Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1907-06-13

Massachusetts; such laws as now obtain
in England. The purpose of those of US
who so resolutely believe in the new pol
icy, in its thorough carrying out and in its
progressive development, Is in no sense
punitive or vindictiye.
We would be the first to protest against
any form of confScation of property, and
whether we protested or not, l may add
that the Supreme Court would be trusted
in any event to see that there should be
nothing done under the guise of regulating
roads to destroy property without just com
pension or without due process of law.
The man who builds great railway IA
cilities is a vital necessity to the coun-
try. We favor full and ample return to
such men; but we do not favor policy of
exploiting the many for the benefit of the
few.
We favor the railway man who operates
his railway upon straightforward and
open business basis, from the standpoint of
permanent investment and who has an in
terest in it's future against only
the man who cares nothing for the property
after his speculative deal in securities has
been closed. We favor the railway manager
who keeps In close touch with the people
along his line rather than in close touch
with the speculative market; who oper-
ates his line with a view to the advantage
he can legitimately get out of his rail-
way as a permanent investment by Civ
ing a fair return to the stockholders and
to the public good service with reasonable
rates; who does not operate his road with
a view to the temporary speculative ad-
vantage which will follow capitalizing an
uncertain future and unloading the securf-
ties on the public.
We wish to make 1t to the interest of
the investor to put his money into the
honest development Of the railroads, and
therefore we wish to discriminate against
the man who, while enriching himself,
lays upon the future owners and patrons
of the road, and, above all, upon the hon.
est men whose duty it may become to OPP
arqf "a fba O bTrdau of additional debt
without adding correspondingly to its actual
worth. Much is said about the inability
of railway presidents to agree among them
selves as to what policy should be advo
Gated and what plans followed in the effort
to work out the problems which now pre-
sent themselves.
In so far as the law is concerned, all
| ask of them Is a willingness to comply
fully with the spirit, and a readiness to
move along the lines indicated by those
who are charged with administering IT.
Our policy is built upon experience, and
our primary purpose is to insure the fu-
cies of the past.
There has been much wild talk to
the extent of the overcapitalization of our
railroads. The census reports on the COM
merciaI value of the railroads Of the coun-
try, together with the reports made TO the
Interstate Commerce Commission by the
railroads on their cost of construction. tend
to show us that as a whole the railroad
property of the country is worth as much
as the securities representing 1t, and that
In the consensus of opinion Of investors the
total value of stocks and bonds is greater
than their total face value, Notwithstanding
the water" that has been injected in par
ticular places.
Real Value Great.
The huge value of terminals, the I'm
mense expenditures in recent years IN dou-
bic tracking, improving grades, roadbeds
and structures have brought the total In
vestments to a point where the opinion
that the real value is greater than the face
value Is probably true. No general state
ment such as this can be accepted as hay
ing more than a general value; there are
many exceptions: but the evidence seems
ample that the great mass OF our railroad
securities rest upon safe and solid founda-
tons; IL they fail in any degree to COM
mand complete public confidence, 1t Is be-
cause isolated instances of unconscionabie
stock-watering and kindred ofenses arouse
suspicion, which naturally extends to all
other corporate securities so long as SIM
liar practices are possible and the tendency
to resort to them is unrestrained by law
There Is an essential difference between
private and ouasi-publtc property Wnicn
justifes setting somewhere a limit beyond
which the accumulating value in quasi-puo-
lie properties, due to the necessity q
growing community, shall not be capitalized:
One Of the most important features OF