, 1889-06-20
THE RAILROADS.
How Willard Happened to Make
the Concessions.
The Great Magnate Confronted
by a Diplomat.
Tho Il esuit of the T. lection sstisfsctory tn
the People OF the Northwest-TeIto of
tho Agreement Arrived at.

iue OTeRonlan OF tOrtldnO gives the
following details Of the negotiations af.
tecting the railroads Of the Pacific North.
west, which have been hitherto outlined
10 the telegraphic dispatches to The RE.
VIEW.
The Oregon & 'Trshscontiuental and
Oregon Rulway q Navigation Company
elections, which occurred yesterday, are to
be considered in the light OF results, and
they are satisfactory. 1t was not victory
for Henry Willard; it was not u victory for
Elijah Smith. 1t was u recognition Of the
claims and rights Of all partie. in interest;
it was q complete victory for Portland.
True, Elijah Smith will not be re.elect.
ed president Of the o. K. & N. Co. Nei.
ther will Henry Willard. IL anyone came
out ahead in the contest it was Elijah
Smith. He was very potent factor in
the situation and he made demands that
Mr.. Willard conceded. In short. Mr.. Vii.
lard yielded every point that the board of
trade committee who visited New York
last year demanded.
Mr.. Edmund Smith of Philadelphia,
formerly vice.president of the Philadel.
phia road, will be asked to become presi.
dent of the Oregon Railway & Navigation
Company. IL is understood that he will
be elected and that he will consent to
serve.
The most favorable feature of the Ore.
gon Railway q Navigation election was
that the seven Portland directors were
elected Internationally and we're instruct
ed to push the Spokane Falls and Ceur
d'Alene extensions.
THE AGREEMENT RATIFIED.
Willard, in his address to the merchants
OF Portland last Friday evening referred
several times to the agreement that had
been made between the several parties in
interest and which, If adopted, would set
tie all the differences. The terms of the
agreement are given below:
First--All litigation in the New York
courts affecting the Navigation company's
interests will be dismissed. The dividends
upon the Oregon Railway q Navigation
stock will continue at 6 per cent. per an.
mum.
Second-The Oregon Short Line lease OF
the Navigation company is to be modified
so as to permit expenditures for the i'm.
provement OF th' line along the Columbia
river and provide for purchase OF addi-
tional equipment.
Oregon 4 Transcontinental Company dis.
pose of its Navigation stock.
Fourth-The tpresidents are pledged TO
an early consumma alton of trackage ar
rangement, under which the Union and
Northern Pacific companies will use in
common the tracks of the Navigation com.
pany in tue region east OF the Cascade
mountains, and the Northern Pacific is to
afford the Navigation company connections
with Puget sound uy track over its Pa.
ci6c division.
The first three clauses of the agreement
were ratified without dissenting voice
20 nrIn M q l.
fourth clause, 1t was made matter OF
It was adopted and
submitted to the traffic managers of the
Union and Northern Pacific aud the U. K.
4 n. companies, who will arrange the de-
tails.
HOPING AGAINST HOPE.
The Union Pacific representatives, Gen.
eral Dodge aud u. NJ. Liue, did not know
until they had conferred with Eijah
Smith that Willard had control of the
Oregon & Transcontinental company; at
least, they did not confess their defeat,
and they held out with the hope that some.
thing would turn up that would shape
matters in their favor. They came here
in pursuance OF an agreement with Viii
lard, according to the terms of which the
Oregon Railway Il Navigation company
was to have u compromise board of d.
rectors. Elijah Smith was dissatisfied
with this arrangement because the direc-
tory contained neither the name Of him
self nor hi, brother Prosper w. Smith.
When the matter was finally adjusted,
Prosper WIS name was substituted on
the proposed compromise board for the
name OF Frederick L. Olcott of New York.
Saturday evening Willard sued out an
injunction in Judge Stearn's court to com
pei Elijah Smith, as president of the Ore
gon Railway II Navigation Company, to
receive and count the shares OF the Ore
gon Railway * Navigation stock held by
the Oregon q Iranscontinentel Company,
and to be voted by that company in the
Oregon Railway a Navigation election.
this stock by the Oregon a. Transconti-
mental Company was legal and that be
had right to vote.
WILLARD wEAKENs.
This action did not disturb Mr.. Smith
one bit. Instead OF fleeing from the en-.
emy he made preparations to stand him
off. He got ready to file an answer to
Wizards complaint, aud he would have
petitioned the court not only to disal ow
Mr.. Wizards application for an lniuuc-
tion, but to restrain Willard from Voting
the Oregon & Transcontinentai holdings
OF Oregon Railway x Navigation stock,
on the ground that the Oregon Il Trans.
continental is not II legitimate corpora.
tion. Railroad men say this scared Viii
lard He feared that contest in the
courts would have resulted disastrously 70
the Oregon K Transcontinentai, anu a
meeting of the parties at interest was pro.
posed.
The meeting was held Sunday night,
and the city clock was tolling yesterday
morning when an agreement was reached.
Those present were Henry Willard, of the
Oregon a. Trancontinental Company;
General q. Nj. Dodge and G.. M Lane.
=.