| From the Nashville Union and American |
| |
| February 15, 1861 |
| |
| Nashville & Chattanooga Railroad |
| We are indebted to the
Superintendent, E. W. Cole, Esq., for a copy of the "Thirteenth Annual
Report of the Directors to the Stockholders of the Nashville &
Chattanooga Railroad Company," from which we learn that, notwithstanding
the failure of our crops and other disturbing causes, the earnings of
the road during the past year have been more than sufficient to meet all
the ordinary wants of the treasury after paying the stockholders six per
cent on their stock. The gross earnings are as follows: |
| |
| From Passage |
$ 346,463.05 |
|
| " Freight |
347,217.97 |
|
| " Mail |
30,999.96 |
|
| " Other sources |
9,437.84 |
|
|
Total |
|
$ 734,118.82 |
| Deduct Ordinary Expenses |
|
395,734.85 |
| Leaving as Earnings over ordinary expenses |
|
$ 337,284.16 |
| Out of which have been paid: |
|
|
| Interest on Funded Debt |
$ 95,730.00 |
|
| Extraordinary Expenses, New Buildings, New Track, Ballast,
Interest, Exchange, &c. |
54,???.11 |
$150,622.75 |
| Leaving as nett profit the sum of |
|
$186,762.01 |
| Out of which have been paid two semi-annual dividends of
three per cent each, amounting to |
|
123,443.36 |
| Leaving a Surplus of |
|
$ 63,318.65 |
| The Bond debt, and Stock of the
Company, which together, may be taken as constituting is
capital, may be stated as follows: |
| Capital stock |
$2,056,343.64 |
|
| Whole Bond Debt |
1,813,???.?? |
|
| Less Cancelled by Sinking Fund |
32,000.00 |
1,731,060.00 |
| Entire Stock and Bond Debt of the Company |
|
$3,787,534.64 |
| Of the foregoing Capital Stock, the Company owes and now
holds: |
|
|
| State Bonds |
|
$132,000.00 |
| State endorsed Company Bonds |
|
50,000.00 |
| 20 and one-half Shares Company Stock |
|
15,?12.50 |
| |
|
$286,512.50 |
|
| |
| The Vice President adds: |
| To this might be added
$150,000 of the Bonded debt which was contracted to pay for that amount
of stock in the East Tennessee & Georgia Railroad Company, which our
Company still owns; and upon which no dividend has yet been realized.
The constantly increasing business and income of that Company under the
energetic and judicious management of its present able executive
officers, justify the expectation that in the course of the next year or
two, we shall receive some direct cash returns for the heavy outlay,
originally designed to secure to our road important business in freight
and travel, which could not, in competition with other lines, be
obtained without a direct railroad connection between Chattanooga and
Cleveland. |
| The Legislature appropriated
$150,000 in State Bonds for the construction of new permanent work on
that part of the road between Stevenson and Chattanooga, to be used in
common by the Nashville & Chattanooga and the Memphis & Charleston
Railroads, and of this work there has been executed an amount which has
cost $141,987.44, on which the Company has drawn $140,000 in the State
Bonds. Only $30,000 of these Bonds have been sold, the remainder having
been paid for out of the treasury, the balance of the Bonds, $110,000,
to be retained permanently, or used to meet any emergency that may arise
in the affairs of the Company. |
| In February last the
corporation of Nashville placed in the hands of Jno. Porterfield, Esq.,
President of the Traders' Bank, for sale $525,100 of the stock of our
Company, owned by the city, limited at the price of 40 cents on the
dollar, and to remain at that offer for ten days only. This left no time
to call the Stockholders together to receive their instructions on the
important question of purchasing, on Company account, the whole, or a
portion of the stock. The directory, believing it would be advisable to
do so -- that it would be better to pay interest on the purchase money,
than dividends on the stock, determined to purchase 8,000 shares, (being
$200,000) of it and for this purpose contracted a loan for $80,000. |
| This $200,000 of stock, with
$8,131.25 more, which was taken on compromise with indebted Stockholders
and forfeited for non-payment of calls, was sunk by order of the Board,
thereby reducing the capital stock from $2,264,647.89 to $2,056,543.64. |
| It is believed that after the
treasury can be relieved from the burthens of construction, which will
now soon terminate, the debt contracted on account of "Stock Purchase"
and "Construction" may be rapidly sunk, and soon paid, out of surplus
profits, after paying expenses and dividends. But until this can be
accomplished it should be the policy of the Company to extend the debt,
if it can be done at a fair rate of interest. The saving of dividends on
$200,000, well justifying the payment of interest on $80,000 and the
ownership of the Bonds, the payment of the interest on the balance. |
| The McMinnville & Manchester
road being dependent solely on local freight and travel for employment,
has necessarily suffered heavily the past year from the causes which
have so seriously affected the business of the main line. |
| The accounts of its operations
are kept separate and distinct from those of the main road, and for the
last year may be stated as follows: |
| Total Receipts |
$ 21,132.22 |
| Total Expenses |
16,721.68 |
| Leaving as nett earnings the sum of |
$ 10,410.54 |
|
| Which is an increase of
expenses over the previous year of $2,371.72, and a decrease of nett
earnings of $5,972.20. |
| The increase in expenses may
be attributed to the greater age of the road and consequent decay of
timber in its structures, requiring some renovation, and re-adjustment. |
| The masonry and grading of the
Jasper Branch have been put under contract to reliable contractors, and
considerable progress made in the prosecution of the work; many of the
sections being finished or approaching completion. The graduation is
about half done. |
| The following is the condition
of the Company as reported by the Treasurer: |
| |
Liabilities |
|
| Capital Stock |
|
$2,056,563.64 |
| Funded debt, to wit: |
|
|
| Company's Bonds endorsed by State |
$1,650,080.00 |
|
| Less amount paid to the State as a Sinking Fund, which have
been cancelled and surrendered to the Company |
22,000.00 |
|
| |
1,568,000.00 |
|
| Company's Bonds unendorsed |
23,000.00 |
|
| Bonds of the State of Tennessee |
140,000.00 |
1,731,000.00 |
| Equipment Account |
17,510.00 |
|
| Suspense Account |
1,064.75 |
|
| Profit and Loss |
379,314.45 |
367,889.20 |
| Bills Payable |
245,430.33 |
|
| Due to individuals and agents |
46,224.51 |
|
| Due to Connecting Roads |
3,950.21 |
|
| Uncalled for Dividends |
14,711.24 |
278,525.28 |
| |
|
4,464,2586.?? |
| Assets |
| Road and Outfit per last Report |
$3,233,471.77 |
|
| Add amount paid during the year for permanent work and new
buildings between Stevenson and Chattanooga |
76,720.23 |
3,364,???.?? |
| Slaves |
7,230.54 |
|
| Real Estate exclusive of Depot grown as Stock in East
Tennessee & Georgia Railroad Company |
150,000.00 |
|
| Machine Shop Material |
28,?91.50 |
|
| Bonds of the McM & MRR Co |
10,000.00 |
|
| Balance due from McM&MRR Co |
34,763.26 |
347,583.51 |
| 620 1/2 Shares of Nashville & Chattanooga Railroad Stock,
cost |
4,825.30 |
|
| Bills Receivable |
31,123.81 |
|
| Due from Individuals |
9,230.69 |
|
| Due from Agents |
10,580.05 |
|
| Due from Connecting Roads |
57,7?0.28 |
|
| 50 of Company's Bonds endorsed |
58,000.00 |
|
| 132 of State of Tennessee Bonds |
132,000.00 |
|
| Due from Banks |
47,782.39 |
347,447.22 |
| |
|
$4,??4,258.12 |
|
| |
| {Printing was very
poor; many numbers are guesses} |
|