The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1889-05-08
NORTHERN PAcIFIc's DEAL.
Details OF the Contracts Made With the
Wisconsin Central

New York special: Vice President Alb
bott, of the Wisconsin Central railroad, to-
day gave details of the deal by which the
Northern Pacific secured an entrance 10
Chicago over the lines of the former roai.
Mr.. bbOtt. who is also one OF the trustees
Of the Wisconsin Central, said: There is,
frst, a contract between the Wisconsin
CentraI system OF roads between Ashland.
ST. Paul and Chicago, covering rail con-
necttons from the Northern Pacific ter
minal at Ashland, on Lake Superior and
the city Of 81. Paul, TO the terminal system
Of the Chicago X Great Western railroad
company in the city OF Chicago; second,
the approval of the contract between the
Wisconsin Central company and the
Chicago x Great Western company for ter
miual accommodations IN Chicago
for the benefit OF the Wisconsin Central
company and its associate, at rental of
S3JO. 900 per annum and a proportion of
maintenance, etc; third. contract be-
tween the Northern Pacific railroad com
pany and the Wisconsin Central company,
declaring the Northern Pacific company
10 be its associate and entitled TO share in
the benefits OF Its terminal contract with
the Chicago & Great Western railroad COM
pany. In general the effect OF this arrange
ment Is in substance this: The Wisconsin
Central receives NClthern Pacific business
at A sh aud and St Paul and delivers 10 in
Chicago, and receives IN Chicago business
destined for the Northern Pacific. The
Wisconsin Central divides its own gross
cent and IS per cent Ii retains
35 per cent for its own sole
use, and appropriates the sixty five per cent
to operating expenses and certain improve
ments tending to reduce operating ex-
penses. IL the operating expenses are less
than IS per cent, the Northern Pacific re-
ceives a sum equal TO one half the differ
ence in CONSIDERATION OF the business il
gives 10 the Wisconsin Central. If the op-
Grating expenses exceed % per cent the
Wisconsin Central will pay not exceeding
2is per cent of this EXCESS out Of its 30 per
cent, and will divide one-half of any ex-
cess of operating expenses above 61l PEI
cent OF the gross earnings equal between
the Wisconsin Central and the Northern
Pacific companies. The Northern Pacific,
however, is not bound TO pay IFS one
half of such excess excepting out
IF future profits received under the
contract with the Wisconsin Central. Com
plete harmony OF operations is secured by
appropriate agreements; so that, while the
Wisconsin Central IetairS entire and abso-
lutte control of ITS own property, its man
agement, operations and rates, these mat
tiers Will be adjusted as to be advantageous
aud satisfactory to the Northern Pacific.
The latter secures for the business whit b
IL thus sends to Chicago and points beyond,
from the W lScJntlD CenTdl system, the
benefit of the Chicago * Great Western
which already include within
the limits of Chicago over 175 acres of
ground, in addition 10 its great transfer
yard of $50 acres on the outskirts of Chi |
c ago. 1t also shares in the net profits # |
the terminal company In excess of $780, |
900 per annum, and will be enabled TO |
connect directly through the agency of the |
Wisconsin Central with all eastern lines |
in Chicago. and to receive and |
deliver freight and passengers in the pas
senger and freight stations of the Chicago |
& Great Western, now erecting on the cor /
ner of Fifth avenue and Harrison street. /
The arrangement for interchange of traffc /
and running connections goes into effect /
On July next, and lasts ninety mine years. /
The negotiation has been proiracted in or
der to secure the full understanding and /
hearty approval of all parties interested, i
because all parties alike are to be- greatly i
benefited by the result. AS 20 the North /
srn Pacific, that road will be enabled /
hencefOrth TO deal at first hands and form
Alliances with all the great eastern and /
southern roads coming 70 Chicago. Ii will /
DO longer be obliged 10 deal at arms length /
through other roads. which have at least
EQUAL interests in diyerting business from
L to Omaha and Kansas City,"