The San Francisco call., 1908-08-09

requested by Mr. Randolph to make a
fight for the contract, and he said
he would stand for me as against Mr.
Drake, who had just defeated Mr. Man
ming. at first refused, as ! was GUT. quite
busy with my mines and other affairs
and was doing we'll Flnally, at ms
earnest and repeated solicitations,
went after the contract and secured 1t,
as a matter Of course, under the cir
cumStanceS.
After looking carefully into the con-
tract business and personally visiting
the stores and some of the scattered
commissary cars between Ell Paso
and Los Angeles, / became convinced
that IL could not be handled properly
and to the best advantage without more
stores and cash capital and cash
credit of at least 10000. l raised all
but $500 within the 80 days time
had, and this amount of $500 re-
quested my brother to invest, which
he did. Up to this day Francis j..
Heney has not received one dollar from
this said contract business, either from
MS original investment or from any
profits therein. Since Mr.. Herrin an
nulled my contract I needed my broth
ers money, as wen as my own, to try
TO save my mining investments, the
largest of which was hanging in the
air because of an unpaid bond balance.
The slump of last fall had caught and
crippled me. as it had SO many men
with uncompleted enterprises. l also
suffered an unexpected personal loss
last February. So my brother prompt
~ gave me full permission to use any
money due him from my contract busi-
ness. although he has been without
any new revenue himself for the last
two years and is indebted. 1 know (for
1 recently saw his bank book with its
/ red ink" balance), to his old San
Francisco bank that has so generously
stood by him.
PREPARES FOR "KNOCKOUT"
AS will be noted above. my contract
expired February 90, 1907. The graft
prosecution was in full swing in San
francisco. My brother had written me
TO prepare to receive a knockout" l
went to Los Angeles to interview Mr..
X. II. ingram, general superintendent,
after waiting several months and re-
| ce1vlng no renewal of my contract.
which naturally made the conduct of
/ my business most embarrassing, as
/ any telegram might contain the eX-
/ pected news, although until such day
came purchases of merchandise and
stationery (Which is a very large item
by reason Of all the printed forms
used), leases, contracts, etc, must
1 be made and executed with ones best
4 judgment And in carload purchases
or in leases of new stores how could
one use his best judgment under such
/ conditions? Mr.. Ingram Informed me
/ the contract would be renewed at once,
and that my management had been
| very satisfactory indeed. But the re-
newal failed to materialize. In the
meantime the financial crash was upon
1 the country. The difficulties of han
! OllnR the contract increased. Ine three
annual passes due me were never is
sued for 1907. To further test the stu
alton and the purposes of the Southern
Pacific company l asked for a modi-
/ fcation of the list prices under the
1 contract, as was my right under same
every six months. The revision was
promised, but was never made. Finally
l determined in disgust to throw up
! the contract, and I went to San Fran
cisco for that purpose, but my brother
persuaded me not to do so. His argu-
4 aT0N h1& 2 =. - 7
had given the railroad the best service
/ ii ever had under the labor contract
and, therefore, I should force the COM
pany's hand by going ahead as usual
and compelling Herrin to throw me
out without cause except his hatred
| Of me. / consented. 1 lasted about
/ five months longer. On March 9, last
/ having just arrived in San Francisco,
while standing with Mr.. Rudolph
! Spreckels and my brother in the lat
| ter's office, discussing the decision
handed down that day by the supreme
court on the Schmitz case, a telegram
was handed me from my head office
/ In Tucson that notice had just been
| received of the annullment of my con-
tract. I was ordered to turn over the
business, which then embraced nine
main stores and several commissary
cars, by April l, although the original
contract specified I should have 80
days notice. 1 turned over April / AS
an illustration of the unfairness of
the uncertainty Of the life of my con-
the expense March 1 OF taking my an
/ nual stock. But this, of course had to
be repeated April 1 at considerable ex-
pense.