Show 44 UNION S POSITION in central pacific case specific answers to FIVE REASONS promulgated by the salt lake chamber of commerce nov 7 1922 for retention of central pacific by southern pacific first reason to prevent the domination of this state and intermountain sect section ion by any single eingle transportation agency the independent operation of the central pacific or it its control by the union pacific not create a transportation monopoly because of the existence ei em stence of two paralleling lines the western pacific and denver rio eio grande western under competitive condition 9 a monopoly is impossible the omission of any mention of these two standard railroads tends to a concealment of two of valuable assets no mention I 1 is made of the power of the interstate commerce wi memon mission mem on to prevent discrimination in rates even if these safeguards were lacking lac kirg th of capital for the purpose of development would require that a fair return on that capital be earned and this be impossibly if rates urra soapy high ala n extortionate rate basis would kill the business which must be developed no incentive exists to create any line of business for the burpoe of destroying it with competition by parallel oural kill at lel bass protection from unreasonable rates afforded by the interstate commerce commission and a fair return required on invested capital the state of utah need have no fear of rail line domination second reasons reason to hold an open gateway at ogden as an invitation tor for the west word ward extension of other railroads in utah the status of the ogden gateway is made definite and certain by the offic 1 1 of ti th pr president of the its union pacific system to vie the effect that the gateway would remain open it would be clearly to the interest of the union pacific central pacific lines to maintain an open gateway at ogden east and west in competition with the western pacific also with the el paso pas route and the santa re fe on the south so 0 that all ail other lines in addition to the union pacific east of ogden would continue to bring traffic to that junction and also receive it there from the central pacific eastbound in other words the central pacific would welcome all the help it could get to meet this competition ing these vears that the cities of salt lake ogden and third reason to hold competition against provo had a period of greatest development the union union pacific routes to los log angeles and portland territories the union pacific views it pacific is riot not in the business of tearing down but of building up after the testimony submitted in the union pacific A railroad has only one commodity to sell transportation and southern pacific un merger case the supreme court cort por tation the value of the transportation is measured found there was as no competition between these routes the fifth reasons reason to pre prevent nit the domination of court went even further and specifically authorized the by the quality of the service A railroad is a business this western unit federal reserve resene district by any union pacific to acquire the central pacific concern and when rhen it builds into a section of country and single transportation agency the southern pacific has never maintained through develops that section it establishes a mutual interest in domination of this western unit by a single transportation competing rates between utah and oregon nor between its development with all the people the union pacific agency is b because cause of cor roton lines utah and southern california via the very much longer now existing and which will continue to exist and compete route at through sacramento the value of economy in transportation has developed idaho it has developed noi northern thern utah it no matter what disposition is made of the central por tation being thereby recognized is developing southern utah and will if it operates the pacific if and when then the railways of the united states are central pacific develop western utah and nevada and reference is braf to 1 pis th I 1 bv pacific coast grouped as provided by the transportation act into not with such development will find maikels for the products capital of the steel and other industries in utah A change more than twenty railway systems it will be for th the e purpose in ownership of the central pacific line would not prevent of routing freight over the most direct lines in order of the sections served without markets the capital invested the influx of catch cant from adv scion spion flon as competitive that the cost of transportation may be kept at the lowest would be barren of results competition between conditions H fall e et est t As 69 far as the practicable point and that rates shall reflect economies economics of utah steel md try is concerned fon cerne fh h union is s th only operation railroad valuations as established by the interstate and the sacramento valley and bay sections of california lb lat is diew ana in ble be q y evenn it th the ter state com commerce m aree commission wll will become the best basis of now basti between the western pacific and union pacific is to p vald nid i mil crp rutn lund fair and equit equitable able rates and traffic will be moved aher southern pacific parallel lines all the way competition to fedir cv to set get ta t irn IT acl and haul hani it 1 i tha h avin corint eier practicable by the shortest line between any two will al ville blast furrs tt 11 lo 10 T r with ts ohp ther in always ays exist whether the central pacific is operated points avii ra r 0 tro ord kofl br burp as an independent railroad or by the un union on pacific ard out of q cir i dmn 11 bp tint that or by the southern pacific the western pacific is an the union man pacific is awo r w id f fv f v to st the hp ste fourth reason to insure a market competition active and formidable competitor of the central pacific industry is untenable and stiv should shoud aa bet between ean western and bastein territories for utah to illustrate the western pacific if initiative on is ci own n products lal com i uh sf l cr r any in industry reduced rates on coal from utah to the pacific coast thus austry d ads not OTI who rewo arti lar ra balod lod but this argument presupposes that railroad traffic men me affording a market for thousands of tons of utah coal on the bu buc bucuss r rss 8 A ff 1 0 at fv of tk th prim eton of can wave magic wands and create a demand for products the enterprise this is elemental tf if abe he where it does not exist traffic moves to points where the central pacific can be operated on a self support t nf qt n v nit r trill the demand is as every business man knows and market ing basis it w ill be a keen bosn competitor in california and picc is orned bv fl IT tani aff ere n by y te p Foo thein competition determines western the direction pacific denver of traffic rio furthermore grande will aill with the added socci tion by union pacific and lines ines pacific or nr is or teil nelv ber pr offers a there the is poor rodne n for the investment of capital in n feel or western competition and the interstate commerce commission east thereof secure bus inece ineve which is now going to the any other industry ready and willing to remedy rate maladjustments southern routes all lines east of ogden and salt lake competition would be maintained were the central will be feeders to the central pacific the union pacific pacific operated independently yet this important alternative additional facts considered tonnage figures is IB given slight cor ibm umon pacifica has never opposed the 0 irp and operation of the contral central show how that 62 of southern pacific business to lo an ani from position grays statement in this matter of june is 10 set bet 1 forth in president carl R pacific as an independent ind pendent railroad but it has opposed california during 1921 moved through ogden and will cantia cantim to its retention the a oppose by it evident that these figures have been furnished tit valon e 1 in M c cawl is fram ati uth rB filho if clr ABU ivonn be southern pacific for the very sound reasons set forth by to the salt lake chamber of commerce co by the southern rard up but it of t Us ahny fit pacific nd it lh not for rl h h decree t the supreme court in its decision the union pacific will pacific we have no record of the movement through el r 11 M paso and no way of verifying the figures if the informal nah nil it if doff the aid the central pacific to operate successfully as an independent on is corret correct it furnis furnishes furnish hs pa the best illustration that were bath if at iid holler tarl it clr it to b br which info railroad to the end that traffic unrestrained traffic when permitted to do so moves via the shortest r kofr cibir baluk worked out lr tl and most direct route and where the best service is obtained 11 shall be per permitted mittet to move by the most meet direct and shortest with alph it 0 1 rant cant I 1 uearl line caad if the solicitation instructions of the director alth ial 11 II olaff route where your treasure is there will your heart of traffic of all the southern pacific lines have not the fear is expressed that ogden salt lake ani be also the people of ai arizona izona ard new mexico are not to resulted in holding the greater percent percentage aae of c moving provo will become way ay stations station should the union pacific to and from eastern pota ponti to the sunset gulf route be blamed for Sout southern bern pac fic fc control central of acquire the central pacific and the denver rio grande then it follows that an operated central wes western tern western be by some other pacific and by the sane same bolcen the thousands of people in pacific would at onee one be in a self supporting support inc position the strong line growing cities like ogden salt lake and nevada and utah iia no e 1 waiting the fact a however that PS lete as april 1922 director of provo are destined t to become larger and more prosperous traffic L T J spence admitted that flit the southern south rn pacific rr for the union pacific to do anything which would retard central pacific to haff the bus oss ess it is entitled to by was dive itma all al traffic rosh via the anse cupsi gelf their development would be a contradiction of its record reason of its constituting the file shortest and most direct route through ri el paso and tuon TU on of the rn in the past and contrary to all good business principles for fir route from central cold california orna to tie the east proportion of the baat wi wa i iosim the flip 00 0 oo 00 0 and several years the missouri pacific denver rio grande grand el paso gat davs the th is 11 V PLATT and western pacific were viere operated as one connected continuous and the court in effert t so found that if the restraint line from st louis to san francisco likewise the general mariager maringer Mar iager almon pacific Sy Item of the tha il PM paso tuc bucon n III iwa were removed it would union pacific and central pacific were operated as one salt lake city divert thousands ands ff ef reload va utah that are now going continuous line from omaha to tn S san francisco it was duras J through arizona aid new me maico aco I 1 it is a matter of record that no line has ever come co me under the control of the union pacific which has not been improved in facilities and service to the public we shall furnish additon aa information from time to time tri iva pao W c rustem SALT LAKE CITY M MAA H 4 s 4 M |