SHREVEPORT, HOUSTON & GULF RAILROAD. The Shreveport, Houston & Gulf Railroad Company was incorporated in 1906, and its stock, amounting to $50,000, is owned by the stockholders of the Carter-Kelly Lumber Company, to which it is also indebted in the sum of $30,000. The two companies are identical in interest and have the same officers. The tap line runs for a distance of nine miles from a connection with the Texas & New Orleans and Cotton Belt at Prestridge, Tex., to the mill at Manning. It also operates for a distance of one and three-fourths of a mile under trackage rights over the Cotton Belt. The equipment consists of 4 locomotives, 1 passenger coach, 1 combination mail, baggage, and express car, and 32 freight cars. But 3 of the locomotives and 31 flat cars are leased to the lumber company and used by it for the operation of its logging tracks, which aggregate 7 miles in length and extend from the mill into the timber.

The tap line, runs two lumber trains daily in each direction, on which passengers, mail, and express matter are handled. Its passenger revenue for the year 1910 was $2,978.20; its revenue on express matter was $146.87, and on mail transported, $384.75. Its freight revenues for the same year amounted to $21,955.02. Although it participates in joint class rates less than 3 per cent of its freight traffic is supplied by others than the proprietary company. The lumber company itself moves the logs to the mill; and the tap line hauls the lumber from. the mill to the trunk lines, receiving from the Cotton Belt a uniform division of 4 cents per 100 pounds and from the Texas & New Orleans 3 and 4 cents per 100 pounds.

The annual reports to the Commission indicate that the tap line had on June 30, 1910, a surplus of $21,541.67.

Out of the lumber rates the trunk lines may pay to this tap line on the products of the mill of the controlling company at Manning a division of 12 cents per 100 pounds.