Omaha daily bee., 1889-07-04
THE B. & 0. ANNOUNCEMENT.
1t Will Reduce Rates on Wheat and
Corn
FROM CHICAGO TO BALTIMORE
The New Tariff win Go Into Effect on
July 8-Railroad Circles Sur
prised-rhe Denver Pas
senger fight.


CHICAGO, July 0.-lSpeClal Telegram 10
The BEE. THE sensation of the day in
railroad circles was the announcement by
the Baltimore & Ohio that on July it
would reduce rates on wheat and corn, from
Chicago to Baltimore to II cents ana from
Chicago to Philadelphia to Is cents. This Is
cut of cents hundred the present rate
beng 90 and 23 cents respectively. The
Baltimore 81 Ohio people are explicit that so
far as they are concerned the reduction will
not affect the present 20 cent basis to New
York. There is no doubt on the part of
Chicago railroad men that all central traffic
lines will meet the rates. The general opin-
ion is that the lake lines will reduce their
rates in proportion, the consequence being
see-saw cut in rates down to point where
the rail line can no longer make it profitable
The general managers of the Western
Freight association passed n resolution to-
day that the st. Paul low commodity tariff
shall apply in Iowa only to the main lines of
the Chicago st. Paul g. Kansas City and
Iowa Central. None of the other lines run
through Iowa. and the rates will apply on
branches as well.
General Manager Egan, of the Chicago,
st. Pau! ~ Kansas City, left for home Tues
day evening, and on the statement of Cen
eral Freight Agent Whitmore that he had no
authority to put up the rates into St Joseph,
the other freight agents snatched at the
hope that the threat of Mr.. Egan was only
bluff.
There is a well grounded opinion that the
Iowa commissioners will upset the resolution
of the general managers by applying the low
rates to all Iowa points. This opinion is
held by the Chicago, st, Paul 81 Kansas
City, and was the cause of its announcing
the application to St. Joseph, on the ground
that it would be better to put the rates in
voluntarily than be compelled to make the
reduction.
General Passenger Agent Sebastian, of the
Rock Island, returned from the Pacific coast
today. He says that crops were never in
better condition in the west, especially
through Kansas and Nebraska. With refer
ence to the fight on Denver passenger busi-
ness between the Rock Island and the Alton
he said:
''rhere is no truth whatever in the Atoms
statement that 600 return portions of tourist
tickets were in Denver scalperS hands. Our
general agent and the general agent of the
Union Pacific IN Denver made bet on the
matter, and after search through every
scalper's Office IN Denver only twenty-siX
tickets could be found, and they read to al
most as many different points. This whole
business IS SIMPLY subterfuge on the part
of the Alton. | stand ready to show con-
clusively that the reduction of the Colorado
rate was not made on account of any irregu-
larities on the part of the Rock Island, but is
SIMPLY an excuse TO break up the agreement,
or IN other words for the Alton to
withdraw. Here is case in
which the proof is absolute that
the Alton has practically cut rates. Yester-
day it sold sixteen tickets from Lincoln, ILL.,,
to Manitou Colo, and on these tickets al
lowed to be checked sixteen trunks weigh
ing 2,506 pounds, and fourteen boxes of
groceries weighing 1850 pounds. Not a
cent was collected for excess baggage, max
ing practical cut of much more than S5 a
ticket"
The Union Pacific helped on the Denver
passenger squabbe to-day by quoting S26
rate from Denver to Chicago, going into
effect July 9. The rate is made to meet the
S26 westbound rate made by the Alton. The
Rock Island claims that the Union Pacific
cut was the result of bargain with the
Alton by which the eastbound rate was to be
cut by the Union Pacific and the westbound
by the Alton. Later IN the day
il was rumored that the Union Pacific would
withdraw from the Interstate Commerce
Railway ASSOCIATION. Four prominent rail-
road men in succession met said, however,
that the Union Pacific did not dare with
draw.
Kansas City people claim that on account
OF the Alton going west of that city and TAX
ing cattle from points on the Rock Island on
which it pays local rates to Kansas City to
the Rock Island, and thence takes the cattle
10 Chicago over Its own line. has had the
effect of making the Rock Island take all
shipments possible east via ST. Joseph The
Alton denies the statement and claims to be
securing its share of the cattle shipments
from Rock Island local points.