The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1893-06-17
4 MILLION A MONTH.
The Cost to the Railroads Of the
Transc0ntinental War.
Ex-cHA,RMAN v.N,No IN TOWN.
The Nosshern Pset1e Meets the Great
SsstheSn's RsssssgeS Ksss Cat
Hreiehs Tss0e Psrslysed.

y r. vin.nS. OF 81. Louis. late cHa.fmeh
OF the Transcontsuentai Association, which
dissolved March last. 10 stopping at the
Arlington. He 10 visiting his cousins. the
Misses shamray. the well-known teach
ers ir the Seattle high school, and II ac-
conipanied by his tSo daughters. who are
stopping with the Misses Saumway- Mr..
y.ning il without doubt the first authority
on transcontinentai traffic matters in the
country. In fact. he may be said TO have
developed il. for he Was the general
freight agcnt and general tsafic manager
OF the Union Pacific road from ISL 10 1854,
and since then has been chairman OF the
Transcontineatai Association. and - such
one Of the six commissioners Of the West
e5n Traffic Association.
Yes, see transcontinentaf traffic mat
tiers arc in very interesting coadsion."
said he to . Posr-IsTELLIsEScER reporter
last night. There have been signs OF
trouble for long while. and | suppose IL
will have TO run its course. There 10 only
ore way such differences can be
settled peaceably, and that 10 by arbitra-
ton. Otherwise 1t must b fought out I'M
tii the weaker ones throw up their hands
and ars willing to make peace on any
terms. This war seems very foolish. for II
10 costing the lines fully 100000 a
month. The entire transcontinental traf-
&c usually amounts to -. 50, 00o month.
and doubt If tho various lines are n0v
getting 81, $4,000 . month. It seems
strange that the traffic managers Of the
lines affected couldn't have avoided this
war, because sooner or later they will have
70 come together and talk the situation
over ~ plain business men. although il is
true that mans opinions are listened 20
with good deal more respect after he has
demonstrated his ability to back them up
In . fight.
THE equitable adjustment oftransrorta-
ton rates is . very complex matter and
embraces questions of . far-reaching char
acter. NJ veil az Of varying conditions.
The principal trouble in the present Diff
Guilty il the admixture of rail and water
hauis. In the South there Is still another
complication in the clipper competition.
II has always been customary in the East
20 allow diffcrential to the water routes
90 compensate for their longer distances
and slower time. But this diiiercntial was
never allowed on transcontinentai bust
ness. Now. Of course. don't know that
such ID the case. but IL looks as IL the
Great Northern, having its own line Of
steamers between Buffalo AID Duluth, and
the Southern Pacific having still longer
water route between New York and New
Orleans. we're seeking to get difierential
over the ali-rail lines.
While the Isthmus steamer lines are
now the disturbing element in the South.
they cannot afford TO maintain losing
fight - long a. tho railroads. With them
IL II oil transcontinental business, and il
they are doing it ut . loss they cannot
make il up. With the railroads. however.
Il 10 different. They are kept up very
largely by the local traffic, which affords
them the means to do the transcontinental
business at loss. While q person can
take pencil and paper and figure out how
much cheaper transportation can be car
rted by water than by rail, yet in practical
competition the rail routes have always
downed the water routes. Take the Erie
canal, for instance. The New Central rail-
road IL every year drawing its business
away. When first took hold of
the traffic of the Union Pacific
IL seemed impossible to compete
with the clipper lines. which were hauling
freight TO San Francisco for S. or - q ton,
aprice which We had to pay the lines east
OF the Missouri river. But We finally
beat the clippers out. Owing to the long
time required for goods To arrive the big
San Francisco houses had 20 order their
stocks six months ahead Of season. They
were unable, of course. 10 tell what the con.
ditions OF the market would be so long
ahead, and SO they ordered only such stocks
as they must have even under uniavora-
ble conditions. The rest oil their stocks
they would order later according az the
near APPROACH of the season would
warrant. and have these goods shipped
by rail- We tried to make low rates
with the dealers without avail, and
finally We said TO the shippers: Well.
II you won't give US any moro business
We viii put our rates back 10 the average
standard and you will have to pay us high
prices on small portion of your stock
but we will sit down with YOU figure up
your entire freigh, for the year aud see IL
We can't take contract to haul ii all for
you and a, the same time save YOU a little
money Well. sir. Mr.. StabbS, of the
Central Pacific and | figured with all the
big shippers of the Pacific coast for over
year. With the result that We took the bulk
OF the iransconsinental business away
from the clipper line. That was before the
interstate commerce law went into effect.
however.
When l went with the Union Pacific
In lsSt thn freight business only amounted
70 ss.an.op year and when | left u In
lisa Is WAS over so oDo. na. The very men
Who built the Union Pacific had no faith
In sac road as an earning proposition.
They never bent their energies in that III
recltaa. and 81 all the rich men in the
East Jay Gould Was the only man who
had any faith ii tie development Of the
West. lie bought the road when its
stoeS was selltng at -. aui under his
management i, VAS paving dividends
From lisa 10 lisa the road was paying q
per cout. dividends regularly. and towards
The last per cent In 1854 Gould sold out
his ef,ire holdings 90 Charles Francis Al.
ans aud the New Earisnd erasa for 100
fesi'!~s pecket.ne ten years Of hish siivi-
dsats he qHAdsapiet bis lns essnlei,. by
fnsS great Union Pacific deal.
Rat the sIasg az how hv used Charles
francis Adams fsy h!s Own pe-r.a.e, "a a
rich enc. Adams had been writing several
severe attacks on Gould for the magazine.
and newspapers. aud 80 hs aousa never
have been thought partial ~ any @.
snald's interests. Well, In the month O,
ocsater. 1855, Adams ~as indacea br out
siee parties Ia take trip over the Union
faslfe. New. this is usaaiiy the creates:
month Ia the year for business Oh sha,
lice. earn and wheat and hess and ea.E.s
and ore ara al pouring into marks,. and
~ta'eT merchandise Il pouring toward The
West. and ,hc great cry MAS toI
sssoge cars. wca, Adams aud hl.
patty became wonderfully impressed