Fort Worth daily gazette. (Fort Worth, Tex.) 1882-1891, 1883-09-06

Vhi0oOulis "a hhhttSt thO
Territory, Texas, Louisiana and |
Mexico. There are central connec-
tions at Cincinnati, st. Louis, Chicago
and New Orleans. All the construc-
ton of this system WAS completed last
year and represented about 10000
miles of road. The earnings of the
lines when he took possession of them
was about $4,000 600 per month; the
earnings for the past month S5.oO0,0C0
In building up this system of roads
the Southwes, has been opened upand
the country thrown open to civilian
ton. Mr.. Gould stated that he was
director in the Chicago q North
western Chicago & Rock Island, Del
aware, Lackawana 81 Western, New
York & New England and several
other smaller roads.
Incidental to his railroad interest he
had become largely interested in the
telegraph business. This was on ac
count of the intimate connection be-
tween the two industries. lie was in
strumental in starting the
American Union to make it a COM
peting line wife the Western Union.
He found that it would be impossible
to accomplish this, owing to the extent
of the latter's connection. He then
turned his attention to getting con-
troll of the Western Union by buying
the stock when it was low. Finding
it a paying investment, lie had been
constantly increasing his interest
His object in securing control of the
Western Union was to- make his
friend General Eckert the manager.
as he had great confidence in his busi-
ness ability. The railroad facil-
tiles acquired by the Wes-
tere Union are invaluable, and it
is impossible to estimate their value.
Qustion-Can you give us your opin-
ion as to the practicability of a govern
ment postal telegraph, which would
take the place of the present system.
/ think the institutions Of this coun-
try are opposed to any such thing as
that, replied Mr.. Gould. Telegraphic
business, more than any other, requires
TO be managed By experts, and the
devedends OF the Western Union are
| Obtained because it does this business
well. Under government sys-
! tenn the whole management of these
great interests would be subjected TO
change and the particular political
party then in power. Mr.. Gould also
| thought that the mail service would
terprise than by the government He
would not object to the government
taking hold of the telegraph system o.
the Western Union if it would pay for
it what it was worth on a fail APP
+; praisement but in his opinion. il
would not be success Uniform tariffs
could lie secured under privats
enterprise as well as government SUI
pervision, and the Western Union
| policy tended to accomplish this. In
! New York state there is a uniform
system of rates. There could he no
lasting competition against the West
ern Union on account of its great
facilities. When there were powerful
rivals, rates were not reduced, because
the competitor was obliged to charge
rates rs high as the Western Union in
order to live. This had been his ex-
F., perience, and if any one thought
he could do better than himself
he was certainly at liberty to try
The value of stock in corporation
depended upon its earning power.
There might be water in the Western
Union. but the same could be said of
all kinds of property which had in
creased in value, though the govern
ment had right to fix limit beyond
which the profits of the company
could not go, but so long as the rates
were not unreasonable it had not the
right under republican, Illustrations TO
take away private property from its
citizens without just CONDENSATION
Senator Blair inquired whether he
could give an approximate estimate of
the value of the Western Union.
Gould replied it would be impossible.
as he was not in position to give such
an estimate. He did not trouble him
self, but Judged of the value of the
property on the broader basis of its
earning power. The value of fran
chises spossissed by the compaMy
at present could not be
estimated by any known means
Contracts with railroads had been
made under varying circumstances.
Inc growth of he telegraph system
represented the growth of the couhtry,
ana was progressing more rapidly than
hiost people imagined. He thought
seven per cent. fair estimate of the
earning power of the Western Union.
me sleek OF all safe paying nterprises
was being distributed all over the
country. This class of investors held
ABOUT sixty millions of Western Union
stock, which WAS continually booming
scarce ON the market Within two years
ne thought, the remaining shares
now upon the market would be alb
sofoed by investors. He was glad
uhls Was 70, for It indicated'a prosperous
vonuition oi affairs. lie did not
shihK there WAS SO much water in the
stoch OF Western Union as in n2ny
olher Companies. The value OF Wes-
TERN Union was very nearly equal 10
us capitalization, He did moi think