San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-03-02
URGES MERCER
Of RAILROADS
Of THE WEST
Would Consolidate Western
Companies Into Four
Units.
TELLS Ice. OF PLAN
Diversion Of Traffic
Through Panama Canal
Big Factor.

Washington. d. c. March a.
Members of the Interstate Commerce
Commission made exhaustive queries
today into plans for far-flung railroad
consolidation in the West, proposed
by Hale Holden, president of the Chi
cago, Burlington & Quincy.
On the witness stand before the
commission, Mr.. Holden defended at
every point the proposal which he has
made for combining practically all
the Western railroads into four great
operating units, each of which would
operate more than 10000 miles of line.
Commissioner Hall questioned the
ACCESSIBILITY OF MIR. Holden's project
for splitting ownership of the Denver
& Rio Grande Western and Denver
4 Salt Lake, between two of the
great mergers built around the Santa
Fe and Southern Pacific systems.
My object there is to provide the
financial strength which would be
necessary to develop practically the
Denver 4 Rio Grande Western" MIR.
Holden explained. "A large amount
Of money ought to be spent on the
Rio Grande 10 bring it IN 10 the
standard of the other Western rail-
roads and TO develop its territory.
think the Southern Pacific and the
Santa Fe could provide the necessary
funds"
W. z. Ripley. who drew up the
less sweeping consolidation plans pro-
posed by the commission, asked if Mr..
Holden considered Panama Canal com
petition with trans-continental West
ern railroads serious enough to- justify
the railroads in general consolidation
as one means of meeting 1t.
Canal Traffic Growing.
"The Panama Canal diversion of
traffic from all the Pacific ports is
growing and likely TO keep on" Mr..
Holden replied.
THE other day n ship from Puget
Sound unloaded shingles at Houston,
Texas"
In spite of the magnitude OF the
consolidation proposals he advanced,
Mr.. Holden insisted that competition
in railroad service would be increased
under the plan. because the four cor
porations would be approximately
equal in financial strength and would
be provided with access TO all import
ant centcrs of industry and commerce
on an equal basis.
IF we are going TO do anything
with railroad consolidation we must
go at it in a broad way and take n
courageous yicw," Mr.. Holden said.
we need not shy away from the
management difficulties. The prob
lem of getting efficient management
could be met by redistributing author
ity of general officers and giving local
officials more power and responsible
ity."
Has Better Plan.
The commissions tentative plan Of
railroad consolidation linked the Chi
cago. Milwaukee & st. Paul Railroad
with the Great Northern. whereas. MIR.
Holden suggested uniting the Milwau-
kce with the Union Pacific. Profess
sor Ripley discussed the two conflict
ing proposals at some length with the
witness.
The st. Paul wouldn't be bcne-
mited by any association with the
Great Northern Mr.. Holden said.
because all these two roads could do
would be 10 divide traffic which now
exists. They occupy the same terri
tory and their unfication would not
benefit either one. whereas il the ST.
Paul was given n. strong partner lying
in an entirely different region. such as
the Union Pacific. the cooperation
could develop business for both"