The earnings of the Argentine North Eastern Railway over a series of years have been as follows:

It will be noted that gross receipts for 1915-16, as compared with 1914-15, showed an increase of approximately £69,000. Net receipts showed an increase of £60,000, and, after paying interest in full on the "A" debentures and stock and putting aside £20,000 for renewals, the company was able to meet the interest on the "B" debentures and stock for the second half of the year, interest for the first six months being paid in the funding scrip certificates. In 1916-17 and 1917-18 gross earnings showed further increases, and it is likely that the final returns will show substantial net increases, reflecting the better prospects of the property. Cattle traffic is now breaking all records, and a very large number of oranges are being handled. The amount of passenger traffic is fair, with prospects of increase owing to the fact that train service to Paraguay has recently been increased from one to two trains per week in each direction. The number of passengers carried during 1915-16 was 169,291, as compared with 263,171 during 1912-13. Dining cars and sleeping cars are carried on through trains.

The amount of equipment in service June 30, 1916, was as follows: Locomotives, 68; passenger-train cars, 96; freight-train cars, 1,270; ferryboats, 2. Sleeping cars and dining cars number 10 and 7, respectively.

The ferries engaged in traffic with Paraguay made 1,158 trips during 1915-16, as compared with 628 trips during 1914-15. There were 29,862 tons of freight received from and 893 tons shipped to Paraguay during 1915-16, as compared with 13,564 tons and 787 tons the year previous. A total of 26,848 head of live stock were carried. Passengers interchanged totaled 2,660.

CENTRAL RAILWAY OF THE CHUBUT CO.

There is one other British-controlled and directly operated railway property in Argentina, namely, that of the Central Railway of the Chubut Co., incorporated in 1886 to construct a railway extending from Port Madryn, one of the chief Patagonian ports, to Trelaw and Gaiman. The line is about 51 miles in length and serves an important section largely settled by Welsh colonists. At Port Madryn a substantial iron pier is owned. Extensions of this line have been contemplated for some time to carry the system across the Republic to the foothills of the Andes. The company during past years has paid a number of substantial dividends on its stock, which is outstanding to the amount of £200,000. The £1 shares recently sold at 7s. a share, a price far below the high record. The 6 per cent debentures of the company are outstanding to the amount of £125,000. The gross receipts of the property have been as follows: 1911-12, £35,184; 1912-13,

£40,052; 1913-14, £37,950; 1914-15, £28,526. The figures for 1915-16 and 1916-17 are not available.

ARGENTINE RAILWAY.

This company was incorporated in July, 1912, with a very broad charter. Interests were acquired or leases effected of several properties, including the Cordoba Central Railway, the Argentine North Eastern Railway, the Entre Rios Railway, the French Railway of the Province of Santa Fe, the Rosario & Puerto Belgrano Railway, and others. Owing to the crisis brought about by the war receivers were appointed for the company. The two-year notes of the company were quoted January, 1918, at about 56. Just what methods will be followed in the reorganization of the property (if it is to be reorganized) is at present uncertain. A number of the properties have been returned to their original owners. In addition to the railways mentioned, various land, cattle, and development properties were acquired by the Argentine Railway and were operated. The Argentine Railway is officially incorporated in Maine, and its preferred stock was listed on the Baltimore Stock Exchange. Very little American capital is invested in the enterprise.

FRENCH RAILWAY OF THE PROVINCE OF SANTA FE.

France, like Great Britain, has been attracted to Argentina as a country offering opportunities for the establishment and construction of railways. The principal so-called French lines in the Republic are the French Railway of the Province of Santa Fe (Cia. Francesa de Ferrocarriles de la Provincia de Santa Fe), the Province of Buenos Aires Railway, and the Rosario & Puerto Belgrano Railway. Of these various lines the most important and financially successful is the Province of Santa Fe line.

The original concession for the railway was granted by the Government in 1882 to John Meiggs & Sons, of London, the concession calling for the construction of 815 kilometers (506 miles) of line. This concession was acquired in 1888 by a French company known as the Compagnie Fives-Lille, which later in the year transferred it to its present owners. Year by year this company expanded the system, reaching into new territory capable of development and bringing a large immigrant population to the district. On December 31, 1909, the length of the lines amounted to 1,709 kilometers (1,062 miles). Between that period and June 30, 1915, 192 kilometers (119) miles) more were built, while concessions were held calling for the construction of an additional 274 kilometers (170 miles). The earnings of the system over a period of years have been as follows:

The shares are listed on the Bourse in Paris, and the bonds, which bear interest at 3 and 4 per cent per annum, are listed in Paris and London. The amount of bonds listed in London is £607,400. In January, 1918, they were quoted at 55, as compared with 63 at the time of the closing of the London Stock Exchange at the outbreak of the war.

Owing to various causes this company, since the year 1912-13, has found it impossible to meet the normal minimum interest upon the capital invested in its system. In 1914 the dividend paid upon the shares fell to 10 francs per share, equivalent to 2 per cent interest. In 1915 no interest whatever was paid to shareholders, nor did they receive any in 1916. During the 28 years of the company's existence, in two only has it been enabled to pay a dividend of more than 5 per cent. During 13 years it was possible to pay dividends varying between 0.84 and 4.76 per cent, while 13 financial years closed without the shareholders receiving any dividend at all in compensation for the capital invested.

In 1914 the financial situation of the company had become particularly critical. Without the assistance of its bankers in Paris it would have been unable to meet its most pressing charges and would have been obliged to suspend payments.

Since then not only has the company had to meet the fixed debenture charges but also (1) the expenditure necessary for reestablishing that part of the lines which was destroyed by the inundations of 1914 and 1915 and (2) maintenance expenses, demanded by official control or judged to be indispensable. The amounts thus invested have been as follows:

By this means

An issue of bonds at short date was made in 1916. the company raised from 5,000,000 to 6,000,000 francs amortizable in 10 years.

The following tables show statistics of working results, proceeds, and cost of fuel: