES Total Per Mile
Maintenance of Way $12,014,208 $1,283
Maintenance of Equipment 15.592,110 1,664
Traffic Expenses 1,610,627 172
Transportation Expenses t29, 550,936 3,154
Miscellaneous Operations and General jjjxpenses — 2,945,280 315
Ratio of Operating Expenses to Operating Revenues 60.3 per cent. *This Surplus before deducting $6,000,000 Miscellaneous Apnropriations of Income, $2,400,000 Fund for Accrued Taxes— not yet due and $1,817,679 Income applied to Sinking Fund. tAfter deducting $405,845 Transportation for Investment — Cr. Other Income above includes $709,837 from Rentals.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..26.3% 29.6% 29.87b 31.37o 30.0% 34.1% For Traffic and Other Operat- ing Expenses 32.6% 36.4% 35.4% 36.9% 35.8% 35.6%
For Fixed Charges 12.6% 15.9% 14.6% 15.9% 15.6% 15.6%
For Surplus 28.5% 18.1% 20.2% 15.9% 18.6% 14.7%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 1.076,784 913,068 942,339 965,083
Passenger miles per mile of road .... 119,306 115,561 126,058 125,139 Miles, second and additional main
track 922 889 878 786
Miles, yards and sidings 3,033 2,972 2,920 2,854
See Notes, page 292.
96 THE EARNING POWER
CHICAGO GREAT WESTERN R. R.
Chicago Great Western R. R. (757 miles), Mason City & Ft. Dodge R. R. (375 miles). Wisconsin, Minnesota & Pacific R. R. (208 miles) and trackage (86 miles).
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1909-10 1.498 $12,074,743 $360,536 1913-14 1,496 $14,260,522 $895,930
1910-11 1,492 12,618,642 767.908 1914-15 1,428 13,920,685 868,194
1911-12 1,469 12.795,2i2 183,609 1915-16 *1,456 15,067,345 1,763,994
1912-13 1,496 14,000,618 1,245,039
*Includes 86 miles of trackage. Actual mileage operated June 30, 1916, 1.496 miles.
STOCK OUTSTANDING BONDS OUTSTANDING
Common $45,210,513 Fixed Interest $37,899,000
♦Preferred (47c) 43.867,902 Miscellaneous 17,925
♦Cumulative since July 1, 1914.
CAPITALIZATION Total Per Mile
Stock ; $89,078,415 $61,180
Bonds 37.916,925 26,042
"Potal 126 995 340 87 222
Fixed Charges below include $690,701 for Joint Facilities, Rents, $36,448 for Hire of Equipment— Dr. and $34,123 Miscellaneous Rents.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average miles operated, 1,456. Total Per Mile
Operating Revenues $15,067,345 $10,348
Operating Expenses 10,716.498 7,360
Net Operating Revenues 4,350,847 2,988
Other Income (including $120,545 from Rentals) 197,495 136
Gross Corporate Income 4,548.342 3,124
Fixed Charges (including for Taxes, $553,129) 2.784,348 1,912
Surplus 1,763,994 1,212
OPERATING EXPENSES Total Per Mile
Maintenance of Way $1,983,135 $1,362
Maintenance of Equipment -2,436,353 1,674
Traffic Expenses 546,487 375
Transportation Expenses *5,241,849 3,600
General Expenses 508,674 349
Ratio of Operating Expenses to Operating Revenues 71.1 per cent.
♦After deducting $16,670 Transportation for Investment— Cr.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..29.0% 30.2% 30.5% 26.5% 26.7% 26.7% For Traffic and Other Operat- ing Expenses 41.2%
For Fixed Charges 18.2%
For Surplus 11.6%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 1,054,140 965,400 911.648 894 070
Passenger miles per mile of road — 112,058 110,401 107,069 102',925 Miles, second and additional main
track *129 *129 128 105
Miles, yards and sidings *575 *559 549 544
♦Includes 70 miles second track and 54 miles of sidings, representing trackage rights leased from other Companies.
See Notes, page 294.
|
43.6% |
44.7% |
45.9% |
50.7% |
47.3% |
|
20.1% |
18.6% |
18.8% |
21.2% |
20.0% |
|
6.1% |
6.2% |
8.8% |
1.4% |
6.0% |
OF RAILROADS 97
CHICAGO, INDIANAPOLIS & LOUISVILLE RY.
Avg. Miles Avg. Miles
Year Oper. Gross Surplus Year Oper. Gross Surplus
1904-5 592 $5,609,751 $1,114,949 1910-11 617 $6,186,879 $712,587
1905-6 592 5,921.001 1.197,636 1911-12 617 6,503.653 409,loJ
1906-7 600 5,988,867 995,026 1912-13 617 6,985,944 538.361
1907-8 611 5.167.160 362.363 1913-14 618 6.944.005 145.79.S
1908-9 • 616 5,319,386 502,887 1914-15 621 6,559.665 239,773
1909-10 616 6,020.242 861.580 1915-16 *622 7,694.734 892.083
♦Includes 104 miles of trackage,
STOCK OUTSTANDING BONDS OUTSTANDING
June 30, 1916. June 30, 1916.
Common $10,500,000 Fixed Interest $19,530,000
Preferred (4%) 5,000,000 Equipment 1.378,000
Other 26,160
CAPITALIZATION
Total Per Mile
Stock $15,500,000 $24,920
Bonds 20,934.160 33,656
Total 36.434,160 58.576
Fixed Charges below include $648,070 for Rentals, $4,862 for Rent of Equipment, $.53,598 Loss from Separately Operated Properties.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916
Average Miles operated, 622. Total Per Mile
Operating Revenues $7,694,734 $12,371
Operating Expenses 5,111.039 8.217
Net Operating Revenues 2,583,695 4,154
Other Income (including $41,344 from Rentals) 338,272 544
Gross Corporate Income 2,921,967 4,698
Fixed Charges (including for Taxes, $364,212) 2,029,883 3,263
Surplus 892,084 1,435
OPERATING EXPENSES
Total Per Mile
Maintenance of Way $838,061 $1,347
Maintenance of Equipment 1,279.091 2,056
Traffic Expenses 239.099 385
Transportation Expenses *2,532,261 4,071
Miscellaneous Operations and General Expenses 222,527 358
Ratio of Operating Expenses to Operating Revenues 66.4 per cent.
♦After deducting $6,212 Transportation for Investment— Cr.
Other Income above includes $82,979 Hire of Freight Cars— Cr.. $8,793 from Rent of Equipment, $73,200 Dividend Income and. $33,455 Profit- Separately Operated Properties.
APPROPRIATION OF GROSS INCOME
1915-16 1914-15 1913-14 1912-13 1911-12 1910-11 For Maintenance Expenses ..26.3% 26.8% 29.5% 28.3% 27.7% 26.3% For Traffic and Other Operat- ing Expenses 37.3%
For Fixed Charges 25.3%
For Surplus 11.1%
|
42.1% |
43.1% |
42.1% |
43.5% |
40.4% |
|
27.6% |
25.4% |
22.2% |
22.7% |
22.2% |
|
3.5% |
2.0% |
7.4% |
6.1% |
11.1% |
100.0% 100.0% 100.0% 100.0% 100.0%, 100.0%
1915-16 1914-15 1913-14 1912-13
Ton miles per mile of road 1,278,490 903.381 1,021,932 1,019,016
Passenger miles per mile of road .... 144,670 140,087 149,993 142.375
Miles, yards and sidings 274 276 278 274
See Notes, page 296.
98 THE EARNING POWER
CHICAGO, MILWAUKEE & ST. PAUL RY.
Avg. Miles Avg. Miles
Year Oper. Gross Surolus Year Oper. Gross Surplus
1904-5 6.908 $49,884,114 $12,478,783 1910-11 7,-512 $64,975,995 $16,358,314 1905-6 6.961 55.423.fir3 l-..547..*^2n 1911-12 7,.511 63,122,743 9.930.446 1906-7 7,050 60.548..5.54 13.866.775 IPl-'-l^ *9.612 , *94 0R4.055 *1,S.140.745 1907-8 7.500 56,9.?2.fi20 11,547,530 1913-14 *9,684 *91,782,691 *15.476.286 1908-9 7..512 59,897.463 12.8.81.832 1914-15 *10,053 *91,4?.5.374 *11.96<?.282 1909-10 7,512 64.846.894 18.681,784 1915-16 *10,130 *105,646,484 *16,717,357
♦Includes mileage and operations of Chicago, Milwaukee & Puget Sound Ry., merged Januarj' 1, 1913.
STOCK OUTSTANDING BONDS OUTSTANDING
June .30, 1916. June 30, 1916.
Common $117,411,300 jFixed Interest $356,157,255
♦Preferred {l'7c) 116,274,900
♦See Notes for provisions governing payment of Dividends, tln- cludes Bonds of C, M. & Puget Sound Ry. assumed. Does not in- clude $132.418,2CX) Bonds held in Treasury and $2,086,700 Bonds held in .Insurance and Sinking Funds.
CAPITALIZATION Total Per Mile
Stock $233,722,384 $23,072
Bonds 356,662,155 35,208
Total 590.384,539 58,280
Fixed Charges below include $1,039,907 for Rentals and $908,132 for Hire of Equipment.
INCOME ACCOUNT YEAR ENDING JUNE 30, 1916 Average miles operated,