The morning news. [volume] (Savannah, Ga.) 1887-1900, 1888-03-08
CENTRAL'SCUTONC COTTON
THE AUGUSTA STEAMERS UNDER
ALExANDER'S FIRE.


the Policy of the Augusta Merchants
The CentraPs President Says it is
Not Case of jealousy But of Bust
ness.
The new line of through steamers be-
tween Augusta and Savannah seems to
have stirred up quite commotion in rail
road circles Before the Advance and
Progress were put in the trade the Central
railroad system was getting 81 25 per bale
for freighting cotton to Savannah, and
there did not seem to be any possibility of
shippers getting any reduction from the
railroad people. The merchants of Augusta
were unable to get as favorable rates on
merchandise as they thought they were en-
titled to- SO they put their heads together,
cotton merchants and grocers, and made up
their minds to offset the railroads and get
their cotton to deep water and their grocer
les and other merchandise to Augusta at
lower rate.
Sufficient stock was subscribed to build
and operate three boats, two of which, the
Advance and Progress, are now in the trade
and third is building. The understanding
was that no sale o. the boats should ever
be made to tAe Central road, which they
looked upon as a dangerous rival, and
which, if it should get possession of the line,
would result in a return to the high freight
tariff
SPEAKING FOR AUGUSTA MERCHANTS.
An interview, yesterday, with Capt.
William T. Gibson, agent of the Augusta
steamers in this city, revealed the situation
of affairs. Capt. Gibson said that the
steamers began carrying through cotton
from Augusta to Savannah at 81 per bale,
including free dravage and wharfage both
at Augusta and here, and reduction of 20
per cent in the freight charges ON heavy
groceries and many other articles of mer-
chandise was effected.
This reduction has now been met by the
Central, which offers to carry cotton at the
same figures and covering insurance.
wv hat effect will this have on tho bust
ness of the steamers he was asked.
Capt Gibson replied that it ought to
have no effect. The boats are owned by
the merchants of Augusta. They cannot,
by the terms of the contract, ever fall into
the Centrals hands, If the road wants to
cut its freight rates down to a point where
the boats cannot be run without a loss, the
object of the Augusta merchants will have
been reached. 1t is immaterial to them
whether their dividends come to them from
the earnings of line of steamers, or whether
through a low rate Of freight charges by
the railroads. If the latter put down the
freights so that the boats cannot make ex-
penses they will be tied up, and at the very
first disposition of the railroads to advance
freights they will be put into the trade
again.
THE CENTRAL NOT A LOSER.
Capt. Gibson said, however, that he did
not think the Central road has been the
loser, Charleston and Port ROYAL are the
losers, for cotton that heretofore went there
is coming and will come to Savannah The
other roads running into Augusta have
more reason to complain than the Central
has, but they are pooled for that matter
He argued that the Central road is getting
the benefit. Its loss of cotton and freights
to and from Augusta over its Charleston and
| Port ROYAL roads is more than overbslanced
by the increased haul of freights to and
from New York and Philadelphia by its
steamship lines. 1t is handling more freight
now than it did before the Augusta steam
ers were put in the trade, and it has no rea-
son to complain.
Gen. Alexander, President of the Central
road, was seen, and was asked if it is true
that the freight tariff on cotton has been
reduced from 81 25 TO 81 per bale
Eyes, sir" he answered. at has always
been my policy to meet reductions whenever
they come into competition with our sys-
tenn. have always held that we can carry
freights as cheaply as anybody else, and
that we shall do"
IT Is NOT JEALOUS.
Reaching into one of the pigeon-holes of
his desk, he said: Let me show you some
thing. We are not jealous OF the little
steamboat line at all. We are not singing
out anybody to make a fight against
want to show you Just how much of orr
revenue was derived from Augusta last
year. We could lose it all, and it would
affect us very little. Here, you see, :" and he
. pointed to his tabulated report for last wear
| sttha If HI. i
from Augusta was only 2.3 per centum, so
you can see that it is not enough to make us
jealous of the Augusta steamboats,, or
enough to draw us into fight, for without
0 the steamboats, less than 212 per cent. of our
revenue was derived from Augusta"
> But in carrying cotton at 81 a bale COW
ering insurance, is not that a cut under the
; steamboat rateN
81 PER BALE AND INSURED
"Oh no. There is nothing at all said
about insurance. 1t is understood that all
freights carried over our lines of road are
insured. In other words, if freights are
destroyed by fire while in transit over our
roads we are held responsible for careless
ness in handling them. The fact that we
, are carrying cotton at 81 per bale
where we carried it before at 81 25,
r means just this and nothing more: We
were confronted with carriers whose tariffs
were 25c. lower than ours. 1t is not the
, policy of the Central to let any one carry
. freight for less than we can do it, We have
merely met the competition by a like rate
We can carry it for 81 if anybody else can.
While the revenue we derived from Au-
gusta is small, as you can see, we are will
ing to go as far as any one to keep that, and
| am not in the least jealous, for it would
3 be the loss of only very small part of our
revenue if we lost it all"
Y Capt Gibson says that the Augusta steam
: ers are more than making expenses, and
that while they got into the trade most too
late to handle the cotton they would other
> wise have handled, they will be very apt to
y get it all next season. He limited very
strongly that the railroads delayed the ma
= chinery of the boats which gave the rail
roads an opportunity TO carry more cotton
the past season than they will get another
year He says the boats would have been
!. much earlier in the trade if the machinery
had been promptly handled, by the railroads,
| in transit.
+ AN ANTI-MoNOPOLIST.
Mr. Alex, Raymond, who has a desk in
= the Office Of Capt. Gibson, has some very
> strong opinions Of bis own. He is an anti
railroad and craftsmanship man, and he
. thinks the Ocean Steamship Company, the
. Central railroad and the Plant system
a thaf