1
Ha dkattiie Ewtttng bs?ruw
VOLUME XXV
SECTION TWO
LA GRANDE, OREGON, SATURDAY, AUGUST 5, 1922
M KM II Kit or ASS(K IAIKI) I'KKSS
NUMBER 260
ii
n
i"?
P
ii
i!
Charles J. Dillon
Railroads
1 aiKs on
Representative of Railroad Officials Delivers Address
in La Grande.
(Charles J. Dillon, representing the
railroad officials uf the country de
livered an address in Iji Grande Mon
day evening ut the citv hall to a large
crowd. The Evening Observer here
with nrints the speech in order that
what Mr. Dillon said may be in the
hands of everyone who is interested
in railroad work. It is probable that
many will disagree with some of his
statements, but the fact that he repre
sents the Presidents of all the rail
roads of the United States makes his
utterances of importance to anyone
connected with railroad work. Edi
tor.) I
"The story printed in a Portland j
newspaper, and the information given
from one of the pulpits ol 1'ortland to
in that period.
Danger in Control.
"The great difficulty in this coun
try for railroads lies in the over
whelming desire of the public through
(jovernmental agencies, Mate or red
oral, to control. The next chief trou
ble grows out of thu erroneous belief
that the nearer rates can be brought
down to just one jump this side uf
confiscation, tho better it will be for
the public. Of course, this is the
worst kind of reasoning. The truth
is that the net return of every busi
ness plant in the country will be meas
ured largely by the prosperity of the
railroads and their ability to trans
port raw material into the factories
and- take the finished product out
the effect that the railroads are offer- promptly to the markets. This looks
ing their men a basic wage of only
'S.W oer hour is absurd, ami untrue
One has only to read the advertise
ments the railroads are running ir
the daily newspaper to see what the
roads are offering the men. The ac
tual truth is that the only place in
which the 'ic rate will applv is in
the south and southwest part of the
country where it will affect precisely
6702 men, mostly negroes and Mexi
cans." The foregoing assertion was made
hv Charels Dillon, Assistant to the
Chairman of the Western Presidents
Committee, Association of Railway!
Executives, in La Grande Monday ev
ening. "The she emits, mt. union
like common sense to me but there are
a great many business men in this
country, normal in every other rcspe.'t
who cannot udmit this kind of con
structive thinking. They seem to
think that railroads, like the Govern
ment, a I wave have money. In short,
the public utilities of tin country, and
this includes street cars, arc suffer
ing from a new national psychology
which finds expression in the belief
that anything running on two rai It
ought to be damned.
startling figures showing what tho
railroads actually do, or have to do
in a few minutes. Tho gross earning
in 1IH4 Were $1Im:iMi every 2u mm
utes, while in 1921 they were $209,
..pTTy? v,m p-n fog pnff i fn-rr vn x TTnrnm-rmrj
! BABSONCHART OF BUSINESS juMmt
Jw ' W J
frN BUSINESS TODAY
LM .; El L.J1 '
..., . -
(In n
m
niil. "mors receivine- 50-5 an hour in 84. I his was an increase of $2 per
1!M7. In 1H21. thev had been incieas- cent and it seemed to justify a liberal
ed to 77.3. Under the recent decisions "Let me rive you a few rather
of the Labor Board in Chicago, these reduction In rates. But here is the
men arc to receive 7(..'l an hour. The
ear laborers were receiving JJ7.7 in
1917, 7:t.O in 11121 and they are now
reduced to (14.4. Common labor on the
other side. The operating expenses
111 HrI4 were 5,44 every pu nunutc.i
am the operating expenses in If 2 L
were $17u,tio2, an increase 01 10( per
track, known as 'maintenance of way'.lcent. The payroll of the railroads in
received 11) 3 in 1 ! I T. :)7.7 in 1921, and; 1914 was every M minutes.-in
they are now offered :i'i-7 an hour. 1921 i twas ?19(1,:179 every 20 nui
fita'tion laborers received 22.:! in 191 1, utcs, an increase of 109 per cent. Most
4:l.(i in 1921 and are now offered a9.fi-: people complain of high taxes.' The
Signal men received H2.8 in 1(117, (9 :i railroads are the heaviest taxpayers
in 1921 and thev are now offered G4.:;.in America, much of the money they
Stationaiy firemen and oilers were re-jcontribute in Ihis way being used to
ceiving 21.8 in 1917. The Board in-( build higwnys nnd maintain them for
creased their pay to ftl.fi last year 1 the use of trucks and motor cars which
anil .luiy 1st the new wage was 4lti,
"Under this new decision, the sec
tion Foremen of the country will be
receiving wages still 119-7 per cent
higher than in 1915 and their wages
have a purchasing power IIH per rent
higher than in that year. All these
wages are far above the cost of liv
ing and above the wages paid in oin
carry freight and passengers in com
petition with them. The taxes of the
railroads in 1914 nmounted to $5,159
every 20 minutes. In 1921. these tax
es hail increased to $10,f2 every 20
minutes., an increase of lot per cent.
This was $7!8,:n:l a day for taxes, or
5.4 cents out of every. dollar of reve
nue taken in by the roads- It takes
industries where the labor ik"- i money to lun railronds and nil this
formed is comparable to railroading, money is produced by the public. 11
Cncler Government Control. the loads are to be efilcicnt, if they
"In times like these, it is not im- are to i;ivc good service promptly,
noitant to discuss what happened tolthey must be prosperous. If they are
the railroads during the period ot to extend' their lines and buy, new
Government control. We are not es-1 equipment, they must have new money,
nrcinllv concerned now with what Mr. Expenses usually arc paid out of rates,
M.-Adoo did or did not do. It is ju.-u I but iniproyenincts coine from ne.
as true that business men jihogld not I capital. ., lhts cannot be attracted to
think of thr railroads- of today from j invest, in railroads unless the return
the' basis of" what thev did nr did not is adequate. An adequnto return ;.i
do twentv years n"0.' The manager the wages of capital, and capi a is
of these roads in 1922 should not beins much entitled to wages as labor,
blamed for a condition in transport!!-j ,1 heodore , '' , ihe Oilt-
tion over which thev have absolutely! 00k" in HIM that railroads could be
no control, a condition created bv the I Successful, "ood wages could he pall
war a'ld bv Federal regulation. They find good service given only when cup-,
e-e doine their level best to conduct itnl was assured a fair return on if.
these properties effecientlv and as I investment. If the flood of regulatory
economically as possible, at' the same legislation is to continue, management
time Irvine to remember the rightsiof our railroads as private properties
of the stockholders, as well as those ' nnot be expected to function. Ihere
of the public. It is not a crime, the arc more than 100 bills before ton
public should know, to pay dividends: press today seeking to control the,,
occasionally, although it is becomin r railroads in one way or another. 1 her..
extremely unusual. .There are 201 ,aie more than 4,000 laws on the
Class 1 railroads in tliis country. Of statutes for the same Purpose. We.
th number, just 14 made per conl have the lnter-Mate Commerce Com
er better in 1921. Some persons be-' mission ill Washington to sr.. what
lieve that if the railroads do not earn I the income sha I be. We have Ih j
fi ner cent, the Government will make I United States Labor Board in Chi
irond the deficit. The -uninformed cago to set the wages and the wo,k
L.1.11.. i,. n.i .1,;. nrnte,. The! mg agiecments. We have the legii-
K, .,,..,nte the rnilroads have orllatures in 48 states to make laws ay
ever have had since ncinemner. i:fo,
is a guarantee that if thev earn more
than i per cent they will have to
divide it 50-50 with the Government
cry two years seeking new control.
We have Boards of l'ubiic Utilities
in 44 or 45 suites all making rates
and regulations and rules for the rail-
and finally we nave Longreiis
1. 1 ...v. .- roan:
.-riiu-imii-i. mil '"v ......... v.. . ,
ostensibly returned to their owners, ln ""n1"'1 ."""' .""
ma ked hr end of the period when, hole bujiness. Obviously it is ,m
. .. . ' ., .. .. ..1.1 i. 1.. ; iiossiulo to have sensble and satisfac
"'T' "".'. "I i.rv operation of railroads with all
" SAYS
CORNER IS
is drawn and irenoriil eonrideneo hn:
heen resttired." 'I perscmnlly believe'
concluded Mr. Hulhson. "that the pres
ent market is little over half way t
the top.
General Uusiness eontinuea to im
prove. Ihe index of the Hahsoncharl
reflects an improvement of 2 per cent
since last w'ek and stands at 9 per
cent below nm-rnni, The highest point
since January, 111.
HOW TURNED vincent will
IM1LU qnnniTHrcnnnc:
UIIUIl I L LIUUUU
(jlrcat 8ta1i.stici;ui in His O'j
survcr Coiiimtinicatiou ,
x Urines Cheer.
OPTIMISM JUSTIFIED
IS HIS CLAIM J0W
J)e(inite nnd Substantial
.Business Ix ecu very lioi'lee
ted in the Ninth Annual
Conference.
(By Aflitoclatct Presa
WKI.Lf.Sl.Ki' 1IJLLS. Mass., All
'. The hiph Hrht of the Ninth An
nual Wellchley Conference now meet
nip; here for the discussion of condi
tions and business problems, was
reached when Uoer W. liabson an
ncunced a definite tin n in business
and showed why fundamental condi
tions indicate definite and substan
tial business recovery.
Standing before a Babsouchart
twelve feet hij;h and thirty ftet lon
Air. Habsotf explained the situation.
''I have been waiting for over two
years u. be able to announce that th
most drastic depression in liusineiis
history has spent itself. Kundame'i
tnl conditions finally indicate that a
solid foundation is ready for general
and substantial business improvement.
"The white line that I draw today
divides the area of depression in half.
Statistically it means we are at Uk'
exact bottom of the cycle. IVactical
lv it means that business will pick
up this Jail and that it should continue
to improve for the next two or three
years.
"Ti-chnically, the business evele is
composed of the four succeeding cyc
les of Prosperity, Decline, Depression
and Improvement, but the average
business man experiences but two con
ditions. Kithei' sales are increaini;
and business is fine or they are fall
ing off and he is in deep depression.
His attitude changes, not as we pass
from a period of prosperity over trV;
X Y Line into a neriod of depressin
below, but as the white iics ar drawn
wnicn nivuie these areas when ousi-
ness changes its direction.
Whon we had completed half of
depression in the middle of 1!MM busi
ness hf tran to iinnrovn and husines-;
men went into a state of psychological
(Ity Aioiociate Preas)
HALE.M, Auk. 0. Governor Olcott
annnuncei that he has appointed Sid
ney ii. Vincent of Portland as state
exhibit an"nt to succeed Airs. Winnie
Ptiaden, wtio resigned to take up a
new position in Seattle. M: Vincent
is at present manager for the Oregon
tourist and information bureau nnd his
appointment as state exhibit agent
means a virtual consolidation of tho.t
two state activities. Mr. Vincent will
have no additional salary for his work
and consequently the salary of $l?0( a
nionih which has been paid to the ex
hibit manager will he saved by the
consolidation.
'Pefore making the appointment the
governor discussed matters in connec
tion with the consolidation with Les
lie Itutler, chairman of the slate tour
ist and information bureau, and W.
ft. Ii. Dodson, general manager of
the Portland Chamber of aTommerc'.1
Itoth of these men expressed them
selves as highly favorable to the move!
nnd Iw.Movc.l tliiil. il wmiM r.-siiilt In
efficient working for both of the (k- " was
NEW SHIP CAM.
IS ADVOCATED
Two Way Canal Deep
-KnoiitfbJur Ocean Steam
ers lu (io to Chicago
.Feasible Says Engineer.
CHICAGO, 111., August 2. A two
way Hiup canal butweuii Lakes 'J
peuor and .Michigan, deep enough" loi
ocean bteumcrs, couiud he built ut a
reasonable eor,t and would divert to
this route and to Chicago ut tens',
seveuty-tive percent of ine loniiagc
which now got-.i through Sauit Sic-1
Marie, according to U. Chaso Lcni-!
non, n Chicago engineer. j
After surveying the territory'
through which it was proposed to 1
build such a canal, Air. Uciusou said
that the best place for thu cut-uf t j
route would be from a point near Au
Train, Mich., on LuKo Superior to the'
headwaters of tho bay north ol Ks-,
cauaba, Mich., on Lake Michigan. I
Not Knough Water. j
it was pointed out that any ship
canal from Lake Michigan south lo'
the Culf of Mexico would rcMiiiio'
more water than Iake Alichigan could
at present simply. As au example4
the engineer showed that the Panama
canal woud be useless wiLhout the
artificial lake which keeps-the canal
full of water. And Lake Michigan,
he said, is shrinking. Since the gov
ernment began to Keep records, the:
surface ot the lake has been lowered,
several inches. Half a century ago
lid to be slightly le.i
They icceive much water but have no
surface river outlets. It is Mr. Den
ison's belief that these lakes have un
derground outlets into Lake Su
perior. The supply of water from Lake Su
perior and the smaller lakes that aro
uhovo and surrounding it will, be
practically inexhaustible, but only ns
long as the large tracts of forests
are allowed lo stand. The future
generations, it was stated, will suffer
in every wav if "this selfish genera
tion is allowed to rob the earth of
one of its most valuable resources."
Mr. Denisou said this excessive
water supply gives Lake Superior
much more than it needs, nnd in cer
tain seasons the oversupply goes
down thromrh Sault Ste. Almrio into
Lake Huron in large quantities. "All
of this water should come down the
twent v-one foot incline into Lake
t -
.Michigan nnd would do ,so were it
not for a .solid rimrock or basin edgo
which holds it back," he continued.
"This rimrock starts on this surfuce
at a point n short distance west ot
Marquette and continues east tJ
Sault Ste. Marie. A low place in tho
rimrock at Au Train makes thU
point the most desirable spot to be-
gin the canal."
Shallow Benches Scarce.
The engineer's observations showed,
that there are few shallow beaches
around Lake Superior except m
hays, channels and small river
mouths. Ninety-five percent of tho
shore is deep water one hundred to
five hundred feet from land, and con
sequently does not givo good footing
for breakwaters much further out.
At tho proposed starting point tha
soil is light and sandy for slightly
more than two miles south from Daka
Superior, averaging ten to fifty feec
above tho level of the lake, the re
port shows. The next three miles
are of rimrock, fifty to seventy-five
feet above the lake leve, and covered
with a light, sandy soil. South o
the rimrock the land slopes down for
a distance of more than a mile to
about four mites of low, swampy
land from which a small river runs
to headwaters of the Escanaba bay.
"This Lake Superior und Michi
gan canal would not cost more than
$ UMW0.000 as no expensive dam
Would be necessary," Mr. Dcnison
said. "This Hiiimrock' and . locks
would form tho dam. The extra wat
er at the locks could be used for elec
tric generating and this, together
with the tolls on boats and freight
going through the locks both waya
would easilly pay the canal cost and
operating expenses in ten years." '
The engineer proposed that tho
work he done in the summer and es
timated that it would take two or
three sumniPix, as there would oo
great difficulty during cold weather
He pointed out that from Lake Mich
igan boats could into Lake Cal
umet for an inner harbor, and if
the Illinois drainage canal wero
chanced for boats, thev could go
thence to the Mississippi river and
down to the Gulf of Mexico.
Not to Be Forgotten.
ItPineinber that the opportunity of a
lifetime must he grasped during tha
lifetlnio of tho opportunity.
of)
nnrlmonlc. Th.. tiwitli.f u 1-r.m-iin in lllan (.'U ICCl UIH1VO U1C SUI1UCU
tl. t.iu t-,tn until ,n.h liitm nu iho tile Atlantic OCCllh U M IS IlOW Mlid I
tie Jiiue more man oin icei aoovo
pegislature may miss upon the futur
of these slate activities.
STAY YOUNG, KKAI) Til K
NKWSPAPFJtS.
(My AsHociutud f'rtHtfl)
LONDON, July lit. (liy Mail.
A retired member of the British bar.
Sir Harry Poland, hale, hearty, and
still interested in life nt the age of
HI. attributes his longevity and mental
vigor largely to having always been a
great newspaper reader-
lie is very fond of taking long
walks about London to enjoy the beau
tics of the city, and recently he has
chafed at the rains which have kepi
him indoors. "Still op ecan obtain
excitement enough to keep youne just
bv reading the newspapers,' hft so.v
"for we live in stirting times."
the Atlantic According to Air- Dcn
ison the greater "-u t of this silt ink
age has tfil-.cn pace during the lust
fifteen vears.
"The water necessary for the Galf
canal could be obtained from Lakv
Superior," the engineer said. "Lake
Superior is now nearly twenty -one
feet higher than Lake Michigan, but
tho bottom of like Superior goes
down many hundred fwi beow tin
surface of the Atlantic. i manv
places in Lake Superior it is not cer
tain that the bottom has been reached
even at four or five thousand fe't.
while Lake Michigan is comparatively :
shallow in its deepest places. The;
many smaller lakes in territory sur-j
tiiiindinf I. like Superior an: one to
I eight hundred feet above its surf.-tcf;.
Time Passes
BUT WE RENEW YOUR LAST FALL
CLOTHES
H'h a' mighty welcome economy when you real
ize lliiil we, as eleanei's, can restore Hie clothes
you wore last Kail ami Winter and briny; them
hack to their original newness.
In these days of thrift, such economy is truly
well worth while. Xo only will the savings he
Kriitirying to you, hut the method of putting new
life into yi'iir ariiieiils will he satisfying as well.
(Jet the entire family's easlol'I's together from a
year ago ninl let us estimate with you oil the eost
Cor cleaning and repairing. You'll' then "realize
! lie great savings.
The Wardrobe
WOOD W. BERRY
Dry Cleaning Specialty
!
1 .w. i,i form of rnnt.r..l som"! l'rsp;rity almost over niirht. Wo
tv. r,7..,i i.,. M,.r, inhiT- those various Iiirms 01 control, som--'i -.
i u:, .- !,.. n.l pxiipns v(!l"f which wuld it-quire trams to M. f; ..
VrL 'V Lr fVovprn.iat the stare line and change hea.l-
i mn Th,. ti,- nrperil.ed hv;1'"1'1" to conform to some craz" law.
a;ntl2 C'lne'nion S-reUry Me.. was ri,ht when h.
siness me i
never nro.luce,. enouirh money to ray) esie,, B un-vvr .,.,.
. ,' . -.i li . .u : J I On Ol THI 1 fUft'lSi I)U.-
the aoor o n. in. " c. "iV should use their influence to havcthi.
penses. and lea ve atWv fa r and ad I , . 8topplt or at least not to
uate return for the o r n 19 I J The business of this couo-
the average return . n t e.u "V-'" rv is already protected so thoroughly
was per cent for all the n ihHs. hx j ((1 rf . nQ h .m t,v.
-,.v s now estimate that wen wthvc which, of course,
an increase in business in ol one ' . , - .
billion dollars if the roads are to earn-Uu (,
A 1-2 per cent on the investment thi1
year. The government has aprced to Fined for Violating
rwotrmze ner ;nV as a i-ir ry-j Iire RuleS 01 UlC
turn, if we can make it. teiwrn
5 3-4 per cent and th possible 3 1-2
nr ennt. there is a difference of 44tl.-i-
OOO.nOf'.OO which must be made up in: BAKER, Aue. 4
Forests Near Baker
-Three convictions
but thinps weie aain headed in th.
npht direction.
"Karly in IIM.7 the p;mic set in and
businet- L-t-nfidence prarticwl'jv lis
appeared. We did not enter the actual
area of depression until the fall of
that same ear.
"In April, l!NRt another white line
marked the turning point and things
boomed again until the long swing
downward set in about June, I'.MO.
This decline, while not drastic, kep
business ipijet until the middle of
1114, when things a "am turned up
ward. The war with it- feverish u--tivitv
carried us on until the middip
of 1D1H. when the actual Hm- ha 1
spont itself. Ilabid spcculati'in nnd
soaring priees put thinirs up for m-
other spurt but actual prouetton an I
enmr wav- The re luction in rates of- for violation of the state and federal j nrteral business activities were vft-
fective Julv I. amounts to ?4WP,wwi.-. fire laws have just Keen reported i
nun 00 hascd upon th earnings of
1921. The wage reduction over which
we now have a strike amount? to ontv
$l:.",Mi07'Win.on. Here is another dif-1 ting a nmall fire in Greenhorn dis
f..nne nf $2t'i.00O.U0t.0O. which mus; i trict through careless smoking. Han-
Vf ninde up hv someone. I ger Ian Kwk secured the conviction-
fire laws have just been reported to ,ening.
Kort Supervisor. V . K HmsdeM. ( "The natural and inevitable r.-nrl ion
John Howard of Austin was fined has kept bu-iiu-ss in mourning fr
.j ami costs at i'rniric t-ity lor l- two and a half year
The while line ju-t drawn mark.
another turn for the boiler. Holiness
again headed m the right tlirc ijon
hot nctuitUv i' w at tho annual "e'
return of only 4 'W per cent. T't
nic redaction ff last .lanuarv 'n
riniUural nr'wlu-ts vory cost I v for
n-ftnr?l lrfd because th' S pr id'l'"
'.irm a very largo part of trrnr traf
fic. In Apnl this viir, 2'- -n th-.;
western roads had riefis. Tti coun-
r r. r. w. ih . !! :! ! k
UT
Hig Reduction
tre
Prices the Lowest in History
Quality Never So High
"The business of the first four! M Spangle and Pel Snowle of nnd you can go ahead wit h your plans .
nths this year was a very large in- .North Powder were eacn Iineii f.j and . 1 he banker can ft'.w loan with better
crease over the same period in i!2i. costs for burnm hru.n ouring inc!-oiifidence. rh(. huines man shoul'l
closed season without a permit. Kan-; announce his new product, oi-n h(
"rr A. if. An""! ami Mate w arden . pew territory, increa-e hi-; ail vert c ift
V. L. Scott handled thrs cases. ling, and go ;'rr bu-i-H-s n-O.
At the presc-nt lime the danger of "In sniic 'I the f"-t that tn
fire in the wor:s nt very great and arket has nln adv d -counted Oiio
tho public miit exTcis: the greatost , orovement n a larc extmt tn m
ch T'j in th? forest with camp ftievifvetor can hold hi t":k: for the u'
and ie Ubv of fire for any ptufiot J of a bull market which is ainut nf
whatt-vcr. ... . rach-i sn! a("r the w;-it i.inr
on n en k amp
k
Co.
Diutrilmtora
aajs3ssc !5i23sssa
O O