The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1895-09-01

]. ]. Hill, president Of the Great North
ern returned to ST. Paul from New York
last week and his statements In regard
to the Northern Pacific deal are most in
teresting as published by the Pioneer
press:
j. ]. Hill is home. He Is liable to re-
turn to New York at any time. When
asked last night at his residence by a
Pioneer Press reporter regarding the
Great Northern Northern Pacific deal lie
replied that 1t was still in good shape,
When asked " 1t was in as good shape
as 1t ever was, he replied In a trisyRable:
Certainly"
'What about the legal complications"
he was asked.
There will he none of a serious nature"
lie replied. IT see that one Of the stock
holders has brought suit against us. But
that doesn't amount to much"
"You refer to Pearsall Of New York"
Eyes. We shall defeat him on his own
ground. He thinks that the proposed deal
would be inimical to his and other inter-
ests ut he is evidently mistaken. Most
of the Great Northern people think other
wise, and we shall defeat him."
''Tthen you expect no legal obstacles to
the contamination of your DEAL"
None. The deal will be carried out as
proposed"
How Is the reorganization progressing
"lt seems Ito be progressing very we'll"
"How long should 1t take?'
81 cannot tell. 1 have stated to you
before and to others for publication no
less than twenty or thirty times that 1t
can only he conslImmated by the security
holders of the Northern Pacific"
''Whlat are the differences between you
and the Northern Pacific people as repre-
sented by ]. Pierpont Morgan:"
'None j. PleTpont Morgan has nothing
to do with this. He may represent some
of the underwriters, but they will come In
afterwards. People who write about diff
ferences between myself and Mr.. Morgan
are writing for space"
'What is the actual amount of guaran-
tee of earnings or so-called rentai?"
"Six million two hundred thousand dol
lars"
us 1T a fact that the Northern Pacific
people demanded $70OO,OOO and also $l5,-
00O, 900 securlty?'
"It is not fact, and all reports to that
effect are wind"
"Then after THE reorganization has been
effected there appears to be no obstacle
in the way of your plan for control?'
Sized UP the situation correctly"
"You are confident now that the deal
will be all right?'
Perfectly"
As bearing upon the Calm which the
president of the Northern Pacific COM
pany is endeavorlng to maintain at Sc
attic, that Judge Jenkins had no juris-
diction over the property Of the COM
pany in appointing the receivers, 1t Is
interesting to note that In 1876 George
w. Case was appointed receiver of thl
Northern Pacific company by a UniteS
States circuit court in the state of New
! York, and served in that caplcity with
out question until the company was re
organized
SO much has been said recently re
gardlng the probable net earnings of tn
Northern Pacific company for the yea
ending June 30, on account of their bear
ing upon.the reorganization, that 1t SEEM
desirable ITO correct certain misleading
statements regarding them. The figure
of the operations of the company fo
June have not yet been made public, ant
they MAY not be for some little tint
to come as the receivers are making III
an annual statement that will includ'
them. 1t can Ibe stated, however, with
out fear of contradiction, that when thu
figures for the year are made up, they
lwTl not show, as frequently asserted
net earnings of more than $6,2OO.OOO, th'
amount of the proposed Great Northern
guarantee.
The annual statement when made W
will show receipts from all sources o.
Approximately $6,6S9.7S2. and this result
has been spoken of as net earnings. y
Is far from being that. Prom thu
amount must he deducted the rentals
which include the interest paid on Du
luth e. Manitoba and Spokane & Palous'
divisional bonds, taxes and several hun
dred Thousand dollars earned by branci
roads not owned or covered by Northerr
Pacific mortgages, and consequently be
longing to the bondholders Of those branci
lines as part Of their rental. The tota
clf these items for the year ending Jun'
30 last will not be far from $2,S51, ,S39. De
ducting this from the total net receipts
as given above, It appears that thu
net earnings aa'e $4,337.943, or nearly 81,
100000 leas than the proposed guarantee
OF the Great Northern company.
The disposition of the net earnings, al
just shown, during the year ending Jun'
20 was under the following heads: Sink
ing fund and interest on the first genera
mortgage bonds, sinking. fund and inter
est on the Missouri division bonds, sink
ing fund and interest on Pend d'Orelil'
division bonds, interest on receivers GER
tifcates. miscellaneous interest on re-
\ ceivers' obligations and interest on col
lateral trust notes. All Of these payments
are obligatory to retain THE main line
intact to prevent the recivership from be.
ing In default, and to retain possession
0f valuable properties such as the ST.
Paul & Northern Pacific road. the secur.