Railroads -- United States; Railroads -- United States -- Finance
Like the Baltimore & Ohio and the Erie, the Reading has benefited
largely from the favorable business conditions of the last decade.
The combined income of the three Reading companies has grown from
$48,422,971 in 1898 to $95,715,088 in 1907.[283] Earnings on the
Philadelphia & Reading Railway alone are now nearly as great as the
combined income of the three companies at the earlier date. Net
receipts were $13,586,710 in 1898 and $29,190,316 in 1907; and the
surplus over all payments rose from $1,376,420 to $8,741,454 between
those years. It is important to notice that this showing does not
depend primarily upon the anthracite business. Not only has the
carriage of general merchandise increased until it affords to the
railway a return almost equal to the earnings on coal, but in the coal
business itself bituminous has assumed an importance nearly as great
as that of its harder rival. The Coal & Iron Company still concerns
itself almost entirely with anthracite, and has accordingly been more
affected by special causes. The strike of the miners in September
and October, 1900, and again from May to October, 1902, checked the
growth in production for a time; but the increased demand for domestic
consumption has made possible an increase in output from 4,849,002
tons in 1897 to 10,034,713 in 1907. Increasing business has stimulated
improvements. Over $15,300,000 have been withdrawn from income by the
Philadelphia & Reading Railway Company for this purpose between 1896
and 1907; and over $10,000,000 have been invested from earnings by
the Coal & Iron Company during the same time in colliery improvements
alone. Maintenance charges have been ample. Whereas $1300 to $1500
per mile of single main track are sufficient for normal repairs upon
a trunk line, the Philadelphia & Reading Railway has spent over $2600
per mile of line for the last seven years, and over $1700 for the three
years preceding. As much as $73 has been spent in a single year for
average maintenance per freight car, $609 in maintenance per passenger
car, and $3244 in maintenance per locomotive. In consequence of these
repairs and of renewals upon a considerable scale, the average value of
all locomotives has increased between December 1, 1896, and June 30,
1906, from $4906 to $8393; the average value of freight cars producing
revenue from $383 to $622; the average value of steam colliers and tugs
from $41,533 to $55,451; and the average value of barges from $7930 to
$21,074. The average freight train load was 194 tons in 1897 and 403
tons in 1907. Ton-mileage has increased during the period 159 per cent
and freight train mileage only 27 per cent.
Public-domain text, read in full here on John Shaqi.
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