Clearfield Republican. [volume] (Clearfield, Pa.) 1851-1937, 1873-04-16

unuer tne proposed mortgage Wiz
100000; the aggregate amount OF tho
preceding mortgages and prior liens
being bat s34, ,01l, ,300
In addition to the value OF the Rail.
road and Branches, real estate and
equipment and franchises as basis of
security, it will be reco!ected that
among tho personal property which
will add still more to the security OF
such general mortgage are the as
sets Of the Company composed of the
stock and bonds Of other Companies,
and amounting at their present cash
value TO $50, $4,000 f
A communication was submitted al
jour iaet annual meeting, in oppooi
tion to the continuance of fast freight
lines upon the Pennsylvania Railroad,
and was referred by you to tho in
coming Board for examination, with
instructions to report their views
thereon.
The expediency ofestablishing such
lines, owned by individuals or trans
portation companies, was, at the time
Of their introduction, admitted by the
Directors to be involved in grave
doubts, and their introduction upon
your Road was not entertained By
your Directors until every argument
had been exhausted to induce the
Railroad Companies of New York,
contending for the same traffic be-
tween the East and the West, to dis
continue their employment.
II was found impossible, while these
transportation Companies existed un.
der contractswith the Now York Rail.
road Companies which made it their
direct interest to disregard them, to
preserve uniform rates, and it was not
until after years Of remonstrance and
the non.enforcement Of agreements
frequently entered into with the New
York Railroad Companies to abolish
these lines, that this Company enter
tained the propriety of meeting the
difficulty by the employment Of the
same weapons of attack and defence.
After much delay and earnest consid-
Grafton, the subject was finally brought
before your Board, for its determine
ton, and referred by it to the Road
Committee. After full Investigation
of the subject, report was drawn up
by il, authorizing the establishment
of fast freight lite over the Penn.
sylvania Railroad and its connection
as the best means foi meeting this
competition.
This report was unanimously adopt |
ed by the Directors, and contract
entered into with intelligent and act
i've parties, who had spent nearly their
whole lives in the business of trans.
portation between the East and West,
upon the State Works of Pennsylva-
MA gentlemen WHO thoroughly un.
derstood the views and objects Of the
Board, and who entered upon their
duties under an Act incorporating
them as the "Union Railroad and
Transportation Company" with am
pie means and determination to ac-
complish the object assigned to them.
In different and less experienced |
hands the enterprise, under the terms
OF their contract, with your Compa-
ny, would most probably have proved
q failure.
When the Union Line was estab-
lished, this Company controlled no
railway west Of Pittsburgh and
east of Philadelphia, and held but lit
tie over $50 miles of road between
,ha aaotarp and ,,xsf o,o oo,,coo-o;ol
centres, while the cars of this Trans
portation Company were expected TO
traverse many thousand miles of rail-
ways in the West gather up gil the
traffic that they could secure, and
bring it to the eastern markets over
your works, returning them by the
same channel filed with the mcrchan-
disc and manufactures Of the East
The western railways were found
by the Union Transportation Compa-
ny to be generally deficient in car
equipment, and the Companies own
ing them gladly welcomed the advent
Of an enterprise calculated to relieve
their ever increasing wants, and Gag
erly entered into contractswith it for
the use Of these Railroads by its cars,
and under these contracts il was ena-
bled to successfully fulfill the objects
we had in view.
The Union Transportation Compa-
ny was organized under great doubts
as to its financial success, without so.
licitation from its proprictors, and
against the principleswhich tho Board
then recognized as those which should
govern Railway Companies in the
management of their affairs. But it's
establishment, under the circumstan-
ces that then existed, was considered
necessary to the success of the Penn
sylvania Railroad Company, and its
results have fully justified its organi-
zation.
Since your Company has acquired
control of it's extended western con-
nections, east of the Mississippi, aud
removed the distractions that inter-
rupted free flow Of traffic over your
railway from the trade centres Of the
West to those Of the East, the mission
Of the Transportation Company has
been fulfilled, and its continuance in
the sphere IL occupied is no longer i'm
portant 10 your interest.
1t was contemplated on tho organ
ization of the "Pennsylvania Compa.
ny" TO manage your western connec-
tions in the manner pointed out in
previous reports, that it should Gil the
place occupied by the Union Trans
portation Company. 1t has, howev-
er, required time to get these exten-
sive works into harmonious and otli-
cient action, and to fully understand
their traffic. The Pennsylvania Com
pany is now ready TO assume this du.
ty, and arrangements have been made
for the transfer OF tho property and
franchises Of the Transportation Com.
pany to it, which will be carried into
effect as early as the transfer can be
properly made. Tho actual value Of
the property, consisting Of cars, ware.
houses, wharves, offices, sidings and
shops, TO be thus transferred, Is csti-