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Bolton, Charles E. (Charles Edward), 1841-1901

"The Harris-Ingram Experiment"


At first Harris found great difficulty in convincing railway managers
that the steel rail would render enough more service to compensate for
the additional cost. The most anybody could say in favor of the steel
rail was largely theoretical. The Bessemer steel rail had had only a few
months of actual service, long enough, however, to demonstrate that at
the joints it would not batter and splinter like the iron rail. This was,
indeed, a desideratum and many orders came in. Not only was the steel
mill kept running day and night, but orders accumulated so rapidly that
large additions were made to the mills.
Money for all these improvements and the capital necessary to carry on
the increasing business were matters of vital importance to the success
of the company. To manage a business with greatest advantage quite as
much ready cash is needed as is invested in the plant, otherwise the
banker's discount becomes a heavy lien on the profits, and the
stockholders grumble at small dividends.
Possibly Reuben Harris overestimated the value of his service in
financiering the business; at least he came to believe that he earned,
and ought to have a larger interest than James Ingram.


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