Edit post

Edit your reply below.

Post Body
Enter your post below.
Quoth GP40-2: "Well guess what, the PRR never missed a dividend payment to its shareholders, even during the Great Depression. Can the N&W or any other RR say that???" Well, yes. Here's a little information that may interest you: N&W was reorganized out of bankruptcy in 1896, and began paying dividends on its common stock in 1901. It paid dividends on its common every year, not missing even a quarterly, until its merger with the Southern in 1982. The total amount paid, from the Annual Reports to the Stockholders, was $1,970,378,285.81. That's $1.97 Billion. With a B. In 1900-1901, PRR paid $17.9 Million (with an M) for 39% of N&W's common stock, which it held until forced to divest in 1964 because of the N&W's mergers, and the Penn Central merger. Residual payments continued on a decreasing basis until completed in 1974. Adding up 39% of N&W's annual dividends for each year from 1901 to 1974 means that the PRR received a total of $406,676,041.98 from the N&W. A nice return for a $17.9 million investment, don't you think? Now, during the years 1930-1940 - that covers the Depression, you may remember - the dividends paid the Pennsy by the N&W totalled $73,859,152.38. Lore has it, but I haven't been able to confirm it, that in one of those depression years the PRR made no money on its own operations, but paid its own stockholders the same amount that N&W paid it that year. So if the PRR "never missed a dividend payment to its shareholders" it has the N&W to thank. Now, here's another point for you to ponder. After the N&W dividends were withheld after 1964 with just a shrinking stipend to be paid until 1974, how fast did the PC go into the toilet? Post war, 1946 to 1964, N&W's payments to the PRR totalled $193,856, 647.19. N&W's Annual Reports for its entire corporate existence - 1896-1982 - are available from the N&WHS on CDRom. If you care to confirm this information, go ahead and buy the CDRom and add them up for yourself. If you would blather about N&W's dividends, it would be nice if you knew what you were blathering about. I'd like to hear from somebody from the C&O or UP with information about what dividends they paid during the same periods. Remember. That's $1.97 Billion. With a B. Old Timer
Tags (Optional)
Tags are keywords that get attached to your post. They are used to categorize your submission and make it easier to search for. To add tags to your post type a tag into the box below and click the "Add Tag" button.
Add Tag