The morning call., 1892-04-08
A CANDID REPORT.

The trouble with Mr.. Huntlngt0n'S state
ments to the public is that they are deeep-
tive, and as he is an intelligent man they
must be Intentionally so. In his annual re-
port which was read on Wednesday, he
condoes with lis fellow-stockholders over
their sad lot in having received no divi-
dends. He does not tell them, as he should
have done, that they are not entitled to any.
Every mile of road in the Southern Pacific
system was built with the proceeds of bonds
Oh which interest has been regularly paid.
For the Sis SEA. 10 of capital stock the cor
poraton never received a cent, nor does a
single share represent property in its pos
session. II is pure water. Why should the
people OF California pay taxes TO furnish
dividends on water? No one knows better
than Mr.. Huntington that water is not en-
titled to dividends, and that it is trifing
with the public to try to make it appear that
the owners of this water are TO be commits
Grated because il does not yield income.
Mr. Huntington's attempt 10 persuade the
public that lie and bis felloW-StOck holders
are carrying on business from love for their
fellOW-cTeatures and In the expectation Of
reward in another and better world Will
not stand the test of an examination Of the
figures. Tie best portion OF the Southern
Pacific system is the Central Pacific. This
road, including the branches, is 1915 miles
long. 1t has Issued bonds which amount In
round numbers, after deducting the sinking
fumes and the cash, materials and securities
on hand. to SO, 00C-say 10000 a mile.
1t does not pay interest on all these bonds;
on the ST, $4,000 Of subsidy bonds it only
makes partial payments. protesting to be
unable 10 DO more, but on the other S42,-
0C0. eco 1t pays interest regularly. To do
tl4Is il charges rates Of freight which are
eXtOTtionate wien compared with the rates
which prevail in Kansas and Nebraska Is
If not presuming little too much on public
ignorance Tor the president OF the Southern
Pacific to complain that be has been unable
to screw out of the people of this coast
money enough TO ay dividends on a trfe
OF S70,C00,OO0 Of stock which the company
has issued over and above the bonds to rep
resent the Central Pacific property and for
which the company never received dollar
in cash or labor OF property?
There is a PecksnIffian flavor in The presi-
dents utterance:
Although the stockholders have not received
dividends upon their shares, they can desrrvedly
congratulate ibemseITes that they have done
ID uch III building up many portions CT CalifoT-
MIA. In improving lie condition OF tie people
living along tie lines aud in enhancing tile value
OF lands In The lar outlying districts OF the State.
Dir. Huntington in the role of the philan-
thropc benefaetor, who thinks Of nothing
but the welfare of his fellow-creatures and
of The prosperity of the State in which he
spent his youth, is very fine indeed. George
Peabody, who gave two-thrds Of his for
tune to found schools at the South and
lodging houses for the London poor; Johns
Hopkins, who gave nearly all his wealth to
found a college and hospital Ezra Cor
nell, who bestowed all his money Oh an in
stitution of learning. were all very we'll
but what We're they in comparison with
man who deyOtes his opuIence 20 the deyel-
olment If a State, without hope of reward
for himself? The world las done Mr..
Huntington injustice. People have re-
garded him as mere money-grubber, who
devoted every moment of his time to the
pursuit of the almighty dollar; but it
seems that III his secret soul he has cher
ished nObler aims, and that his real object
in life has been TO benefit mankind, and
especially that portion OF it which inhabits
this slope. 1t is to build up California that
his road charges - to 40 per cent more for
carrying wheat than the roads do IN Kansas
and Nebraska, and il is in order to improve
the condition of our people that it rpsists,
step by step, the atten pts Of the fruit
growers to market their crops at the East.
Ii is in order TO enhance the value of land in
this State that he depriyes the State Of its
natural advantages by substituting the Pa
clfc Mall, so that cur waterways shall not
compete with land trans poItatlon.
We suppose Mr.. Huntington will say that
the hundred or hundred and fifty millions
of dollars which he and his three or four
partners are Teputed TO be worth has been
gained by losing carrying trade. Mr.
Huntington might. however, just as well
say that they have loaded up the railroad
system which they control in order to obtain
as much money as possible without regard
to the debt which is due the General Coy
erHment or 10 the well being of this coast