Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1883-01-28
THE NEW PH4SE OF THE OMAHA
CONSOLIDATION.

THE NEW PH4SE OF THE OMAHA
CONSOLIDATION.
Rnmors, which can only be traced far
enough to indicate that they originate with
those likely to be we'll informed, are that
the late practical consolidation of the Chi
cage. st. Paul, Minneapolis and Omaha
Railway company with the Chicago and
Northwestern company, will soon result,
(probably on the first of next month"; in
the removal to Chicago of the financial de-
partments of the Omaha COM
pany, their consolidation with
the corresponding departments of the
Northwestern company, and the conse-
quent Cor economicaD discharge of about
seventy of the present employees of the
Omaha company in st. Paul. 1t is fur
ther stated that Mr.. Hatch, general super
intendent of the Omaha railway, will be
retired, probably to go to the Lake Shore
or Nickel Plate road, and that Assistant
President Winter, of the Omaha company,
will succeed him as general superintend-
ent of the same company. Also, that Mr..
Winters coming to the head of the super
intendency will involve several
changes among the division SUI
perintendents which will include
the retirement of some of the superinten-
dents long identife with the road.
While the personal changes thus threat
ened a e locally of considerable interest,
on account of the large acquaintance of
some of the officers affected and the high
esteem in which they are held, there is
both a local and state interest to be con-
sidered. The Omaha company, separated
from the Northwestern company, was St.
Paul and Minnesota institution, most close
ly allied with Us by all
its business. Attached to and con-
solidated with the Northwestern company,
it will soon become foreign to US in its
management and possibly unfavorable to
us in its policy. The long line of the
Omaha company, from Lake Superior to
Nebraska, forms natural trunk line, to
which the Elroy line as we'll as its other
branches and connections, under manage
siderations would be merely protectors or
feeders. But the same line, under manage
ment OF men Influenced by Chicago ideas,
will be divided into sections trib-
utary to Chicago hands and
the determinations of rates and facilities
will be accordingly antagonistic to the
trunk line traffic, which the Omaha COM
pany was naturally building up.
This antagonism, though it may be mod
fled or limited by prudent principles of
railway operation, will necessarily be to
the disadvantage of ST. Paul in limiting
the facilities which continuous line of
traffic would afford it for extending its
trade into Northwest Wisconsin and into
the Southwest country. The same antago-
nism would operate against the people of
all the country along the long line of the
Omaha company, through Wisconsin, Min
nesota, Iowa, Dakota, and Nebraska, in
direction of obstructing their business
communication with each other by rates
favoring their transfer of persons and
commodities to the Northwestern compa-
ny's haul towards Chicago.
The Northwestern company's control of
the Omaha company has been less threat
ening than now, only because the manage
ment of the latter company's business
was not materially changed. The |
removal of the offices to Chicago and |
the other changes rumored are indicative |
of placing details as well as general fea-
lures of the management of the Omaha
road under Chicago control-in charge of
men who know but little of the Northwest,
and we're they most favorably inclined
would be unable to appreciate the natural
mission of the Omaha road as trunk
line, independent of and outside the Chi
cago system.
The pending consolidation, to which
attention is attracted by the rumors
spoken of, viii doubtless have eff
feet upon members of the legislature
when called upon to consider proposed
legislation regarding state supervision of
railway operations. 1t is to be hoped it
will not add to prejudices in favor of I'M
wise legislation but that it may stimulate
the best minds in our legislature to study
out proper system of supervision which
win not Cypress the railroad companies
3ut will prevent them from deserving the
interests of the people who gave two-thirsa
Of the cost of their roads.