The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1901-08-23
PLAN OUTLINED.
MankatO Can Secure Street
Railway Line.
Enthusiastic Meeting of Business Men
Tuesday Night, Several Pledging
600 Each for Stock.


at board of trade rooms Tuesday night
should prove contagious among those
who were not present, the time is close
at hand when Mankato will have an
electric street railway, soon to be ex-
tended to Lakes Madison and Washing
ton and to ST. Peter, perhaps. The
meeting last night was not largely at
tended, but it made up in enthusiasm
what it lacked in numbers.
Those present were G. N. Andrews
and W. D. Willard of the board of
trade committee and W. L. Hixon, W.
n. Plymat, DR.. l. D. Webster, Geo.
W. Sugden, E. 1. P. Staede, W. A.
Funk. F. NJ. Currier, Aid. F. G.
Heinze, Mayor Petersen and W. E.
Young.
Mr.. Andrews called the meeting to
order, and was elected chairman, and
Mr.. Sugden secretary.
Mr.. Willard, in response to re-
quest by the chairman, stated the OBJ
ject of the meeting. He said that it
was intended to secure financial help
from the business men. The commit
tee had looked into the matter thor
oughly and was convinced that street
car line would pay, the same as it
does at Waterloo and Mason City,
Iowa. Some of the business men
have indicated their willingness to
take stock in the company.
In reply to a question, Mr.. Willard
said that he thought that line run
ming to points outside of the city
would be paying investment. Peo-
pie who nave recently been in the east
are very enthusiastic over suburban
lines. If the line was to run to the
lakes it would pay immensely in sum-
mer, as the evening excursions would
be popular. The line at Waterloo runs
into the country, and such lines are
very common in the east.
Mr.. Staede said that there are a
great many country lines in Indiana.
Mr.. Willard said that the business to
the park would be immense, while the
business that would come from resi-
dences built along the line would be
surprising. The residence portion of
the city is congested and prices are too
high, and it is reported that people
have left the city because of the high
rents.
Mr.. Staede asked why it was that
the old company had failed to do any
thing.
Mayor Petersen said that the old
company sold out in January to the
present owners of the franchise, and
since then he knew nothing about it,
Some Inside History,
w. L. Hixon took the floor and said
that no man would buy bonds unless
there was some equity in them. The
trouble with the old company was that
it had nothing invested and nothing
to show besides a franchise, surveys,
ETC., to carry out 5000, 900 enterprise
Mr.. Hixon said that he was one of
the committee that went to New York
to try to get bonds hoated. The COM
mittee was asked what it had, and it
replied that it had the inseed oil plant
for power house, the surveys and a
franchise. 1t was easy for the brokers
to find out how little money was in
vested at home in the enterprise. The
committee practically asked them to
put up $500, 600 against nothing, they
to take all the chances If the line
did not pay, they would be heavy
losers. If the committee had had $50,
900 invested or in cash it could have
hoated the bonds quickly.
Not withstanding that the commit
tee had so little to show, one Wall
street man, Mr.. Davis, became inter-
ested. He said that it would be neces-
sary to make an equitable traffic ar
rangement with some railroad. Presi-
dent Stickney and Vice President OPP
penheim of the Chicago Great Western
road were in the city and were seen by
the committee. They went to Mr..
Davis Office, and he asked whether
they would pro rate with the electric
line on freight business. Mr.. Stickney
told Mr.. Davis that he would give his
personal assurance that his road would
pro rate at three to one. Mr.. Davis
then said that he would send his en-
gineer to Mankato, and if he reported
favorably he saw no reason why he
would not advance money to build the
road. AS there was no equity, he
would have to issue the bonds at
eighty cents on the dollar. Mr.. OPP
penheim wrote out pass for the en-
gineer, but few weeks later Wall
street got excited and rates on none y
advanced, and Mr. Davis wrote that
owing to the state of the money mar
ket it would be out of the question to
float the bonds. The matter still rests
there, as nothing more has been heard
from Mr.. Davis.
Mr.. Hixon said that he was Of the
opinion that something must be raised
in Mankato He outlined plan
which he thought would be success
full. He would organize company
with $3.50, 600 capital stock and float
bonds for the cost of the road. He
would take subscriptions in the city
for $50, 600 of the stock, not over $40,
600 of which would be in cash, the
balance to be taken by the people
= L. Ill - 20