New-York tribune., 1873-05-06
DEVELOPMENT

rop1y MILLIONS IN IMPROVEMENTS.
,-y,, cosr oy EXTENDING THE ERIE ESTIMATED ny
ms PRESIDENT IN AN ELABORATE LETTER TO MR.
N'nrNRY-CoNsoIIpAT OF ROADS EAST AND
wEST.
PETER II. Watson. President Of the Erie Railway,
has written significant letter to James Mchenry
Of London who is largely interested in the Erie and
Atlantic and Great Western Railways. 1t Is arev'ew
Of the Erie Railway Company and gives IN detail
the advantages that have been obtained by the
acouisition Of the Cleveland, Columbus Cincinnati
and Indianapolis, and other railways. 1t indicates
the advantages to be derived from an alteration OF
the gauges. and is accompanied by schedule show
ing the estimated cost of proposed third track
steel rails, structures, improved rolling stock
and the extension of the road to be about S4OOOOO
President Watson claims that the road, completed
aud equipped as proposed within five years would
earn at the very least S4OOOOOOO year, OF when %
per cent would be net.
The officials of the New-York Boston and Mon
treal Railroad have acquired the Vermont Oehtral
system of railroads which will enable them 10 eA-
tend their operations and increase their traiho' AS
the Erie Railway Company is largely interested III
the New-York Boston and Montreal, whatever the
latter acquires is therefore of corresponding interest
10 the Erie The acquisition of the Vermont Central
is especially interesting at this time, as 1t has so
recently been made the subject of inquiry In Yer
mont.
The New-York officers Of the Chicago Air Line ana
Northern Pacific Railways of Wisconsin and Illinois
announce their prospective consolidation on June 4,
at the meetings Of their respective stockholders.
The Lake Shore and Michigan Southern Railroad
Company will hold their annual meeting tomorrow,
at which they will reGect nearly all their present
officers install new general managers, and proba-
bly, take whatever measures may be deemed expe-
dient to defeat the further extension Of the Eries
traffic or influence.
PRESIDENT WATSON ON ERIE'S FUTURE!
The following is the full text of President
NEw-YoRK Aug. 7, 1872.
JAMES McHEYRY. esq.-DEAR SIR: In order that you
may present your friends in Europe, who are
Interested in the Erie and Atlantic and Great western
Railway Companies some Of the ideas which have re-
GENTLY suggested 70 you verbally now repeat for your
,areful consideration. the more prominent facts con-
nected with those roads and the questions, due con-
ideration Of which to me vital to their perma-
aent success Apart from all questions rs to the cost OF
transportation broadgauge lines In comparison
With the narrow gauge system, winch last for prac-
hcai purposes may be assumed 10 be OF 494' when
aas been adopted the best compromise between tue
and the Western lines, which vary between 4Ss
and 40; saw without discussing the comparative cost
,f transportation. though believe that narrow gauge
may pay largely its cost, while one OF SIX rect
nay be worked without profit, it is plain to all those
gho have carefully considered the questions involved
hat the inability TO connections beyond Buffalo and
Dayton for broad gauge is alone sufficient reason
or requiring reduction Of the gauge Of both the Erie
md Atlantic and Great Western lines to 49 and until
hs accomplished the results by the owners OF these
loads cannot be secured.
But having secured this change being assured that
ne means necessary for its accomplishment may be OBJ
AIMED in time TO meet the requirements of the Erie
company, another question at once assumes equal or
,reater Importance, and unless able practically
a extend the Erie line TO Cincinnati aud the Southwest
a. the Lake ports Qncludng Chicago, TO ST. Louis AID
he Northwest and thence the Pacific coast the Erie
Road will remain isolated from the main sources OF
profitable business the absolute control OF which as It's
ources freed from the caprices and changea0e inter-
ss the of other lines is necessary TO en-
able any trunk line command at all times its due
ma proper share of the traffic which is abundant, but
shich has been unduly controlled and has reached the
eabOard by the Pennsylvania and Central Lines
RESULTS OF A COMPREHENSIVE POLICY.
This farreaching policy first acted upon by the
Pennsylvania road In ten years 1t has by leases run
iDg arrangements, and the purchase OF interests in
Western hnes become the controlling power over many
thousands OF miles OF railroads. that its system has
low become network of connections from Canada on
he north the EXTREMIST western points OF the United
3ates all these lines OF roads contribute constantly
and surely to the business and profit of the Pennsy
adopted by Mr.. Vanderbilt, and the influence of the
Central road is now almost powerful in the West as
hat Of the Pennsylvania line SO far, the Ere and
Atlantic have been unable to compete with their rivals
II hi, field BY the change Of the direction OF the Erie
\. now, for tie first time, position TO secure us
hare this influence and business III IL 1ails TO" 10
secure similar advantages II must remain, as IN lhe
)ast comparatively poweress and us future cannot DC
In LOOKING over the whole field of Western connec-
lions Of the main and constant sources from Mleu
business springs, II seemed at hrst' almost inpo,
nbe 20 extend the influence OF the Erie 1SlI"y III any
nractOn without al once coming IN cOhtact ana III
noa,ct win the systems Of the Pennsylvania ana Cen
raj rOad~-already estaDhshed-One main lue Oui',
shicb bv is branches and leased roads seemed 10 meet
h. rrgirrlnentS OF the Erie Company, free from
embarrassing contracts or alliances ihls was tne Ac
II he Cleveland, Columbus, Cincinnati ana lndidld!
iii, Railway This road from Cleveland TO COlum
,us is miles; at Gallon 50 miles NON cleveland;
lrtfeh rJu- 70 indianapolis, g2 hiifs ana HDm tHe
anie Jciut another branch extends 70 .sprlhg
ioid, - miles, thence by leased inc 10
Dayton miles and thence by itS own lhe 10 MARIETTA
junction liles and 10 Cincinnati, miles, by leiSeu
iur--au u thc state OF Ohio. On the nOrth rom IN
haudpOs 10 lcTre Hautc (olatc Ol iIudutl' - uil.s'
hc roau owned jointly with the Pennsylvania Com
ANY thence 70 81; Louis, l92 miles over road
outly ,ri by the CleyeianG. Columbus Clhclhuatl
Indtnti'is and the Penusy wanna central ~ also
oWi Oh the Illinois river to shdwneetown, on the ono
Socr distance %. z2s miles, passing lnf0uXn one 0l
'Oad extending from Union, on the indianapolis Dranch
20 Day ton. the cincinnati branch distance Oi 4o /
nes ;nI, Drancl 6cing bow used ~ the Peansy wanna
Road % IN, H. It, Cuvuua connection from the West.
tcyntrO- largely the OF tue Tlscarawds Val
g Road. 0j miles In irngu which crosses the CleVe
.tnd. CU.um0u-, Cincinnati and indianapolis at |
JratOu. aud terminates on Lake Erie. These lines |
.hc rcmiiuacr being leased such advantageous !
orms hat the leases alone worth large part OF tue
Ehd, t0uDbus, Cincinnati. ana Indianapolis Railway |
'Orus close connection WI.h tle Atlantic aud Great |
Western ~ Cleveland springfield tiiOn, aud Dayton.
Tlc capital of the Cleveland Columbus, Cincinnati ami
Indianapolis Railway Is a. follows:
B0bcl Geht...........-.... r5OpOU
s ea a, ed st i-lI c,i.... S