Keowee courier. [volume] (Pickens Court House, S.C.) 1849-current, 1880-04-22
The GrccMvillc and Column
bia Railroad and Hts
Future Policy.

Railroad was tho most important transfer of
railroad property, undor tho hammor, that
has over taken placo in South Carolina, and
the public arc naturally soicitous to know
something of tho intentions of the new owners
of tho road. It was significant incident Of
tho exciting snle that, aftor tho bidding had
been going on for avo long hours, tho ropre-
sentative of tho Air Limo interest. whose
plans woro generally understood to DO anta~
gonistic. commercially, to this city, ap-
proachod tho Master, and said: II have
come up to compliment tho Mayor Of Charles.
ton and to give up this hght!"
Some years ago, whom tho South Carolina
Railroad obtained control Of tho Groonyillo
aud Columbia Road, President Magrath
conceived it to DO his duty to work both
roads as If constituting single property.
No diversion Of tho business of tho Greonvillo
Road was permitted in any direction, and
Charleston became tho recipient of tho whole
volume of business along it's limo. This
policy, 80 advantageous to tho interests of
this city, provoked much hostility in many
sections Of tho State which claimed that it
affected them injuriously. Eithor Charleston
was not thoroughly informed of tho oxtcnt
and cost of this fidelity to her business into
rosie, or she was lacking in appreciation of
it. Certain it is TINT tho support which those
interested in the prosperity Of tho city owod
to President Magrath's struggle to koop tho
business of the Grconyille Railrond tributary
to Charleston was not given. In November,
1878, Gen. Connor was appointed Receiver,
and tho identity Of interest between tho TWO
roads was ut an end. Public sentiment
along tho line of tho Greonyilc Railroad was
clamorous that tho line should DO made FREQ
for business in any direction, without dis
crimination, and this policy was urged in the
interest of tho creditors Of tho road, no loss
than for the accommodation and paoifcation
of shippers. Tho Receiver acquioscd, and
for moro than year tho Greon7llc and
Columbia Railroad has Deon on open line to
oil connections. 1t is indisputabo that the
change has been welcome ono to tho pcoplc
of tho up country, while to Charleston its
effect has been less hurtful than many had
anticipated. Of the cotton movement on the
Grccnville Road, this city is still receiving
ninety per cent; and, excepting tho items of
first and second class through freights, sho
has continued to supply her annual freight
contributions to tho hundred dcpots along
tho line. This is certainly gratifying as
demonstration of her supassingss advantages
ms cotton market, MS well as her ability to
hold her own in fair and opon compete
ton with oil other points for tho trado of tho
Stath.
For many weeks past efforts havo been
made in Charleston to combine the inter
ests represented by tho holders of the Sec
ond Mortgage bonds of the Road, in view
of tho approaching sale, in order that this
city might roasscrt its exclusive control Of
tho line. 1t was known that strong con-
bination of tho holders of the guaranteed
bonds had been made for their own proteo-
ton, aud that bid of at least $2,250,000
would be mado to protcctthcso investments;
that by the terms of the sale at least
S750,000 must be paid within ninety
days and Sl,500000 within twclvo
months. Thus it was necessary for
any combination of holders of the
Second Mortgage bonds, in order to
purchase the Road, to provide, within
limited period, for very large
cash payment. Besides, the Second Mort
gage bonds were largely held as collateral
for loans, and, whlo tho conditions OF the
loans authorized the sale of tho collatcras
they forbade the use of the bonds for any
speculative purpose. In tho absence of
any Charleston capitalists, both able and
willing to buy tho Secoud Mortgage bonds
outright and then bid 81, 2,250,00O for the
halt Al
would finally fall into tho possession Of tho
guaranteed bondholdcrs, or else become tho
property by negotiation or purchase, at
price somewhat above the aggregate amount
of tho guaranteed bonds, of the Air Line
Railroad which was by the location of its
limo, necessarily competitor with Charles
ton for the business of tho Greenyllc
Rond.
At this juncture few citizens succeeded
in making up syndicate to buy tho Road,
and began operations by the purchase of
largo proportion Ct the Second Mortgage
bonds. In this way they, Of course, OBJ
tanned great advantage at the sale, and
We have seen how effectively they have used
it. 1t is now contemplated, W, arc in
formed, to reorganzo tho Road under a
new name, to add to its rolling stock and
equipment, and operate it, as it has been
worked during the past year, as an open
Road for all business; but it is especially
declared that there shall be no discrimiua-
ton against Charleston. Suoh diacrimi
nation, however, would not be likely, in any
event; for almost the entire cotton move
ment Of tho Road (02) per cent. for last
year grayitates to Charleston on account Of
tho marked advantages of its market, whilo
from our jobbipg stores and warehouses