Evening star., 1926-11-14
Pennsy Head Vigorous Lead
er in Transportation To-
day-Roused Giant.
Expects His Road to Continue
, Growing With Country
That 1t Serves.
by Nj. 8. RUKEYSER.


war, Is now turning his energies 10
rousing the sleeping giant OF the
American transportation system-the
PennSylva MIA Railroad.
Having recently completed his hrst
year of service as president. Gen.
Atterbury has infused the whole or.
ganization with the energizing notion
that the Pennsylvania system. which
has long slumbered during the days
Of railroad adversely. must grow. mod
ernie itself and develop with the ex'
panding business along its lines.
Helped by the current prosperous
conditions, which are the most favor-
able for the railroads since 1Sl1. the
Pennsylvania is at the threshold OF
period of rebirth. The directors re-
Gently expressed confidence by rails
ing the dividend from to Z per cent:
The railroads have long been CRITICIZED
by outsiders because venturesomeness
has been at low ebb. Gen. Atterbury
seems determined to inject a new
spirit OF boldness and aggressiveneSs
into his own organization.
Although Gen. Atterbury Is one OF
the Nations newest railroad presi.
dents. he has been in the employ Of
the Pennsylvania Railroad for 20
wears After receiving the degree OF
bachctor of philosophy from Yale Uni
Versity in 1886, Gen. Atterbury BE-
came an apprentice in the Altoona
shops OF the Pennsylvania Railr'ad.
He rose gradually until he became
chief executive on September 30. 1879.
Atterbury Not Satisfied.
Gen. Atterbury is not one Of those
who thinks that the Pennsylvania
tsystem IS now big enough; he is not
satisfied with the syatus quo; he says
the railroad should grow with the
business of the territory through
which it runs. Gen. Atterburys term
as president Of this great transporta-
ton line will expire in 10 years.
Gen. Atterbury feels that the rail- |
roads having for years been on their |
Nppers. are just coming into their
own and should now embark on pro. |
gram of constructive achievement.
The railroad is double tracking its |
lines from the st. Louis division to
take care of the expected huge expan-
sion of business from the Southwest.
II is also double tracking its lines be.
tween Detroit and Toledo to get ready
for increased business expected from
the automobile districts and ore
regions Of Michigan. Moreover, the
company is planning to move its prin-
cipal terminal in Philadelphia from
Broad Street to the river and will use
the Broad Street sta ton for q local
terminal. To do this, 1t will be nee.
essary to electrify the local lines. The |
Pennsylvania Railroad has been f1n.
ancing the current development pro.
gram out Of earnings instead Of
through obtaining new capital by the
sale of securities to the public.
Current good earnings reflect sat. |
tsfactory general business condi :ons
making this development program
feasible. 1.-The railroads are largely |
responsible for the present prosper
ity," The head Of the Pennsylvania |
Railroad said to me. 1.-THE railroads."
he continued, ARE providing more
efficient service at present than ever |
before. The swift and dependable |
movement Of freight cars makes it |
possible for business men substantially
to reduce the size Of their inventories
The smaller inventories made pos.
etble by hand to- mouth buying not
only reduce the element Of risk In
business but also materially cut down |
the quantity Of credit needed to fin.
Hnce industry. The new habits Of |
business men release funds for out.
side development and for constructive
Use"
Better Labor Situation.
I asked Gen. Atterbury whether |
heightened efficiency Of the railroads |
was ascribable to the purchase Of new |
motive power and equipment and |
better maintenance or primarily to /
CHANGED methods of operation.
1.-THE present Efficiency" replied |
Gen. Atterbury, ''is largely due to q |
/, better labor situation. We on the |
Pennsylvania waged a fight against |
union domination and we won. The |
men now feel that they are part Of |
the railroad. They did before the |
war. Our men, like others, got |
nd
war period
I'VE now have a system Of com. |
mittees consisting of men and man.
agement to which the men can take
their grievances and be sure that they
Will be heard and acted upon. More.
over. the employees of the Pennsyl.
vania are encouraged to think con.
etructlveiy and to suggest new ways
or handling the job of railroads. The
men are rewarded for good sugges.
Nons whether we adopt them or not.
We are striving to stabilize en-
ployment. When men are in fear
OF losing their Jobs they hesitate to
buy homes. send their children to
school or to live normal, healthy
lives. 1t is difficult for us to obtain
as much stability as we would like
because our business is partly sea-
eonal. IT, for instance. we could in
euce coal buyers to stock up during
the Summer. 1t would help to stabilize
and keep our business on a more
even keel
''In this connection. the railroads.
should stabilize their own pur.
chases. trying to avoid placing
sheir orders for steel and other prod
ucts at time when industry gener-
ally is boiling over with activity"
Consolidation Big Issue.
asked Gen. Atterbury to reveal
more specifically what he had in mind
when he said that the railroads are
now taking up the constructive Jobs
which had long been delayed by ad-
verse conditions.
Perhaps the outstanding issue be.
fore the railroads." Gen. Atterbury
explained. lis consolidation. The
Pennsylvania system, Of course, 10
NOT opposed to consolidation. I
think mergers should be voluntary
and that the transportation act
should be clarified to permit indi-
vidual consultations which have been
approved by the Interstate Commerce
Commission.
In the last two years the Pennsyl-
%ania has appeared largely as an OBJ
!ector to consolidation plans Of other
railroads. l asked Gen. Atterbury to
explain the reason for this policy.
Wanted Their Slice.
"Our objection to the four-system
plan" he said. was not that we did
solidation. but that we thought that
eylvania should get as large q slice
q. thn ofhorS M0ro0ver WA onn0eAN