Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1901-01-23

VI Popaidtion is much greater and al
even iess rates than they charge for a
IKE klnd of transportation?
II you compare the State of Maine
ana the Maine Central Railroad in ire
operation with the Pennsylvania Rail-
road you Will find the average rate
received per mile for it's passenger
business is less than that of the Penn
syiVania Railroad. If you compare like
with like as to freight, local with
through, the Pennsylvania still charges
as much IN that great, densely populat-
eo territory as does the Maine Central
IN Inc somewhat more sparsely settled
territory which it serves
NOW, during the first % years of the
existence of this Maine Central Rail-
ROAD 1t never paid a cent DIVIDEND to
IT'S stockholders, and every dollar of it's
capital stock was paid into the treas
uly OF the company with which to fur
nlsn this railroad. In 1889 it paid q 9
per cent dividend. and in 1888 with an
improvement of business. it paid 81
per cent, and since that it has paid 6
per cent. 1t earns about S. OO0 600
srcss, but the total dividends to stock
q
year.
II might pay greater dividends than
that gross if it had been disposed to do
so, but its policy has been to take all
above that 100000 a year which it
distributes 90 its stockholders and
spend it in the Improvements Of the
lines of transportation, 50 that the
puniic shall have better service. and
IN the greater reduction of it's freight
ana passenger rates 50 that the bust
ness of the state which it serves may
be better handled and give better OPP
p9rtunties OF reaching the outside
market.
There has not been discussion since
| nave been connected with the Maine
Central board. which is about seven
years, of any higher rate of dividend
or any increase of the rates. In the
discussion Of these matters by the
board Of directors the idea is. and the
question is. how can we give better
service and how can we meet these
demands for lower rates so
that our people in the State of Maine
may be well served as they are in 9TH
er states?
How is it with your local matters?
Has there ever been a fair held in
Maine. or q meeting Of Changers. or
convention. or any other gathering of
its citizens. that their request for re-
duced rates has not been promptly and
cheerfuliy complied with? 1t carries
To every one Of your numerous fairs all
Of the exhibits and returns them home
free unless they are sold upon the
ground and become merchandise. And
| say right upon that one point. If we
might have an understanding with the
people Of the State that the Maine
Central Railroad would not again be
called upon to reduce rates for fairs
and conventions We could afford to
double our taxation ana make money
and you would pay it ana not the rail
roads
What has the railroad done and
what have the railroads done in build
ing up the industries of your State?
Let me take an illustration that you
all know about. The Great Northern
Paper 90. at Millinocket an industry
built up in a forest, where I found.
only a few years ago log cabin when
| visited there-a great lake of water
ana plenty of trees and moose meat
and deer meat hanging up on the
limbs for the benefit Of tourists. What
is there now? A great manufacturing
enterprise that proposes to use not
less than 900 of lumber year
taken from your forests. where there
will be village of 1000 or 5000 souls.
an industry worthy of your state in
many ways. In many ways, | think,
more than the whole taxable revenue
that you will derive from the railroads.
Now probably you do not know about
the early history of that enterprise.
But | could tell you. before single
acre OF woodland was bought, before
4 single contract was made for the
rights. before a single stake was driN-
IN, or the brick purchased, or barrel
Of cement. or the plan made, a gen
t!eman who has had that enterprise IN
mind came to me to find out what the
Boston & Maine and Maine Central
md Bangor < Aroostook rates would
be in the matter of transportation or
the finished goods and of the raw pro
duct: and the answer that was made
at that time satisfied these people that
they could 90 ahead with their pro
ject. 1t was figured to 50 arrange the
rates of their transportation and raw
products and Of manufactured pro-
ducts. that they might be on par
with the markets of ST. Louis, Indian
apolis. Denver and Portland. Oregon,
with like manufactures. and so with
northern New York and in other places
wi here pulp wood is handled in this
The rates we gave for transportation
from Millnocket to BostoD-the rates
we were able to arrange with connect
ing lines west of Boston put these
people in position so that they could
go ahead and build their mill, and in
vest s. .O00. 900 or $S.00O.00o of money,
with good opportunity 70 selling their
goods. Surprising the road had taken
the other view illinocket would
have been the same as it was seven
years ago That is = fair illustrat ton.
not IS a natter of charity to the
perple Of Maine, not Of philanthropy,
but as Il business manner in which
these railroads are conducting their
business to make money. knowing that
when they conduct their business to
make money for themselves they make
business and money for their constit-
rents and customers Wherever they
run.
! ct Us see about the boot and shoe
;1,ct,iec cf A,oino which has become