The herald., 1893-08-04
Railroads Busy at Cutting
Down Expenses.
The Union Pacific Making Some
Sweeping Changes.
Business Down to Bedrock All Over
the Country.
The National American Bank Of dinno-
apolis Suspends-A Big Private
Bank in Chicago Goes
to the Wall.
By the Associated Press.

oy LHo AsbOCihtcu IEoSas
OMAHA, Neb., Aug. San extraor-
dinary meeting of the board of directors
of the Union Pacific has been called for
next Tuesday at Boston, and while the
officials say the session has been ordered
only for the purpose OF decreasing SAL
aries, it is limited in inside circles that
the action will be great deal more i'm.
portant than the alleged object. Comp
troller Oliver w. Mink has been on the
ground for several days here doing
everything in his power to cut expenses
to the lowest limit. Owing to the sick
ness of President CLARK, Mink is the ex-
ecutive head OF the company. Speaking
OF the situation today he said:
physically the Union Pacific is in
excellent condition, but financially we
are compelled to retrench in every de-
paftment. We have met our August in
terest and other obligations falling due
on that date with money to spare, bat
go gloomy is the outlook that our atten-
tion 10 wholly directed toward cutting
down our expenses.
"When / was in Omaha seversl weeks
ago things looked more hopeful than
they do now. Nebraska and portions of
Kansas promised magnificent returns,
but the enormous trackage of the Union
Pacific west Of the North Platte gives
little hope OF yielding satisfactory re-
turns for 80 and possibly 120 days. The
western section of this continent is in
condition that absolutely requires from
us the most aggressive attempts at re-
trenchment. The movement OF COM
modities is stopped, to our great detri-
ment. Our yards are filled with empty
freight cars; oar engines are lying idle
in the round-houses, due to the stagna-
tion in business"
"Then you have reached bedrock 7"
Bedrock has been reached, but we
will be compelled to reduce torces still
further, and may possibly have to cut
salaries to meet the present exigencies.
Thia last step is one which we will dis
7--sa uarv- annseruatively before taking
action, but will probably have to becon-
sidered. Dir. Clarke's well-known santi-
ment regarding the men in hie employ
will postpone this action to the last mo-
ment, but when all other sources fail to
meet the requirements then the last re-
sort must be accepted as inevitable.
''As to receivership, it has not even
thought OF. We are meeting our obli-
cations az they fall due. Our credit is
first-class, and physically we are In good
condition. But there is nothing coming
in. Commodities are not moving. Corn
is not yet harvested. Wheat is prac-
tically failure in Kansas and Nebraska.
Colorado has shut down her silver mines
and the country west feels the force Of
the situation. These are conditions and
not theories that confront railroad men
and they must be met"
Following up the order for retrench-
ment, some 1900 miles of passenger SER
vice is to be discontinued on Sunday
next. trains between Ogden and Port.
land being taken off. This will give only
a day service, the night service being
abandoned.
As an example of the eomberness that
exists in railroad circles, it is stated by
q gentleman who knows that $50 tele-
graph operators have been discharged
from the service on the Union Pacific.