The morning call., 1892-04-05
COLLIS Was SURPRISED.
He Had Not Heard of the Pacific
Mail Subsidy.
The Railroad Magnate Discusses Politics and
the Tariff - No Reduction in LEGAL
Rates Contemplated.

about o'clock yesterday afternoon. The
party comprised Mr.. and Mrs. c. p. Hunt
ington, Ii. L. Huntington, the presidents
nephew. A. \. Towne, William Hood. Miss
c. NJ. Campbell, Mr.. and Mrs. II. p.
Schwern. and G. L. Mills, Mr.. Huntington's
private secretary.
They came across the bay without any
delay and were driven Immediately to the
Palace Hotel. Their apartments are on the
first floor. in the southeast corner Of the
hotel, sIile which has been occupied by
several railroad presidential parties during
the past winter
When Mr.. Huntington was interviewed
In his private parlor after dinner he was
seated with the ladies Of his party and was
comfortably ensconced in an easy chair.
lie looked bright and well. show ed NO
signs of fatigue. and replied with consider
able vigOr 10 a series of interrogatOries.
When questions which possibly were some
what distasteful to him were prOpOunded
the railroad magnate made brief or evasive
replies, aud then, as II 10 shut OF further
queries, took tile conversation reins in his
teeth and galloped away by himself.
never felt better In my HE" he said,
In answer TO question regarding his health.
He leaned back further in his chair. folded
his hands across his portly form, crossed his
right leg over his left knee. and smiled con-
tenledly-he had just dined-the picture OF
health.
LOCAL FREIGHT RATES.
"Ibe immediate question of greatest in
terest to the people of California, in con-
nection with the railroad, Mr.. Huntington,
is, Do you intend to reduce the local
freight rates?"
II don't see how we can do So" was the
reply. unless we reduce the rate az one
place and put il up al another We are now
operating the road at a loss"
do you mean TO say that the operating
expenses were greater than the receipts"
The expenses of operating the lines are
not what bother us. It is the interest on
the debt that swallows the Margin" was
the reply.
Then the stockholders are losing
money!"
II didn't say that" answered the presi-
dent, with a sharp look from pair OF eyes
that are still keen, despite their owners
years He did not explain just what he
meant but went on to say thatthe road was
managed As economically as possible.
IF you can show US how to be more
economical, / shall be glad" he continued.
The only way l know by which We can
lessen our expenses is by reducing the
wages OF our employees, and l am not sure
that we could do that"
Then you do not intend to comply with
the demand of the local Traffic Association
for lower rates?"
eff the association can show US how we
can manage to doit we will he open to sug-
gesuons," was the answer. "The stagnation
Of business here is not the fault OF the rail-
road. The trouble Is in the people them
selves. They do not unite to build up the
State. CslifornianS are always ready TO
cry. whip behind
what do mean by that? Well, when
was boy we liked TO hang around the roads
in winter. when there was a few feet of
snow on the ground, and wait for the sleighs
which drove past.
TRIED TO HANG on.
when one appeared al tried to hang on.
Usually two or three succeeded in catching
on. and then the score or two that got left
would cry, W hip behind. in envy at their
more fortunate or more enterrrisiBg CON-
Tades. You see my application? ?"
Do you mean that Californiaus are too
conservatives
No, they are not conservative, but they
have not The right way. When this was a
new State, 40 years agO and less, II the peO-
pie had extended the hand of well
come and assistance to all newcomers
and had said Come and let us
per, those thus helped would have written
TO their friends In the East and induced
other Immigration, and California would
DOW have population Of 100000 or
100000"
will you say anything about the Pacific
Mail subsidy, Dir. HUNTINGDON"
What subsidy ?' innocently asked the
man who holds railroads in the hollow of
bis hand. His expression was that of mild
surprise with dash OF curiosity.
For the benefit of a New Yorker who has
evidently not been careful reader at The
CALL. II was explained that tile Southern
Pacific Railroad has been paying the Pacific
Mail eamship Company an annual sub
sidy of several hundred thousand dollars to
keep up the rates by preventing competi-
ton.
oh" said Mr.. Huntington when thus en-
lightened, ''the railroad has not been pay
frtav fRaT
have done Is to guarantee the latter CON-
PAW certain tonnage"
Nv hat IS The nature OF that guaranteed"
All the transcontinental roads unite in
it. We engage so much tonnage from the
steamship company. It is perfectly legit-
innate transaction. But we don't pay
subsidy"
HAS the trouble between the Southern
Pacific ard the Western Traffic Association
in relation 10 MIR. Stubbs' cut in the sugar
rate been adjusted?"
CRoCKER LOOKED AFTER 1T.
when MIR. Croker was East he looked
after the matter. / believe IL Is all right
now. The real cause of the trouble was
not the cut in the sugar rate. That was
something that all the roads were agreed
upon. No sugar was going East then, prac-
ticRlly speaking, and the rate cut no figure
The attitude of the Union Pacific people in
the association was caused by an Interior
motive. which don't care to discuss"
who will succeed Timothy Hopkins rs
treasurer
II have not discussed the matter with the
other directors and don't know who will be
chosen. have no candidate for the place"
When told that his nephew. III. E. Hunt
ington. had been regarded as possible
treasurer, the president said: al heard
nothing of such plan until / was asked
the question yesterday. Some one also said
Ii was reported that he was to be general
manager. My nephew will remain in Cali
forna, but no man can come into the State
a stranger and make as efficient a general
manager as a man who knew the country
and Its needs and was familiar with all the
details oil the road. He will take no official
pos ton here at present"
'Will there be changes in the officers of
the r0ad?"
'No changes are contemplated so far as l
am concerned. 1t would be hard to find so
competent general manager as A. Y.
TOwne or so good traffic man as Mr..
Stubs"
''Is there any truth in the revived rumor
that you have been negotiating for the pur-
chase of the Donahue road?"
None that know OF, and l probably
would have heard OF such a proceeding"
was the grim reply.
SANTA MARGARfTA AND SANTA BARBARA.
"Has the contract been let for the build
ing of the line between Santa Margarita.
Elwood and Santa Barbara"
I'VE have a number OF bids, but have
awarded no contract yet. The contract will
be let within twenty days and work COM
nenced Immediately thereafter"
The road is sill out of politics, Mr..
Huntingdon"
Yes. rs a company. Those stockholders
or officials who are politicians are such per-
sonaliy, not through any connection with
the railroad"
In discussion the Senatorial situation Mr..
Huntington said that 1t was immaterial to
him whether Mr.. Stanford remained In the
Senate or retired. ''There is no feud be-
tween Governor Stanford and me-" he said.
81 have told him what 1 think of the Sar-