The New York herald., 1921-11-26
Henry Ford, Railroad Man.

HENRY FORD, the automobile man,
is without peer as to his genius
for making his busy little motor cars
selling them and coming money out
of them. II traffic figures quoted
by the Ratliody Age are correct,
HENRY FORD, the railroad man, is not
all he has'been cracked up to be.
Soon after Mr.. FORD bought the
Detroit, Toledo and Ironton road he
was hailed by some superheated en-
thusiasts among the railway brother
hoods and in SAM GoMpERss Ameri-
can Federation Of Labor as the Moses
who could lead the American trans
portation system out of the wilder
ness through the simple process OF
skyrocketing all wages and scrap;
ping all stockholders. Mr.. FORD him.
self was inclined to admit that ne
held the key to the mystery OF sue
cessful railroading and that, after
finishing up the enjoyable pastime OF
lambasting stockholders and bond.
holders. who never did a lick of work
for the roads their money had built
and equipped. he would tell some
thing about his way OF making a
public carrier look pretty nearly as
rich a perambulating gold mine as a
tin Lizzie.
IT was in March that Mr.. FORD put
his own management on board the
D., L. & I. and primed this manage.
ment with his own railroad theories.
In that month the net operating in
come of the property was some $751;
600 and II was recognized financial
wreck. In April there were all the
well advertised signs of up to date
miracle working, with net operating
income of S276,452. But in May 1t
was not quite so good. In June 1t
went back some more. in July 1t was
still worse and in August there was
an all four wheel blowout.
It was not the fault, either, of the
gross earnings, which were s713.527
in June. further up In July to s744.-
49S and still further up in August to
$763,S40. But the expenses were
breaking the speed laws. While In
June 52.7 cents out OF every dollar
taken in went for operating expenses.
in July the operating expenses were
eating up 59.7 cents out of every
dollar taken in and in August IT'S
cents out OF every dollar taken in.
Result: the s276,452 net operating
income of April was down In June
to s261, ,25s, in July to $1S7,395 and
In August II was fattened out to
s70,643--worse than In March before
the miracle working began--just like
any old common garden variety OF
railroad whose expenses go shooting
through the skylight, whether thanks
to Government operation, United
States Railroad Labor Board or the
railway unions always on the job of
lacking them up.
But the most astounding, inexplic-
able, diabolic thing about this rip
ping out all the gears OF the railroad
miracle working just when the Ford
D., T. & I. management was beginning
to sail along is that while between
June and August the operating ex-
penses Of the D.. T. C I. increased 46
per cent, with the result OF com.
plete net earning biowup, the ex.
penses OF the Glass II. railways man.
aged by plain ordinary railroad men
increased in the same period only
one per cent.
And 80 II IL that o hard listed. bat
tie Scared railroad manager has been
moved to remark that there is a
whole continent Of difference between
what HENRY FoED thinks he knows
about railroading and what he really
knows about II.