Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1911-12-09
President willard Of B. and
0. Delivers Address Be-
fore Governors
Sounds Warning Note Of
Greatly Increasing In.
dastrial Activity
(6y Associated Press,)

BALTIMORE, Dd. Dec. 9-That
there is a possibility that the next
period of great industrial activity in
this country may find the railroads
utterly unable to carry the greatly
augmented burden imposed upon
them, and, that their partial failure
to meet the situation in 1906 and
1907 has furnished a sufficient fore
taste of what such condition would
mean, was the warming note sounded
by President Daniel Willard of the
Baltimore and Ohio railroad in an
address at a dinner here last night
to the visiting governors of the
Southern and Western states and
railroad officials.
Mr.: Willard continued in part as
follows:
To-day the presence of a surplus
above interest and dividend REQUIRE
ments as the result of a years oper.
alton looked upon in many quarters
as evidence of such a degree of pros.
perity as to Justify a reduction of
rates or an increase of wages or
both, and it has come about THAT the
railroad lis we'll nigh unable to seffec-
tually resist either.
THE capital requirements for the
next five years will not be less than
$50O,000,000 per year and we have
most excellent authority for believ-
ing that they may approach the enor'
nous sum of $1,000, 100000 per an
mum. The problem then which con-
fronts the railroads at the present
time is where, and by what means,
is to be obtained the great amount
of new capital needed to provide the
additional facilities and new mileage
necessary to properly meet the re-
quirements of growing country
and when finally obtained how will
the additional obligations for interest
or dividends be met There is little,
if any ground under existing condi-
tiOns for hope of large reward in con-
nection with railroad investments,
and even the stability of moderate
returns is frequently questioned.
When THE people decided to exercise
their right to regulate-by law pro-
vided, they took upon themselves at
the same time, the responsibilities
attending the exercise of that right.
There can be no evasion of the re-
sponsibility accompanying the exer-
else of power.
"Tbe men in charge of the railroad
at the present time have
nearly all worked their way up SLOW
ly from the ranks. They appreciate
fully the opportunities afforded them
by their position, to be useful to peo.
pie and communities served by the
with which they are con-
nected. But who can blame them
who can criticize, if in view Of all
have said, they hesitate to recon-
mend expenditures which would add
largely to capital liabilities, while
feeling uncertain about their ability
TO meet THE increased charges. The
remedy which l have in mind rests
upon NO other foundation than the,
fairness of the American
people.
"The people l believe are begin
hing to recognize that a policy based
lpon ample and efficient transporta-
lion facilities, with such rates and
,omdi tons as will permit the roads
% pursue a liberal, but not extrav.
lgant, program of maintenance and
is much better for the
country as a whole than a policy
which is bound to result eventually
n a lack of facilities and all that the
erm implies.
"The situation is not unlike quar-
el between two friends-eadh of
7hom is willing to make up but waits
or the other to speak first. Who
etter could act the part of peace
makers than the distinguished gov
rnors who have honored us with
heir presence this evening? Who
an estimate tire weight of influence
xercised by such body OF men and
or such a purpose? Let them send
rst, if they please for those who
an speak for the roads and ask
lem if the statements l have made
oncerning the situation are true. II
,e answer is 'No" then I have been
!istaken- and my fears are ground
>ss. If the answer is Yes then 1
limit there is no more important
lty confronting a chosen servant of
le people Hhan that of informing
imself concerning all the facts and
ZEN using such influence as he may
,ssess to bring about such an un-
as will allay the feeling
doubt and uncertainty which rests
Don the railroad managers today,
I'd which serves to chilli Initiative
I'D discourage enterprise.
BISHOP WILSON ILL.
PENSACOLA. Fla. Dec. 9.-B9h.