Daily press. [volume] (Newport News, Va.) 1896-current, 1908-03-04
GaRdIli0Bs Disclose by Admissions
nada Before Interstate Commission.
EFFECT OF MONEY MlRKEl TROUBLE
s'sGlthout Warning We We're plunged
From Prosperity TO Adverslty," Says
y. Y. Nudge Of the Rock Island =
{ STRUGGLING TO Meet Expenses.

STRUGGLING 60 Meet Expenses.
WASHINGTON, D. c.. March s.
an astounding condition OF affairs on
american railways was revealed dur
ing the hearing by the interstate
E commerce commission of applications
BY the operating officials effect OF the
nine-hour law which win become
e obligatory on the ith of March. Judg-
ing from statements made BY the Off
cinis before tho commission nnd In
private conversation, tho railroads
y nave suffered more from thu stringon-
cy In the money market during the
past -FOUR months than any her bus
mess, BY, tho falling OF in revenues
and by their inability to command
4 ready cash to meet their payrolls n
number OF hitherto substantial lines
have been forced to The verge of re.
ceiverships. :"
rms condition docs not appear TO
Eaye been the outgrowth. directly, OF
Ne enforcement of rcgnlntivc laws or
o any lack OF forothought on the part
.oi RAILWAY managers. Apparently It
= is development OF the unfortunate
Z banking situation which began to ar
nlct the country as early as last Sep
tember, The railroads did feel H.
particularly about the LIST OF Novcm-
per Indeed, II Is tho conconsus OF
&scpihlon among the hundred or more
y important railway managers who Mt
tended the hearing OF the commission
that American railways seldom have
ssefljoyed In their history two moro
nIi1Qnarntt,, l,, Nn. u,
her and October. Their revenues in
4 those months were practically the
pest they ever had and they were on
the very pinnacle of prosperity.
suddenly and without warning.
r IKE Il thunderbolt from clear sty.''
ma II U. Mudge, vice president and
general manager of the Rock Island
4 system, Expressed II. 1--WE were plung-
fsed from prosperity to adversely. Take
y our system, for instance. A year ago.
we could not begin to handle the trar-
nc offered to us. There was II con-
&estion of freight everywhere and wa
Y lncked tho equipment to carry 1t.
NOW; we have 1900 idle cars. with
q not a thing Tor them to hnnl and moth
ling Immediately in sight. A few
iponfhs ago there wns congestion OF
freight: now there is congestion of
empty cars"
IN coterie of promlnen, railway
y lfinnagers assembled In n hotel an
evening or two ago, gone figures
we're exchanged ms to the number of
IDLE cars on their numerous lines. Tho
5ignrcs footed up the enormous total
4 pf owe: 100000. One of tho managers
pf m important road said he was
MI
and forward on his line because he
9 Ind no place to sidetrack them. Not
understanding the fact there was moth
I ing for them TO do he was Obliged 10
keen them moving.
General Manager C. IT. Ackert, o;
the Southern railway, declared that
great system was struggling to keen
ita head above water. Expenses had
been reduced In every possible way
IN The passenger service. for instance
\ ttains which had moved an aggregate
distance OF Ave thousand miles n day
y been taken off and proportionatc
amotlnt OF the mileage OF freigh,
: trains has been discontinued.
IN all this serious comment on the
\ railway situation, however, there was
note of confidence In tho ability III
tliB railroad companies to worry
'SEforgb the present crisis. II was
conceded Tint 1t would require care
fi' and economical management. but
Sodefally the confidence OF the i'm
portant official were mistaken. An
s sffect. they believe that there will bo
q return of prosperity, which may
come upon the contry as quickly al
inost as did the period of adversely.
seThey express this opinion. because
they are unable 10 see any serious
break in the general condition OF the
country Crops and prices have been
Sood; business generally has been
eixcellent In all lines; and the conf
ssnre OF the people Is being restored
10 q normal condition. with these
factors In the equasion, they figure
hat 1t is only question perhaps OF
few months until not only the rail-
tlad business, but other lines OF In
dtiatriai and commercial enterprise
Fjlali Shave assumed the proportions
s hoy had only few months ago.