The Washington herald., 1907-06-14
RAILROADS NEED AID
J. J. Hill Says Government
Must Come TO Rescue.
HAS NO FEARS FOR BUSINESS
Magnate Declares Present ,SIacIen-
ing Not Going to Harm Any One.
west Much Better Than Generally
RepOrted-Carriers' Credit Ruined.

New York June l2-That the govern
mentwill ultimately be forced 20 lend It's
credit TO finance the needs OF the rail-
roads was one Of the remarkable state
ments made by James J. Hu to-day, on
his return 10 this city from the North
west
Mr.. Hill stated that the business Of the
United States has outgrown the capacity
Of the railroads 70 handle It. aud that
they are in no position 10 catch up.
In the main. however. what he said
was optimistic In tone. especially so far
as the crop situation is concerned. There
is a general slowing up of business. but
Mr.. Hlu does not think il would hurt
any one.
Crops Look Good.
Here is Mr.. Hnrs statement
Crops are about two weeks behind.
but they look good. particularly spring
wheat The condition of the ground was
never better and makes for a sterling
quality Of grain. There rs nothing %
worry about on the crop situation.
We have had a freak spring. but il
has not been bad one for raising wheat
The best kind Of wheat grows under the
cool and damp Gather that has pre-
vailed. II We have fine weather for the
next three or four weeks the crop will
be normal"
we should have AT least an average
crop. II may be better. The only things
10 interfere are summer frosts. and even
II they come they are likely 10 be- scat
tered. During the past three weeks l
have talked with men from all over the
Western States. Some OF them look for
bumper crops, some average crops. and
most Of them report that the condition
Of the ground was never better, and
spring wheat looks good.
Handsome ms Onion Bed.
Gov. Burke, Of North Dakota. says
that the crop outlook IS good in his
State. and that the whole valley of Red
River is as handsome as an onion bed.
Most of last years crops have been
moved out Of the Northwest. ! have
heard estimates that 25,ooo000 20 S0opo.o00
bushels remain. As a matter Of fact
there are not more than 100000 or 100000
bushels left,
Mr.. Hill said he had not altered his
opinion as expressed last winter, con-
Cerning the general outlook
There is a general slowing up in bus
mess" he said.
Tt appeared inevitable last fall It
came. I believe it will continue.
don't think It will hurt anybody But
that it exists there is no doubt The
cause of the trouble is that the business
Of the United States has OutgrOwn the
capacity Of its railroads and the railroads
are in no position TO catch up If men
cannot get their freight moved. they must
cease to produce #.
Pay Of Old Bills.
TN a letter 10 Gov johnson last Jan
uary I estimated that slO00C0O.O00 year
for five years would be necessary to put
the railroads in shape TO move the traffic
Of the country. During the past seven
or eight months the railroads have raised
something like SsQ0,O0O0OO Has It gone
to increase facilities at all2 Most of it
went to pay off old bills
1t does not appear any easier for
railroad to get money now than a few
months ago. l know of instances in the
Western cities where 5000 lots of short
term notes Of some Of the Eastern roads
are being peddled around on a 6 - TO
1-2 per cent basis. Railroads cannot in
crease their facilities under these condi-
tions."
The veteran railroad magnate was asked