The weekly herald. [volume] (Amarillo, Tex.) 1906-19??, 1908-08-27
THURSDAY, AUG. ~, 1908
BARBER ON PREIGHT RATES.
tFrom Thursdays DAily)

A newspaper article, recently pub
llshed, was brought to our attention
in which o. c. Barber, presiden; Of
the Diamond Match company, OPP
poses an advance In freight rates
and indicts railroads for most OF our
national calamities.
Mr.. Barber says:
sour recent adversely came when
The prosperity OF the railroads was
most pronounced; It was augment
cd when II was discovered that there
was not sufficient money In the
world to keep up with the Initiation
OF values incident to the manipula-
tion OF railroad stocks"
The facts are that, although the
vecent adversely came when the
prosperity OF the railroads was most
pronounced, 1t was due to the at
tacks upon railroad credit by the adj
ministration, by national and state
legislatures, and by railway commits
sions, which compelled the roads to
stop all expenditures for improve
ment, as this attack upon their cred
Il made II impossible for them to sell
bonds, or obtain money,
Mr.. Barber states also; "All finan-
oial panics which have occurred since
the panic OF 1857 have been caused
by manipulation In railroad stocks
and initiation OF values"
The Republican stump-speakers
have laid all the panlcs OF the coun'
try. since the days OF Jefferson, at
the door of the Democratic party,
Mr. Barber is liable to get into tam
gle with Mr.. Taft's campaign man.
ayers.
He states again: at was not pros
perity, except to few, that by the
manipulation in the Northern PACT
fic railway stocks, It's shares we're
doomed from $40 TO $500 per share"
The Northern Pacific railway went
into the hands of receivers In 1898.
In 1896 the road was recognized
and its stock could be purchased by
vanyone at $40 per share. When the
met earnings OF the road increased,
and II prospered, its stock advanced
and every purchaser was benefited
by this advance. Dividends on the
Northern Pacific stock have never ex-
ceeded per cent, Therefore, when
the stock was sold at $500 per share.
the income was very small, and the
general public was not asked to pay
such rates on freight as would pay
greater dividends on the stock at
5000 per share.
In the last eleven years the North
ern Pacific common stockholders
have received less than an average OF
3 per cent per annum.
But who is this Mr.. Barber who so
Klibly cites railroad history and poses
as the peoples champion In the
freight rate controversy?
AS we state above. he is the pres
ident Of the Diamond Match COM
pany. This company was organized
In 1889, with capital OF $4,000, 900
which has since been increased TO
s16,0OO,0OO. This increase has taxi
en- place from time to time, in diff
ferent amounts, part OF which was
gift 10 the stockholders and did
not represent any money paid In.
The company has always paid 10
per cent dividends.
Az to the question OF manIpula-
ton: In 1895, the stock OF the DIa-
mond Match company was cornered
and manipulated so as to create q
panic on the Chicago stock exchange,
and infllct enormous losses on many.
The Diamond Match company has
purchased the Continental Match
company. and other competing com
panIes from time TO time. and paid
for same out OF earnings.
II has advanced the price Of It's
aa