1907 - Annual Report of Norfolk and Western

[NW Mailing List]

Roanoke Times - September 14, 1907

ANNUAL REPORT OF NORFOLK AND WESTERN

   The annual report of the Norfolk and Western railway, covering the 
fiscal year ended June 30 last, shows gross earnings of $31,164,381, 
an increase of $2,678,615 operating expenses, $19,514,535, and an 
increase of $2,449,911; net earnings, $11,649,845, an increase of 
$226,703. The operating expenses were 62.6 per cent of gross 
earnings, as compared with 59.9 per cent last year. The earnings from 
passengers amounted to over $4,000,000, and the earnings from freight 
to over $26,000,000. President L. E. Johnson is also reported as saying:
   "Among the industries established on our lines during the year are 
the following: Twenty-one manufactories of mineral and metal 
products, 66 manufactories of lumber products, 27 manufactories of 
farm implements and farm products, 7 coal mines. At the close of the 
year 165 coal and coke companies were in operation; 13,673 coke ovens 
were completed, including 2,151 coke ovens of the United States Cola 
& Coke Co., and 64 coke ovens were under construction. There were 
also in operation 17 iron furnaces, with an estimated aggregate 
capacity of 2,505 tons of pig-iron per day; four furnaces, with an 
aggregate capacity of 510 tons of pig-iron per day, were out of 
blast. Considerable double-tracking and tunnel work has been 
authorized and is under construction. * *
   "The policy of our management has been to supply adequate 
facilities and sufficient equipment to move the business offered to 
your lines, and rapidly as the necessary funds could be secured from 
surplus income or through the sale of the company's securities. 
Notwithstanding its persistent efforts to that end, the expansion of 
industrial requirements has been so great as to prevent their 
complete realization. The results obtained in the company's 
operations amply demonstrate the importance and value of the work 
already completed, and the further construction, equipment and 
betterment work heretofore authorized and in progress is urgently 
needed to conduct economically the business offered to the company 
which could fully employ all such facilities were the same now 
completed and in use.
   "The rapidly-progressing development of the coal areas tributary 
to the company's lines makes it increasingly evident that the demands 
upon the management for transportation cannot be properly met without 
the complete double-tracking of the line from Concord to Columbus, 
which will involve the construction of 150.18 miles of second track, 
in addition to the already authorized, together with additional 
passing sidings.
   "This work, while important to the interests of the stockholders, 
is equally important to the welfare of the Commonwealths traversed by 
your lines. It therefore goes without saying that any policy which 
hampers the development of railroads, or by depleting their revenues 
lowers the credit and thus repels investors, cannot but be fraught 
with disaster both to the state and to the railways."


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- Ron Davis, Roger Link