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
Yet the truth of the matter probably is that while some diversion from
the Central to the Southern route occurred, this diversion, although
looked upon with equanimity by Mr. Huntington, was not part of an
attack upon the Central Pacific, but may be explained by certain simple
traffic considerations. There were at least two good reasons why an
attempt should have been made to handle business from New York over
the Southern Pacific rather than over the Central Pacific. The first
reason was that it was more profitable for the Southern Pacific to take
freight from New York by a route which it entirely controlled, than
to divide the earnings on such business with the direct lines between
New York and Ogden. The second reason was that the Southern Pacific
could offer better service on the Sunset route than over the Central
Pacific because of the indifference of the lines east of Omaha. The
Central Pacific business was done on a different classification from
that in use in the East. Also, many classes of freight were taken at
low rates because of water competition, so that the divisions accruing
to eastern lines were very small, and their interest in the traffic
correspondingly slight.
Finally, to the eastern roads the whole business was unimportant
compared with the volume of other kinds of goods which they
were handling. The result was that Mr. Stubbs, of the Southern
Pacific, complained very vigorously that eastern lines neglected
transcontinental business. It took four to six days he said, to get
freight through the city of Chicago, and often thirty to thirty-five
days to transport it from Omaha to New York. Freight had to be
way-billed three times via Ogden as compared with one billing via El
Paso. In fact, in 1885 and 1886 the trunk lines practically withdrew
from the transcontinental business, and to this withdrawal should be
attributed the large proportion of the traffic between San Francisco
and New York which was handled by the Sunset route during these
years.[511]
These two reasons, of which one still has force, and the other was
important for a number of years, are sufficient to account for most
of the diversions complained of, and it is not necessary to attribute
additional motives to the Huntington management.
As a matter of fact, in spite of the traffic policy described, the
gross earnings per mile of the Southern Pacific did not move very
differently from those of the Central Pacific during the years from
1886 to 1895, when the data are distinguishable in the companies’
reports. The advances and recessions in volume of traffic were not
identical for the two companies during these years, nor did they occur
at exactly the same times, but the figures seem to offer no support to
the charge that the prosperity of either company was being sacrificed.
Public-domain text, read in full here on John Shaqi.
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