The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1902-11-06
RAILROAD news,
Chief Officials of Santa Fe on
Important Mission.
Inspecting the Location for Pro-
posed Cut OFF.
STOCK HAS SLUMPED.
Bears Hammering Down Santa
Fe Securities.
Further Details Concerning the
Proposed New Lines.
STOCK HAS SLUMPED.

A special train of three private cars
occupied by the five chief officials of the
Santa Fe operating department is max
ing a tour of the Santa F'e lines in
southern Kansas and the Pecos Valley
line. The trip is significant one, as
many points of great Importance are to
be discussed concerning the proposed
construction of the New Mexico cut off,
giving a short line to the Pacific coast.
In this distinguished party are Presi-
dent E. p. Ripley, Third Vice President
J. w. Kendrick, General Manager h.
L. Nudge, General superintendent J. E
Hurley and General Manager Nixon, of
the Gulf, Colorado & Santa F'e.
In view of the proposed important ex-
tensions OF the Santa F'e, it is rather a
remarkable fact that during the past
week Santa F'e common and preferred
stock has slumped off several points on
the stock market 1t is claimed that
bear influences are at work trying to
hammer down the price of the stock,
and are having some success.
Opinions the most widely differing ap-
pear to be held with respect to Atchl-
son, says the St. Louis Republic. Cur
rent gossip has it that a prominent
Spectator has satisfied himself that
Atchison stock is much too high and
that he has sold a considerable block
short with the idea of covering it at
much lower prices. On the other hand,
it is known that certain large holders
CT STOCK are extremely COMMENT as Te-
CARDS the future of the property, and
talk very much higher prices for the
common stock as likely within a few
months. 1t is curious that there should
be such a difference of opinion, but it
may perhaps be accounted for by the
recent financing of the property. There
was great criticism a year ago of the
issue Of debentureS at a time when con-
siderable dividends were being paid
Many people seem to have jumped to
hot A fll7
ing the property in the first instance to
pay dividends and that it was making
good the deficiency in operating charges
by borrowing money.
This appears to be the basis for what
bearishness there is on the stock. Ex-
animation of the company's operating
expenses, however, clearly demonstrates
the fact that maintenance charges have
been ample, and that there has been no
starving of the property up TO the pres
ent time 1t will be interesting to sec
whether the somewhat old-fashiOned
view of dividends and bond issues will
be justified as against the more modern
view of earning capacity apart from
capital changes. Judged by the latter
test AtchisOn common stock compares
not unfavorab bly, with most of the other
active stocks
The Albuquerque Citizen gives some
important details concerning the con-
struction of the proposed line. The
Santa Fe will build the road under the
name of the Eastern Railway of New
Mexico. Incorporation pa pers were filed
at Las Vegas by Judge H. L. Waldo, at
torney for the company The total mile
age provided for in New Mexico is 385
miles. The Citizen says concerning the
new line:
of New Mexico win revolutionize rail-
road traffic in this territory. 1t will be
noticed that tie line on the east side
of the Rio Grande via Abo, Fort Sum
ner and Texico. is nearly as due east
and west as it can be, considering the
typographical conditions. That the
transcontinental business of the Santa
Fe railway will go through New Mexico
mainly via this new road is certain: it
is also sure that the Mexico business of
the road viii be sent through southern
Kansas via the new line and LaJoya,
thence over the present Rio Grande di-
vision south. The line planned from
near Fort Sumner east to a connection
with the Pecos river division of the
Santa Fe railway system, viii certainly
be used for the transaction of trans
continental business from Galveston to
the Pacific coast. Belen, in Valencia
county, in the nei~hborhood of which
the new railroad will cross the Rio
Grande and the Rio Grande division of
the Santa Fe, is destined to become a
most important railroad center 1t is
understood that the construction of the
main line of the Eastern Railway OF
New MEXICO Will commence immediate
ly and that its permanent location has
been determined upon. The La Joya
and Fort Sumner branches will not be
constructed until the main line of the
Eastern railway shall have been fin
ished.
This new road will prove an import
ant factor in developing the portion of
New Mexico east of the Rio Crande in
Valencia and Guadalupe counties, a sec
ton understood to be capable OF great
devel0pruent and of latenr resources -