The weekly democratic statesman. [volume] (Austin, Tex.) 1871-1883, 1883-03-22
The Wabash Combination.


NEW YORK, March 15.-The Even
ing Post says that the bonds issued
by the Northern Pacific terminal
company for the purpose of building
depots and elevators at Portland, Ore
gon, have all been sold.
The Mail and Express contains the
following: Relative to the lease OF
the Wabash, foreign stockholders OF
the Wabash cabled over here, yester.
day." said an operator to-day, ''in-
surfing how much truth there was in
the reported intention to lease the
Wabash to the Iron Mountain road
The reply stated in effect that such a
lease was extremely probable l I'M
derstand that the matter has been
under discussion for two months, and
that the authority to make such a
lease has been given to the directors,
There is some doubt whether the
lease will include any guarantees by
the Iron Mountain. L have under
stood that the Iron Mountain
would guarantee the Wabash bonds
but Mr.. Sage, l see, says there will
be no guarantee, but that the
lease will be something like
the Kansas and Texas lease-the
Wabash would get its net earnings
and nothing more. This would prob
ably accomplish the results desired as
effectually as if the guarantees were
given. The point in the whole matter
is, the Southwestern system termi-
mates at st. Louis, where it meets the
Ohio and Mississippi, Illinois Central
Vandalia, Wabash and Chicago and
Alton lines. In order to preserve har-
mony, it is necessary for such divi-
sien of business to be made as will be
reasonably satisfactory to these COM
peting lines. The result is that the
Wabash gets only small portion OF
the through business from the south
west. Now, if the Wabash was leased
to the Iron Mountain the Southwest
ern railway system would be extended
to Toledo, and the roads centering at
st. Louis would not complain
if the Missouri Pacific gave
its business to its own line. That
would make Toledo, instead of st.
Louis. the distributing point. and the
Wabash, instead of getting 8 per cent
of the business, would reasonably eX-
pect to get 80 and 60 per cent, and this
amount of business would make with
the Wabash all the difference in the
world, and instead of being barely
able to pay fixed charges the Wabash
would probably earn dividend on its
common stock. The first year after
\the new arrangement took effect the
roads which would lose business by
this combination between the Wabash
and the Southwestern system would
90 l. -. 70 oil nf
orally, because they compete with the
Wabash down to st. Louis
now and beyond st. Louis,
there are no through lines
save these composing the Gould
southwestern system. Mr.. Sage says,
speaking in his capacity as director
in each of the companies interested,
it will be great thing for all of us,
and he is not far from right"
A letter from a gentleman travel
ing through the southwest gives the
following memorandum: Through
northern Ohio, southern Michigan
and some parts of Indiana the farm
ers are in much doubt about the out
come of their winter wheat. There
has been very little snow on the
ground, and they are afraid the re-
peated thawing and freezing will
have killed a good deal of the seed.
The people living along the Missis-
sippi do not look for much trouble
from water, as the alluvial deposits
resulting from an overflow act
as a fertilizer. The cotton lands
have thus far been greatly
enriched. St. Louis business men tell
me that general business has been
much improved since the first of
March and a good year is expected.
The Wabash road is doing an inn
mense passenger business and is car
rying numerous emigrants enrOute
for the southwest. In the wheat
regions of Missouri and Illinois
farmers report much damage done to
crops by warm days and freezing
nights. Many farmers are blowing
up their wheat fields and sowing them
with flax.