- ness activity, and the receipts of the Union Pacific
for 1880, 1881, 1882 and 1883 were largely increased," but "in the face of a very large and apparently profitable business" the company found itself early in 1884 on the verge of bankruptcy." Competition, the burden of its fixed charges, the extravagant sums paid for branch railroads of little or no earning power bought by Mr. Gould, and the "lavish and reckless distribution of the assets of the company in dividends, all combined to produce this result." After stating that Gould's connection with the road ceased in 1883, the report says: "It is with a sense of great relief that the commission turns from the history of this company from 1873 to 1883 [the period of Gould's control—Ed.] to the conservative, energetic and intelligent management that has characterized the management from the opening of 1884 to the present time."
Ex-Gov. Pattison, in his report, said:
"The Union Pacific company has received $176,294,793.53 in surplus earnings and land sales during eighteen years, and if its stock had been fully paid, as Congress required that it should be and as its officers certified under oath that it was, nearly all of that money would be applicable to-day to the payment of the government debt. The company has paid out $28,650,770 in dividends, and $82,742,850 in interest on bonds, nearly all of which were distributed to shareholders without consideration. It has sunk over $10,000,000 in Denver, South Park and Pacific; it paid out $10,000,000 to Jay Gould and his
