The morning news. [volume] (Savannah, Ga.) 1887-1900, 1894-02-19
BUSINESS ON THE UP GRADE.
Mayor MoDonough Looks Into the
Lumber Business North.

mayor mcDonough Looks Into the
Lumber Business North.
| Mayor McDonough arrived from the
north yesterday, after an absence of ten
/ days spent in New York, Boston and
/ Philadelphia, He says that business Is
| looking up somewhat in the north, and
the prospects are that there will be a
/ gradual improvement this spring. Things
were looking very blue, however, while
he was there. The heavy storm. of which
a slight touch was felt in Savannah
ragged with full force during his stay,
filling the streets with snow and slush
and adding TO the already great distress
of the large army of unemployed
New York city, Mayor McDonough
says, is doing a noble work of charity in
relieving the suffering and supplying the
needs of the poor There are, at low cal
culatlOn, he said, at least 10000 able
bodied men out OF employment in that
city, and evidences Of restitution are
present on every hand. If it were not for
the many avenues of relief afforded,
the sufferings OF the unemployed would be
terrible, indeed.
Mayor McDonough made special inquiry
among the lumber dealers as to the cOndi-
ton and prospects of business in their
line. He found the dealers carrying
lower stocks than he has ever known be-
fore, and no disposition TO take on large
stocks They are doing hand to mouth
business, and ordering only in small
quantities. favorable sign, however,
is the number of inquiries for
however, to beat down pric es even lower
than they are at present and there is
such an army of hungry bidders for
orders that there is little hope Of immedi-
ate improvement. Mayor McDonough feels
more confident after his investigation of
the northern markets.
ut is impossible" he said, "for build
ing operations to be resumed at the
north until the severe weather of winter
is over and the spring season begins.
The north has kept out of
the market as long as il
is possible for it to do so,
and building operations must, of neces-
sity, begin soon. The railroads have shut
down on all improvements for many
months, and for the last several months
have neglected even their ordinary re-
pairs. They cannot continue this course
much longer and must, perforce, begin
their repairs shortly. l can cite one in
stance of my own knowledge, where a
leading railroad, which has regularly or
dered bills of lumber of from 5000, 900
TO 100000 feet at a time with
frequent lesser orders at intervals during
the year, whose largest order last year
was for only IS, 900 feet. The same policy
has been followed by all the other roads
at the north, and shows why there has
been such decrease in the demand"
The mayors attention was called to the
statement of General Superintendent
Kline, of the Central railroad, in yester-
days MORNING NEWS that now that
the season for handling cotton and
fertilizers is about at an end
the railroads have little prospect for
freights during the next several months
unless there should be a revival of the
lumber business.
MIR. Kline has struck the nail on the
head, " said Mayor McDonough. half of
the mills in this section are shut down
now, and more are likely to shut down
soon. The mills are only running now in
order to hold their plants together and
retain their employees. Unless the rail
roads will reduce their rates, | can
assure them that they will have no
lumber freights of any Importance this
spring and summer. The present rates
were considered high by the lumbermen
when they we're made and a fight was
made against them before the commission
but without effect. There has been a re-
duction of 25 per cent. in the prices of
lumber since these rates went into effect,
which reduction took away all the profits
and something more. If the rates were
high when they went into effect
they are out of all proportion now.
A reduction in rates by the railroads
would enable the lumbermen to meet the
large demand for low-priced lumber now
arising at the north, by the aid of which
they would be enabled to continue opera
tions until general improvement in the
condition of the trade arrives"
Mayor McDonough said that the lum-
bermen will undoubtedly seek reduc-
tion in rates from the railroads.