Morris tribune. [volume] (Morris, Minn.) 1880-2000, 1883-12-08
aud St. Paul directors as a great spur.

ooh, please correct that heresy.
We didn't COUP there for any such
purpose, and l don't know wher,
such foolish report could have OF.
iginate,l. Why, the st. Paul has
more road now than it ought to have,
and don't think it is apt to add any
new mileage just yet, besides that the
Manitoba is better property every
way than the St. Paul, and l don't
think Jim Hill, of the Manitoba
would consent to n joint omelettt
when the other fellows could contri-
butte only added eggs. No we went
up there simply to look into the physi-
cal and financial condition of the
Manitoba property for the benefit al
several large shareholders in New
York and Chicago"
"Would you mind giving to the
public your impressions of the prop,
eriy?"
ooh, we came back more thar
pleased. Manager Hill gave Us every
opportunity to look into the com.
pany's affairs aud rifle over its lines
The company hasdeveloped a remark.
able traffic since its reorganization
four years ago. Theroad passes through
a very productivesectionaud is the nat
ural outlet and inlet to the Winnipeg
region Of the Dominion. They have
gota little over $50 miles of road in
all, and for ayear past have operated
an average Of ,203 miles. They use
the best rolling stock that can be pro-
cured. Since l was up there about
eighteen months ago they have Put
in a great deal of good work on the
track III the way Of ballast and new
steel, until now it is about as perfect
track rs you ever saw. Why, oul
running time over the road, counting
stops at stations and for water, was
actually one mile per hour faster than
the limited express OH the Pennsyl-
vania. That looks like good track
doesn't it?N
How are the earnings noW?n
Good. The net earnings per mile
have more than doubled in four years,
and low rate of operating expenses
has been maintained, The expendi-
lures are now bat thirty per cent, OF
the gross receipts, and proportion
won't increase any. During the last
fiscal year the road received over $780,
900 from land sales and miscellaneous
sources. They hold now the title to
about 100000 acres of good fertile
and. The road on the west side of
the Red River, from Fargo up to the
northern boundary of Dakota, has
been opened less than two years, yet
we found quite pretentious towns all
along. I think the future prosperity
of the road will come largely from
these towns and from the immense
farming territory this side of the
British line. I tell you at some OF
those towns up there you wouldthink,
Judging by the horse, mule and OK
teams standing around the depot and
grain elevators that a regular country
fair was in progress. Everything is
hustle and business. There is not sc
much land speculation up there now
as there once was and in its place you
will find legitimate, honest business.
am satisfied that the Manitoba com.
pany can earn at least fifteen per cent.
on it's stock for dividend account, and
at the same time charge to expense
account a good many items
that corporations generally place to
construction account. Some of my
friends think twenty per cent. is not
too low an estimate, and I don't know
but they are correct; but still, when
l say fifteen per cent 1 know I am
within bounds. Yes it is sure eight
per cent stock with an extra dividend
now and then thrown in. The stock
and bond liabilities are comparatively
moderate and much below the aver
age of other roads here in the west.
The capital stock is only $4,000, 00O
and the funded debt outstanding is
$31, 800, 900, or total stock and bond
debt per mile of about $4,000. Lex
pect the earnings of the road to in
crease very largely as soon as naviga-
ton closes, as a good portion of the
traffic of the northern sections of the
road has been carried north lately to
the junction of the Canadian Pacific
road and sent east by way of For
William and the lake"
"What has caused the recent de-
preston in Manitoba stock ?"
ooh, lot of Wall street bears have
been selling it I suppose. Jim Hill
and his immediate friends own, I
think, about 100000 of the stock
out of a total capital of $40, o0o,00 SO
you see it can't possibly be very
healthy short sale. Mr.. Hill is not a
speculator himself, so of course he
dosen't support the shares. He never
buys stocks on margins. He always
pays for everything he buys"
"Do you think the new Fargo South
ern road will hurt the Manitoba2n
"No. On the contrary, 1t will help
develop the country, and in the end
will be of decided benefit to the older
line, It only touches the Manitoba
at Fargo and at Wahpeton."