Gray Line 1963 Estimated Results of Operations Under Present and Proposed Fares 1963 - Cal PUC by AC Porter

PO. TE'I

Application No. 441". Exhibit No. ' B ·

Witness PQct¿er

Date . M~ 1. /962 . .

Corrnniss{ f-Iq14PO#: .

Extl.miner Zbo 9o .¡:a n

ver

. CALIFORNIA PUB1IC UTI1I'I'IES COMMISSION TRANSPORTATION DIVISION ENGINEERING ECONOMICS BRitNCH

Ph.SSENGER SECTION

ENGlNEERING-ECONOMIC REPORT OF ESTIMaTED RESULTS OF OPERATIONS THEGR1~Y LINE, INC. UNDER PRESENT ANO PROPOSEn FARES

FOR

YEJtR ENDING~CH 31, 1963

J\PPLICATION NO. 44176

. San Francisco, California . April 30, 1962

Albert C. Porter Associate Transportation Engineer

CALIFORNIA PUBLIC UTILITIES CONNISSION

TRANSPORTATION DIVISION

ENGINEERING ECONOMICS BRilNCH

FASSENGER SECTION

ENGINEERING-ECONOMIC REPORT OF ES'l'IMi~TED RES端LTS OF OPERATIONS THE GRAY LINE, INC. UNDER PRESENT AND PROPOSED FARES

FOR

YEAR ENDINGWillCH 31, 1963

APPLIC/.TION NO . 44176

Albert C. Porter Associate Transportation Engineer

San Francisco, California Apr il 30, 1962

---

-_._ -

- - --

- --

足

TABLE OF CONTENTS

Table

Subject General Cornments. • •

III IV V

...... .. ... .... . .

Results of Operations Under Present and Proposed Fares • • • • •

••••

a 1

Results of Operations

U,der Present Fares by Type of Service • • • • • • • •

Estimated Sightseeing Revenue

Under Present [:nd Pr opos ed F?r es .

... . Historical Revenues by Type of Service. • . . . . . . . Operatin g Expenses by Type of

Service Under Present Fares ........ Rate Base and Depreciation Expense. • • • . . . . . . . . ..

Appendix

Corporate s tructure, AVis, Inc o

••

......

VII

Development of Miles Operated •

VIII

Account

Account 4660, General Office and

Administrative Expense • • • • • • • • • • •

4140,

Labor Development

... .....

Bases of Separation and Allocation.

... ....

'¡'HE. GH." Y

LD~E

t;PPLICi~T I ON

zInC. NO . 44176

Introduction The Gr<".y Line , Inc. is

corpor:1.tion eng2.ged in the tnmsporb tion

of passengers by motor eOa ch in San Francisco a nd a rea s ad j a cent thereto. p rirr~ry

The

ope r Qtions of applica nt are sightseeing tours, r a e e tra ck s ervic e ,

cha rt er s ervi ee, <,-nd contrn ct stevedore movements.

The sightseeing a nd r a e e

trn ek serviees a r e eertifieated opera tions with f a res under the jurisdietion of this Commission. Tl1e Gray Line, Ine. is a \<lholly-owned subsidiary of t he J\irport Limousine Compi-wy whieh in turn is a wholly-owned subsidiary of Avis , Ine., Boston.

(See dié'..gram in :~ ppendix, Page 13).

By this a pplication, Gray Line proposes to increa se it s sightseeing f a res by a pproxime-.. tely 13%.

No inereé\Se in rA.ce track fares is request ed.

The purpose of this report is to set forth

estlilli~ ted

opera tion for the company under present ,md proposed fares for

r esults of P.

r a te ye;¡" r

ending Hc.rch 31, 1963. Level of Serviee Due to a work stoppa ge, Gray Line did not operate during Novembe r and December 1961, éllld p<."l. rt of J anuc:. ry 1962 .

For purpOS8S of this r eport,

t he level of tr?.ffic a nd s ervice for the yea r ended October 31, 1961 wi thout any ad justment for trends has been used as a b?.sis for deve loping r esults of operation for the aforementioned r ate ye nr. Hile s The company

~~intains

no mileage records by t ype of s ervice; however,

t he tot a l mileage opera ted by a 11 Gra y Line buse s is m<:üntained on the fueling reeords of the company.

The va rious mileages for the serviees were developed

from reeords mai nt a ined of the numb er of trips by type of serviee and samples

- a -

- - - - - - --

---------

of the miles

oper~ ted

for various types of trips.

The detnil of this development

is shown in the i-Ippendix, T,-:, b18 VII, Page 14. RevenueS For the rate year, revenues under present fares have been estimated at the same level as the historicĂŠ'.l periodo

Ta ble III, Pages 4 and 5, sets

forth sightseeing revenues under present f ares a nd estima ted sightseeing revenues under proposed fares.

1m eXi.'l,mination of this t nble will show tha t the

fares reques t ed for the various tours operated are not uniformo that no

It is eoneluded

of traffic will occur under proposed fares due to the nature

d~ninution

of the opere.tion. Qperating Sxpenses Specia l studies of applieant's operations and a ecounting proeedures revealed tha t nd justments to the historical expenses for Account 4100, Equipment Hai ntennnce and Garc-,ge Expense, and :'.ecount 4600, General ani Administra tive Lxpenses, ""ere required to properly r e flect the results of opera tion for Gray Line. r

pplicant pro vides management and maintemnce service for a ffilia ted auto and

truck r ent.:" l companies and also a minor i'..mount of mainten."tnce for other bus and truck operators.

It was found tha t onlyabout 50% of applicantls maintelmnce

operations are devoted to the repair of applicant's equipment and tha t the amount applicant charges for outside repairs does not cover applicant's cost including overheads. equipment

W<'.. S

made .

Therefore, a s peeial study of time devoted to applicant's The results of this study are shown in detai1 in the

Appendix, Table VIII, Page 15.

:id justments made to ', ccount 4600 were directed

to Account 4613, General Office Employees, and hccount 4660, Hanagement Fees, to reflect services provided for other affilia ted operations.

Applicant pays

certain of its general office employees directly and charges these amounts to Account 4613.

In addition, Avis, Ine., Boston, through

~ irport

LDnousine Company

cha rges applic ant 5% of gross revenue for management and accounting services; - b Â

- - -

- - - - - - - - - - - - - -- - - - -

this

ch~rge

is r eflected in BCCOunt 4660.

It is estDnated that a rea sonab1e

and proper eharge for Accounts 4613 and 4660 combined is $90,100 per yea r. The basis of t J:Ü.s estima t e is the r el a tive time required for the various s ervices; t he deta il is s et forth in the Appendix, Ta ble IX, Page 16. other expenses were based on the level which prevailed during the period ad justed for known increases in wages and salaries.

All

histo~ic a l

Certain r el ated

r edu ctions were made in aceounts influenced by the ad justments na de in Accounts 4100 and 4600.

The detail of operating ex?enses is shown on Tab le V,

Pages 7, 8 and 9. Opera ting Taxes and Rents Operating t axe s and rents were estimated primarily from amounts for the historical period adjusted for known changes in items such as licens e fees and s pecific location r ents. Table V, R~te

P é~ ge

The detail for these exper.ses is shown on

10.

Base and Depreciation Expense The

~tjor

portion of rate ba se a nd depreciation expense is eomprised

of revenue equipment.

In general, a t en year life wit h a $500 salvage va lue

has been used for revenue equipment. 2~%

\tJorking cash ha s been estimated to be

of gross r evenue and is based on the amount al10wed by Commission Decision

No. 48570 in App lica tion No. 34055 of The Gray Line, Ine.

Detail of rate base

and depre ciation expense is shown on Tabl e VI, Pages 11 and 12. Ineome Ta xes Avis, Inc., Boston, files a consolida ted ineome t ax return which i ncludes The Gray Line, Ine. opera tion. therefore, paid no taxes for the

~, st

Since Avis has shown no profits and ,

three years, the only income t ax refleet ed

in this r ep ort is for the California Franchise Ta x filing fe e of $100.

- e

Separa tions and Alloca tions As mentioned, applicant I s operations consist of several different types of services.

For oper&ting purposes, equipment and manpower for these services

are used interc ll.? ngeably.

Therefore, it becomes necess<" ry to separate t he

certifica ted operations from the tota l operation and the methods used for this separation are Shovffi in the Appendix beginning on Page 17. in general t he separations have been on a direct basis.

It vüll be noted tha t

Certain allocations are

required and these have been based on the staff I s analysis of ap¡::.lica nt I s opera tions, a lloca tion procedures approved by the Cornmission in previous proceedings of Gray Line and Té;nner Gray Lines, Los Angeles, and the staff I s gener a l exper ience in separ a tion and alloca tion procedures. Results of Opera tion Table 1 con t é1.ins the estimated results of operations for the rate yea r under present and proposed fares for the total operation and the operations.

Under present fares, the net income for the certificated operations

is estirné'!. tedtobe of 15.3%.

~ertificated

~;' 76,550

vdth an operating ratio of 93.9% and arate of return

Corresponding figures under proposed fares are

~198, 050,

85.9% and

39. 7~s . Tab l e 11 shows the estimated results of operations under present fares sepa r a ted to the company's various servic€s. Conclusion In Decision No.

a n opera ting r atio of

55969, Applicé'. tion No. 38241, the Comrnission found that

93.6 ~

was reasona ble for a pplicant's sightseeing operations.

The results of this study as noted above show an

operatin,~~

r a te of return oí 15.3% for certificated operations. conclusion tbat the

~resent

ratio oí 93.9% with a

Therefore, it is the sta ff's

fares are r easonable and that no increase in sight

seeing fares is justified at this time.

- d

\HNE.

TABLE 1

THE GRA INC. ESTlMATED RES~S OF OPERATION FOR THE YEAR ENDING MARCH 31. 1963 APPLICATION NO. 44176 : Acct.: No.

Under Present Fares :Under Proposed Fares Total :Certificated: Total : Certificated: :0 rationg-l: :0 2

Descri tion Miles Operated

3201 3204 3211 3900

1,092,700

Operating Revenues Sightseeing Race Track Special Bus Other Total Revenues

4100 4200 4300 4400 4500 4600 5000 5200 5300

02erating Expenses Maintenance of Equipment Transportation Station Traffic and Advertising Insurance and Safety Administrative and General Depreciation Taxes and Licenses Rents (Net) Total Expenses Income Befare Income Taxes

.. 1,092,700

753,200

$1,055,800 $1,055,800 $1,194,200 ll¡.3,300 ll¡.3,300 ll¡.3,300 472,200 472,200 65,100 65,100 65.100

$1,194,200 143,300

~p1, 874, 800

$1,402,600

237,800 $ ll¡.8,500 $ 237,800 800,400 800,400 391,400 190,200 227,600 213,300 102,200 131,800 133,900 48,400 73,300 73,300 181,700 181,700 109,900 99,200 77,100 99,200 62,600 100,200 99,700 61,100 61.100 57.300

$ .148,500 391,400 204,500 104,300 48,400 109,900 77 ,100 63,100 57.300

$1,898,300 $1,187,600 $1,915,200

$1,204,500

$1,736,400 $1,264,200 $

$ (161,900)$

Income Taxes

~¡.

65,100

(40,4 0Q)

$ 198,100

100

$ (162 ,000)$

Rate Base

Rate of Return

76,600

100

Net Income

Operating Ratio

753,200

76,550

(40.500)

198,050

616,700 $ 499,200

616,700

499,200

109.3

102.2

93.9

85.9

15.3

39.7

Sightseeing Plus Race Track Operations. (Red Figure)

- 1 -

-- -

- - --

- --

ThE. GRAY LDIJE, INe . RESULT,s OF OPERATION APPLICATI 0N NO . 44176 Esti~~ t e

: Account: No.

: Book Re cord

: Ye f\ r Ended

Des cri '~Jt i on

3201 3204 3211 3900

Qperating Re venues Sightseeing Ra ce Tr <',ck Speci ~l Bus Other Tot<'. l Revenues

4100 4200 4300 4400 4500 4600 5000 5200 5300

Qperét tinr~ Expenses Hai nt emnce oí' i:t.;quipment Tr<1.ns :Jorta t ion St é:. . tion Tra ffic and Advertising Insur ~ nce a nd Sa f e ty Administr':-. tive and Genera l Deprecia tion Tt',xe s 2nd Licenses Rent s (J~et ) Tota l Expenses

l\)

Income de fore InCOl.lle Taxes Income Taxes Ne t I ncol.;e Ra t e Ba se

Ra t e of Re turn (Red Figure )

T~tal

1, 092 ,700

65 ~123 ~1,736,43 3

281,107 738,415 222,704 131,593 74, 203 207,033 97,076 100,902 61 z048 :~ 1, 914 , 081

$ 237, 800 21.8 ~~ 800,400 73.2 213,300 19.5 131, 800 12.1 6.7 73, 300 181,700 16.6 99,200 9.1 9.1 99,700 5.6 61z100 t.~1, 898, 300 173.7 (;,

;¡¡,

(177 , 6--,+~J

89 ,300 409,000 23 ,100 29,600 24,900 71,800 22,100 37,100 3 z800 710,700

(J,61,900) (14. 8)$(238, 500) 100 50 :¡" (238,550) ~i; \R2,oOO) ¡.

616,700 109.3

753,200

339,500

:,.,1, 055,800 154 .7 143,300 202 .4 l.72,200 139 . 1 ~ 472,200 65, 100 9. 5 $1,736,40 0 158.9 S, 472,200

$1,055, 849 143, 286 472,175

':.}

Ope r a t ing Rdi o - %

Under Present Fares : Charter :

10/31/61

1, 092,697

Hile s Oper é"ted

TABlE 11 Sheet 1 of 2

117,500 150 .5

.. :;;,1, 05 5,800

154 . 7 143,300 202.4

137.1 _ 65!100 9. 5 139.1· ~1,2 64 ,200 167.8 26 .3 120 . 5 6. 8 S.7 7. 3 21.1 6.5 10.9 1.1 209.3

148,500 19.7 391,400 52.0 190,200 25.3 102, 200 13.6 4S,400 6.4 109;900 14.6 77,100 10.2 62,600 8.3 57 z300 7.6 ~~1, 187,600 157.7

(70.3)$ ~i t' '!I'

76,600 50 76,550 499,200 93.9 15.3

10.2

THE GRAY LUJE, INC. RSSULTS .OF OFERATIONS APPLIC ATION NO . 44176

:Acct.• : No .

:·Book Record :YGar Ended Description

:10/31/61 ( 1)

3201 3204 3211 3900 1,

IV) I

4100 4200 4300 4400 4500 4600 5000 5200 5300

Op sr ating Revenues Sights6eing R2.ce Tr ack Special Bus Other Total Revenues

$1,055,849 143,286 472 ,175 65,123 $1,736,433

Oper ating ExpenseS Hui ntenance 01' Equipment Tr2nsportation Station Traffic and Advertising Insurance and Safet y Administr ation a nd General D6Dreciation Taxes é'.nd Lice.nses Rents ( Net) Total Expenses Incoffie Before Income Taxes Income 'l'axes Net Income

Rate of Return (Red Figure )

:¡p

281,107 738,415 222 , 704 131,593 74,203 20 7, 033 97,076 100,902 61, 048

:~1 , 914 , 08I ~-(l77 ,648)

1,092,700

% %

753,200

$1,055 , 800 $1,055,800 143 ,300 143,300 h72,200 65 ,100 65,100 $1,73 b ,400 $1, 264,200 $

237 , 800 800,400 213., 300 131,800 73,300 181,700 99 , 200 99 , 700 61,100

)~ lt89 8,30 o.

100 (16? , 000 ) $ 616,700 109.3

70,800

682,400 ;~ 1, 055, 800

143,300 $ 1L3,300

65z1OO $1,120, 900

;p 131,600

<!l' <W

25,500

335,700 .188,800 90,600 42,700 98,500 70,700 54,700 56 z500 )$1,06 0 , 800 ;~ 51,100 50 $ 51,0$0

40, 600

$ 458, 600

93.9

82 . 2

95.4

15.3

62 . 8

11.1

148,$00 391,400 190 , 200 102,200 48,400 109,900 77,100 62,600 57,300

$1,187~600

$ 161, 900 ) $

Rate Base Oper ating Ratio -

:_ Estimd:' e under -Present l" areS - YEar Enchng 3-.1...3Jlg]3: : Sight seeing Tot al Plus Company :RaCe Track :RaC6 Tra~k :SighiseGing (3) ( 4) (2T (5)

1,092 ,697

HileS Operat ed

TABIE II Shee t 2 of 2

76,600 50 76,550

499 ,200

16,900 55,700 1,400 11,600 5,700 11,400 6,400 7,900 800 117,800 $ $ 25,500

TIfE: GRAY LlNE, INC. DEVELOPMENT OF SIGHTSEEING REVENUE ~ PRESENT FOR YE~R ENDING HARCH 31z 196;2 APPLICATION NO. 44176

TABIE 111 Sheet 1 oí 2

~ARES

'""'

: Tour No.

Indiviaual-:-· Passengers . Fare

(1) 1 3 NL

3D 5 6 8 9 10 12 16 17 18 21 23 25 27

130,709 23,731 21,518 9,103 5,566 2,211 6,271 2,025 58 35,791 10,088 70 1,097 228 226 426 385 249,503

(2) $ 3.32

2.59 2.59 2.59 3.77 8.41 13.05 4.73 3.32 3.77 6.59 1.86 4.00 1.86 3.05 4. 23 4.00

1/2 Fare Revenue:Passen~ers

(3)

(4)

$433,954 61,463 55,732 23,577 20,984 18,595 81,837 9,578 193 134,932 66,480 130 4,388 424 689 1,802 1,540 $916,298

7,880

Fare

(5)

: Revenue

(6)

$ 8,862

49 84 117 154 19

$1. 68 1.35 1.35 1.35 1.91 4.23 6.55 2.36

1,069 228 1 45 5 12 6 36

1. 91 3.32 1.00 2.00 1.00 1.55 2.14 2.00

5,275 780

Group Passengers: (7)

Fare

- (8)

Revenue

(9)

27,813 1,184 1,578 2,921 313 58 372 342

$ -2 .82 2.24 2.24 2.24 3.27 7.66 11.05 4. 23

$ 78,433 2,652 3,535 6,543 1,024 444 4,111 1,447

2,042 757 1 90 5 19 13 72

5,571 702 80

3.27 5.84 1.61 3.50 1.61 2.70 3.73 3.50

18,217 4,100 129

$14,689

41,965

1,053 66 160 495 1,009 45

607 424

977 1,582 $123,194

: Total Revenue ~ : Present Fares: (10)

521,249 65,168 59,267 30,186 22,168 19,534 86,957 11,070 193 155,191 71,337 260 4,478 1,406 708 3,397 $_..b 612 $

$1,054,181

Actual Revenue, Year Ended 10-31-61 $1,055,849

DEVELOP~ffiNT

:Tour: Individual Na.: Passengers : Fare : Revenue (3) (1) (2)

\.n

1 3 NL 3D 5 6 8 9 10 12 16 17 18 21 23 25 27

130,709 23,731 21,518 9,103 5,566 2,211 6,271 2,025 58 35,791 10,088 70 1,097 228 226 426 385 249,503

THE GRAY LINE, INC. OF SIGHTSE~ING REVENUE - PROPOSED FARES FOR YEAR ENDING 11ARCH 31, 1963 Al'PLICATION NO. 44176 Group : 1/2 Fare :Passengers: Fare : Revenue :Passengers: Fare (8) (6) (7) (5) (4)

3 c 82 $ .499,308 70,006 2.95 63,478 2.95 26,854 2.95 4.23 23,544 20,806 9.41 81,837 13.05 10, 672 5.27 216 3.73 4.32 154,617 7.36 74,248 146 2.09 5.00 5,485 2.09 477 915 4.05 2,015 4.73 4.50 1,733

1,069 228 1 45 5 12 6 36

$1.91 ;¡PI0,075 1,170 1.50 1.50 1.50 74 180 2.14 4.73 553 1,009 6.55 2.64 50 1.86 2.18 2,330 3.68 839 1 1.05 2.50 113 1.05 5 25 2.05 14 2.36 82 2.27

$1,036,357.

7,880

$16,520

5,275 780 49 84 117 154 19

27,813 1,184 1,578 2,921 313 58 372 342 5,571 702 . 80 607 424

TABLE III of 2

Sheet 2

·· ··

Revenue (9)

$ 3.22 $ 89,558 2.55 3,019 2.55 4,024 2.55 7,449 3.63 1,136 7.91 459 11.05 4,111 4.67 1,597 3.13 3.72 20,72h 6.46 4,535 1. 84 147 4.40 1.84 1,117 3.65 4.13 1,751 3. 90

41,965

Unadjusted Revenue - Proposed Fares 3/31/63 $1,192,504 R t" 1 Unadjusted Revenue - Present Fares 3/31/63 tl,054,181 ala: .131 Actual Revenu€ 10/31/61

Jl,055,él49 x 1.131 =) 1,194,200

For Year Ending 3/31/63

Revenue Under Present Fares

~ 1,055,800

Revenue Under Proposed Fares

$1,194,200

$139,627

TofaI : Rsvenue Proposed

Fares

( 10) $ 598,941

74,195

67,502

34,377

24,d60

21,818

86 ,957

12,319

216

177 ,671

79,622

294

5,598

1,599

940

3,780

J ,815

~1,1~2,504

TrIE GRA y LINE,

l!2..:..

TABLE IV

BY SERVICE APPLICATI ON NO . 44176 nEVENU ,"~S

:Year

: Race '.Cr ac k: Special and : Si ghtseeing: Football : Bus

other

(3)

1958

$ 912,200

1959

$1,030,230 $137 , 540

:jp711,1 83

1960

~)1, 135,047

$560,643

$117, 071

38, 636 33,542 29 ,198 27 , 77 8 38, 180 36,0 24 45,050 44, 824 32, 526 48,007 47 , ü46 5°2 964 $472 ,175

$145 ,746

;¡i,130,179

1960 November $ 43 ,562 $ 28 , 547 December 18,146 41, 615 1961 January 2, 920 34,317 February 47 ,222 4, 979 Narch 18, 241 55,284 Apri1 60,252 27, 220 May 88 , 815 16,749 June 123,375 3,917 July -D..Q.2) 196,813 A.ug ust~~ - 167 , 261 (8 , 058) 3eptember 10,442 112, 043 October 20~4 88 85 ~ 290 12 Mos Ended 10/31/61 ~1,055,849 ~¡i143, 2tl6

Inc1udes Adj ustments By Outside Auditing Firm (Red Figures)

- 6

$676,460 $ 79,064

:¡ji

Total

(5)

$1, 81 3 , 47~

88, 600 $1 , 967,553 :~1, 942 ,

940

272 $ 111,017 96,681 3, 378 8, 681 75,116 6, 603 86 ,582 115,008 3,303 11, 085 134, 581 159, 57(, 8, 962 13, 816 185 , 932 233,335 ti , ~~1 189,761 (17,4!d2) 12, 503 182 , ti34 9 2 618 166 2 360 65,123 $1,736,433

Unbi11ed Revenue

THE GRAY LI NE, INC . OPERATING ZXPENSES APPLICATIO N NO . &4176

: Acct.: : No . :

4100 ·.4110 4122 4128 }ü31 4132 4140 4140 4140 --J

J.ü41

4150 4160 Lt196

4200 4210 4211 4220 4230 4240 4250 4262 4264

Descripti on Maintenance of Equipment Supe rvisi on Ser vice Equipment Buildings and Grounds Li ght , He~t , Power , Etc . Other Servi ce Expense Mechanics Wages Wages Char ~d to Others Labo r - Accident Repair Mater ial s & Parts Servicing Equi pment Tires and Tubes Joint Oper. Expense - Net Total 4100 TransEor tati on Expense Supe r vision Super vision Expenses Dri vers I Wage s Fuel Lubr icants Purchased Transp ortation Bridge Tolls Other Total 4200 (Red Fi gur e)

BOQk Record Year Ended 10/ 31/6 1 (1)

TABIE V

Sheet 1 of 4

Estimate Under Present Fares - Year Ending 3731753 Sight seei ng Total Plus Company Hace Track Race Tr ack Si ght seei ng ( 2) C3 ) -(5) u_

$ 8,700 258 375 3,7 83 21, 644 120 zn I (25 ,&76) 3, 043 71, 969 68 , 026 11, 723 (3 ,049 ) $281,107

$ 49,454

5, 600 200 200 2,400 13, 900 78, 300

$ 3, 300 100 100 1, 500 8,300 48, 400

onn

400 200 1, 000 5, 100

$ 2, )00 100 100 1, 300 7, 300 43,300

60 , 500 65, 000 11,7 J O

41,100 38,100 7, 600

3, 900 5, 500 800

37, 200 32 , 600 6, 800

$237 ,1300

$lI)(f,)00

flO,900

$131, 600

15 ~ 500 ~800 , &00

3,100 100 46, 200 2,700 300 300 1, 900

$ 34, 600 800 260, 300 23, 000 2, 200 3,300 5, 400

$738 , LÜ5

$ 37, 700 90S 306, 500 25, 700 2, 500 3, 600 7, 300 72 200 $391, 400

41, 904 4,107 5, 310 17, 404

$ 52 ,600 1, 200 1562 , 400 41 , 900 4,100 5, 300 17 , 400

1,222 ~03,4 85

15 ~ 529

l~l OO

$ 55 , 700

6 ~1 00

$335,700

THE GRAY LINE, INC. OPERi\.T n~G EXPENSES APPLICATION NO. 44176

:Acct.: : No.

I Q:;l

Description

Book Record Year Ended 10/31/61

m--

4300 4311 4331 4331

s tation Expense $ 95,948 Station Payroll 2,558 Company Agency Commission Stations 124,198 Commissions Pai d $222 ,704 Total 4300

4400 4hl0 4411 hh30 4440 hh50 h450 hh50 h470

Traffic and Advertising Salaries & vlages Expenses Tariffs & Schedules Tickets & Baggage Checks Other Gray Line Association Dues Dues & Subscriptions Advertising Total h400

h500 h520 4530 4541 4570 4580

Insurance and Safety P.L. & P.D. - Vehicles Damage Recoveries Workmens l Compensation Fire and Theft other Insurance Total 4500

(Re.:i figure)

TABLE V Shee t 2 of 4

Estímate Under Present Fares - Year Ending 3/JI753 S-ightseeing Total Plus Company Race Track Race Track :Sights eeing (2)

(3)

(4)

(5)

$ 83,000

$ 72,800

2,600 127 z700 $213,300

2,300 115 z100 $190,200

$ 1,400

$ 72,800 2,300 113,700 ;¡ii188,800

$ 23,100 12,100

$ 15,900

12,107

$ 1,500 800

$ 14,400 7,600

2,h38 406 26, 267 2,756 66 z094 $131,593

2,400 hoo 26,300 1,400 66,100 $131,800

1,700 300 21,300 1,100 53 z500 $102,200

200 2,600 100 6 2400 ~~11, 600

1,500 300 18,700 1,000 47,100 $ 90,600

$ 55,388

$ 55,400 ( 1,100 14,000 3,500 1,500 $ 73,300

$ 38 z300 ( 800 )

$ 4,600

$ 33,700

$ 21, 525

(l,07T)

14';135'6 3,519 1,511 $ 74,203

8,400

2,400 1,000 $ 48,400

1,400

C1TIU)

900

200 100 $ 5,700

( 700) 6;tiOO" 2,200 900 $ 42,700

THE GBA Y LH:¿S , INC. OFEilA TING E.x:?~;ilJ30S Á, 'F'LICJiTIOI'.i NO. 44176

: Acct . : : No . :

4600 4611 4612 4613 4620 , 4630 '-Ü 4640 I 4 652 4656 4660

Description

el)

Estimate Unde r Pre s ent Fares - Year Ending Sightseeing Total Plus ComJ2él.llY Ra.ce Track _----'--'tace Track

(2) - - - -

U) --

(4)

3/3T763 Sightseein~

(

Administrative and Gene r a l Inc ent ive Compensation Expenses - Gen . Offic ers Sa l a ries - Gen . Office Employees Legal a nd Professional Services General Office Supplies Communications Employees Welfa re Other Hanagement Exr::ense Total 4600

5000 5011 5021 5041 5051 5061 5071 5091

Book Re cord : Year Ende d : 10/31/61

TABLE V Sh8et 3 of 4

,*,109 ,900

Depre cia tion Structure s Revenue ~quipment Shops a nd Garage Equipment F'urniture and Office Equipment His c . Equi:pnent Leaseho1d Equipment Depr e ciati on Adjustme nt Total 5000 (Red FiHur e )

~11 , 400

,.,,98 , 500

<;jl

300 6 , 100

2,200 67, 300 400 100

700

;¡;¡

77 , 100

~,400

v70 , 700

THE GRAY LINE, INC. OPERATING EXPENSES APPLICATION NO. 44176 :Acct. : : No. :

Description

:Book Record:Estima:W-Under Present Fares-Year Ending March 31, 1963: : Year Ended Total: Sightseeing Race : Company :10/31/61 :Plus Ri\ ee Trn ck : Track Sig単tseeiDg (2)

$ 23,93 6

$ 23,900

$ 14,700

$ 1,600

$ 13,100

21,143 10,733 32,246 1,715 9,075 2z054 $ 100,902

16,800 8,600 39,600 1,700 9,100

12,400 5,100 22,100 1,000 7,300

1.. 100 500 2,500 100 2,100

11,300 4,600 19,600 900 5,200

$ 9 9,700

$ 62,600

$ 7,900

$54,700

$ 12,175

$ 12,200

$ 8,400

800

$ 7,600

49,773 (900) $ 61,048

49,800 (900) $ 61,100

49,800 (900) $ 57,300

5200 5211 5220 5230 5241 5250 5251 8020 f-J

5300

o 5310

5320 5370

Operating Taxes & Licenses Fuel & Oil Taxes Vehicle License Fees Real Estate & Personal Property Payrol1 Taxes Excise Taxes State Transportation Franchise Tax - State Total 5200 Operating Rents Revenue Equipment Station & Other Facilities Sublease Renta1 Income Total 5300

( Red:FIgUre)

TABLE V Shee t 4 of 4

49,800

{900 ) 足

800

$ 56,500

THE GRAY LINE, n~c. ESTIMATED RATE BASE M~D DEPRECIATION EXPENSE FOR RATE YEAR ENDING MARCH 31, 1963 APPLICATION NO. 44196 :Account: No.

Item

1201

Land

1211

Structures

1221

Revenue Equipment (See Detail Sheet 2 of 2)

1231

Service Equipment

1241 f-' f-'

Investment

Depreciation Reserve

ClT--------

48,200

TABLE VI

Sheet 1 of 2

(2)

Annual Depreciation Expense (4)

Rate Base (3)

$ 48,200

.¡¡;

70,300

66,200

4,100

1,015,300

5 29,700

485,600

93,400

1,200

1,100

100

Shop & Garage Eauipment

12,400

11,800

600

100

1251

Furniture & Office Equipment

11,300

9,800

1,500

700

1261

Misce11aneous Equipment

1,700

1,500

200

100

1271

Improvements to Leaseho1d Property

3,900

1,800

2,100

800

1180

Niscel1aneous lVfaterials & Supplies

30,900

1rJorking Cash

43,400

Total

:lPl,238,600

$621,900

$616,700

$99,200

THE GRAY LINE , INC. ~STI11ATE D RATE Bl:'SE Mm DE?HZCl rlTION EXPENSE FOR fU.TE T..:,l:..R t:LDI NG M.:.RCH .:211 1963 MOTOR ca J4. CHES Ai'?LI Cii.TI ON NO. 4U7f:¿ :Line No. 1

2 3 4 5 6 7 8

9 1--'10 N I

12 13 14

15 16 17 18

:Year: Make Ford ACF Bri11 Compacts Beck Be ck Flxib1e Flxible Flxible Flxible Crown Crown Crown Crown Cro"''ll Crown Crown F1xib1e Gl'1C

: Ma de : Ca~ cit~

1946 1951 1960-61 1954 1955 1953 1948 1949 1952 1956 1956 1957 1958 1959 1960 1961 1961 1961

TABLE VI Shee t 2 of 2

27 45 7 41 41 33 33 33 33 41 45 45 45 45 45 l¡.l

33 41

:New :Number : IEt e Anrmal :Bus Nmnbers : : Depr eciation: : or of : in : Depreciati ol1 ' : Ira te Base: Expense :Servic e ¡Used Un its :(-, In clus iv~:Inv e stment: Reserve 9-1-51 5-19-60 Va rious 5-17-54 6-2-55 5-ll-53 2-1-48 5-9-49 5-13-52 5-18-56 6-1-56 4-1-57 4-11-58 4-1-59 3-21-60 3-17-61 3-12-53 5-25-61

U U N N

N N N N

N N

N N N N N N N

2 5 5 5 2 2 1 1 3 1 2 3 5 3 5 2 1 2

55,58 80-88 95-99 100....104 105,106 110,111 141 143 146-148 151 152,153 154-156 157-161 162-164 165-169 170,172 171 201, 202

.;;.

1,648 29,959 13,081 112, 850 47 ,874 34,595 14,652 14,488 52,494 25,141 49, 213 79,896 140,767 88 ,429 147, 856 71,984 15, 234

_ _7.2.J.4~ .

(.',

<il>

1,248 27, 899 4,031 97; 627 34,374 31,635 14,152 13,988 49, 817 15,811 30,535 43,119 62, 219 30,425 37,550 1l,239 14,lll 9, 886

400 2, 060 9,050 15,:'::23 13,500 2,960 500 500 2,677 9,330 18,678 36,777 ,78,548 58,004 LlO,306

~~:."

-776

2, 116 11,029 4,687 3, 360 3,400

2,464

1,123 65, 260

4, 821 7, 840 13, 826 8,693 14,536 7.,098 1,350 7,415

~.,745

~1 , 015, 3 07

;¡¡: 529,666

~485,641

:W93,411

USE

;¡PI, 015, 300

$529,700

;¡P485,600

~93,400

AVIS INe. (SOSTON)

CENTRAL DI VISION

EASTERN DI VISION

PACIFlC DIVISIO N

Al RPORT LI MOUS INE CO. (S . F. ) WHOLL Y-OW NED SUBS I DI ARY OF AVIS , I NC .

AVIS, PACIFIC DIVISION OPERAT IONS

GR AY L I NE TOURS SEATTLE

AVIS COLORADO

I AV IS WA SHI NGTON

Al RPORT L I MO US I NE CO . WHOLLy-oWNED SUBSIDIARlES

AIRPORT LI MOUSINE CO. OPERATIONS

A. L. CO.

NEW MEX ICO

A. L. CO. AR I ZONA

A. L. CO. EVANS RENTALS

A. L. CO. YOSEMITE

F I ALERS LIMOUSINE S.F.

- --

. - - - - -- -

GRAY Ll NE I NC. S .F. APP. 44176

- - -- - - 足

T~ GRAY LTINE, I NC. DEVI:;LOPMENT OF HILES OPERA TED BY SERVICE

APPLICATION NO .

For Historical Ye辿cr Ended October

TABLE VII

44176

31, 1961 1,092,697

Total l;Iiles from Fuel Records

Schedule Sightseeing Miles ( Not lncluding De ndhe~d or Pickup)

400,272 70,750

3 Hace Tra ck Hiles (Including Deadhend)

621,675

Subtob l (L. 1 less L. 3)

5 Charter a nd Stevedore

l1iles~:足

339,574

(Including Deadhend a nd Pickup)

282,101

Sightseeing Dea dhead and Pickup Miles (1. 4 less L. 5)

400,272

7 Add Back Sightseeing Hile5 on L. 2 8

682,373

Total Sightseeing lViiles (L. 6 plus L. 7) For Ra t e Year Ending };J多Lrch

31, 1963

Total Hiles

Chnrter and Stevedore

Sightseeing

Race Tra ck

1,092,700

339,500

682,400

70,800

31.0%

% to Tota l

471,022

62.5%

&'lsed on October 1961 analysis of service performed expanded to one year ba sed on trips opera ted.

- 14 足

6.5%

THb GRA Y Lli~ E, I ÑC.

OEVE, LOPl"lENT OF MECHANICS WAGES

FOR RATE YEAR ENOmG HARCH 31, 1963

TABLE VIII

APPLICii TION NO. 44176

December 1960 - October 1961-:¡ 1 2

HOur5 Oirectly Cha rged to Bus - ~,intenance - Unit Room

Foremen a nd Other Undistributed Mech. Hours

Other

~ü sc e lh,neous

13,869~ 1,069~

2,191 750

Hours

5 Pa rts Room Hours

1,560 19,440 970

Tota l Hours (+1 months)

5j¡, Va cntion

6 7 8

Tota l to Bus (11 months)

20,410

Totrtl to Bus (12 months)

22,260

Average \·J?.ge per Hour - Ra t e Yea r

$ 3.50

\'Ja ges not I nc1uding Ove rtime Pay (L. 9 x L. 10)

$77, 910

Ove rt iJ.le u.djustment (0.5 ib )

3L.

Toti'\.l Compélny ;vi'\.ges

.¡¡.

390

$78 300

November 1960 r e cords incomp1e t e .

- 15

THb GRAY Lli~E, :rN C. OLVbLOPMENT OF ACCOUNTS 4613 ANO 4660

S.L>.LARIES OF GENERAL OFFICE EHFLOYEES ANO

HANAGGHENT EXPENSE

FOR RATB YEliR El~ OI1,! G r-IARCH 31, 1963

TABLE IX

APPLIC HTION NO. 44176 : EstirnRted: Percent : Total to :Gray Line: Amount ; Graf Lin e:Rate Year: (1) 2) (3)

: Line: Item

: No.:

7 Employees Paid by The Gro.,y Line, Inc. ( Account 4613)

2 15

~ployees

Paid by Avis, Inc.

$ 37,630

85~

$103,690

29% (2)

$ 30,070

25 ~

$ 28,080

3 Current Management Charge to Airport Umousine Co. by Avis, Inc.

~216,000

4 Fayroll of Avis, Inc. on L. 2, Col. (1)

$103,690

5 Hanagement Charge not Covered by Loc~l

~1l2,310

Payroll (L. 3 less L. 4)

(1)

(3)

31,990

6 Total

90,140

7 Use for The Gray Line, Inc. (Accounts 4613 and 4660)

:ii>

90,100

(1) Based on special analysis of positions and duties. (2) 1 employee

100~ to The Gray Line, Inc. and 14 employees based on The Gray Une, Inc. revenue as a percent of Avis, Inc. Pacific Oivision revenue.

(3) Based on The Gray Line, Inc. revenue as a percent of Avis, Inc.

Pacific Division revenue.

- 16 足

THE GRAY LlNE. INC. BASES OF SEPARATION ANO ALLOCATION OF EXPENSES FROM TOTAL OPERATIONS TO SIGHTSEEING OPERATIONS APPLICATION NO. 44176 : Account:

Description

Basis of Expense

TABIE X Sheet 1 of 3

Separatio~n~a~nd~A~l~l~o~c~a~t~i~o~n~_______________

4110 4122 4128 4131 4132 4140 4140 4140 4141 4150 4160

Maintenance of Equipment Supervision Service Equipment Buildings and Grounds Light, Heat, Power, etc. Other Service Expense Mechanics9 Wages 1tJages Charged to Others Labor - Accident Repair Materia1s and Parts Servicing Equipment Tires and Tubes

Allocate on Basis of Accounts 4140 and 4150 A110cate on Basis of Accounts 4140 and 4150 Allocate on Basis of Accounts 4140 and 4150 A110cate on Basis of Accounts 4140 and 4150 Allocate on Basis of Accounts 4140 and 4150 Direct by Equipment and Type of Service Direct by Equipment and Type of Service Direct by Equipment and Type of Service Direct by Equipment and Type of Service Number of Trips by Type of Service Direct by Equipment and Type of Service

4210 4211 4220 4230 4240 4250 4262 4264

Transportation Expense Supervision Supervision Expenses Drivers' Wages Fuel Lubricants Purchased Transportation Bridge Tolls Other

Direct by Emp10yee Where Applicable, Other on Trips Dispatched Allocate on Basis of Account 4210 Direct by Service Assignment Direct by Equipment and Type of Service Direct by Equipment and Type of Service Bus Miles by Type of Service Direct by Type of Service Al10cate on Basis of Account 4220

4311 4331 4331

Station Expense Station Payroll Company Agency Commission Stations Commissions Paid

Based on Employee Activities 90% A110cated to Sightseeing 90% Allocated to Sightseeing

1-'

-...)

THE GRAY LINE. INC. BASES OF SEPARATION ANO ALLOCATION OF EXPENSES FROM TOTAL OPERATIONS TO SIGHTSEEING OPERATIONS APPLICATION NO. 44176 Account :

1-'

ro I

Description

TA BLE X

Sheet 2 of 3

Basis oLE2cPense Separation and Allocation

4410 4411 4430 4440 4450 4450 4450 4470

Traffic and Advertising Salaries and 1if,ages Expenses Tariffs and Schedules Tickets and Baggage Checks Other Gray Line Association Dues Dues and Subscriptions Advertising

Bus Miles by Type of Service Bus Miles by Type of Service Bus Miles by Type of Service Bus Miles by Type of Service Based on Revenue Excluding Stevedore Based on Revenue Excluding Stevedore Based on Revenue Excluding Stevedore Based on Revenue Excluding Stevedore

4520 4530 4541 4570 4580

Insurance and Safety P.L. and P.D. - Vehicles Damage Recoveries Workmen's Compensation Fire and Theft Other Insurance

Based on Revenue Allocate on Basis Allocate on Basis Bus Miles by Type Bus Miles by Type

4600

Administrative and General

Based on Accounts 4100 - 4500 Inclusive

5011 5021 5041 5051 5061 5071

Depreciation Structures Revenue Equipment Shop and Garage Equipment Furniture and Office Equipment Miscellaneous Equipment Leasehold Equipment

Based on Account 4600 Direct by Equipment and Type of Service Based on Account 4140 Based on Account 4600 Based on Account 4140 90% Allocated to Sightseeing

of of of of

Service Service Service Service

Account 4520 Applicable Labor Accounts Service Service

THE GRAY LlNE. INC. BASES OF SEPARATION AND ALLOCATION OF EXPENSES FROM TOTAL OPERATIONS TO SIGHTSEEING OPERATIONS APPLICATION NO. 44176 Account :

Baf)is of Expense Separation and Allocation

5251

Operating Taxes and Licenses Fuel and Oil Taxes Vehicle License Fees Real Estate and Personal Property Payroll Taxes Excise Taxes State Transportation Tax

Allocate on Basis of Account 4230 Direct by Equipment and Type of Service Based on Account 4600 Allocate on Basis of Applicable Labor Accounts Based on Account 4600 Direct by Applicable Revenue by Service

5310 5320 5370

Operating Rents Revenue Equipment Station and Other Facilities Sublease Rental Income

Bus Miles by Type of Service 100% Allocated to Sightseeing 100% Allocated to Sightseeing

5211

522.0 5230 5241

5250

Description

'I'ABLE X Sheet 3

of 3