Sunbury American. [volume] (Sunbury, Pa.) 1848-1879, 1867-06-22
SATURDAY MORNING, JUNE %, 1867.

S9S miles), the grant is doubled, making
$32, 900 per mile, the whole amount beins
44,20S,000. These bonds are issued by the
Government only on the completion of each
section of twenty miles, and after the Com.
missioners appointed by the President of the
United States have certified that it is thor.
oughly built and supplied with all the ma
chinery, &C., of a first class railroad. The
interest on these bonds is paid by the U. 8.
Treasury, and the Government retains, as a
sinking fund to be applied to repayment of
principal and interest, one-half the regular
charges made for transportation by the Com
pany against it, These bonds, which are a
second mortgage, are not due for thirty
years, and it is not improbable that the
value of the services to be rendered to the
Government during that period will consti-
tute sinking fund sufficient for their re-
demption at maturity. -.
2d.-THE FIRST MORTGAGE BoNDs.-The
Government permits the Company to issue
its own Mortgage Bonds at the same time,
and on the same terms, and for the same
amount, and by special Act of Congress
these bonds of the Company are made a
FIRST MORTGAGE on the entire line and pro-
perty of the road, the Government bonds
being subordinate The amount of these
bonds to be issued by the Company is limi-
ted to an amount equal to those issued by
the Government to aid in the construction
of the road. ..-. ..... ..... ..u
3d.--THE LAND GRANT.-While this is
certainly munificent, at the same time it is
most advantageous to the Government, for
without it all it's own lands would remain
almost worthless. 1t is n donation of every
alternate section for 90 miles on each side
of the road, or 12,S00 acres per mile, and
amounts to 20032, 900 acres, assuming the
distance from Omaha to the California State
line to be 1866 miles. Much of this land,
especially in the valley of the Great Platte,
is a rich alluvium, and is considered equal
to any in the world for agricultural purpo-
ses. Hon. e. D.. Mansfield, the learned
Commissioner of Statistics for the State of
Ohio, estimates that at least 100000 will
be available to the Company within mode
rate length of time. and that it is far within
bounds to estimate this entire grant at 81 so
an acre, or $30,000,000. The Illinois Cen
tral has realized more than four times this
sum from similar grant. ...
REHABILITATION OF MEANS FOR 1 ,565 MILES.
U. S. Bonds, equal to money, $44, ,20S, 900
First Mortgage Bonds, 44,20S,0 900
Land grant, 20,032 900 acres, say 10000, 900
$l1S416,000
equal to cost of nearly S76, 900 per mile,
which is believed to be liberal estimate
This does not take into the account the
value of the right of way and material, the
stock subscription already paid in or to be
paid in the future, or the presen. discount
at which the bonds are offered, as they are
expected soon to be at par
The intproet IN tha Rpn6s 10 mora fhop
provided for by the net earnings of the vari-
Gus sections of the road, as they are COM
plcted. On the 305 miles on which the
cars are now running west from Omaha, the
receipts for the first two weeks in May were
Sl13,000; and as the road is extended to-
wards the great mining centers, the business
in freight and passengers constantly increa-
ses-and as there can be no competition
from rival roads, the Company has full pow
er to charge remunerative prices.t
PROSPECTS FOR FUTURE BUSINESS.
1t needs no argument to show that the
traffic of the only railroad connecting the
Atlantic and the Pacific, and passing through
the great mining region, must be immense.
Although our annual product of the pre-
cious metals is now officially estimated at
$lO0, 100000 per annum, a vastly greater
sum will he obtained as soon as the Union
Pacific Railroad opens the way to the gold
en- regions of the Rocky Mountains. Now,
the difficulties and cost of communication
are so great, that none but the very richest
veins can be worked but with cheap trans
portation, hundreds of thousands of hardy
miners will successfully develop other mines,
that, with less costly working, will be even
more profitable that the average of those
now in operation and the business of this
constantly increasing mining interest must
pass over this road.
The records of our shipping offices show
that not less that $4,000 passengers now an-
nually travel by sea between the Atlantic
ports and San Francisco and these reckon
ed at $3.50 each (about one.half the steamer
price, would produce revenue of $780,
900. '....H
The overland travel is even greater. In
a single year, twenty seven thousand teams
comprising vast number of emigrants and
travellers, departed from two points only Oh
the Missouri River on their westward jour
ney. If the truth of this statement was not
familiar to all frontiers men, it might well
be questioned. But, estimating the overland
through travel at the same figures as that
by steamer, and we have $15,000,0 600 as the
minimum estimate on the same number Of
passengers. But the facilities for cheap an6
rapid transit furnished by railroad always
vastly increases the amount of travel will
the same population. The difference be
I. tween the numbers who would take al
ocean steamer or prairie wagon and ,
modern palace car, with its luxurious state
rooms, where the traveller eats and sleep
almost as comfortably as at home, may b.
as great as the difference between the mum
bers who were jolted over the mountains ii
an old fashioned stage-coach and those il
an express train between any two grea
cities Then, is it not safe to say that thi
through travel will be at once doubled ol
the completion of the road in 1870, and
with the rapid increase of Pacific Coast pop
ulation in the next few years, more tha
quadrupled2 Is it at all extravagant t
assert that the through passenger busines
during the first year after the first train o
cars runs from Omaha in Nebraska to Sa
cramento, will be worth twenty-five millio
dollars When to this we add half as muc
more for its way passenger business, an
more than as much more than both for il