New-York tribune., 1909-06-08
HIS RAILROAD SYSTEM
TR4NSCONTINENTAL.
Traffic agreement Made Bet7ceen
the alton and Kansas City,
McdicO s Orient.


waiter
Within the last week the Chicago & Alton
Railroad Company, which is part of the Hawley
system has entered into traffic arrangement
with the Kansas City. Mexico & Orient Rail-
way Company. which arrangement indirectly
includes the other Hawley rOads-a combination
which will give the Hawley lines a through
route across the continent. from the Atlantic
seaboard at Newport News to the Pacific at
Topolobampo Mexico. and the Orient road an
outlet to the Atlantic coast and to the Great
Lakes at Chicago and Toledo. with 'ore link
missing the connection between the Chesap peake
& Ohio the western ternini of which are at
Cincinnati and Louisville, and the Toledo, ST.
Louis & Western.
Mr.. Hawley in the interview referred to sald
THE distance from Cincinnati to tile Toledo, St
Louis & Western is short. l can easily get
road. or make one
Since then the fact has been printed in The
Tribune that Mr.. Hawley and his associates
have been quietly buying large amounts of the
bonds of the Chicago Cincinnati & Louisville
Railroad short line between Chicago and
Cincinnati, which is in a receivers hands. their
object apparently being TO take over the prop
erty under foreclosure and reorganize it as
part of the Hawley system
The Kansas City, Mexico Orient. although
a large part OF it has been completed, will not
be opened for full operation for many months.
and by that time 1t is expected the Hawley sys-
TEN will have its through line completed from
the Atlantic coast to Kansas City. the point Of
connection with the Orient road.
CONTRACT WITH NEUTRALITY-SUSPICIOUS.,
The HaUley roads will furnish a great traffic
of iron and steel, of packing products from Chi
cago and Kansas City and Of agricultural prod
ucts and a wide range of commodities. while
the orient. for its part, will deliver TO the Al
ton and the other roads Of It's system heavy
traffic made no Of minerals from Mexico, live
stock wool. cotton. coal and timber The
Hamburg American Steamship Company sew
eraI years sgo entered into close traffic agree
n1ent which is understood TO be still operative.
under which Il will extend its Pacific service
| from Hong Kong to the Mexican terminus Of
| the Orient road. TopoIobampo Ghe name Of this
| place is to be changed TO Port StlweII. on the
| completion Of that roadl SO that the Hawlev-
| stilweu system will. like the Hartman system
| and the Hill system, extend not only across the
continent but across the Pacific Ocean also.
There are two small sections Of the Orient
road 20 be completed near Kansas City. but It is
| expected that through service between that
| city and san Angelo Tex, VIII be placed in
| operation by August Z Two other sections.
! south Of San Angelo are still building but the
| most diH1cult construction work has been fin
| ished ard the company is now operating train
over the Continental Divide. in the State or
Chihuahua Mexico. The Mexican government
has recently amended the corpany's concession,
srective June 10. so as 10 permit 1t to increase
| IT'S rates from 20 10 40 per cent. Under the
amended concession which is for ninety-nine
| wears. the company will be permitted 10 charge
| passengers az cents mile. gold
MOST OF CAPITAL RAISED IN L. s
About 55 per cent Of the capital required for
building the road. estimated at from S35,00O,0O0
TO $4,000 0oO has been raised in the United
States and the remaining As per cent in Eng
| land and Holland About S21,000000 has already
| been expended The line from Kansas City 70
Topolobanlpo, which town is one thousand miles
east Of san Francisco will be four hundred
miles shorter than the distance between Kan
sas Citv and san Francisco a fact which will
have a highly important bearing the question
whether the new transcontinental line will get
an adequate share of the transpacidc trade.
The Kansas City Mexico & Orient Railway Is
the conception Of Arthur Z. Stilwell, of Kansas
CITY who was the builder Of the Kansas CITY,
Pittsburg 6, Gulf road. which fell into difti-
culties and was reorganized in 1900 as the pres
ent Kansas city Southern Railway, with E. H.
Hartman and John W. Gates among its direct
ors II was in February, 1900. that Mr.. St1lWell
announced his plan of building new interna'
tonaI railway eighteen hundred miles long from
Kansas city through Kansas Oklahoma, West
ern Texas and Mexico TO Topoobampo, on the
Gulf Of California. The project found favor In
Europe where Mr. Stwen had obtained much
of the money for building his Kansas CITY,
Pttsburg & Gulf road well as among cap
itaIists in this country and the work of con-
struction soon begun In 1907 George
| Croker who has for many years bsen allied
with Mr. HawIey became vice president of tho
Orient road an office which he still holds, and
Gould interests entered the board in the persons
| of George J. Gould and Russell Harding then
general manager of the Missouri Pacific, R. c.
| CIowrv. president OF the Western Union Tele-
graph Company, joining them a few months
later.
| GOULD INTERESTED FOR A TIME.
The entrance of Mr. Gould into the board,
President Stilwsu said at the time, meant that
the Gould system of railroads would be feeder
for the Orient road, and would, on the other
hand have in it an outlet to the Pacific Ocean.
MIR. Gould and Colonel Clowry remained on the
board until two years or so ago, their retire
ment probably being due to the fact that the
decision had been reached 10 build the Western
Pacific road, giving the Gould system its own
outlet TO the Pacific and making unnecessary
the reported alliance with the Orient road
In the early days the large majority of the di-
rectors were Kansas City men. but the member
ship is now we'll diversified, among the directors
being Charles F. Aver, of Boston: Henry A.
Bishop of Bridgeport. Conn; Rolla Wells and
w A Rule, of st. Louis: L. d. Stair. of De
troit. N BeIding of Rockville. Conn. John
r Allen of -fchester F. w. Roebling. of Tren-
ton and H D. Estabrook H ). Manning, w. ID.
Baldwin Charles r. Huntley and William II.
McCord of this city. George H. Ross, vice
president OF the Chicago Alton Railroad Com