AR, NC 6/1/1865 P
Annual Report of the North Carolina RR
as of June 1, 1865,
President's Report
 
President's Report
 
President's Office N. C. R. R. Co.
Company Shops, July 5, 1865
 
To the Board of Directors:
 
Gentlemen:
   I submit to you the sixteenth annual report of the operations of the Road for the year ending 31st May, 1865 All the earnings for eleven months of the fiscal year, were in Confederate money, and all the statements herewith submitted, including not only that currency, but also United States money.
Earnings From All Sources
From passengers, private $1,040,864.00
From passengers, C. S. and N. C. Government 1,496,924.66
From passengers, United States Government 16,446.56 $2,554,235.31
From freight, private 1,032,835.46  
From freight, C. S., and North Carolina Government 1,363,094.49  
From freight, Southern Express Company 386,027.54 2,781,957.49
From Mails 29,112.80  
From Shops 19,647.28
From Rent 5,094.55
From dividends, North Carolina Rail Road stock 15,910.00 69,764.63
     Total Earnings $5,405,957.43
Expenses
Transportation $596,299.05
Maintenance of Road 230,402.38
Maintenance of cars and machinery 324,201.84
Tax 68,339.23
Interest and premium 130,217.73
Rent of engines and cars 75,583.23
Hand Hire 179,078.70  
Loss and Damage 81,041.70  
Supply 1,280,171.66  
Salary 143,573.64 $3,108,909.16
     Nett Earnings $2,297,048.27
   Compared with last year
Gross earnings -- 31st of May, 1865 5,405,957.43
  "        "      "         "    "   1864 3,247,079.54
Excess this year 2,158,877.89
Nett earnings this year 2,297,048.27
  "        "      "  last   " 1,609,421.53
     Excess nett earnings this year $687,226.74

   It will be perceived that the business of the Company has steadily increased; and if we had received payment for our work in money that could now be use, we would be in good condition. But the failure of the Southern Confederacy leaves us with a large amount of Confederate funds on hand, and a very large debt due by the government, which had not been settled. *****

   The Confederate Government, in its several departments, did owe us a very large sum. As it appears upon our books, the amount was $1,379,941.08. But this amount has been considerably reduced by a transfer of various items of property bought by us from its agents prior to the surrender of the armies, the most of which is now in our possession, and will be permitted to remain. We purchased, just before the fall of Richmond, forty-eight freight cars, a large amount of brasses, wrought and cast iron, &c., amounting to over $600,000. Its agents also turned over to us, before the surrender of Johnston’s army, various supplies, all of which are secured to us, except a portion of the brasses, iron and lumber left at Raleigh, and we have hopes of getting them.
   The Navy Department being largely indebted to us, and other roads, through its chief agent at Charlotte, conveyed to the North Carolina Rail Road Company, to the Charlotte & South Carolina Rail Road Company, and to the Wilmington, Charlotte & Rutherford Rail Road Company, its machine shops at Charlotte, with all its tools, fixtures and material, in part satisfaction of our several debts. We are using our utmost endeavors to realize this property, and are not without hopes that the United States Government will allow us to have use and possess that, which in equity and justice, is our own.
   I had, for a long time past, required a settlement of our accounts with it every two months. And as fast as we received the money, all of it was used to purchase material and machinery for shops, and supplies for the Road, except what was necessary to meet expenses of working, &c.
   Thus we have been enabled to keep our motive power in first rate order (equal to the best) and we have now the satisfaction of knowing that, in many articles, we have a fair supply for our shops.
   The State of North Carolina also owes us quite a large sum -- $209,556.92 – for transportation. We have hitherto settled this account in payment of dividend, every six months, and I still hope that some satisfactory arrangement may be made.
The cash on hand the 31st of May, 1865 -- $355,865.48 – consists of the following:
Eight per cent, C. S. Bonds $17,000.00
Six per cent. C. S. Bonds, non-taxable 32,400.00
Call Certificates 167,500.00
Four per cent. Certificates 21,000.00
  237,900.00
Confederate money 114,344,64
352,244.64
Current U. S. money 3,620.84
Total amount $355,865.48
The financial question is a momentous one. We owe large sums, and much is due to us. All that have been presented have been satisfactorily adjusted, by paying the gold value of the debt at the time it was contracted. We will also receive debts due us on the same basis; but whether we can arrange with all, is a matter of great uncertainty.

Transportation

The number of passengers carried over the Road, has been 176,276
Confederate States soldiers, &c. 420,122
United States soldiers 9,767
Whole number of passengers carried 506,165
Whole number carried last year 394,649
Excess this year 111,516
Earnings from private freight has been --
   Amount carried East $565,288.45
          "          "     West 467,547.01
$1,032,835.46
C. S. and N. C. Government freight 1,363,094.49
Southern Express Company 386,027.54
$2,781,957.49
Total amount freight earnings last year 1,645,073.01
     Excess this year $1,136,884.48
   The foregoing statement will satisfy every one that an immense amount of work has been done with our limited means, and that your employees have been diligent and faithful.
   Our locomotives are generally in first-rate order. Two or three are almost entirely worn out. Three are now being rebuilt. Since your last annual meeting, the “Charles F. Fisher” has been built in your shops, from the ground to the top of the whistle, except the frame and outside shell of the boiler. She has been on duty since the 1st of April, and we do not hesitate to say that she is equal to the best, and reflects great credit upon her designers and builders.
   The remodeling of old engines, and building of new ones, should be steadfastly maintained; and I hope the time is not very far distant when we shall be able to make everything we need, in our own shops. A separate force is no employed on new work, and as soon as possible will be considerably increased.
   The four engines bought from the Confederate Government have been reclaimed by the Baltimore & Ohio Railroad Company and the United States Government, and under the instructions of the Secretary of War, they have been taken from us.
   During the year, we lost one of the best engines on the Road (the “Rowan”) by an explosion – the first instance on our Road. She had just been thoroughly repaired, and left the Shops on her first trip, when the accident occurred. The Engineer, Mr. James Martin, was a practical machinist, an experienced runner, and a sober, first-rate man. He was instantly killed, as also one of the fireman. We can give no satisfactory cause for it.
   We have now only twenty-one engines of all classes. Usually, five are in the Shops undergoing repairs, leaving us but sixteen for use on the road. At present, we require at least three more, which should be procured at an early day. Our equipment has never been sufficient, and it is poor economy to work your Locomotives.
   Our freight cars are in pretty fair condition. Old ones are being repaired, and new ones built.
   Our passenger cars are in bad condition. Several are being  overhauled, and will be out in a short time; but we need at least four first-class new coaches, which should be bought without delay.

The Road

   The Road is now in good condition, except bad rails. The work of ballasting and ditching has been carried on all the year, and much progress has been made in this important particular. Up to the 8th of January almost the entire line was well ditched. Then, an unprecedented flood filled up the cuts, and did us incalculable damage. In several places the road bed was washed away, and we had to build trestles. Two bridges were destroyed last summer by incendiaries: three were destroyed by the Confederate army, and two by the Federal army. The joint shed, and part of the warehouse at Charlotte, were accidently destroyed by fire in January. Stoneman’s Cavalry burned the warehouses, water-stations, and shed at Salisbury, and at High Point. Confederate Cavalry burned the warehouse at Raleigh. And the warehouse at Goldsboro’ was burned by careless soldiers, accidentally, after the Federal army had been in possession several days. All these bridges and buildings must be rebuilt within two or three years, the latter and some of the former, as speedily as possible.
  The iron rails upon the track are becoming unsafe, and it becomes a necessity to replace man of them with new bars. At least twenty miles should be procured and laid down.

Wood and Water

   We are still procuring a large quantity of wood off our own land, and we are getting a fair supply on many portions of the road from the owner of land; and the prospect is, that we will have enough to carry us through the winter. When labor becomes settled, and the negroes through the country find that they must work or starve, I think we will have no difficulty in procuring hands to cut wood, or do any other desired work.
   We have an abundance of water at all points on the Road where it is needed, at present.

Condition and Prospects

   *****
   No Road in the South has suffered as little as ours during the last four years. The Federal army struck it, for the first time, just before Johnston’s surrender; and though considerable damage was done, yet we have reason to be thankful that it was not greater. The Confederate army did us as much damage as the other, and at about the same time. Yet, in less than ten days, the Road was open again, and trains running with regularity. Much of the work, however, is temporary, and substantial structures must be erected. Seventy-five thousand dollars will probably be required to build warehouses and bridges that have been destroyed. The whole of this sum will not be required at one time; but the whole work should be done as soon as our means will admit.
   Our Engines are superior to those on any Road that I know. Our freight cars are as good. So that we are now enabled to do everything required by either the military authorities, or the public; though, in doing this, our equipment is too severely taxed. Our road-bed is in good order, and with the new iron that you must soon have, we will be in first-rate condition.
   *****
   To meet the extraordinary expenses of the new Locomotives, &c., we should have on hand about eight hundred and sixty bales of cotton, purchased in 1863. This was principally stored in the Districts of Spartansburg and Union, in South Carolina. I have sent an agent there to look after it, pay expenses of storage, &c., and report, but he has not returned, and I am unable to give any satisfactory account of its condition. As the Federal army did not pass through that part of the State, I am in hopes that it is safe, and in good order. {The following is copied from the next year’s Annual Report: The cotton purchased for the Road stands as follows: Original amount purchased, 862 bales. Of this, 118 were burnt by the U. S. Army; 77 bales stolen while in the hands of warehouse parties in South Carolina; 2 bales lost by C. & S. C. R. R. Co.; found at China Grove, 67; found at Gibsonville, 15; delivered by former Superintendent, 52; brought from South Carolina, 467; total, 657. Sold in New York, 90; wrecked in transit, 78 bales; sent to Liverpool 484.}
   *****

Conclusion

 In closing this report, I bear cheerful testimony to the faithfulness of the officers and employees of the Company. Almost without exception, they have performed, not only their ordinary, but even extraordinary duty, without complaint or murmur, and I do not believe that any Company has a more faithful, reliable or competent set of men.
Very respectfully submitted,
Thomas Webb
President

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