Evening star., 1896-09-29
Increasing Railroad Power Of the
New York Man.
MAY PRODUCE LASTING PEACE
He Now Seeks a Pacific Coast
Connection.
4 WON RFUL SYSTEM

reason to believe that lasting peace through
a restoration of normal conditions and the
adjustment of tariff to a figure that will
pay a reasonable interest on the invest
ment will he reached in a much sooner
period than would appear possible to those
who give the matter only casual considera-
ton. and it is thought that this will be
brought about largely through the great
influence Of Mr.. J. Pierpont Morgan.
1t is no longer a secret to those who are
corversant with recent happenings in the
railroad world that Mr.. Morgan is fast be-
coming the owner of enough lines of rail-
ways to enable him. with the cooperation
Of the Vanderblts and the Pennsylvania
people, to control the entire transportation
business of the country east Of the Missouri
river. and to have a very large say in the
management of the lines west of that river.
The sale of the Norfolk and Western rail-
way system on the 10th instant has been
followed within ten days by the reorgan-
iZation of the company, with Mr.. Henry
Fink. now one of the receivers of the Mem
phis and Charleston road. as president. a
board of directors will be hereafter Sc
lected by Mr.. Morgan from among New
York people who are identified with his in
terests. The sale of the Philadelphia and
Reading. which took place Wednesday last,
when this property was also purchased by
Mr. Morgan, will also be followed by speedy
reorganization. II is not too late to re-
mark that TIE Reading transaction was the
greatest OF the Kind which has ever taken
place in this country, and by ii Mr.. Morgan
and his associates came into possession OF
a property the par value of which is esti-
mated at S2,U, ,'sn.u00. 1t is true. the ou.-
standing Indebtedness amounts to about
S4I.Hn.HO. but when II is taken into con-
sldtration that the total amount to lie paid
by the purchasers is but SO, SOC, ,DOy the fact
that they had 10 assume the outsta nding
Indebtedness above referred to amounts to
very E,tle.
Chicago and Northern Pacific.
1t is expected that Mr. Morgan will also
buy the Chicago ana Northern Pacific,
which is to be offered at foreclosure sale
early next month in Chicago. The road has
been in the hands of a receiver. and 1t is
stated that plan OF reorganization. which
IT Is understood was prepared under the
direction of Mr.. Morgan, has been practi-
cally perfected. The road must bring not
less than sl0.WDG0 and the purchaser In
addition must assume two mortgages. one
of which, amounting to ArttVD, is held by
the city of Chicago. and the other. which
aggregates about 1894. .UD is held by Edwin
A. Abbott and John A Stewart, together
with some smaller obligations. 1t is as
sumed that Mr.. Morgan. having dictated
the terms of reorganization. desires TO ac-
quire the property when the necessary le-
gal steps shall have been complied with.
Word comes from St. Paul. Mimi, that
some of the great grain dealers OF the
northwest have secured lower rates to
New York. Philadelphia and Baltimore for
future shipment of grain than they had
any idea of being able TO accomplish
! month ago, and that this result has been
reached largely through the influence of
the Wisconsin Central. one Of the most
important connecting links in the Morgan
system of railways between hicago and
the great grain region in the upper north
west. The reduced tariff amounts to about
90 per cent. as compared with he previous
charges, and which prevailed u:itil MIR
Morgan purchased the Reading railroad a
few days ago.
Grain Men Satisfied.
The action of Mr.. Morgan gives great
satisfaction to the grain men of the east
as it will, 1t is expected or At least 1t IS
| hoped, divert to the east much of the trade
| which has for some time past found its way
| to Galveston New Orleans. Mobile and
Newport News for shipment TO foreign
ports. 1t is we'll known that the grain men
! OF the northwest last spring made earnest
efforts to secure reduction oi rates from
| ST. Paul. Mimi, Duluth and other cities in
! that vicinity to eastern points, and that
| the Trunk Line Association refused to con-
| slider fair adjustment of lake end rail
rates between eastern and nnrihwt ste rn
points in comparison with other markets.
| However even MIR. Mcrgan's great influ-
| ence could not have accomplished the re-
suit so much desired by western shippers
| had IT not been for the fact that the Wis
! consin Central was completing {, connec-
| ton between its main line and the prin-
| cipal lake pert of shipment, Manitowoc.
| to which point grain was brought IN YES
| sells from the upper lake region. Still the
western cities are thankful that they have
received relief. even at this late day.
| AS indicating the high state of perfec-
ton to which each road that is acquired
| by Mr.. Morgan is brought under his Gfrec-
! ton. 1t is worth while 10 note tie present
| condition of the Chicago, Milwaukee and
| St. Paul, of which Mr.. SAMUEL Spencer,
nf $bn Yl,sgr
! pEny, is the managing director At the an
| nual meeting, which was held few days
| ago, 1t was stated "tnat never before in
| the history of the road has the property
| been in better condition physically 1t
| was further stated that any one might see
| this for himself from the fact that at TO
time during the year Mas the line blocked
| in the handling of its enormous business.
| The road has on hand, ii is stated. n re-
| newal fund of over SiSO,WD. all of which
| is ready for use on the property the mo-
| ment it is needed. Ti4sTe is, in the opinion
| of the managing direct j., 10 sense in buy
| ing equipment that is not needed al I.reS-
| ent, what they do is to charge up
| against operating expenses enough money
| to meet the cost of whatever equipment is
| needed, and when they need the equipment
| they buy il or build ii.
Hotel Arrivals.
| Ralelgh.-A. J. Douglas and Miss Doug
las, Knoxville, Tenn; Col H. G. Snow; H.
O. Patch, Pittsburg. Pa; ]. S. Johnson,
! New York: H. w. Williams, Boston, Mass. ::
] II. Z. Rice and Col. +. D. Harrington,
| Philadelphia, Pa: Mr.. and Mrs. G.J .Nichol-
son. Cincinnati. Ohio: n. II. Watson, Erie
| Pa; G. D. Fitch, U.S.A.
| Willard's.-A. Harvey, Detroit, Mich.
Mr.. and Mrs. A. Paul. Miss NJ. and Miss
L. Paul. Wheeling. w. Va; G. l.. Carlisle,
| w. G. Walsh and c. w. Brooke, New York
| Oxford.-J. A. Montgomery, Birmingham
Ala: n. K. Roberts and wife, Philadelphia
| Pa.
Hamilton.-W. E. Fay and wife, New
| York.
Riggs.-G. W. Gait. S. Reynolds and G.
p. POLAND, New York; f. A. Temple, Port
| land. Me.
| Page's.-G. w. Fenno, Philadelphia, Pa. :;
! G. B. Nelson, Amhurst. Wis.
| Shoreham.-J. X. Bahewell, Pittsburg
| Pa; ]. s. Cory and E. Schwab, New York
E. G. Leitch, Chicago, ILL.,: S. Borton
Brooklyn, n. Y; Z. J. Brocket and wife,
| East Orange, n. j.
Arlington.-H. Haynes. New York; c. NJ
Woodbury., Middlesboro', KY; P. c. Hoff-
man, Ottawa, Canada: p. A. Lorg and Miss
! A. Lorg, Middleton, Ohio.
| Normandie.-G. Niederlein. Philadelphia
! Pa: H. T. White. Boston. Mass.
Cochran.-H. c. Burrows, New York; j.
J. McAlister, London, England; P. A.
1 LsI 1~l-~