The Anaconda standard. [volume] (Anaconda, Mont.) 1889-1970, 1898-01-15
Nothing New Concerning the Og-
de-. Gateway Question.
IT'S A MATTER OF REVENUE
General Agent Bacon Says That the
Gateway VIII Remain Open for the
Present - Short Line Under
Separate Management.

nothing new concerning the Ogden gate |
way question The officials at Salt Lake |
have received no information concerning !
the report sent out from New York. and |
Mr.. Bacon. voicing the sentiment of his
superiors SAYS the belief Is that the gate !
way will remain open and that the Snort /
Line will continue TO be operated under a |
sepsrate management. This statement, OF
course. is modified.
ITS a question of revenue, said MI |
Bacon. IF the Short Line can make more
by being operated Independently and sep
arately it will doubtless continue that
way. If not, the two roads will probably
be consolidated In any event there VIII
be no change for some time yet
President Burt of the Union Pacific is
quoted as saving that the story from
New York was, at least, premature,
which is practically an admission of its
correctness.
Concerning the report from New York
that the Union Pacific had again secured
control of the Short Line the Salt Lake
Tribune comments and reasons as lol-
lows:
THAT il is perfectly true no railroader
doubts. and to many IL occasioned no sur
prise. as IL has been matter OF pubic
record for years past that the financial
interests OF all the roads once embraced
in the Union Pacific system are tdentcal.
The more conservative and best posted
officials do not see in the dispatch any
thing more than heavy financial deal
engineered by j. Pierpont Morgan. and
they do not admit that securing the con
troll OF the Oregon Short l. ne by the re-
organization committee means that any
radical change Will be made in the local
management. Quite TO the contrary the
general opinion Is to the effect that X IS
but part of the original plan of reorgani-
cation. and that the Wand rbilt idea
of having each road managed separately
will prevail.
Looking at the matter in the light OF
serious consideration there is nothing UNI
expected In the news, nor as there ca
son to look for any radical or quick
change. When the several branch systems
were separated from the Union Pacific
the ownership did not change, the same
people and syndicates holding the n ajor-
ity of securities in the lately allied roaas.
The segregation was but the taking OF the
various roads out Of the hands OF thcir
receivers and establishing them en-
sound basis and operating them as inde-
pendent lines, for IL was proved unwisc
and too expensive TO operate them as
one gigantic system.
by looking up the financial history Of
the Union Pacific in Poor's Manual, II
will be seen that the road On Lee ~,
1886, owned very nearly twenty millions
OF securities in the various Utah ana
Idaho lines at present included in the or
egon Short Line il can further be Sc II
that the Oregon Short Line owns over
thirteen millions in Oregon Railway *
Navigation securities.
Then the same financial reports show
that various sums OF magnitude in al
the properties were held by j. Pierpont
Morgan as trustee. The ownership OF NJ ne
OF these millions was changed when the
road was segregated, except by the daily
transfers of stock in New York, and the
accumulation of a greater number OF Sc
curities by Mr.. Morgan. one and all
agreed 10 the oregon Short Line plan Of
reorganization, as they saw In such a
move a direct benefit TO them in the I'M
provsment that would follow.
In addition TO Their holdings in the Or
egon Railway q Navigation company. The
Oregon Short Line people of Boston re-
Gently came into the control of the Ore
gon Improvement company.
lit only goes 10 show that the great
Morgan syndicate Ii steadily reaching
out in the control of a great transconti-
mental line of railway. And, il is said by
railroad men. when the Central Pacific is
put UP for sale the same financial head
will control It.
1T is the height of speculation to ar
que that IN securing the financial control
Mr.. Morgan and his associates will make
move backward 10 the same post on
they have worked for so many years &c
improve upon.
"It is further argued taat as long as
the Oregon Short Lines earnings show
such an increase as they have over for.
mer years, there is little Likelihood inal
any change will be made.
Granting that the dispatch means thu
absolute control of the Short l. ne by tht
Union Pacific the result would not b,
worse than a return 10 old conditions ar
existed prior to March Is last. True tn,
various gateways would close with az
alarming click. and the Rio Grande West
would greatly suffer The Short Line
auditing force would possibly be move,
10 Omaha or Chicago. but the operating
A. 1919 4
to be maintained at Salt Lake. AS befor
stated. well posted railway men do no
look for any great changes Vel. awhile
at least.
when shown the dispatch yesterday
Vice President and General Manager Ban
croft of the Oregon Short Line said h
had nothing at all TO say on the subject
Prominent Union Pacific officials wer
also shown the dispatch. but they like
wise knew nothing OF IL.
I'm connection with the associate
press dispatch from New York. and /
support of the argument that the tinan
cial deal does not mean that the road
will be operated under one management
it is interesting TO recall the interyle'
with President Samuel Carr printed
the Tribune Oct. H. In that interview NJ
Carr spoke frankly on all subjects relat
ing to the system over which he preside
and did not hesitate In admitting III
the financial interests Of the various linz
were in many ways identical but he d,
MED that the financial moves Of the Il
ture would mean the breaking up OF II
present form of independent manag emcn
his statements being quite TO the col
trary.
In concluding his statement on II
settlement of the Union Pacific tran
difficulty he was quoted as follows:
- The Short Line occupies an adva
tageous position in relation 10 all its c
nections but IL would certainly not
q good business policy 70 continue -
action whereby any OF its own lines wcu
be impaired. Then again. some Of the
rectors in the Short Line are interest
in the Union Pacific financially, and
would certainly not be their wish 10 ma
any move whereby their own proper
would be depreciated in value
THE question was asked the presidei
III Is often said that tta iron j g.
will some time again operate all :
trnnch lines Including the OREGON SIC