The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-09-29
FRBSN0'S INVESTMENT.

BY responding so promptly and hand
somely to the call for subscriptions to
Valley road shares the people of Fresno
have shown themselves to be still pos
| sessed OF the strong spirit of enterprise
which converted the barren plains of that
region into one of the finest gardens of the
country. Thirty thousand dollars had
been asked for. They subscribed thou
sand more than that, and there are yet
many others to hear from. It is true that
some who are known to be able to invest
IN shares are holding out, but the example
OF their more progressive neighbors may
yet inspire them to activity. An unlocked
for help came from the well-to-do Chinese
merchants of the city. With the shrewd-
! ness characteristic of the race they saw
| that the investment would prove a
profitable one, and they promptly SUBJ
| scrlbed when the opportunity was offered.
No argument was required with them.
They understand the matter and that was
the end of it.
Meanwhile Mr.. Huntington is express
ing some pity for the projectors of the
Valley road. He is reported as declaring
that he is sorry for them. 81 have no de-
| sire to hamper them," he is asserted to
have said, ''nor if given an opportunity
| would / even try to ruin the enterprise.
But l cannot see how it will be made to
pay. Mr.. Claus Spreckels and some of his
associates have plenty of money, and as
| they appear willing to risk some of it IN
building road where there are now more
roads than business, they will at least OBJ
tain some valuable experience"
1t is kind of Mr.. Huntington to decide
not to destroy the Valley road, though
how he might possibly accomplish that end,
or even damage it to the slightest extent,
is a conception that the ordinary human
mind cannot form. His assertion that the
present transportation facilities exceed the
volume of business is a painfully correct
statement of the situation, and the Valley
road has been started for the purpose OF
| remedying it.
Mr.. Huntington knows as well as an
other why the San Joaquin has not de-
railroad has absorbed all the profits of the
farmers and merchants in the valley. He
is aware that the Valley road, unhampered
by high original cost, fictitious fixed
charges and the necessity for charging to
productive sections of the road the heavy
losses incurred IN operating the line
through unproductive and expensive re-
gions, can be built and operated at cost
vastly below that of the Southern Pacific,
and that as its prime purpose is to develop
the section which it traverses it will put
freight charges to the lowest possible point
compatible with the rules governing ordi-
nary business investments, and so encour-
age development and create traffic. He
knows, too that the Valley road will secure
all the traffic within reach which now goes
to the Southern Pacific, and that this will
be sufficient at the very start, without
waiting for the development of the valley,
to warrant low freight charges and guar
antee reasonable profit on the invest
ment.
Mr.. Huntingtor's view of the function
of railroads. as thus expressed, is exactly
that which has always governed the con-
duct of the Southern Pacific, and it has
been the policy which explains the retarda-
ton of State progress. However success
full railroad manager he may be, had his
remarkable genius only been broad enough
to grasp the principle for which the Valley
road stands, he would be enjoying the re-
spect and admiration of the people to-day,
and California and the Southern Pacific
would both have received benefits to which
they are now total strangers.