&73,000 A Year For Dividends

$73,000 A YEAR FOR DIVIDENDS

Prospectus of the New Line to Detroit.

JUST LIKE READY MONEY

How the Promoters Figure Cost of System and the Revenues.

The compressed air line between Detroit and Ann Arbor being promoted by Thos, Muir & Son, of Detroit, which was first exclusively mentioned by the Daily Argus, has caused that firm to be interviewed by the Detroit Evening News, which says:

"The water franchises at Pikes Peak have been secured and the compressed air plant of the road will be located there. The farmers along the proposed line have granted rights of way sufficiently wide for a 100-foot boulevard from Detroit to Ann Arbor. Thos. Muir said today:

"Most of the stock has been subscribed for and the road is sure to be a success. It will run through a territory not touched by either the present Ann Arbor line or the line that runs to Northfield. We will cut right in between these two roads. Compressed air is proving so successful in the east that there is no reason why it should not be put into operation here. It is cheaper and more effective than electricity."

"The proposed line will secure entrance to the city for its cars over the Detroit-Citizens' lines.

The prospectus which the promoter issued was given in Wednesday's Argus, excepting the estimates of the cost of construction, the receipts and expenditures. These are interesting The cost of construction is given as follows:

Rails 60 ft. 70 Ibs. 4180 @ $30... $125,400

Joint plates, bolts and spikes...7,500

Ties 66 875 @ 40 cents...20,750

Track laying and ballasting $500 per mile... 19,000

Bridges. tressells, culverts, etc...40,000

Power house, car shed shop, in house...8,000

Extra land, dam, water wheel, etc...25,000

Freight house sheds, sidings, etc., at Detroit...15,000

Power House Plant and selling stock (Compressed Air System)...150,000

TOTAL...$416,650

The prospectus in figuring out the receipts says:

"There are eight mail stations on the route between Detroit and Ann Arbor, which according to report of the Asst. Postmaster General, should yield a revenue of $20 80 for carrying but one mail per day. The milk traffic alone will average at least 500 cans and should give the company $75, besides revenue from other light freight probably aggregating $100 daily. The passenger rates will range from five cents to 40 cents and an average of 1,250 passengers daily at 20 cents, this traffic should yield $250 per day."

These figures are tabulated as follows:

Mail Services...$20.00 

Milk and Freight...100.00

Passengers... 250.00

TOTAL... $370.00

The expenses per day are tabulated as follows:

7 Motormen... $15.75

7 Conductors...14.00

2 Engineers...5.00

4 car men...6.00

4 trackmen...5.00

5 station hands...7.50

Manager and Superintendent...12.00

Treasurer and two clerks...8.50

Office rent stationary, etc...3.00

Taxes, insurance, etc...4.25

General maintenance of rolling stock and power house...6.00

TOTAL...$87.00

Interest on bonds $570,000 @ 5 per cent...78.00

TOTAL...$165.00

This leaves a margin of $200 from daily revenues (after providing for operating expenses, interest on bonds, taxes, etc.) which would provide a surplus of $73,000 yearly for dividends on stock, sinking fund, enlargement of plant or extension of system.