New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-06-14
HILLS VIEWS NOT ROSY
RTrSINESS SLOWING Up.
Gorernmeut Nay Hare to Finance
Pailroads-Thcn, O7cnership.

-oe 7 sill chairman of the board Of tina
-. Northern Railway Company, lived up 10
= vanutation 10 say something interesting
- roiIroad and business conditions generally
Tribune reporter called on him at his
s.. 30 90 Nassau street. yesterday. Mr.. Hill
erst disinclned To talk. L have nothing
- cav about anything; ] don't know anything
- more" was his comprehensive statement
-, rho reporter asked his views on crop ana
-ouroad conditions and President Roosevelts
1S,sst utferances and a few other things. Mr..
-,:,, ,,,,hert after a few minutes Then he made
statement in which he said there was a gen
s-s, slowing up Of business. He believed this
I'D continue II would not hurt any one h.
"a he said further that the government would
,r,i,,ateIv be forced TO lend its credit 10 help
,ta railroads ont. and that this might lead to
government ownership; that most Of the $780,
ooo 600 raised by the railroads during the last
econ or eight months had been used 10 pay off
ola hills instead Of 10 increase facilities Mr..
14ilrs statement was as follows:
crops are about two weeks behind. but they
look good particularly spring wheat. The con-
dtion Of the ground was never better and makes
FOR p sterling quality Of grain. There Is moth
ing TO worry about on the crop situation. We
have had a freak spring. but it has not been a
had one for raising wheat. The best kind Of
wheat grows under the cool and damp weather
that has prevailed. If we have fine weather for
the next three or four weeks the crops will b.
normal. We should have at least an average
crop Il may he better. The only things to r.
terfere a-e summer frosts and even II these
come they are likely to be scattered.
During the last few weeks have talked with
| men from all over the Western states Some Of
them look for bumper crops, some average. and
most Of them report that the condition of the
ground was never better and that spring wheat
vas looking good. Governor Sarles of North
Dakota told me that the crop outlook was good
in his territory and that the whole valley OF
the Red River looked as handsome as an onion
he'd"
Speaking Of last years crops OF grain. Mr.
Hi said that most Of II had been moved out of
tire Northwest. He said he had card estimates
that 250O0O0o 10 30OO0600 bushels remained.
| but as & matter Of fact, he said, there were not
more Than 100000 or So00G00 bushels left
there.
Concerning the general business outlook, Mr..
Hill said he had not altered his opinion of last
winter. There IS q general slowing up Of bust
ness he said. 1t appeared inevitable last fall.
Il came I believe it viii continue. I don't
think il will hurt anybody but that Il exists
there is no doubt The cause OF the trouble is
that the business Of the United States has out
grown the capacity Of its railroads, and the
railroads are iI no position TO catch UP. If men
cannot get their freight moved they must cease
u produce it,
In a letter TO Governor johnson last January
! estimated that l.f00.0 100000 a year for five
years would he necessary 10 put the railroads in
shape TO move the traffic Of the country. Dur
ing the last seven eight months the railroads
have raised something like SS1t0NpDnoo. Has It
gone 10 increase facilities? Not at all. Most
Of f went 70 pay off old bills.
II does not appear any easier for "a railroad
70 get money than q few months ago Mr..
Hill continued. I know Of instances in the
Western cities where 81 600 lots Of short term
notes Of some Of the Eastern roads being
peddled around on 6l2 per cent to ~ per cent
basis. Railroads cannot increase their facilities
under these conditions The government may
be ultimately forced 10 lend its credit to finance
the railroads. / DO not see any other solution
Of the problem. The public in its evaporation
viii demand that the railT Dads shall lay certain
rails and add more cars. The railroads will
answer that they cannot. that their credit has
been ruined. The government VIII he obliged
10 step in, and lend its credit TO supply this de-
fcienCy The situation might lead TO govern
ment ownership Of railroads. That would be
The end OF Republican government. This IS no
theory. but a condition. The country IS large
and still growing The railroads are away be-
hind Their credit has been impaired. They
cannot finance n recovery What will he the re-
sult2"
Asked if there was any truth in the report
hat the Northern Pacific was going 10 sell its
equity IN the Chicago. Burlington q Quincy
Railroad ana turn the entire properly over 70
the Great Northern. Mr.. Hill said he had not
heard ~ Il. Then he added: Let me tell YOU
Something about reports I used tn believe that
they were only about three-quarters incorrect,
put have changed my opinion ely. Seven
eghths of them have no basis in fact Don't
pat much faith in reports young man"
Mr.. Hill denied emphatically that he had
cago, that he knew Of a railroad earning per
cent and paving g rer cent He will leave short