The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-06-14
READY FOR A FIGHT
Forfeiture of Yesler Franchise
TO Be Resisted.
RECEIVER UnOERwooo's VIEWS.
He Saws the Council Injuries the City :
Credit Discussing New second
street Franchise.

W A. Underwood. 81 New YORK.. the
receiver OF the Seattle City Railway Com
pauy owning the Yssler avenue line. Is
q; the Rainier Grand hotel, and will re-
main a few days looking after the inter-
est OF the bondholders Mr. Underwood
was seen by a Post-Intelligencer reporter
yesterday on the question OF the threat
ened forfeiture OF the franchise OF his
road by the city council. also as 20 whether
his road was backing z. T. Edsen in the
purchase OF the Rainier avenue line.
Mr.. Underwood expressed himself free
ly on both propositions TO the effect that
he anticipated no such serious step as
forfeiture OF the franchise. as there was
law for all parties, and the bondholders
had rights that would be tested in the
courts. To the last question he said there
was not even shadow of truth or prob
ability in such deal. In fact, he never
even knew that the road had been OF
ferei for sale.
Speaking OF the affairs OF his own line.
he said:
The hard times have affected US as
they did every one else The road is
about paying operating expenses, and so
long as the earnings are in their present
shape we are hardly in condition 10 make
plans for the future. and therefore the
bondholders have not felt like pressing
the sale OF the road or for reorganiZa-
ton.
we had plans prepared for a new pow
er house and the double tracking OF the
road on Yesler avenue and Jackson street.
but the income of the property will not
Warrant that expenditure now. Of course
is stands 10 reason II a single track does
not pay IL would be business folly 10 ex-
pend more money, and ii would be i'm
possible 10 get thesbondholders TO advance
money to be expended in double-tracking
the road. We propose 10 let matters 90
on as they are now until business I'M
proves.
Our bondholders are scattered through
out the various Eastern states, and they
all feel sore at the Seattle people for their
attempt TO forfeit their franchise, which
would destroy their property. They feel
that investments In Seattle are not safe
II such a policy is inaugurated by your
city government. They naturally say
that they might understand the action
of the council If the city was in any way
to be benefited by it, but 10 wantonly at
tempt at a time when everybody is find
ing il necessary to economize husband
resources and get along with as little eX-
pense as possible looks like an outrage
and evinces spirit which would destroy
any investment if the city council could
only legally do It.
Every dollar that was realized by the
sale of the bonds of this road was either
paid to Seattle people or expended here
for bstterments. and the bondholders
have been willing TO forego interest, as
they have done for two and half years,
hoping for better times. and using what
small surplus there has been above oper-
ating expenses in the Improvement OF
the property.
"rhe boDdholders have evinced a liberal
shirt toward employees, and while all sal
aries for management have been cut down
to the lowest possible point. the gripmen,
conductors and other laboring men have
been paid fair and liberal wages, as 1t
was believed TO be the better policy TO
keep good men who are reliable rather
than save few dollars at their expense.