The Indianapolis sentinel. [volume] (Indianapolis, Ind.) 1880-1904, 1885-03-07

WAsHINGTON, March 6.-Ihe following is
the letter of ths President of the Union Pa
cific Railway Company to Senator Hosr,
mentioned in the Senate report to day:
BOSTON, Feb. 9.
To Hon. George F. Hosr, United states Senate,
Washington:
Committee, reported by you, regulating the future
payments 10 be made by this company to the
United States in settlements OF its obligations
Das now for some days been in my hands. As you
are aware, the representatives of the Company
were not consulted in regard to this bill when it
was in preparation, nor were they permitted TO see
~ unll II had been reported TO tue senate. AS
the Union Pacific is the one corporation inter
ested II may not be out OF plsce for me to take an
opportunity concerning the measure which has
been afforded you, as my conclusion was
reached in regard TO it from directors
point OF view. As originally reported the
bill was construed as compelling the company
to make semi annual payments in the amounts OF
s450,O,O with increasing interest, from first pay
ment forward 10 one hundred and twentieth, so
that, in the round numbers the payments, during
the first year, would have amounted to eooIt
$3.50. OC0. and the payments during the sixtieth
year would have amounted TO about SIS 600 O01:
subsequently amended the annual paym II $
from the beginning are TO include interest on the
entire amount unpaid, that is, the payments f0r
the first year would be 81 500 600 which woIld
have regulsrly decreased at the OF about $780,
GOO per anLum, as the debt was psid until in the
s'xtieth year the payments would have amounted
to but about s9OO.oc6.
Finally, in the shape in which tn .
stand it, are equalized throughout the entire
period, SO that, including the central branch,
they will be about SIS, 600 600 year. 1t is merely
necessary Tor me 10 refer TO the two last plans.
that of annually decreasing the payments, sud
that OF equaliZing the payments AS 10 the first,
l am Obliged to say l do not think, under present
business conditions OF the country, the Union
Pacific would be able to meet its requirements.
However IL might have been under the Gonii
tons which heretofore existed, a. Is Notorious
that either for the Union Pacific nor for the
other railroads In the country, are the present
times prosperous. Business is lsnguishing, re-
ceips are falling Of, and the future IL uncertain.
Nor are these conditions averse conditions OF 8
merely passing nature. There are now four Trans.
contiD entail routes in place of one, and the Union
Pacific meets severe competition in its most valu
able local territory. II remains 10 be seen how
far the increase OF traffic will compensate for its
years ago, might have been safely assum ID is now
dangerously heavy. II you expect horse to pull
a load is not well to hitch TO him load hesvier
horse is true financially of the Union Pac hc
From my present knowledge OF the CON-
pany's system of roads and the existing bust
the annual requirements OF 81 500 600 on the part
of the United States would so cripple the Union
Pacific that should be unwilling to assume any
responsibility for the result
AS respects the second scheme, am advised thai
% to- ,nos1 ioF tne @ es
There is, think, fair and reasonable prospeo
that the company conld carry this burden. dc
load is heavy one, ard the future of railroad is
alwas matter OF uncertainty. While the Gov
eminent comp tie union racinc 10 meet con- a.
legislation. so tied up the hands Of this company
that il can not meet its competitors on equal
terms. not but consider this course of latte
years pursued toward this company by the United
States as economically faulty one. From my
point of view, Ii is not in the interest OF elthe
Government or people 10 force tue Union Pacific
TO annually take these large sums out OF its cap-
tsl and tie them up in an oyerhowing National
Treasury. The Union Pacific serves six States
snd four Territories. There is not one OF thess
States and Territories which is not to-day calling
Tor railroad development which. If il could b.
provided, would not only afford whole commuli-
ties sorely-needed business facilities, but would
add larg ly IN the traffic aud income
of this company. Every dollar OF money therefore
which is taken out of cur business annually
is so much which could be applied 10 the develop
meDt OF the country, not only to the advan tage OF
the Union Pacific but to increase the security OF
the Government, sc far as the ultimate recovery oi
its debt is concerned Each request for these nd
ditional facilities. which now reaches me. vii
have TO be net with the answer. that the money