New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-03-18

| cations this Company has steadily pursued directly
opposite policyhaving actually reduced It's Lana GRANT
Bond. during tho year 57s0Oo aud upwards Oh s2ooo'
since tho completion Of the road In addition, inc Lana
epartment have onhand s279i26 ilOo In and notes.
drawing interest The proceeds Of these notes. ne hst
% maid and NJ additional sales OF lands. applied by
the Trustees to the purchase and CANCELLATION Oh INC
| Land Grant Bonds.
During the year there were sold 232o9 6loo acres OF
agricultural lands the Platte Valley, for the sum OF
a 900 es 6Oo being an average Of 81 65 per acre the
total number of sold to JAM lSo was loS'oo w
100 for &A9365 being average OF u SO per acre.
Tie amount OF land unsold l0995Oss $500 acres
very large proportion which Is mineral land or great
value. . o..
In view of this increased value OF the unsold ands
may be assumed that the average sun TO DO realized
from their sale will not be less than Is per acre. anu n
this event the aggregate sale Will amount 10 the SUN Vi
& 9754l IS which, IN addition TO land NOTES on manu.
is sufficient retire the outstanding Land Grant pohns'
the Sinking Fund bonds the entire capital stock OF
| the Company at par.
| The Union Pacific Railroad Company own in Wyoming
Territory an area OF coal fields greater than the entre
anthracite coal fields State Of Pennsylvania The
coal fields OF the Company extend along 400 miles Oh the
road and 100000 acres OF ITS lands are WITHIN tue
coal treasures The coal Is superior for ordinary fne
and unequaled for making steam and for all manuiac
turing purposes 1t will furnish cheap fuel to the Com
revenues the sale and transportation OF coal for
tic and manufacturing to supply the country
extending for nearly 1000 miles from Omaha to the Pa
| cihc Coast.
The road was opened for traffic in 1862 since which
time variety que tons has arisen relative 10 the
true OF the acts OF Congress nnder WHICH
il was constructed Tue position at times malhtaheu
by the Company touching these questions mIscon-
strued into anaconism TO interests OF the Govern
ment and led the public To make unjust crtcis u.s. anu
pronounce unsOund Judgments concerning the conduct
COfpDrHtlOn,
mas been TO fnl every obligation rightfuy imposed on
tby law. Happily, most OF these questions were oi
temporary character; many OF them have already been
satisfactorily disposed OF. and the remainuet are u,
fair way compromise between the Government ana
the Company, or speedy and final Adjudication ~ the
courts. -
Past public mApprehcn.lon and its consequent hos
ny constitute the only clOGd which sbadowo the Com
pany's property Cns IL rapidly passing awaf. ana
perfect understanding OF tue Iacts involved VIII
dispe II forever. To assist IN tncuns ils most GeSia-
bic end, the statement here following i. made. -.,
In pursuance OF the opinion OF AttOrneY-Generh
Evarts Sept 1865 It was held by the Governinlnt
the road only partially or proVisionif coh-
pleted, and that 1t was NOT competed I3ad W'IhIh
The terms of the OF Congress under when IL pad
been constructed The Company had no alternative but
to accept aud act upon this resolution or tho Govern
ment. - ,., .,.,, -.
own hands portion subsidy bonds ana the unde-
yered patents for the IN the dGraut
This oecasoned most seilous nnanoiat MN
to the Company, Which led to negotiations resulting IN
an agreement NOW matter OF puDhc ieeotd Oy the
terms OF which the Governments bonds, "lthhed as
above stated were lowered 70 the oohpaS upon us
On tao 10th OF APRIL 1862 Congress. acting the
mcnt that the not completed road within
the true intent OF the acs OF tnat o9dy ps S Joint
tive Department, ana authOrzn. Tue president 10 ap
point Board OF eminent citizens" TO examine and
report upOntc condition Of aud what sums any, Will
be required complete each OF said roads for NE en-
Ire LnotE Hereor 20 ne said teinainus a. frsclass
in compliance with the several acts relating
said roads" The " Board Of eminent CITIZENS was ap-
pointed After careful personal examination, they re-
30.
aud half million dollars would be required 10 complete
the provided by the acts OF Congress ana the In
! structions OF the Interior Department
In of this report and IN compliance with the
demands OF the Government the Company pioceeIeat
make the expenditure exacted and, when nearly the
stated amount had been 80 expended the Government
elected release to the Company the hrst MORTGAGE
bonds deposited with it as upon inc p0nu OF
the corporation being gwen, condtonea i1r iuli com
,.nce with the law relative to the completion OF tho
road and released one-ha OF Tue patents ior l.s re-
tanned order OF the secretaly Oh te inIeror saeea
Nov B. 1862 holding the remainder uhu maj completion
| OF the road nosi.io, ,,o. Tho rooa
was not completed within Tue ineahhg vi Tue actS o
Cngrrs until October 1874 Ia the mean time the Com
pany had expended $3.50 o5 70 IN or1SnG the ROAD up
10 the required standard or about s2oooo more thhh
the port OF Board Of Eminent Citzeus required
mo cornorton notified the Secretary OF the Interior
that IN the opiuon of the Company the road was com
pleed as contemplated Dy tue acts OF Congress tue re-
port OF Board OF Eminent Citizens and TIE order
of his ID partlnenr. Thercupon new Commission was
appointed reGXamDe tha road and report thereon,
fu copy Of which report Is herewith submitted. IL will
be observed that this report covers specifically ana IN de
road ana contains this express cOncluslon THIS Co-
mission has. therefore, decided that the road was coi-
rommisson and in conn iiance with the instructions
the Department, Oct 1874 AT totai cost
of sI5,2i5S7 49, as shown by the books OF the Com
pany. - ,.. ,.ouo, ~. ,ho ,overnmant. and
since such approval only since then, the road has
been deemed neld to be completed Thls action OF
the Government was highy important ih several re-
inltry the question or the ROADS completion; IL re
moved tile inhibition to the issuance Oh patents lor ne
ad IN Az
issued rapidly AS required 0y Tue COMPANY; ana IL
receive from tho Company live per cent OF lis net earn
ms under the 9th section Of the act OF July 1862.
Sh nrovtdes that latter said road Is Completed until
snid bonds and interest are paid, ut least five per
centum the net earnings OF SAID road snal also be
annually applied to the paydeh. t ineIeo mpoa ns
the Company now except as hereinafter stated In
accord and cannot be- doubted that so far as any OF
them are Involved III judicial proceedings, the courts
viii affirm concord thus exlsuns. -,
H. entitled 20 receive i've per cent or te net earnings
nf the road alter Its completion aud the government
CONNECTED on the st day OF October 1884, tue question
| arises. What constitutes net earnings
M smnr.me ourt OF the United States has answered
en-. ou,stIou In St John agt. The Erie Railway COul-
that Court held that net earnings are such as are
& 10 the stockhoders after the payment OF all just
n awfnl charges against the Company. II Is stated
in the opuion OF the Court that The logical definition
NJ NET is clear Of all charges and deductons-lWeb
s.e, .Thnt which remains after the deductions oi all
chnrr or outlay rs net prons IWoTcestcr Inc pop
mar OF tie is the same" This reduces
ha oeston of net earning. to absolute certainly.
Whateycr this Company left o Its earnings after
naymen Of all Just aud lawful obligations ID net
p.yuInps ana Of thls amount the Goiernment claims
thaI IL IA entitled 10 cent since the completion OF
me rond-a date xed ny the Governments own action
a. me first day of October 1874 Hence there Is no Ion
Ger any GROUND OF GsagreemcGt between the GJyeru-
ncnt and Company as 10 what constitutes net caro-
up- ana the date wicn the FORMER is entitled 10
drmaud 5 DER cent OF the same, II AT all whether or
| moi ,he 3 pcr cent liability Is now Obligatory on the
Compauy is not deemed essential 10 DISCUSS III Is sum
Gent 10 say that eminent counsel are oi opinion hat
his mart OF the act 1862 Is repealed and the decision
| OF Judge Hunt, that the legal construction OF
| our charter must, on doubtful polnts, Dc Goa
stru,d IN favor the Company seems To give great
force TO the opinion that 10 such obligation now exists