AR, M&WP 3/1/1862 P

Annual Report of the Montgomery & West Point RR
as of March 1, 1862,
President's Report
President's Report
Montgomery, Ala., April 8, 1862
To the Stockholders of the Montgomery & West Point Rail Road Co.:
   I submit for your information a statement of the operation of the Road for the past twelve months, and it is gratifying to be enabled to report a very much better result than we had any reason to hope for at the opening of the year.
     The receipts have been --
From Passengers $196,328.42
         Freight and mail pay 216,498.66
Amounting to $412,827.08
The expenses of operating the Road and keeping up repairs of Road and outfit, have been 206.274.60
Leaving the sum of $206,552.48
From which deduct balance of interest account 62,557.02
And the nett income for the year is shown to be $143,995.46
A fraction over 9 1/2 per cent. on the Capital Stock of the Company. Out of which a Dividend of 6 per cent. has been declared, amounting to 89,848.14
And the balance of $54,147.32
Is carried to the credit of Surplus Earnings, which now amounts to $229,462.67
And is invested as follows:
In Road and Outfit to amount of $60,209.02
1000 shares Ala. & Fla. {of Alabama, probably} R. R. stock 100,000.00
50 shares Tuskegee R. R. stock 5,000.00
36 shares N. & S. Ala. R. R. stock 3,600.00
65 negroes 46,836.13
8000 acres of land on line of Road 7,274.48
Real Estate in Columbus, Ga. 6,543.04 $229,462.67
   When you take into consideration, that every article necessary for working and keeping up the repairs of the Road and its outfit has advanced enormously in price, and that one third of the entire business of the Road has been for the Government, at reduced rates, you have every reason to be well satisfied with the nett income of the year.
   For details of expenditures, and for the condition of the Road and outfit, I refer you to the accompanying Report of the Superintendent, Mr. D. H. Cram.
   For details of receipts, and for the financial condition of the Company on the first day of March, I refer you to the statements herewith submitted by the Treasurer.
   The Board regretted very much that circumstances which could not be controlled prevented the payment of the dividend semi-annually, as heretofore, on the first day of November. The nett earnings of the Company were in Confederate and other Bonds, which could not be made available without sacrifice.
   Upon reference to the amount of interest deducted from the income, you will at once perceive that it is small for the amount of outstanding debts: the explanation of which is, that from bonds and debts due the Company a total amount of interest was collected within the year of $7,630.01, which deducted from the amount of interest paid on the funded and floating debt of the Company, $70,187.03, the balance of $62,557.02 is left; which was deducted from income.
   Since the closing of water communications between Mobile and New Orleans, and the heavy charges accruing on freight coming through by the inland route, the Company has been put to serious inconvenience to advance the large sums required. In the month of January this Company paid to Boats, for freight and charges on Sugar and Molasses destined for points East of Montgomery, $49,333.46. For this amount and our freight we get no return until the middle of the ensuing month. We have averaged for the last three months an advance of not less than $40,000 to keep up this business. This cannot, under the present state of things, be conveniently continued; and it has been deemed advisable to give notice that on and after the 10th of April this Company will not pay charges on freight coming from points South of Montgomery.
   Since the first of January, the Road from Montgomery to Selma has been placed under contract -- grading to be finished by the close of the year -- and arrangements are now being made to secure the aid proffered by the Government to complete the Road to Selma. There is good reason to hope that this line, so important to your Road, will be very speedily completed.
Charles T. Pollard, Prest.