The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1902-03-17
CUT FREIGHT RATES.
Mr.. StilWelI AbhOrs Methods of
Wall Street.
Will Not List the Stock of the
Orient Road.

the promoter of the Orient road. While
A. E. StilwelPs road, the Kansas City,
Pittsburg & Gulf. was forced into the
hands of receivers, yet the farmers OF
the west made enough out of the low
freight rates while that railroad war
was going on to pay the entire cost of
building the road"
The Herald considers that the failures
OF Mr. Stilwell, of Joseph Letter, of
Theodore H. Price and of other great
financiers. have been of real benefit to
The country. Speaking of Mr.. Stilwell,
it says:
He is far better known west of the
Mississippi than east of that stream He
made life miserable for the managers
of the. great trunk lines for several
years, and some day the farmers may
come to understand what he did for
them. With few other men he started
~ut about ten years ago to build a rail-
lad from Kansas City to the Gulf. He
got about one hundred miles of line
constructed when the panic of 1893 came
on. 1t took several years to build the
next ten miles. Dozens and dozens of
times it seemed as though the project
would have to be abandoned. But Mr..
Stilwell never lost hope He hates Wall
street and its methods. He wouldn't list
his stock there. He is wonderfully con-
vincing in his arguments and has great
magnetism.
A CHANCE MEETING. AND ITS RE
SUITS.
There is a story that in the darkest
days of the road-it~waS called the
Kansas City, Pittsburg & Gulf-Mr.
Stilwen was riding in a train bound for
Chicago, when he by chance got into
conversation with a fellow passenger,
who happened to be a banker ofAmster-
dam. The Dutchman was looking
America over for the purpose of finding
some good field for investment Mr..
StilWelI talked to that Dutchman. He
raced to New York, embarked on the
first vessel bound Hollandward, and
when Mr.. Stilwell returned to this coun-
try enough Dutch capital was interested
in the Kansas City, Pittsburg & Gulf
10 put it through with a whOop.
And it was wonderful road. Never
was there a line that had so many OBJ
stacles to overcome. First, Mr.. Stilwell
wanted to make Galveston his gulf out
let but negotiations for the purchase
of the Gulf & Interstate road, which
would have given the entrance he de-
sired. failed. He cast his eye on New
Orleans, but was blocked by the South
ern Pacific and the Texas & Pacific.
The Goulds and the Huntingtons har-
asSed him at every turn AS last re-
sort he determined upon Sabine Pass,
the dividing line between Texas and
Louisiana Sabine Pass was at that
tine thriving seaport of about lis in
habitants. q
Most of the town and the land con-
tiguous was owned by Kountze Broth
ers, bankers. of New York. Mr. Still
well wouldn't pay the price Kountze
Brothers asked for right of way through
this territory and the wharf frontage
he desired, so the road was practically
a line from Kansas City to Nowhere.
Unable to reach the gulf Mr.. StilweH
hit upon a plan for making the gulf
reach him. He bought an immense tract
of land on the shore of Lake Sabine. ten
or fifteen miles north of Sabine Pass.
and he started in to dig a shin canal
through LAX IN no
water at Sabine Pass Immediately he
was bombarded with suits. The work
was stopped by the secretary of war
and once more Mr.. StilWell was high
and dry. with no terminal for his rail-
road
DUG TO HIS OWN PORT.
Ever resourceful he changed his
plans and dug his ship canal across the
prairie and Sabine Pass. At the town
he built on the lake side-called Port
Arthur in his honor-he put up one of
the finest hotels in the southwest Near
by he established probably the largest
and most important agricultural expert
ment station in America. A few miles
north he built a town called Neither
lands, and he brought over hundreds of
Dutch farmers and started them grow
ing rice, fruits and vegetables. He tap
ped the living streams and put in sys-
TENS OF irrigation, by which thousands
of acres of barren lands were made to
blossom with many crops and at Port
Arthur ne put up an export grain eIe-
vator and wharves and piers that would
do credit to an ocean seaport, instead of
q basin in the prairie
But that was merely incidental
Great manufacturing plants had been
fostered along the line of the road, and
a line OF steamships had been put on
between Port Arthur and Europe 1t
was necessary to furnish ample cargo |
for the vessels. and to keep all the roll |
ing stock employed. The Kansas Citv
Pittsburg & Gulf. having been. kicked
ana bufteted by all rival lines, now be- |
gan to hit back.
1t wasn't much at first, but soon IL |
began to hurt. and the Missouri. Kansas |
q Texas, the Gulf, Colorado & Santa Fe
and other north and south roads were
forced to compete with the Kansas City. |
PittSburg * Gulf or let their young rival |
run away with the business Then if /
hurt the east and west lines severely
and rates were cut to meet the Gulf
competition.
HOW STILWELL HELPED THE
FARMER
And here is where tn learner came
IN Every cent bushel of a cut in the
much added to the farmers pocket
When it is considered that the bulk of
the export grain of America goes from
the transn ississippi belt, and that this |
amounts to hundreds of millions of
bushels, some slight conception of what
MI SuiWelIs action meant to the pro
ducers of the west can be gained
It was not alone in grain but in |
packing house products. in ores, speIter |
and host of commodities that these |
rates were cut The fight was long and |
hard and bitter. Just at the nomenr
when II seemed Mr. Sdlwen was going |
to be able to dictate terms to his rivals
he was forced to the wall The struggle |
hau Slapped the money energy of the /
road The Dutch bondhoIders and some |
American creditors swooped down upon |
him His great scheme is now one of |
the baubles owned by George Gould. |
John W. Gates and others.
But the rates he esta blished had the |
erect of making the Gulf lines the bal
ance OF check on the east and west |