Chapters on the History of the Southern PacificDaggett, Stuart
History
Chapters on the History of the Southern Pacific
Daggett, Stuart
Pacific railroads -- History; Railroads -- California -- History; Southern Pacific Company
Next to the California Pacific in the Southern Pacific system, in
respect to earnings, came, in 1895, the South Pacific Coast Railroad,
with gross earnings of $8,000 per mile; the Southern Pacific railroads
of New Mexico, California, and Arizona, with earnings ranging from
$6,500 to $5,800; the Northern Railway with $5,177; and finally the
Northern California and the Oregon and California Railroad companies,
with earnings per mile of $2,600 and $2,400, respectively. The figures
so far given all relate to the Pacific system. In general it may be
said that the earnings of Atlantic system lines were slightly greater
per mile than those of the western properties. This statement does not,
however, hold good of all the Atlantic companies, nor, on the average,
for the Texas roads, statistics for which are given separately.
Diversion of Traffic to El Paso Route
Unquestionably there was a difference in interest between different
parts of the Southern Pacific system, particularly between the Central
Pacific or Ogden route, and the Southern Pacific or El Paso route.
When the Southern Pacific was first completed to El Paso, the question
was raised as to whether it would be the policy of the management
of the whole system to divert all transcontinental freight via the
southern route. In a letter to a bureau of the United States Treasury
Department, Mr. Huntington observed that it would be necessary to
continue to do a large part of the through business over the Central
Pacific in order that that road might be enabled to meet its interest
charges and the requirements of the government indebtedness. The point
was evidently regarded as one which called for a decision as to policy.
Mr. Huntington further pointed out that it would be injudicious for
the Southern Pacific to push any advantage too strongly which it might
have, lest it provoke retaliatory action by other lines.[500]
The early practice of the Southern Pacific did not, however, altogether
accord with this counsel of moderation, and the company seems not only
to have been very active, but actually to have succeeded in capturing
as much as 90 per cent of the New York-San Francisco business; also,
while it did not permanently retain so large a share of the through
freight which moved by rail, it continued to carry the major portion of
the westbound traffic from the Atlantic seaboard to California until
perhaps the year 1887.[501] Some of the freight which the Southern
Pacific handled during this period was new business, but a considerable
portion of it was taken from the Central Pacific.
Public-domain text, read in full here on John Shaqi.
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