The sun. [volume] (New York [N.Y.]) 1833-1916, 1893-08-28
THE PIRATE RAILROADS OF CANADA.
Tshins Oar Trnnlc 10 Support rhemssNe'
New scheme OF the Canadian Fscine.

made in n previous letter against the ti'ioo
gentlemen who direct and control the oanu, ,
dian Pacific Railway Company. OF having ie'ieu
and collected blackmail from American trans
continental railway lines In ls9o. was
most serious; but ms 1t can easily DC
proved, no attempt has been mado by those
most Interested to disprovs or even aues'io"
its validity. | propose now to cn!l the a''en
ton OF the holders OF the bonds ana per cen'.
Consolidated guaranteed dobenture STOCK OF
that company to it's present policy. which
must DO destructive to tho securities thsV
hold. and to tho ability Of tho company TO pny
interest upon them.
Tho Canadian Pacific Railway Company was
chartered in 1891 by the Parliament OF Canada
to con struct railway line from Calender inow
called North Bnyl upon Lake Nipisstng. in the
province OF Ontario, to Port Moody upon tho
Pacific const, a distance OF 2o33 miles Inc
total cost Of constructing the main line. as per
tho last annual rorort OF the company Tor the
year ending Dec. 81. 1892. was Sl33, aN.Sb2,
exclusive of rolling stock. workshops. hotels
and steamships upon the lakes and the fa-
ciilc, or about $4,000 per mile. Tho company
has issued bonds upon its lines in Canada to
the amount of l2l.42hSl5. whose interest.
with rentals upon branch lines, creates an
nunl fixed charges OF 50. l02,OlS.
ties to learn how the present policy OF the
COMPANY will affect its ability to pay interest
upon them. ur ever redeem them.
1t will DO surprise to the general public to
learn that the new policy Of the directors OF
this wonderfully successful! railway corpora
ton. Is practically to abandon 2,o50 miles OF
the original limo, costing $4,000 per mile. or
Sl13.245.0OO. When tho new line from Yale.
IN British Columbia vie Crows Nest Pass. f2
ninety four miles upon the original line then
ya Crows Nest Pss t. by the new tGs
original limo POS niles to heEina, then south
east via st. Paul and Sault Ste, Marie to Sud
original line to North Bay. the original eastern
TERMINUS OF the road; 1t will be observed that
While 2o5., are Practically VI a6andoned
through an uninHabitsd country that will not
bounsary nH line eta the nItqd S States there
LOCAL t5ac Regina has been the sspttal
s%rs sge Win fa
snf s sep les value
S1n'f} afss MnnssotS aad
for .saiis With the GREAT Sosthern. Nort5srs
In. Sm E. snf a sH ssa Marie 4 sssrs
is not single town OF any importance as q
The country through which it passes is
totally unit for successful agriculture 1t is
chiefly cedar swamps and pine lands denuded
to Sud bury, In Ontario. the line runs. through
ing, The lines from SAUL Ste; Marie Marie. to It.
and Sauit Ste Marie. and tho latter as the
loaded to the ears with obligation and no
doubt the extension OF the form or from St Paul
to Regina will be when completed, ,,,u ..,n
q the Minneapolis. st. Paul and saut Ste.
Marie Railway was lately offered upon the
he dollar and only 9al was bid for it. while
The full paid common stock OF thu Duluth.
ou Giant #
present financial status aud very doubtful
;, The net earnings Of tho Minneapolis, st.
Paul and sauit Ste. Marie for the year ending
Dec. 81. 1892 1904 miles operated). was only |
IL hSn to ppad
capital stock. |
Ell the same year the revenue Of the Duluth.
p' Vile INT S'' an SP' rentals WAS
shsrses o. IN ws nesSns
sSn & fhs Fun as asd is 6sn
more only thirty 1--WE miles is saved In distance.
,ery itslS in grades and nothing Is gained IN
be annual reports Issued By the directors Of
why yes most q s a
rom the original line and utterly destroy its
'ower to earn interest upon Its bonds or even
e Mare and st. Pau to enrn y in,srest
'pon its bonds and at the same time pay Inter.
took issued upon the original IInef orare the
iolders OF the bonds issued upon the original
inc to be forced to accept the abandoned line
heir payment i In faif 'fA' OF local
The Intercolonal Railway Of Canada. owned
e cost U of was sS 39
{ never has earned 81 over operating ex-
ra In as MtTsn Was Mnst. %e Rail.
vays, NJ claimed to have made the line earn
aTpHs oYeT b SPesang His ATTEMPT
Parliament within the hearing, OF the writer.
ie charged renewals Of roadbed and rolling
nding June20 1891; the ,operati na expenses
tEs Sad The earnings TPs
GS sh s4 PoP %ss 81 tie
END only twelve cities and towns
nins,er., a, distance Of 5.oS7 miles. The In
'ew Brun swick, Nova Scotia. and Cape Breton.
nd the iron mines that are now worked near
, on tItIy There are more manufacturing
he main line Of tho Canadian PACIFIC Halfway
rom Montreal to the Pacific. The Intercolo-
ial has very little competition In eastern
'uebec, New Brunswick. and Nova Scotia 1t
ohnectS with nearly every important fishing
ort upon the Gulf Of st. Lawrence.
Tho poPul alton OF Nova Scotia. New Bruins
lick. and OF Quebec east Of tho western boun-
airy OF the city of Quebec. is not less than
.3oOoUo Will o the populat OF the Dominion
,est OF he eastern boundary OF NJ ontreal. north
the Ottawa River and Lake Nipissing to the
acinc coast. docs not exceed 900, 900 scattered
yer yer territory 2.s!t7 miles long and 200 miles
'ide The IntcrcoloniGl Railway. with such
trough tranc rs IL receives from the Grand
runi hallway and Canadian Pacific Railway
quebec. their eastern terminus and a far
etter local traffic than the average OF that
long the line OF The Canadian Pacific Railway
ON Quebec to Westminster. n distance OF |
ooi miles. cannot earn operating expenses.
low, then. can the Canadian Pacific Railway II |
neato Canadian tral me- earn operating ex-
enscs and So O2.UlS OF fixed charges. With a
'tal population OF 200. 900 tributary to it's line
fourth nHrt OF whom live IN the city OF
Iontreadf Where will the So. l02.Ol Of fixed
harges" come from II it's through trarlc is
lrred over the new line from Yalo via Crows
est Pass. which " il be loaded. as has bcen
i!u. 70 the ears with obligations Of its own?
~ lSt! tho earnings OF the Canadian Pacific |
aiiway Company from its railway. STEAMSHIP
M Telegraph limos were about equal to $1,000 |
or mile OF road operated
This clearly Indicates TINT tho rnnltoJ w,a