The Ripley advertiser. [volume] (Ripley, Miss.) 1843-1897, 1858-05-12
Volume XVI.
Southern Pacific Railroad.

o,upoHuous anu tHdSHiIlctIlt enterprise
that was ever undertaken in any coun-
try, or in any age of the world; while
the munificent land donation and
money loan of the State of Texa:
places its complexion, il it be managed
with even moderate degree ofpru,
dence and economy, beyond the pos
sibility Of failure. In order that oul
readers may form some conception OF
the feasibility of the building of this
road, let US present them with the
facts of the case, and with brief es-
innate based upon these facts, which
will, in our estimation, be the stron-
gest argument that can be produced
TO the minds of those who wish to in
vest small amount Of money in an
enterprise that cannot fail to be very
remunerative. The land donation
made bv the State of Texas amounts
to a little more than eight millions of
acres; and the money loan is six thou
sand dollars pr. mile. The length of
the road, to Ell Paso, is 500 miles. We
do not remember the precise amount
of stock proposed to be issued; but a
calculation based upon supposit:oD
will show the nature Of the case as
fully as though we knew the precise
amount that would finally be issued.
suppose, then, 90 millions of ) pr.
cent stock is issued The purchasers
of this stock would pay into the treas
ury of the Company just one million
of dollars. At twenty thousand dol
lars pr. mile, this amount would build
fifty miles of the road completed,
which would entitle the company to
half million acres of the land gran
ted by Texas, there would be no
trouble in realizing upon bonds based
upon the road and lands, enough of
money to build another fifty miles, or
even 100 miles. BY carrying it on
thus, the road could BE- speedily COM
pleted to Ell Paso, with the actual pay
ment, by the stockholders, of the small
sum of one million of dollars.
Now look at the immense wealth
to be thus easily realized. The stock
holders will have paid out of their
pockets, in actual cash, one million
dollars; will have incurred debt of
five millions to the State of Texas,
for the loan of the six thousand dollars
per mile and fifteen millions more to
bond holders, supposing the bonds
should only sell for 66 % cents on
the dollar, making an expenditure OF
twenty one millions in all. What
have they got in return for this?-
Why, first, Railroad 500 miles long,
which will, as soon as completed, be
worth at least the twenty-one mil
lions expended in its construction.
Secondly, eight millions of acres OF
land, which, if sold at $l3 per acre,
the amount for which the lands of the
Illinois Central road sold, would be
worth $l2,OOO,OOO. Here then is 40
millions acquired at an actual outlay
of one million, supposing the road,
when completed, should be immedl-
ately sold by the company for the pay
ment Of the 20 millions of indebted
ness The reader will doubtless be
astounded at this result; but let him
examine it carefully, and see if he can
detect any fallacy in it.
If, however, the foregoing calcula-
ton should be thought by any to par
take of the fabulous, let us make one
that will be unreaSOnably small, and
see what will be thought oft. Suppose
the road should cost $50, 900 pr. mile,
which is 80 per cent more than the
first road ever built in the South cost,
when men were inexperienced in the
business. This would add ten mil
lions to the Indebtedness of the Com
pany on the completion of the road.
And suppose, instead of$l5 the lands
should only sell for the pitiiul sum of
S. 90 per acre. And suppose the
road, il sold at completion, should only
pay twenty millions. OF the thirty mil
lions of the Company's indebtedness.
The land, at five dollars per acre,
would bring forty millions Of dollars.
This 40 millions would pay the other
10 millions of indebtedness and leave
30 millions to be divided among the
stockholders. Where, we ask, can
you find an investment that will as
certainly pay you back, in so short
lime, (say ten years, for the road will ..
certainly be built in that time, } thirty ,
lollars for every one you invest? Now
ook at the thing all round, and see if
We said not truly that this is the most
enterprise ever set on
'oOt.
When we take into view all the !
acts of the case:-the fact that the !
Company will come into the posses ,
lion of such an almost incalculable r
AMOUNT of wealth, by means OF such {
IN insignificant expenditure; and the
act that this road is to traverse South 9
;rn soil, thus locating the great thor r
,ughfare of the nations of the earth
lpon Southern Territory, we do not !;
wonder that the Press of the South !;
; manitesting SO much enthusiasm !,
,pon the subject; but we are, on the
.ontrary, amazed to think that any
southern patriot should hesitate to !,
invest a few dollars in order to push !.
m to speedy completion, what is to !,
,e one of the wonders Of the world.
Marshall Democrat.