Show RAILROAD FOR SOUTH WILL BE profitable interesting figures Figu ici compiled bj government go eminent experts on proposed road acting in accordance kith ith the relent rei ent decision of the united states department of agriculture to place a billion feet of forest foreit timber of th the kaibas nati nal forest on the market subject to bid the fie officials of the file fourth district have issued the theof official lical ale prospectus ris r ais is A four page booklet any aari contains all of the available avail uble iti information formation in possession of the forestry service which would be considered hy by prospective bidder As ou outlined dined in the fhe original announcement no of the proposed sale the purchase of the kaibab timber offers an opportunity for permanent railroad investment as the marketing of the lumber would require a naile mile railroad from marysvale Marys vale the th present terminus of the den denier or ario grande to bright angle point with about twenty five mile for logging spurs the cost coat of this railroad construction and equipment is estimated by the government officials at with an additional for null mill construction lugging equipment and working capital in estimating etti mating the returns to be expected from the contraction cont ruction of 0 the proposed railroad the forestry fore itry ser serice ice has hag estimated on a basis basil of railroad construction and logging operation necessary to handle feet per lear it is easy to compute accurately cura tely toly the traffic to be derived from logs loe and lumber but the business tu to be obtained from other sources must be estimated efti mated on the basis of the present development and producing capacity of the region the annual return has been estimated at tons tona of hay grain and other farm products tons tong of livestock wool and tildes hides tors ton of bound general m 31 making tons in all on this estimated traffic the go government computers have figured an annual revenue at 2 50 per ton or with the passenger mail and express and other receipts the total revenue is estimated at with a deduction of bo 00 per cent or per year for expenses this thia gives adnet d net earning on traffic of while the annual earnings for the transportation of af lumber and I 1 logs s is estimated at deducting the interest on the original railroad investment of the government vern ment experts arrive at a net donual annual earning of for the proposed railroad the earning represents re 9 engg an annual return of 32 per cent on the total investment of while thero them would be a depreciation on the railroad it would also increase in value from year to year a the country is developed on this his point of valuation as a general railroad property the prospects says gays the construction of a irsil railroad road and the exploitation of the timber have therefore been considered interdependent and the tha busy business riess point of view taken that the of the project is determined by the return which may be expected upon the total investment required in railroad construction and in lumbering operation in working out this problem the contraction cont ruction of a railroad not only to handle the timber but to very serve a ano alio a common carrier to the southern utah country hm has been figured upon the idea has ha been tr to make available in an mount of timber which toge together ther wl with th other local traffic which the region now offers will assure a profitable return on the tha entire investment necessary neca aary Tri tribune burie |