The weekly standard. [volume] (Raleigh, N.C.) 1869-18??, 1869-12-08
For the Standard

Mr.. EDITOR: Having had some expert
ence in railroad matters, / beg leave toi
make few remarks on the subject of rail-
roads in general, and more particularly on
the subject of the North Carolina railroad. 1
1t is well known fact, Mr.. Editor, that
most OF the roads in this country have either
to be sold out under mortgages, or to work
their way for years under heavy debts. The
Seaboard and Raleigh and CASTOR railroads
to the old stockholders were total failures,
and the Wilmington and Weldon road IS
now burdened with heavy debt. 1t must
be observed that all railroads take much
time to establish their lines and make it a
paying institution to its stockholders.
When it passes through country thinly
peepled, and its agricultural and mineral 1
resources not developed, such has been the 4
case with all the roads of the South. To 4
speak of the North Carolina railroad in par 4
ticular, Mr. Editor, beg leave to call your
attention to its general condition and future |
prospects. 1t is road of 223 miles in 4
length, and capital stock of four millions /
OF dollars, three-quarters of which belongs
to the State. The North Carolina Railroad 1
has at this time only debt of about five
hundred Thousand dollars, and has passed 1
through allthe difficulties contingent on all
Railroads, and is now near the day of pros.
perity, and will in a few years he source
of revenue to the State and Stockholders. /
1t will this year with proper management be
able to pay dividend of six per cent. to
| the Stockholders and continue to do so
| hereafter 4
| If the business increases for the next three
| years in the same rates it has for the last
three years the receipts will be one million
of dollars. out of which allow six hundred
thousand dollars which will he sufficient for
all purposes, and keep the Road and rolling
stock in an improving condition, pay div
idend of ten per cent.
Now, Mr.. Editor, why should the idea of
leasing or selling this great work be enter
tanned for momeut. If this Road is anx-
| iously sought after BY parties, it is because
they have seen its advantages and know its
prospects for the future 1t is my humble
opinion, Mr.. Editor, that this Road will in
few years be one of the greatest sources of
revenue to the State, and will soon reim-
burse the State every dollar it cost her with
interest
There will, no doubt be a great effort made
during the present session of the Legisla-
ture and all sorts of rings formed, and cor
rupt schemes to get this road out of the
hands of the State, and it appears to me to
be the duty of every member of the Legis-
lature, without regard to party, to turn a
deaf ear to any proposition to lease or sell
this road, for they may rest assured there
will be corruption at the bottom. If the
State of North Carolina can get for this road
what it is worth in money, there might be
some reason for its SALE
This road could not be built at the pres
ent time, with all its equipments, for less
than thirty thousound dollars per mile,
which would make it cost about seven mil
lions of dollars. Why then, Mr. Editor,
should the Legislature think of selling this
road for three millions of dollars in the
bonds of the State, and they only worth
about forty cents in the dollar; when the
dividends of the road will be about one
hundred and eighty thousand dollars to the
State and more in a few years, and pay all
/ its debts, and make the necessary improve
ments. Well might the Raleigh & CASTOR
Railroad Company wish to lease the North
Carolina Railroad
Their President is a very sagacious man
and can see the profit to be gained by this
| operation, and then be able to make the
Raleigh & CASTOR Railroad pay, which it is
| impossible to do. without the patronage of
| the North Carolina Railroad.
Sir, if the freights of the North Carolina
Roilroad were all sent to Goldsboro', the
Raleigh & CASTOR Road would in short
time die natural DEATH The learned Judge
that was employed by the Raleigh & CASTOR
| Railroad as counsel to advocate the lease
| of the N. C. Railtoad, drew very gloomy
| y,icturo Of tho RnaJ and ito -.
one word of which was true; but he finally
| admitted that it was case of life and death
| with the R. & G. Railroad to lease the N.
| C. Railroad Now, Mr.. Editor, if the R. &
| G. Railroad Company can afford to pay six
| per cent for the N. c. Railroad, the N. C.
Railroad can pay six per cent and manage
its own affairs. There has been no ques-
tion as regards the management of the N.
c. Railroad for the last ghteen months, all
parties admit that the management has
been success and all its departments in
prosperous condition, were it not so there
would not be so many schemes brought to
bear upon the stockholders and Legislature
to get possession of this great work.
1t is to be hoped, Mr.. Editor, that the Gen.
eral Assembly with all this light before their
eyes will turn deaf ear to all propositions
to lease or sell the N C. R. R. 1t has
been argued by some, as an objection to the
organization of the N. q. R. R., that it is too
much of apolitical machine, but this obiec-
ton has always been made by those out of
| power and anxious to get in to manage the
road. it is a political machine, the Re-
| publican party would be very foolish to let
| it go out of their hands, while they were in
power, without getting their share of the
| grinding, particularly just at the time when
| it is about to he profitable to the stockhol-
ders and the State. The Raleigh and CASTOR
Road was owned half by the State, until the
year 1866 and paid larger dividends than it
has since, or will for years. Its management
has been extoled by some, and said to be a
model road; all bosh. Its success nor divi,
dends, has not been owing to its manage
ment, it is only on account of the smallness
of its capital to the present stockholders,
which was only one million of dollars, where
as, it would cost about two millions had the
present stockholders built the entire
road. The present company owe their sue
cess more to the misfortunes of the old stock
holders, than to superior management
1t has had numerous Presidents and prof
its about the same until lately when their
profits have been less. They had very
tight squeeze to pay the last three per cent.
dividend. and it was only by hook and by
crook that they could pay any, and then
had the impudence to attempt to lease the
North Carolina Railroad.
1t is to be hoped, Mr.. Editor, that the
idea of leasing the North Carolina Railroad
to the Raleigh and CASTOR Railroad is dead
and buried, and if consolidation must come
then the General Assembly and the stock
holders should look to the Roads in which
the State has the most interest
PRACTICAL.