Omaha daily bee., 1888-12-24
A RATE WAR w
The Union Pacific and Northwestern
C~O-OnCrnfN ON pnSsrnrcr Irnmc-

INC union Pacific and Northwestern
Cooperate on Passenger Tran ic.
Tn announcement published in Tn BER
yesterday that the Chicago & Northwestern
would put on "a fast train between Council
Bluffs and Chicago early in January, caused
considerable commotion in local railway cir
clcs, especially among the Burlington people.
1t has been known for some time that the
Northwestern had this matter under cousld-
Grafton, but IL was not thought that IL would
inauguratc the service so soon. The an
nounccmcnt in consequence has given rise to
various rumors.
1t will be remembered that General Man,
agcr kimball, OF the Union Pacific, in con-
vcrsation with a reporter for The BEE Sow,
cral days ago, stated that the Northwestern
aud his road were considering tho
matter of establishing fast train
service between Chicago and the western
coast. He also stated that the running of
tue Golden Cato Special" TO Chicago over
the Southwestern was being considered at
mat time, and that the outcome would be a
last Train on the Northwestern TO Council
nuns, where it would connect with the
Union PacihC's fast train, or the running of
inc latter's train through to Chicago. The
recent developments 30 to show that the fast
IRAN TO be put on by the Northwestern il
the result of this, and that il will operntc
jointly with the Union Pacific. Individuals
connected with the general passenger traffic
in this city regard this action as n blo,y
aimed at the Burlington, ana a step taken in
order that the Union Pacific and North.
western may be enabled to obtain "A large
portion OF the passenger traffic west from
chicago, and east bound from the Pacific
coast. 1t is well known that the Burlington,
by means of direct communication over lis
own lines to Chicago, has received a liberal
patronage of the passenger trafic between
bldJ IUlllU anu Denver, and that having n
through service, IL obtained a large percent.
age OF that traffic. BY the inauguration OF
the above system between the Northwestern
and Union Pacific, the most direct communi.
cation will be established between those
points. This means a discrimination
the same territory as the Northwestern.
aud attaches of the passenger department,
state that II Will not only result in the col
lapse OF the Western Passenger association,
but That 1t Will eventually result in a serious
cutting of rates, and the inauguration of a
rate war between Omaha and Chicago. Some
OF them even 20 so far as TO state that the
burlington would follow up this deal with a
reduction in rates between Chicago ana Dem
yer. General Manager Heldregc, Of the
burlington, when asked concerning this,
stated that the cooperation of the Union
Pacific and the Northwestern was a blow
aimed at this road, and that it was brought
about III order that the contracting roads
might obtain a portion of the Burlington's
traffic. When asked if his road would
counteract by making a reduction III passen-
ger rates, he declined to state, but said that
in al probability an effort would be made to
check any such movement. Indirectly
TINS Is construed, by railroad men, TO mean
that the cut will be made in case the Bur
lington experiences any loss by the comb.
II is also stated that fast service
will be put on between Chicago and Kansas
City at an early date,