New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-10-02
The Financial World

business OF the railways. as elsewhere. antic,-
patOry activity always figures. What Wan
Street phrase-makeTs are pleased to call EN-.
turn shows finally with claarness to every AZ,
free from stockjobbery iaundice There ia ton
ing pertinence in this dispatch received from n.
West yesterday;
IIlnos Central earnngs for The nrss tvenyons s.v.
T,n bS Increase Of s7oeoso fr q ne mog,s dst
people in Wall Street still there is business
And. incidentally. 1t may be remarked tb,s
what I'm United States territory is true OF bust
ness activity and prosperity expansion O.
largely true touching this whole Continent :.
is exemplhed in the extraordinary records t5,,
Canadian Pacific is making al the North ana -
developments such as are reflected in an incrsss.
or $10OoO a day in the earnings of The Mexlcs,
Central Railroad
All America enters good times era.
Much attention during the week has b.,-
commanded by Northern Securities shares TB,r,
have been active and they have been h,,oJ..1s
closing at top notch. Incidental to this 49,
ment we have crOwding tales OF settIsuo,s
| completed or pending between Mr.. Hill and NJ
Harriman-but no Qualifications. Insiders a.
deed. insist that existing differences can he SIT
Tied only through final court adjudication otbs-
composition they aver. is impOssibIe-but SONS.
times official utterances are subject 10 Revision
What rises beyond caviI is that the Nor.1o~
Securities Company is exceedingly proznero,s
that the dividend rate # established is bst,e
far surpassed-that net results are proftab1. a.
a tremendous scale for every party participant
that that official assurance was far vvitbiD
bounds which last March said:
The earnings OF your properties have sine.
their purchase. largely increased and their sc
I aEf1 mate i-{IIv ar1F4a
cannot De impaired
There is one sure sequel to the litigation forced
upon the corporatjon-the sequel Of painstakInx
prudence upon the part Of capital in proceeding
further ard the outstanding OF resources and
the protection of investment rights. They who
/ dominate In the American financial world have
not halted faltered IN determined efforts 20
work out the troublesome problem Of wastefuI
/ railway competition; they are devoted now. and
/ continually have been. in efforts To establish
satisfactorily the operation of the community
/ OF interest principle. And moreover. of those
/ who are Of chief consequence in directing great
/ corporation policies. no one hesitates I'm the be
I lief that success is sure and close What may
be soon disclosed is that right at hand il a
satisfactory solution through The adoption oe
these principles of simplicity and sJraightfoT
wardness which. under the ultra-conservativc
laws Of the state OF Massachusetts, have been
taken for foundation by che Mackay com
/ panies
+ There are charter provisions-charter priv
/ neges. charter rights charter powers-cOni-
handing special consideration just now.
/ Union Pacific. naturally enough. maintains It's
\ prominence as market leader. What in Union
Pacific is difficult to understand is that it should
be selling so low. Calculations are ili6eTal
/ which show merely 10 per cent dividends. m
cidentaIly. it is an item not TO Be ignored thar
/ at yesterdays market value Union Pacinc's
/ $50 100000 Northern Securities stock shows an
I available net cash profit OF more than ten mile
ions OF dollars.
/ some account is heard land. OF course. tss
bears make much OF the suggeston) that GsOrgs
J. Gould Is out OF sympathy with the markets
development and such critics cite as ss1n-
cantly adverse the announcement that M
I Gould and his associates are establishing a new
I transcontinentaI system. This is going fa- for
hear ammunition. Mr. GOulds transcontinentak
project is not new; It's purpose is not demorai-
zation. An enterprise on broad lines. involving
I some hundreds OF millions 81 dollars. tt has
thoroughly conservative basis George Could.
Edwin HawIey and John D. Rockefeller are al
largely committed 20 the Western Pacific What
they anticipate-aad what they are sure 70 &C
complish-is the development Of new trafrc
/ producing territory. Their aim legitimate, 4n
i accomplishments viii he nationally helpful
+ Anthracite shares have shown discriminate
/ buying-nol TO be wondered az. Jersey Centra-'
I for example publishes It's statement for the first
/ two months of this fiscal year. disclosing 'nSt
/ il calmly charges of To Improvement account d
sum equal 10 S30OO1 week for which no equiv
alent charge was made in l|L' on i'"--ai''
sftar ,,,b action a st!rpIus is still left for che tW'
months approxiusatius S.Jo0oe ,vhile only Tho
,-sar before LAST with no such betterUent con
tributiops there was "a detciu and this Two
months surplus thus arbitrarily reduced Is stH
equivalent 10 dividends of Us per cent upon 'hs
/ stock No pahuIurn there for bear nouri7A'Teni-
Another inspiritiuE current statement comes
from Atchisou-its operations disclosing tha' ="
the mast fiscal year no less e sum than SiUVs'
ON was charged OF to equipment ana 'os~
rneDt accounts. OOGOt0 greater than IN s'.
/ hut despite this tremendous arbitrary slN
unou earnings a surplus Of over Sl3W"V."~
accumulated. actually amounting 20 over -
cent on IT'S $1O2OO000O outstanding SUN
Shareholders can take comfort IN the SSs"
thar this vast increase of surplus must S'ol'' y
later be distributed. such prosperity continues
being capable Of no other normal sei"e'
Rut for striking illustration OF wha' u''.
conservatism In railway management Ga"
nIfv take those exhibits which are oeine lD"
with no ado whatsoever by the Atlantic NOe
Line In the operation OF the great system WheN
| its acquisition OF Louisville ana N'Sl'
r,,,,1s ONT In an ANALYSIS certified by J. =
,1o~~a, : 20 il is shown that LOusville anu
I NyasbvtIIa.s operations last year neJted ~ w.
cent upon its capital stock and that the Lou
.ille and Nashville surplus combined Win -