Alpena argus. [volume] (Alpena, Mich.) 1893-1909, 1894-09-19
A Successful Management of a Bank
rupt Railroad.

The Detroit Evening News of Thursday
had an article In regard to the manage
ment OF the d., d. G. & Alpena railroad
that Is hattering to the receiver. OF
course during the receivers management
his principal outlay was for running ex-
penses. When he assumed control of the
road the receiver found 1t in good running
order. The News article Is as follows:
There Is considerable quiet talk In rail-
road circles about the good work accom-.
pllshed by Don M. Dickinson as receiver
Of the Detroit, Bay City & Alpena Rail-
road.
When Mr.. Dickinson took hold Of the
road last fall 1t was badly demoralized.
The Farmers Loan Il Trust Co. had
foreclosed big mortgage for non-pay-
ment OF interest, the pay roll OF employ
es was several months behind and the
general outlook far from encouraging.
The main line extends from Alpena to
Alger, distance Of 105 miles. From AL
ger it depends for traffic connection Who'll
ly upon the Michigan Central.
Up to that time the road had been prin-
cipally used for logging operations. The
log business having come practically to
an end there was great falling of In re-
ceipts, and nothing had been done to
remedy this state Of affairs by finding
other business.
1t was true that while the equipment
was occupied In the log business satisfac-
tory rates probably could not be afforded
for miscellaneous freight and passenger
traffic, but the falling off OF the log bust
ness had left mass of idle rolling stock on
the company's hands, while Alpena and
other towns which might be supplied by
this route very generally adhered to the
method OF carriage by water navigation
which was used prior to the railroad SER
vice. Lumber and other manufactures,
produce and outputs for expectation and
trade continued to be sent very largely
by water, the railroad being utilized only
In cases Of necessity.
Mr.. Dickinson's first move was to en-
gage good lieutenants. He was fortunate
In securing as his general manager j. d.
Hawks, formerly chief engineer OF the
Michigan Central and now general man.
ager OF the Citizens Street Railway Co
MIR. Hawks went over the road and into
ever branch of 1t on q hand car. The
general Offices were removed to 10 Wood.
ward avenue, and put In charge of George
M. Croker as auditor. AS the company
had no freight agent a capable man was
engaged for that position at $3.50 a
month.
In spite Of the depression OF business
from which the road suffered In common
with others. Mr.. Dickinson has since
paid all the present and delinquent pay
roll taxes and the entire floating debt OF
the company without having to ask the
court for power to obtain money or credit
He has also put In many thousands Of
ties, repaired the bridges, built several
miles OF new fencing, and equipped the
road with telegraph system instead Of
the telephone, formerly used. In order
TO produce these results 1t was necessary
TO practice strict economy, both In pur.
chasing and expanding. Insist on daily
balance interest at the banks, withdraw
the use OF a Wagner parlor coach (run-
ming at daily cost Of @10), abandon the
practice OF issuing passes to shippers,
and retrench In various other ways. At
the end OF the first six months the road
had $4,000 on hand and all expenses
paid. This sum has been materially In
creased since the last statement filed In
the United States courts, although e.
600 In state taxes had to be paid In July.
In the language Of Auditor Crocker,
I'VE have made it point to break of