The morning call. [volume] (San Francisco [Calif.]) 1878-1895, 1890-11-04
FROM OCEAN TO OCEAN.
4 Vanderbilt Through System From The
Atlantic to the Pacific Coast.

CHICAGO, Nov. 3.-The following is pub
lished here: j. Pierpont Morgan's present
trip to the West has more significance than
is generally supposed, although it is claimed
his visit has no other object than pleasure,
and incidentally to inspect the properties Of
the Elgn, Joliet aud Eastern, and Chicago,
Milwaukee and st. Paul, in which compa-
nies the banking house of Drexel. Morgan
& Co. holds the controlling interest; yet
men supposed to be well informed claim
that startling developments in the Western
railroad situation will be made soon after
Morgan's return to New York. The opinion
is that Morgan's visit means speedy con-
summation OF another Vanderbilt deal more
startling than the much-talked OF Union Pa
cifc and Northwestern deal. The fact Is
generally known that DreXel, Morgan q Co.
hold the controlling interest in the Elgin,
Joliet and Eastern Belt Line and the Chicago,
Milwaukee and st. Paul Railroad The latter
has been compelled to join with those opposed
to the Northwestern and Union Pacific
which Is not what Drcxel, Morgan & Co. de-
sire. Their intention is to bring these roads
into the Vanderbilt road. The opinion Is
expressed that this will be done as soon as
Morgan returns to New York. Those on
the inside pretend to know that before many
days traffic agreement similar to that be-
tween the Union Pacific and Northwestern
| Will De UlduV DttWttu tut UIluWtcISIH
and the Milwaukee and st. Paul, and it is
even predicted by some that consolidation
of the two systems Will be made. The atti-
tude lately assumed by the Union Pacific in
dicates that something of the sort will be
done. The Northwestern alone could give
the Union Pacific all the west-bound traffic
it needs, but with the Milwaukee and st.
Paul added, which connects with the Union
Pacific at Kansas City, Omaha and Sioux
City, tine latter would have all the eastern
feeders it needs, and could defy all other
connections. The ElgiD, Joliet and Eastern
Chicago with the Milwaukee and St Paul
and Chicago and Northwestern systems,
and by the use Of this connecting line the
Vanderbilt lines east and west OF
Chicago would be able TO transact
through traffic without going through
Chicago and paying heavy terminal and
transfer charges. The consummation of the
deal outlined in the foregoing will give the
Vanderbilts the absolute control OF gigan-
tic railway system from New York TO Og-
den, and all they would need would be the
control of the Central Pacific branch of the
Southern Pacific to give them independent
lines through from the Atlantic TO the Pa
cfic Coast, with Western terminals both at
San Francisco and Portland. The Oregon
Short Line of the Union Pacific is already
furnishing an outlet to the latter point.
The fact that negotiations are already going
on between the Vanderbilts and Leland
Stanford and other owners of the Southern
Pacific, with view to obtaining possession
of the interests of those parties in the
Southern Pacific. has already been men,
TONED, and C. p. Huntington admits that
there is a probability that the Vanderbilts
will succeed in acquiring control of that
property. With the Southern Pacific in
their control, the VanderbiltS will be mas
tiers of the situation, and be able 10 dictate
terms to all other roads in the country.
ADVANCED RATES.
New YORK, Nov. 3.-Jay Gould is back
from his Southwestern tour. He speaks
most hopefully of the general situation there
He says there is little doubt that rates will
be restored, and the effort being made to that
end will be productive of almost immedi-
ately good results. Kiernan's News Agency
says it is informed the Gould and Hunting
ton people have agreed to advance rates in
the Southwest over their entire systems.
DECLINE IN UNION PACIFIC.
NEW YORK, Nov. g. 3-The Dow-Jones
News Agency quotes an operator in Union
Pacific for the real cause of the decline:
Union Pacific has a floating ndebte dness
which has now reached large sum. 1t is
reported as high as $40, 900, which was
caused by the increased mileage on which
bonds have not been sold. 1t is very likely
the company has good value for the money
expended, but if there should be difficulty
in placing the bonds, the load might get
rather burdenS0me.