Annual report of the Board of Directors to the stockholders at their annual meeting ...

([New York] :  The Edision Electric Illuminating Co. of New York  )

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  1898: Page 53  



53
 

In the past year, the depreciation reserve has been equivalent

to 2%<^ on the capital stock, leaving the net earnings for 1898 on
stock, after excluding depreciation charges, over 10^.

In accordance with the general plan of providing reserve
accounts, the Company began in 1895 an insurance reserve
which has now reached $50,055 and is increasing at the rate
of approximately $io,ooo per year. The high rate of insurance
at that time and the co-insurance requirement made the cost of
insuring the fire-proof stations altogether extravagant, and it was
therefore decided as the Company had so many stations, it
could afford to become its own insurer and set aside the
equivalent of premiums for an insurance reserve. The Com¬
pany's property, outside its main^tations, has been kept insured
in the regular companies and';sQme."ihsu3'a|i^c;'-,'ha-s also been
carried on the main stations, the differehte-b&twreen^ these pay¬
ments and full insurance premium^;tjeiijg^credited to the re'serve
account. The insurance fund has be^n-^/n^ested "COpserv:atively
in outside securities,                                                ° ''■'°''    °     :

Company PRO^&R|Tfj'    .\    =-„  ,

It is by the application of the princi^les°''a5oye^ c'iled, and
through the co-operation of the men above named, that the Com¬
pany has steadily held its own as the largest electricity supply
company in the world, to the benefit of investors in its securities
as well as of its customers. The following table gives the story
of the development of the Company, from the investor's point
of view, since its start in 1883 ;
 


 

Edison
 

Income
 


 

Capital,
 

Interest
 

Surplus,
 

Earn¬
ings on
 


 

Earnings.
(Gross.)
 

Sources.
(Net.)
 

Earnings.
 

Loan and

Share.
 

and

Dividend.
 

incl. Deprec.
Charges.
 

Stock,
incl.
Dep.
 

1883
1884

T8SH
 

$53,089.65
111,672.57
127,619 71
 


 

*$4,457-5D
33,222.54
52,610.68
 


 


 

*l4.457-50
33,222.54
27,972.68
 


 


 


 

000
 


 

3
5
 


 

$3,713 28
 

1.000
 

000
 

§24,638.00
 

i^
 

tK«(S
 

i,'2,695.52
 

4,884.34
 

70,051.05
 

1,000
 

000
 

35,328,44
 

34,722.61
 


 

7%
 

1HS7
t8RF
 


 

11,367.62
 

89.069.96
 

2,417
 

800
 

41,464.64
 

47,605.32
 

3
 

1%
 

208,210.78
 

18,090.98
 

116,235.26
 

2,847
 

800
 

56.229.98
 

60,005.28
 

4
 

OS
 

tJ^Hq
 

313,254 13
 

16,51947
 

124,031.97
 

2.847
 

800
 

102,637.64
 

21,394.33
 

4
 

,3iS
 

tKiio
 

446,268.61
 


 

229,078,80
 

6,096
 

200
 

126,671.64
 

102,407.16
 

^
 

0%
 

tHqi
 

635.575.49
 

39,929.94
 

347,228.63
 


 

400
 

289 513.61
 

57.715 02
 

4
 

bS
 

iHn?
 


 

20.446.02
 

475.137-61
 

9,200
 

000
 

372,742.33
 

102,395.28
 

.S
 

7%
 

laq^
 


 

52,185.96
 

605,642.72
 

11,500
 

opo
 

595,995.33
 

9.647.39
 

5
 

8S
 

i8q4
 

1,369,066.72
 

95,269.72
 

789,466.58
 

12,250
 

000
 

683,462.67
 

106,003.91
 

7
 

3%
 

iKq=;
 

i,";44,822.78
 

130,408.67
 

915.758.74
 

14,368
 

000
 

744,759-50
 

170,999.24
 


 

2«
 

^Hqh
 


 

U5>323.89
 

1,080,156.94
 

14,380
 

ODO
 

798,320.00
 

281,836.94
 

y
 

w
 

1«Q7
 

2,015,102.09
 

175,658 82
 

1,261,497.04
 

14437
 

000
 

801,174.50
 

460,322.54
 

II
 

8;^
 

1898
 

2,423.795.33
 

1-282,709.62
 

1,487,128,05
 

l5,7<'o
 

000
 

867,743-50
 

619.384-55
 

12 6^
 

* Deficit,

■F $117,744   Income   from   Subway  Investment,  is included in   outside   ear
1898, hut not in 1897.
  1898: Page 53