THE CUBA REVIEW 29 



Operating 

 Expenses and 



Gross Earnings Taxes (not in- Per cent Per cent 



from eluding First of Gross Net Earnings of Gross 

 Departments Operation Charges) Earnings from Operation Earnings 



Electric Railway $5,751,024.44 $3,742,396.53 65.07 $2,008,627.91 34.93 



Electric Light & Power 5,372,756.51 1,547,465.12 28.80 3,825,291.39 71.20 



Gas 1,781,512.19 1,014,391.03 56.94 767,121.16 43.06 



Omnibus 5,414.03 4,715.42 87.10 698.61 12.90 



$12,910,707.17 $6,308,968.10 48.87 $6,601,739.07 51.13 

 From the accompanying report of the General Manager, to which your attention 

 is respectfully called, you will note that: 



Gross Receipts from all sources for 1922 were $13,099,760.04 



The total deductions for operation, maintenance and accrued taxes were $ 6,308,968.10 



The net additions to Property Account were $ 2,239,862.60 



Customs duties on Imports into Cuba were $ 147,945.04 



Other Cuban Taxes paid amounted to $ 297,229.92 



United States Taxes paid $ 39,115.94 



Total number of Passengers carried was 113,011,816 



Passenger Car Miles were 17,532,658 



Passenger Earnings per Car Mile were $ .3222 



Total net output of your Power Plant in K. W. H. was 90,0.^8,240 



Total K. W. H. sold. 58,278,660 



Total number of Electric Meters installed December 31, 1922 40,756 



Total Cubic Feet of Gas output. 1,141,709,227 



Total number of Gas Meters installed December 31, 1922 15,078 



During the year 1922 Cuba suffered more from industrial and economic unrest and 

 uncertainty than during the previous year which, as you will remember, followed the 

 collapse of the Sugar Boom of 1920 and the Bank failures of that year. The adverse 

 business conditions brought about thereby compelled industrial concerns to reduce 

 their scale of operation or shut down altogether and continued nearly throughout 1922. 

 Economies introduced by the Government reduced the number of its employees and 

 increased the army of unemployed. Not only was the patronage of our street cars 

 affected by these conditions but they also led to a curtailment of consumption of elec- 

 tric current and gas. Everywhere the lack of confidence made itself felt, and only 

 in the last few months of the year a change for the better was noticeable; this recovery 

 to normal conditions, after the severe financial crisis which Cuba experienced, came, 

 however, too late to favorably affect the earnings of your property; nevertheless the 

 results obtained are satisfactory under the circumstances. 



The Electric Light & Power Department shows an increase in output of 9.8% 

 and the same percentage in Net Earnings from Operations over 1921. 



The Gas Department earnings are much more favorable than those of previous 

 years, due to the decrease in price of coal and gas oil and to more efficient operation 

 made possible by recent improvements at the Gas Works. 



The Railway Department showed a decrease of 3.96% in Gross Earnings, but an 

 increase of 15.1% in Net Earnings compared with 1921. 



Your Rolling Stock was increased by ten New Model cars. The improvement in 

 methods of construction and maintenance of cars and equipment introduced has shown 

 satisfactory results. 



In your Power Plant the first of the two 25,000 K. W. turbine-generator units was 

 put into regular service in September and work is well advanced for the installation 

 of the second unit. This difficult task has been accomplished without interfering 

 with the regular and continuous service to the City of Havana. 



The better conditions in the money market made it desirable in the judgment of 

 your Board of Directors to retire the $1,500,000.00 Five-Year Seven Per Cent. Secured 

 Convertible Gold Notes due September 1, 1926. Accordingly, the Company called for 

 redemption on September 1, 1922, all of the outstanding Notes not previously converted 

 into General Mortgage Bonds under the terms of the Note Trust Agreement. 



