The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-10-17
H. U. Nudge Talks in a Pessi-
mistic Vein.
Confidence Shaken by Inimical
Legislation.
ENDORSES MIR. RIPLEY.
Vice President of r.. I. Sees
Things Like Santa Fe Chief.
Other Items of Interest to
Railway People.

Retrenchment in business is advis-
| able, and 1t Is already being done. I DO
not want to seem pessimistic, but con-
hdence is shaken in the financial world,
| money Is either hard to get, or to OBJ
tain, 1t means the payment of an al
| most prohibitive rate of interest. I
agree with what President Ripley of the
Santa F'e recently said in the newspa-
pers about conditions"
H. U. Nudge. vice president of the
Rock Island railroad, while here yes
teroay on his. return from southern
and southwestern trip of inspection
gave this reply to a question regarding
present disturbed financial affairs.
Turning to the railroad side of the
matter specifically, he said: THE rail-
roads fear what may come in the fu-
ture. We can weather what has been
done in the past, but things are threat
ening that may work untold hardship.
1t is the state legislation that is doing
the harm, not tho federal legislation.
Laws are passed concerning our affairs
well. not for any assigned reason
tut-well, just simply because the legis-
latures want to.
Members of legislatures have
told me themselves that they are not in
sympathy with measures for which
they have voted. But they declare that
an agitation for them has been started,
ana they are practically compelled to
support them. believe that the senti-
ment will swing back again, and that
people will come to see things in the
true light. The people own the roads in
reality. They pay money into life in
surance companies, into banks and saw
ing concerns, that must loan out the
money again, in order to carry or their
business.
"I sometimes wish that the people
would be able to invest their money d.
rect1y into the railroads. They would
get bigger return for their investment
But it would be difficult to make them
see and believe that statement"
Mr.. Nudge pointed out that the rail-
roads are not buying any cars this wear.
Last year." he said, "a great many
thousands of carloads of lumber was
used in making cars. This year the
cars. That hits the saw mills, of course.
And then others are affected, and it all
goes around in an endless chain.''
What will be the effect of the 2-cent
passenger rate?"
"It will lose us money" said Mr..
Nudge. I'm some states, where the
population is more sparse than in others
the effect, of course, won't be SO mark
ed I can't tell about the result con-
corning tho rate being confiseatory The
difficulty on that point is just how to
separate the passenger and freight op-
Grating and maintenance expenses.
What are you going to charge the sal
airy of a station operator, and the cost
OI the SldIIOI TO, freight
or passenger expenses? A railroad man
can follow out this one item with others
like it, until it will make one wonder
just where the dividing line is to be
drawn"
Mr.. Nudge was told that the Kansas
board Of railroad commissioners was
preparing a new schedule Of freight
rates which had some reductions of
SO 1-3 per cent.
cit wouldn't take much of that to
throw us into bankruptcy" was his
comment