The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1893-12-26


ward Wilder, who has held the posi-
ton practically from the inception
of the Santa Fe road, speaking to an
Associated Press reporter today of the
receivership, said: 1.-THE receivership
is not surprise to me. The death OF
George G.. Magoun, although not neces-
sarily embarrassing, afforded a. pretext
for the bears, who have been persist
emily hammering our sureties, to work
on the fears and imaginations of smaller
SPECTATORS and this fact broke the
price of our securities still further.
Naturally. such action had an effect
upon the efforts of President Reinhart
in providing for the interest on the
floating debt due January 1, and there
was no time for any new arrangements
to be cOnSummated. While it is some
times considered unfortunate for q road
to go into the hands of a receiver, it
is not infrequently, and in this case
it was, very wise move, because 1t
will enable the mana cement to handle
the property and the financial burden
without the natural embarrassments
that attend a period of general de-
preston, Shrinkage Of values and dull
ness in business. The earnings of the
and under ordinary circumstances the
floating debt could have been cared for
without any trouble, or even incon-
venience, but every one knows what
difficulty there has been during last
summer and fall in raising money on
any collateral or security.
The receivership in this case does not
seem to me to indicate anything but a
reasonable period of protection until
improved conditions, which we all be-
lieve can be counted upon during the
coming year, shall permit the return
of the company'S affairs TO be managed
by officers elected by the stockholders.
We certainly need to feel no uneasi-
ness except that the bondhoiders will
have to wait little while for their in
terest, but l do not believe it will be
unreasopably delayed, because our
securities are ample if the condition of
business and the financial world was
normal
Frey; when seen today. said: THE
appointment of receivers was a sur.
prise to me, and while do not want to
anticipate the general policy that will
be pursued by the receivers, yet, will
say at the end of the receivership the
Santa Fe road will be in the best con-
dition of any road in the world The
road at the present is in better, physi-
cal condition than it has been for ten
y
ion, will be improved on. The business
of the Santa Fe has increased much
faster than its facilities, and in my
Judgment the receivers will add to.
those facilities. AS far as the effect of
the receivership goes, it will not be felt
by the public; in fact, people will not
know the road is managed any differ
emily than it has been in the past 1t
will give the patrons all the facilities
heretofore given, and in my opinion
better service. The business of the
road, while it has not been as good as
last year, is gradually getting back to
it's normal condition, and will reach it
by spring.
The death of Magoun probably
brought on the receivership at this
time, but the real cause of it is the
general deplorable condition of the
financial world and the tight money
market. No money could be realized
on the roads securities to meet the
January interest, and there was only
one thing to do, and I do not believe
the course pursued will be at all dis
advantageous to the business interest
of the road or it will be felt in the
least by any one except the bondhold-
ers, and in my opinion they will not be
kept waiting very long. While I can
not speak for the receivers, yet in my
opinion no retrenchments will be made:
but it will not be long, of course, be-
fore their policy of management viii,
be made known