The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1897-05-27
AMONG RAILROAD MEN.
A Reduction of Freight Rates
Now Would be Unjust,
Says President Ripley of the
Santa Fe Road.
Road is Not Making Money at Pres
emit Rates-Is Expanding Much
Money in Improvements
Asks to be Let Alone.

There is no reason or justice for the
demand being made for a reduction of
freight rates in Kansas said Presi-
dent Ripley of the Santa F'e with un-
mistakable emphasis last night after
dinner at the Topeka club.
There is no person bold enough to
assert that the Santa Fe, or any other
railroad operating in Kansas for that
matter, is making any money now, and
neither is there anyone bold enough to
claim that we are not losing money, yet
we are confronted by demand for a
reduction of freight rates on all com
modities," continued the president
Under those circumstances. then. I
say that there is no reason or justice
in this demand
Upon every hand believe that there
are unmistakable evidences OF a return
of confidence to business, which, of
course, means a branching out, an in
crease of such a character that all of
us will be benefited"
Mr.. Ripley, it is urged that the rail-
roads in Kansas should make liberal
reductions in coal grain and stock
rates" suggested the reporter.
so I noticed by the Journal tonight
remarked the president.
What is your opinion on that point?"
well, 1 hold the same opinion with
reference to three commodities that 1
have already expressed with reference
to general business.
4 am surprised at the demand for a
lower rate on cattle. People who are
now shipping cattle never enjoyed such
high prices and low rates as they are
now getting. 1 do not understand why
cattlemen should make such a demand.
They all know that the rates on live
stock are very low. To make them
lower would work absolute injustice to
this company. 1t would be wrong. and
all cattlemen who are well informed
upon that subject, as indeed most all of
them are, will cOrrobOrate what L have
told you"
AS to grain rates, Mr.. Ripley. Do
you believe a reduction would be ad-
vantageOuS?"
Not at all It has been demonstrate
ed to the satisfaction of the most radI-
cal exponent of lower rates that de-
creases in rates work injuries to the
producers. A reduction OF the rate on
grain will injure the producer. The con
sumner pays the freight. Reduced freight
rates would simply accrue to the ad-
vantage of the consumer and not to the
producer. There is no question about
this being true. It has been demon
strated beyond any doubt
THE foreigner does not pay the tariff.
The cOnsumerpaysit it. The consumer pays
the tariff just the same as the consumer
pays the freight. The producer is not
benefited in either instance.
The Santa Fe," continued Mr.. Rip
ley in response to further questioning,
lis not inclined to make any cOnces-
siOns in this matter. We are doing
business at reasonable rates which now
cause us an annual loss in this state and
1 am of the opinion that it would not
be wise nor characteristic of a sound
business policy to make further reduc-
TONS
1T is suggested that rates in Iowa
and Illinois are much lower than in
Kansas"
THAT is very true said Mr. Ripley.
But give US the same population in
Kansas that there is in Illinois and
Iowa per square mile, and then we will
be willing to talk of reductions in
rates.
Fortunately, however" he cOntin-
ued. for the railroads in Iowa there is
not much local business done There is
no great market in the state and most
of the products are shipped out of the
state, giving the railroads an adVan-
tage which we would not have in Kan
sas. Were the business conditions suf-
ficient to justify it, We might cOncede
reductions, but under the present cir
cumstances, I am inclined to believe
that we cannot afford to make any con-
cessiOns of that character
Asked as to the general condition of
business, Mr.. Ripley said:
Business is not very good at this
time In fact no great amount of pros
perity has attended Kansas railroad
business since 1892. Now, however,
think there are good prospects for i'm
prOvement. 1t will be unexpected if
Kansas does not have an immense
wheat crop. The crop other places will
be short and this is evidence that the
price of wheat will continue to keep up
in good shape, which means that large
amounts of money will be brought in
to the state and put in circulation. That
means benefits for all of us
by the close of the year." said Mr..
Ripley, taking up his favorite theme,
Improvement of the property of the
Santa Fe, 1--WE will have expended three
MILLIONS of dollars in improving the
cOmpany's property. The expenditure
Of this money has caused wonderful
changes to take place. We have al
ready expended two millions of dollars
and will eXpend the remainder of the
sum in continuing the work already
we'll begun.
Upon the money which is being thus
expended the investors want interest
amounting to at least ; per cent. That
is not unreasonable. They are entitled
to it. They should have it. Now you
can readily see what will be the result
if we cut down our rates Operating
now at loss in Kansas will not con-
tfnue these Improvements. We cannot
afford to continue losing money. We
must keep UP business to keep up the
cOmpany'S investments"
Asked if there are extensions of lines
to be made this year, Mr.. Ripley said:
mo improvements of that character
are contemplated. We are not going to
buy any gold fields, either" he sug-
gested with a smile. we are trying
to build up the Santa Fe. and that is
why so much attention is being given
to apparent opportunities to gain new
business. and that is the reason of a
WISH OIL Inspection INTO the new country
in New Mexico by the party of officials
whose trip occasioned your inquiry con-
corning extensions and gold mine in
vestments.
we are working; doing all we can
to develop the company. waiting with
hopeful vigilance and anticipation of
the future prosperity which we so
much need" remarked MI Ripley in
conclusion. and all We ask is to be
let alone"
NEW ROUND TRIP TICKET.