Evening star., 1896-07-16
RAILROAD CIRCLES
War of Rates Between Southern and
Seaboard Air Line.
CONDITION OF The B. AND 0.
New Methods on a Long Electric
Railroad.
B Z Y l NG A r ALL ROA D

The war Of rates which was foreshadow-
ed in The Star several weeks ago between
the Southern Railway Company and the
Seaboard Air Line broke out yesterday, be-
coming publicly known through a circular
issued by Vice President and General Man
ager st. John Of the Seaboard, in which he
announced a cut of one-third in freight
rates to all southern points reached by the
two lines.
The impression prevails in business cir
cles that the Southern will retaiiate; In
fact. it is said BY the Seaboard people that
the Southern has been cutting rates to Bal
timore from Norfolk for some time past.
1t is believed that the struggle will be a
long and eventful one. and President Hoff-
man of the Seaboard, who is also the head
of Its northern ally, the Bay Line OF steam
ers, said some weeks ago, when the South
ern opened line of vessels between Balt:-
more and Norfolk that the object of its
rival was to crush the Bay Line out of ex-
istence.
This, however, was denied by Vice Presi-
dent Andrews of the Southern, who assert
ed that the only motive that the Southern
had for entering the field was because 1t
had for long time operated line be-
tween Baltimore and West Point, Va, but
that the latter had ceased to be a profita-
BILE point, and the Southern having al great
expense secured the entrance into Norfolk,
there was no other course from business
standpoint to pursue, and that IL the South
ern captured any Of the Seaboard and Bay
Lines transportation business that would
be the misfortune of the two latter COM
panias. and not the fault Of the Southern.
Vice President ST. John has published a
card in some of the southern papers, in
which 1t is intimated that he, like Presi-
~ n1 an hali hot fhn how
wants to kill the aboard as q competitor.
Buying n Road.
Mention was made some time ago in
The Star that the Southern Railway Com
pany and the Cincinnati, Hamilton ard
Dayton Railroad Company had submitted a
proposition to the city of Cincinnati for the
purchase Of the Cincinnati Southern rail-
way; the price to be s20OO0,OOO.
In pursuance of this tender a company
headed by Vice Presidents Andrews of the
Southern and Taylor of the C. H. and D..
was ore. n!Zed and a deal for the property
was negotiated between them and the
proper officers of Cincinnati subject, how
ever, to the ratification of the voters Of
that city at special election, to be held
on August 3.
Strong efforts to prevent a consummation
OF the deal are, however, being made by
some OF the business men of Cincinnati,
who have organized an association that has
for its object the defeat of the proposition
at the polls at the coming election. 1t Is
claimed that even at $2a,ooo,OOO the sale to
the Southern and c., HI. and u. would give
them property valued by some experts at
S::o.No,OU.
The city of Cincinnati has a net liability
on account of the road amounting to almost
s120o1,oo0, and it is said that many tf the
taxpayers want relief from the burden
which the payment of the interest on this
requires, but there are, it Is said, many
other citizens and heavy shippers who
would prefer that the road should be OPP
Grated by domestic corporation, and they
believe that If that cannot be brought
about the Louisville and Nashville the
Plant system would be willing to give as
much, and perhaps more, than has been
offered by the Southern and c., H. and d.
companies.
The impression prevails however, among
well-informed men that the deal made with
the last two companies will be ratified at
the coming election, as they are said TO be
able to abundantly demonstrate their abil-
ity to comply with all the conditions asked
by the city officers.
Ii. and o. Affairs.
Receiver Murray and General Manager
Greene Of the Baltimore and Ohio have re-
turned east from trip to Cincinnati. in the
interests of the road. Mr.. Murray is quoted
as saying, while in the west, in reference to
the prospects of the B. and O.: Business
seems to keep up with u.s. but it Is not as
good as we would like to have 1t. Still, our
earnings are almost as much as they were
for the same period last summer. 1 do not
look for change for the better. however,
until after Mckinley'S election in Novem-
ber. l have no doubt that he will be elected.
Affairs of the road are progressing sat
isfactorily, and it will not be long before we
will be in shape to handle all the business
offered"
General Manager Greene said there was
plenty of work to do in his (the operating)
department. I'VE have" he continued
''25,000 tons Of rails that will be laid as
soon as the roadbed ard ties are fixed up,
and the equipment ordered some time ago
is being delivered.
"A hundred coal cars and large number
of box cars have been received. The new
locomotives will begin to o'arrive very short
ly. We are not having any particularly bad
luck, and our trains are running on time
Receiver Murray of the B. and o. has ap-
pointed Mr.. Perry w. Hanson. paymaster
of the trans-Ohio division Of the road to
succeed the late Edmund Jenkins, who died
q short time ago. Mr.. Hanson has been
performing the duties of the office for sew
eral months. and has proved to his superior
officers that he is reliable and trustworthy
man. He was for long time Mr.. Jenkins
assistant, and the receivers believed it is
said, that 1T would be but right to give him
the promotion.
The receivers of the B. and O. have
through the commercial freight agent at
Atlanta, Mr.. w. N. Mitchell, offered s.
apiece for the two largest watermelons
grown In Georgia this year. The weighing
is to be done by the nearest railroad agent,
who will report to his general freight agent,
and the latter will report the weights to
Mr.. Mitchell.
The New York reorganization committee
of the Baltimore and Ohio Railroad Com
pany held a meeting in that city this week
to receive the report Of Mr.. Stephen Little.
the expert accountant, who made an exam
ination Of the accounts Of the com1any.
The report was not entirely complete, but it
was said 1t would be ready to be printed
and distributed in few days. The showing