The San Francisco call., 1895-05-20
RATES WILL ASCEND.
President Hill Candidly
Announces His
Policy.
INCREASE OF PROFITS.
One Result of the Northern
PaCific-Great Northern
Consolidation.
TRADE WITH THE ORIENT
The Magnate Says 1t Will Necessi-
tate the Construction of Ocean
Greyhounds.

NEW YORK, n. Y, May 19-President
James J. Hill of the Great Northern Rail
way, who arrived from Europe yesterday,
conferred with tho Northern Pacific reor-
ganization committee and then started fol-
Chicago.
Previous to his departure, Mr.. Hill said
In an interview that c. P. Huntington did
not put the 10 per cent estimate on in.
crease in business bit too high as a result
of the deal between these companies
Rates will be put up slightly all along the
line and many expenses will be cut off
Moreover, it seems the Canadian Pacific
Will be given lively race in the building
and development OF the Northwest.
President Hill expects much from the
town of Great Falls, Mont, as the pitts
burg of the West" and should Tesla sue
ceed at Niagara Falls in making steel from
iron ore by electricity, as he says he will
soon, the Montana metropolis will become
one of the great industrial cities of the
Northwest, with its contiguous coal, iron
and silver mines.
"Will not the Canadian Pacific be q dan
gerous competitor" he was asked.
''Not in the least" answered Mr.. Hill.
ave can compete with any transcontinen-
tai line in the matter of fast time. We have
nothing 10 fear from Canada"
Speaking of the proposed new line of
steamships between Japan and the Pacific
Coast, Mr.. Hill said:
"Now that the war between China and
Japan is virtually over, / expect there will
be big industrial development in those
two nations, and the United States will
have as a consequence a good deal of busi,
ness with them. If such line of steam
ships IS established it will have to have
new ships for fast service, like the Atlantic
liners, and of course that would take some
time, but it will come"
What is the feeling toward American
railways in Europe?"
"The present European buying seems to
me to be the result of investors having
more funds on hand than they know what
to do with. There has been over-specula-
ton in Africa, and great many millions
sterling have been made in Africa in
mining enterp ises; here the people are
looking for places TO invest their profits.
1t is very difficult TO get good European
securities. SO they are driven somewhat
reluctantly to invest in our stocks and
bonds. Of course this does not apply to
stood well, but TO those that have been
more or less questioned by investors. Un-
less American properties are better man
aged and more closely economical, Europe
will discount them in the future. We have
got to establish character for economic
al ministration If we want foreign invest
ors TO take up our securities"
What is the industrial situation across
the water?"
"The industrial situation is not picking
up by any means" replied Mr.. Hill. "The
silk business has gone to China. The most
active business in England is the manu-
facture and sale OF machinery on orders
principally from Eastern nations like
Japan and India, which are now manu-
facturers and producers of goods which
England has long held a monopoly. China
and India are becoming great and i'm
portant factors in the textile world. The
peace between Japan and China will open
the way to great efforts on the part OF
those countries to compete with European
manufactured goods"