Audubon County Republican. [volume] (Audubon, Audubon Co., Iowa) 1885-1894, 1888-03-01

Inc distance from MeinpnlS 10 New orleans
Is about 500 miles. or that distance, one
hundred is Mississippi ~ Tennessee, the
stock of which is owned by the Illinois Gem
trail, and the other 200 Is tho Chicago, st.
Louis n New Orleans road, the stock OF
which Is also owned by the Illinois Central.
The traffic Is proratcd according TO the mile
age, The Mississippi n Tennessee receives
It's proportion for the hundred miles, tho
other Its proportion for 300 miles, and will
say that when the Mississippi n Tennessee
road was an Independent corporation II had
the same arrangement exactly. IL proratci
according to mileage, and | cannot see why
the Mississippi Il Tennessee road should
now make the basis any different from what
IL did when II managed its own business In
its own way, | should say the same thing
of the Dubuque Il Sioux City. If It's direct
ors to-day can make more money by selling
It's business Mt Dubuque, they would sell II.
II the Iowa Falls " Sioux City Company
could make more money by selling It's trailic
at Iowa Falls II would sell Il.
/. Chairman: To any other railroad?
Mr. JeiIery: Yes, sir
Chairman: But tho stock belongs TO tho
Illinois Central?
MIR. JefIery; That cuts no figure. Tho
question Is how TO make the greatest net rev
enue. II the Chicago n Northwestern,
which, rs you arc aware, crosses the Iowa
Falls n Sioux city road near Alden, was
willing 10 make car-haul rate FROM Alden
TO Chicago ON carload business 10 and
from the Iowa Falls n Sioux City Railroad,
aud that car-haul rate was so low that there
was more net money In hauling business 10
and from Alden and delivering II 10 the Chi
cago, Iowa u Nebraska than there Is In haul
mg II over the Dubuque u Sioux City aud
Illinois Central to Chicago, the business will
lie given to the Chicago 4 Northwestern road
ON the car-haul rate; and II II were done,
even though the car-haul rate was i've dol
lars n car from Alden to Chicago, no in
Justice would be done To any shipper between
Alden and Chicago
Chairman! | was simply getting ut tho
basis of figuring what the lines In Iowa
earned ! heard that the purchase of these
roads by the Illinois Central was 10 prevent
the Northwestern from making that arrange
mont,
MIR. Iofrcry: No. sir that Is not the ease.
will say farther 80 that you may under
stand the subject fully am anxious YOU
should do SO. The purchase would not
have been made, In all probability, II II had
not been for my being called 10 New York
for conference with our gentlemen. Thcy
had decided not 10 buy these roads. |, who
had been In charge In Iowa for great many
years, believed In the future OF Northern
Iowa aud believed In the fairness OF Iowa
people, and | urged that these roads bs
bought.
My views were known for years. Mr..
Tucker, who slts here knows them fully.
kept urging, or rather advising, this course,
even though, as ! said before, the Illinois
Central Company made scarcely any net
pr0it from the operation Of the Iowa lines
under tho lease, and makes but little not
profit out Of the operations of these limos,
even including the hauling OF the business
over the lines In Illinois since II has bought
these properties. But ! believe In tho
growth and development OF Iowa, believe
In time tho traffic will come; In time tho
earnings will como, | have got great faith
In the fairness of the American people, l
believe That proper revenues will be accorded
railway lines | believe, too, that Il IL my
duty TO the company represent 10 look 10
It's interests, not only for to-day, not only for
the next year, but for the long future. Tho
company lives forever. These things act
uated me 10 recommend and advise us | did.
There have been remarks made and OK
! plantations given rs 10 why Mt times rates
iluctuato and vary locally, and sometimes
| over broad areas of country, and IL may 10
well 20 revert 10 II for Il few moments. Tho
Illinois Central Company has, rs you know.
the ownership OF the line of road from Cairo
Ia New Orleans. There ls station called
Holly Springs, In Mississippi, about 10 miles,
almost due east OF Memphis. The Kansas
City, Fort Scott n Gulf system of road was
built from Kansas City 10 Memphis for the
purpose of distributing Kansas grain and
produce and meats Into the Southern coun-
| try. IL could not reach what Is known as
the Green Line territory, lying south OF tho
n.
passing through Mobile and Cairo. This
road, the Kansas City, Fort Scott Il Gulf az
| IL IL called, determined 10 extend from Mem
| phs almost due east through Holly Springs
| 90 Birmingham, Ala, there 10 connect with
| the Georgia Pacific. It had two objects,
one the coal and iron deposits OF Alabama.
| the other TO carry part of the traffic 10 and
| from the seabOard. Tho road was COM
| pletod perhaps two months ago. This rail-
road, away down south OF you, railroad
| you pay no attention TO, this link built from
| Memphis TO birmingham, Ala, caused n re-
duction of five cents n hundred on grain 20
the seaboard. Every line Is compelled 10
meet this reduction. From Kansas City,
Omaha, the country all around through
| here, we must meet It,
North OF us we have railroad recently
constructed from St. Paul east across tho
Sault Ste. Marie River IL connects with
| foreign line. IL throws traffic out OF tho
| United States and on TO foreign territory. Ii
| reaches European markets with United
States produce across foreign territory. 1t
adds, ar will add, 10 the earning capacity
and growth and wealth OF a foreign railroad.
suppose United States line was TO make
| fCntest fer the business In It's own interest
| first, and 10 establish for the future that
| there shall be such an adjustment OF rates
| l.. Ian nI oil al ltnn
i rs Will secure to our lines the United States
traffic they are entitled TO, would you, rs an
American citizen, criticize such act? Would
| YOU think the corporation that did 1t should
| be punished for II? Would you think that
| other companies, competing with the road
| that did Il, and that should aid that road In
its efforts, should be punished for doing IL?
think not. With your permission, l will
refer to some figures have.
The total miles OF road in Iowa, reported
| by the commissioners for the year ending
June 30, 1856, was 1864. This Is represent
ed by bonded indebtedness ofSl43, 600, 900,
and capital stock Of Si44, 900, 600. This Is
arrived at by taking the stock and bonds of
the roads reported and determining the pro-
portion that the Iowa mileage bears of the
whole mileage. The bonds average SIS, 900
per mile, and the stock $40, 900, making
total OF about S3S, 900 per mile. This Is not
an excessive indebtedness, comparing II with
that of roads in other States. The Chicago
| Il Atoms Indebtedness per mile Is S47,G73,
and on the Chicago Il Alton road every dol
lar of money was paid in and put into tho
property. There Is not dollar Of fictitious
capital in II. The Chicago Il Eastern Illinois
road, running from Chicago to Danville with
some branches, stands at SOS, 900 a mile. It's
| annual rental in Chicago for terminal facili-
1 l.. - al Il.a( 4. Irn,. rrtt.l
| is $50, 27S per mile. The Chicago & North
| western, the entire road without dollar OF