On June 5, conference was held with Mr. Foster, General Manager of the Yosemite Valley Railroad at Merced. The following is a brief statement of several points which were discussed.

        The Pacific Coast Railroading Association has made a careful inspection and partial survey of the road with respect to its physical features and possibilities for rehabilitation and operation. It appeared to Mr. Foster that this Association was very much interested. They are a Pasadena firm. They proposed operation of a Diesel air-conditioned engine and car. It will be light, fast equipment, and they expect to make connections with the Santa Fe and Southern Pacific sufficiently to make a real bid for passenger traffic. They thought they might run two or three trains daily.

        Mr. McFadden reviewed the project with two engineers.

        Mr. Foster reviewed some of the history of the railroad as follows:

        On January 29, 1937, the railroad went into trusteeship, and is still in that status. At a recent Los Angeles meeting there was an effort to dissolve trusteeship. Mr. Foster has not yet been informed as to the results.

        Very recently the Yosemite Valley Railroad directors have had returned to them the three engines which they have had leased to the Southern Pacific Company since the beginning of the war. Since the Yosemite Valley Railroad bas no use for these engines, it simply takes them out of public use, and deprives the Yosemite Valley Railroad of $2,000 per month rental.

        Mr. Fred Freidburg purchased a sufficient number of bonds a year or more ago to gain control, and can foreclose at any time. Mr. Freidburg is a salvage dealer who has purchased quite a number of spur line railroads. Some of these he has removed, and sold for scrap metal, while one or two others he has continued to operate.

        The Yosemite Valley Railroad owns 37 acres at El Portal at and around the station. Of this acreage, 15.72 acres are Government grant under Act of March 3, 1875. The grant extends to the river, and includes the land occupied by the Shell Gas Station prior to 1937 storm. The 15.2 acres occupied by the depot and other buildings and tracks were a definite purchase by the Yosemite Valley Railroad.

        There is a reservation clause in the purchase of the above 15.2 acres, as well as in certain other lands now occupied by tracks of the Yosemite Valley Railroad, which calls for the return of the land to the former owners, if and when the railroad should be abandoned. This clause applies also to the trackage just west of the barium mine, approximately 14 acres. If the railroad should be abandoned, the railroad right-of-way would revert to the Ward Land Co., who are the successors of the El Portal Mining Co.

        The areas occupied by the private dwellings around El Portal are owned by the Ward Land Co. Mrs. Gardner is the local Manager.

        The El Portal Mining Co., who operate the barium mine, are under the direction of Wm. Letson, San Francisco.

        On last Decoration Day, the railroad transported 132 photographers and others interested in photography to El Portal and return.

        Ties are being replaced as fast as they can be purchased, and as needed. Mr. Foster states that the track is in good condition, as indicated by the fact that they are hauling carloads of pyrites weighing a total of 74 tons -- car and load. The rails are 70 lb. per yd. and the ties are 6' x 8" x 8" sawed.

        The above facts are noted for the record.