Fort Worth weekly gazette. [volume] (Fort Worth, Tex.) 1882-1891, 1889-08-22
THE RAILROADS REPLY

IT,
nr,n srs-We have met you here at
-.rr invitation to confer s.with you in
.r.r.nca To reduction Of Texas rates,
..~ntnng that you could not Justly
,,,.rr TO represent the whole people of
~.ras. but that You doeepresent large.
.rrhsr of the citizens-and feeling that,
,rfng to the public character OF railway
,~..ra.s. any citizen or body of citizens
,.....-..l -o know the railway situation
=. rsva.. and to make demands for Just
-.,as We have conferred with you free
~ and now each road acting fer itself
larqnv. but uniting for the sole, pur--
nose of saving time, IL one response,
r.,aes the following reply to your writ
.4n proposition:
In order that you might fairly deter
-r-ra .ba ;us,uoss of any demand which
-.r might MAKE, and the business Of any
-a.nogse thereto by the railway repre-
..r-af.ve-. we.Gomsider it of vital I'M
-artagc- that You have full knowledge
Of tie
PRESENT FINANCIAL CONDITION :.
of,ae railwuys of the state. 9:4ieuce, Eve
fr.,-,gi upon placing youin Possession of
.r.b in5orma1iuu3 especially il view OF
,1s fact that il has been hitherto asserted
rrrntIfa Speakers III tue state that the
-a1vav companies were eX8cting FROM,
-.araaule q FAR greater return IN the
shane OF freight rates, than the capital
invested ln the railways Of the state was
+.stly entitled TO earn. These repre-
.artatfaas have been made in part fIsln
aa;a obtained from reports made by thet
railway companies 10 the state comp
r-I-r. In this connection, We viii say
that sarh epuTJs are merely Categorical
answers t0 crCtGin questions pFOp5undGd
lr the com9trttlIer or sthe statutes g, aid
darot and neErTe did disclose th6 fun con-
ltu aHauci0Ily of. railway com paRies.
IN brief. Sc have shown you than one Of
IN. principal lines Of road operating 1919
miles. I'D tie year 1888, earned on freight +,
Messenger. mail and telegraph service, Il
little less rhau five thousand dollars
sTm over and above the actual cz-
rense { maintaining and operating the
n r,aa. Five thousand dollars or less
vasat That il RECEIVED from the people
h Texas to euagle it 10 pay interest On
81 iHvest tis.SaDi Of ~ 900 600 in
Gsuds, without reference TO the stoclzacf
sa.4I company: and, but for the fact that
U aai outside resources and in part Dor
-F,d money Ia pay interest on its bonds,
would have delaulted iii such pay
uHr. We have shown you that another
Of .aa mos, important railway lines of
il. STATE operating 1897 miles OF rail-
rad, IN the wear 1888 earned, over and
Shove its operating expenses, interest at
5rH cent. only on SIG, 700 a mile, which
zone. with any reasonable information,
Ou clam is anywhere near as much as
Gsa lair return on the capital invested,
G.u- .Gto consideration the original cost
G,.e road aud the immense amount
spent iE lae last few years in the way of
permanent improvements j
vs.. have shown yOu that the Houston
aud Texas Central railway company,
4 tae year 1855, earned only an amount.
uaHol-lt 60 one-forrh OF the interest on
i. bonds. ID is wen known that this is
ileae,t railway property in the state.
observation-disclosures fact that the 1uteFna-
t.lal and great Northern railway com
.4ay .an nl the most important in the
slate. Dot, however, represented at this
Meeting IS n the hands of receiver,
Unable 60 earn money to pay interest on
@ bonds The same is the fact with
FLORENCE 90 The Houston. East and West
-rNas railway company.
b." aaE. ALSO shown Won that the Texas
'.-i:al railway company, operating over
w. hundred miles OF road, in the year
.," Tell "Tes seventeen thousand dollars
h.'ta, earning its
ACTUAL OPERATING EXPENSES,
aug Ee.e.ver IS certificates had to be
issued 30 cover shat amount, the road
,...- I'D charge of n receiver. The HOus-
"- ami Texas Central aud Texas Central
--."ay> lavt submitted 10 you sworn
statements y IFS officers inecopies OF their
reports made to the court. The report
-a-. 81 ygH by the Gulf SCoiorado and
s-..- Pc railway company .lthe first line
..'.-..i tn.. WAS not gotten out for the
f~i SEQ. Ills meeting; but was a copy
.~L-E Mt made by tbe auditor of ne
.-. -a- s-...Jted 10 the directors fewG'
-...s ago. Il you doubt the correct
.N w On ~-.uort, the books OF the COM
gan. arr ...l Jo examination by any re-
..-'..-r r..leu whom you may desig-
a.. -.' that purpose. -.
''..t...-- again TO the Texas and Pa
,-. railway u0mpauy, rs we have stat
e.. OH. earned last year ) per cent. on
mile, and paid no interest
-..'.E .u lis second mortgage bonds
....".. on its stock. The books of
o. ..Aas ana tactic railway company
a the city Of Dallas, and for
,..0-..a1 ai The representations made
- .mHt-ee, are open to eXamina-
aud as..eJiou by any member or
agent that this committee
-l. designate.
o. .'L.- 20 the Galveston. Harrisburg
'-- Antonio railway and other lines
--..- H Texas by the Southern Pa
~. company, the published statements
't .Uouy show that il
,-. .-.L-D TO LARN INTEREST
d. ~ bonds in the year 1888, and that
b.. SOUTHERN Pacific company had to pay
t-..est for such company the sum. of
a. -aa-,ad ana seventy thousand dol
'r,".0551.
A,- .~-e'ar may be said about watered
Co.,. "- stock, 50 long as the railway
,i.-..> of the state are earning no in
3, -N Whatever on their investment or
a.. -.- earning interest on the actual
s.r lle roads, and hence cannot pos
nj ny interest on any watered stocks
- '.ls % any there be- we cannot see
,t-.te people Of the state can complain
IA 'asE are being charged more in the
r. gI railway freights than they should
h.. 'aFgea or that the ra5tls are earning
ear IMAM they are justly entitled to