The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1894-01-12
RATES WERE TOO LOW
Mr.. Ingalls, Says Railways Lost
Money in Carrying Grain.
He Thinks Business Generally Would
Revive if Freight Tariffs We're
Higher-Brice's New Road.

In conversation, yesterday, President In
gals, of the Big Four, said TO a repre-
sentative of the Journal that in his opin-
ion. the first improvement in business
would be inaugurated by the railroads
but. before the railroads could move eff
recuvely IN the matter, rates must be
placed on paying basis. He said that had
the grain which had been forwarded in the
last thirty days been carried at a fair rate
the companies which carried it would have
been $4,000 better off. In carrying it on a
basis of 10 cents, Chicago TO the seaboard,
the roads had lost money, and not even the
shippers or consumers had been benefited,
as. had this $4,000 been earned by the
roads. II would have been distributed in a
manner which would have increased other
branches OF business This sum repre-
sented but small part of what had been
lost to the roads through the unhealthy
reduction in freight rates. Low freight
rates mean a general reduction Of expenses
In the transportation department the cleri-
cal department and shops, and discourage
investors in railway securities. The trouble
how is that in the money centerS a con-
geSted condition prevails, and so long as
the roads We're making no money these
capitalists would be timid, and stocks and
good paying rates, the engagements of the
Railway companies would feel like improV-
ing train service increasing the number of
men in the shops, and in all departments
would feel like purchasing railway supplies
more freely. This would, in turn, set the
wheels Of rolling mills, locomotive works.
car works and other shops in notion; capt.
talistS would take more cheerful view of
the situation. and. with the Improvement
Of business with the railways other indus
tries would begin to thrive. Mr.. ingalls,
said he was anxious that the press and the
business men take the proper view of the
railroad situation, and work with the rail-
way managers to dispel the idea that low
rates were good thing for business Rail-
reading is now so systematiZed that it is
no trouble to ascertain the cost of hauling
a ton Of freight per mile. and when IL was
hauled at less than actual cost not only
the roads suffered. but business generally.
as, when railroads are prosperous, business
generally moved along actively and was
healthy in tone. There were no two inter-
ests In this country more mutual in their
relations than railroads and business gen.
orally.
Senator Brice's Proposed Road.
dispatch from Muncie says the filing
Of the million-dollar mortgage In the Della
aware county recorders office last evening
to secure that amount Of loan from the
Manhattan Trust Company in favor of the
Indianapolis q Northwestern Railway Com
pany has been the theme for much specula-
ton In Muncie to-day. For two years past
the Lake Erie & Western people have been
anxious to reduce the length Of their track
between Muncie and Indianapolis. The rea-
son for wanting a more direct line to In
dianapolis from NIuncie is to hold the big
trade from Fort Wayne, Bluffton, Hartford
City, and intermediate points on their FIT.
W.. c. &c L. division. For some time past
the Chicago & Southeastern OIidlanO
which runs west from Anderson has an
nOunCpd IF Qxfa fha aoIy
20 Muncie. Elections were held in several
townships I'm the county and subsidy with
right or way was subscribed and another
efrort Is now being made by enterprising
e ehat TO secure 1t 1t is believed by many
and has been for some time the property of
the L; T. & w; and that Mr.: Crawford
was simply working a scheme to secure a.
right OF way and get subsidy that the Lake
Erie people could not have secured if their
scheme had been known. The Lake Erie
people Will extend the G.. G. S. z. track to
this city. connecting with their other two
lines From Anderson they will run to
Noblesvile and enter Indianapolis from that
point via the Michigan City division. All
the track that would be necessary TO build
would be about nineteen miles from An
derson TO Muncie This would give the
Big Four people some very warm competi-
ton at this city and Anderson besides the
Into the Indiana coal field.
A dispatch from Anderson saws w r
Hackedorn filed the million-dollar mort
Calvin 5. Brice is back of the scheme.
Union Company Reducing Expenses.
Notices which the employees of the Union
Railway and of the Belt road are receiv
ing the last day or two have created alarm
among them. Several days had passed since
the meeting and nothing had been heard
therefrom except that D. F. whitcomb
superintendent, would retire on March /
But yesterday the officers of the company
received notice of a reduction of 10 per
cent in their salaries D. f. Donough
general ticket agent, was notified that he
must reduce his force two men, and those
who remained would be subjected to a 10
percent cut John Ferguson, general bag
gage agent, received instructions to cut
down his force four men, as they were re-
Sency suOJected 10 reduction in wages,
none mas yet been ordered. In the train
sheds the gatemen, station agents WeibeI
and Rogers, and their assistants were mott
neu OF a l0-per-cent- cut. Harry Burt
thinks his lot an unusually hard one He
is an expert telegraph operator, has been
AN at the business thirty years, and now
Will receive no more salary than he re-
celved thirty years ago. The only ones who
seem 10 be exempt are w. ". jackson the
veteran secretary, and Mrs. Mary Orner.
superintendent Of the package department
On the Belt road employees are sIIbiecfad
10 proportlonate reduction in wages and
after the first of next month the nositior
Of superintendent of transportation on The
Belt road will be abolished. The BeIt rad eal
employees have not so much reason to com
plain, as they have been receiving better
wages, II is stated, than any railway en-
ployeS in this section.
Central Traffic Rates.
AT yesterdays meeting OF the freight
committee of the Central Traffic Associa
ton in Chicago II was decided that all
commodity rates in the association terri
tory shall be abrogated April 80 The date
Tor the taking effect Of the new scale
basis OF class rates has been POSTPONED
from March to May 1. and il was agreed
that conference with the Western lines
De held Jan. . for the consideration of the
uniform division of rates.
The Cincinnati Enquirer says: 1.-THE Cen
trail Traffic Association seems near its end
The roads composing it are considering the
advisability OF dispacing it with a gigantic
commission. For years many of the fore
most railroad men of the country have con-
tended that the association had outlived it's
usefulness. and that there were no longer
RVi6anRA1 Of ffC