The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1893-10-14
q. P. FOLLOWS SUIT.
Another Great Railroad Turned
Over to Receivers.
COULD NOT PAY IT'S INTEREST.
rarss seand Fish csmpss<s VIVA Ssw
Engiand and II E1pertea- Wheat
Crop Half Kuined-

OMAHA, Oct. f3-0n . plea - equity
fled in the United States district court TO-
day. Judge DundY appointed :. III. IL.
Clark. E. Ellery ABderson. Of hes YORK.
end O. W. Mink, Of Boston. as receivers
for the Union Pacific railroad. on applies
ton for receiver made By the executors
OF the Frederick l. Ames estate. Oliver
Ansss. second, Samuel Carr. Edwin =.
Atkins ard Peter WyckoG. The ST.
nouncement OF the application and the
appointment of receivers came simul-
taneonsly about noon. President Clark.
discussing the situation this afternoon.
said:
THE application for receivershIp Was
not unexpected, a. q careful student Of
railroad operations In the past few months
must necessarily conclude after revleg
OF the startling decrease in gross aud net
earnings which the Western roads have
suffered. With the possibility Of default
In payment OF interest staring Us in the
face, The only thing 10 be done 20 keep the
property intact was 20 file . biH 81 COM
plant asking for receivers and ask the
court TO intervene. The property viii be
managed for the best interests Of all con-
earned"
Speaking for General Manager D.ckln-
SON, General Solicitor Tharxton said:
'sThe unexpected and surprising fall
ing OF Of the business on the sys-
TEN and the stagnation and
depression throughout tie trans Mis-
souri, territory had convinced ell pat
ties interested IN the preservation OF the
integrity OF the property thar II would be
impossible TO meet interest and ether ii xed
charges soon coming due and thereby the
system would be subject 10 different
actions In different jurisdictions which
might and probably would result In depfe-
citation of the property.
1.-THE court Ia determining the personnel
Of the rcerivefship selected Clark and
Mink on account OF their weil-known
familiarity with the property. their
peculiar fitness for the position and the
confidence OF the stockholders and
creditors. as we'll rs the general railway
public, N them as managing Of
fieaals. The court further insisted
that the important interest OF the
government ia the property should
the third receiver T.. Ellery Anderson,
whom President Cleveland recently APP
pointed government director. Nest of
the preliminary operations were conducted
IN Tie East. and TIE euaeayor has been 10
complete the proceedings in such man
ner that the first public Information should
come alter the receivers we're IN possess
securities Of the company against any de-
probation which might have followed the
announcement that papers were being pre-
pared or an application would be made"
Bosros, Oct. f3-Tbe Boston News Bu-
reau, speaking OF the Union Pacific rsceiv-
ership, says that the company has no
floating debt. but the earnings are not snf-
ficient ut present to meet interest on the
compauy's bonds. II Is estimated that for
the nine months to October the company
must show q loss in gross earnings com.
pared with 1852 of 81. e43 ooo and the es,i-
mated net decrease was $3,63i,357.
In the application for receiver II is
shown that the liabilities Of the company
are $40. So. 0fi. Bonds and notes out
standing are so. 6e2. 635. of which SIS 400.
OBS Ii asl0at. The bonded indebtedness To
the government is not included in this.
There 10 coming due large balance of In
tsrest on subsidy bonds, now about SIS.
10000. The company Was also indebted
for labor and material on October 1.
81 10000. The gross earnings OF the sys-
tenn for the year ended Dece mher 81. lsge
were <i6.67S 2i9: expenses, x44,50s SIS:
leaving surplus OF $2.oi9, 756 For the
eight months ended August 81, 1898. there
has been falling of of gross earnings
compared with the same eight months
last year of 80. $50, 600. and a falling off In
net revenue OF sg.5ss, 600. There has been
further falling OIL in the gross revenue
Tor the month of September of 81. 50Oa0oo
compared with the same month last year.