The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1860-06-25

II will be noticed that the market is generally
higher-especially on the Western shares. The ad-
vance is predicated upon the prospects Of very
large crop, which would give to nearly all the lead
ing lines as much business as they can well do
with. their present equipment. The public and
operators must, however, beware Of looking
too early for an increase of traffic on the West
em roads. We believe that the bulk of last
years crop has come forward, and the power
~ of the people in the West b such that
the passenger business must be light for time
TO come. Small as were the receipts Of the Caena,
Toledo, the Michigan and other roads of the West
last July, we should not be surprised TO see them
still smaller during the coming month. The Galena
already, on the first three weeks of juno, shows q
falling of equal to about SO 900 as compared with
the first three weeks of june 1859; and the whole
month Of June, 1859, produced about 800 900 less
than June, 1853. This Is due partly 10 the
full efforts which are being made by rival roads to
take away from the Gsicna all tho business Of
Minnesota, the Northern Mississippi and Northern
Illinois. Some Of the new roads, as for instance
the Racine and Mississippi, which is utterly broken
and bankrupt, are carrying freight below cost in
order to take the business from the Galena. The
Chicago and Northwestern, with its connections to
cessfully for business which the Galena formerly
monopolized. But the principal cause of the
small receipts of this and other Western roads is
the general poverty Of the Western people, and
cannot be rcmcdied until another and large crop
has provided them with means 10 travel. There is
never large freight business in June and July
the roads rely upon passengers for income.
Unless some accident bcfall the crops in the
course OF the next fortnight three weeks all the
Western roads will do better business this fall,
and some OF them win earn dividends in a very few
weeks. The advance noticed above appears TO be
predicated on anticratons Of this event.
One of the most marked Illustrations Of the re-
covcry which IL proceeding in railway securities is
the recent announcement that the Michigan South
ern RaiIrcsd will, on leth proximo. commence the
payment Of the overdue coupons on the first mort
gage bonds The amount Of interest due at pre-
sent on these bonds Is sl3l 600. The company Is
earning ffom $40 900 to $50 900 month more than
last year, and since the late reduction in the num-
Der Of passenger trains run the expenses must be
less than they were. The new administration APP
pears to entertain no apprehension Of trouble be-
tween the holders Of the guaranteed stock and the
second mortgage bondholders. A plan win proba-
bly, be proposed before very long for the adjust
ment Of the outstanding Liabilities Of the company,
In the shape Of floating debt and overdue coupons
on the second mortgage bonds. The nature Of that
plan is not yet publicly known; but we have rca-
son to believe that there viii be no attempt to do
injustice TO any class Of creditors or stockholders,
and that whatever Is done viii he by general con-
sent. II IL for the interest Of all parties that the
securities Of the company should be placed on such
footing as 10 command decent market price
and be rendered available a. colla,cras. Tha, the
road can, in ordinary years. earn interest on all
it, debts, bonded and floating and have surplus
eff for dividends, there can be no question among
well informed persons; but the work Of recovery
from the late unparalleled depression would be IA
cilitated by a spirit Of compromise among the va.
rious parties in interest. Both the bonds and the
stock Of the concern are improving IN value.