Evening journal. [volume] (Wilmington, Del.) 1888-1932, 1889-02-27
FIGHTING FOR LOWER RATES

Grange of the Patrons Of Husbandry
against the Pennsylvania Railroad Com
pany was argued yesterday at Washing
ton before the lnter-S State Commission.
This case has absorbed a great deal of
the time of the Commission, at Dover,
Del, and at Washington, in hearing ties
1imony pro and con, and one involving
widespread interest in Delaware and
elsewhere.
The gist of the complaint is that the
Delaware Railroad Company, which is
leased and controlled by the Pennsyl=
vania Railroad Company. charge an ex.
orbitant rate of freight upon peaches and
berries transported from the peninsula to
the principal eastern markets. George |
II. Bates, Esq, and Levi c. Bird, Esq.
of Wilmington, represented the COM
plainants, and James A. Logan Esq and
George v. Massey, Esq, OF Dover, repre-
scented the respondents. Mr.. Bates
opened the argument. lie referred to
the general characteristics of the PENN
sula: its general freight was Of charac
tar which was not lost by the railroads
traversing it's territory by reason of
being engrossed for short time In the
transportation Of the peach and berry
traffic
A critical examination of the figures
appertaining to the fruit traffic from
year to year indicated that the growth Of
that traffic had not been common
surate with the increase OF
population. He took the actual ship
ments as evidence on this point.
The statistics showed that the bust
ness of fruit raising on the Peninsula
was being literally strangled to death by
excessive rates of freight
The fact that the rates were high on
fruits was practically confessed by the
defendants, who gave various excuses
therefor One was the expenses and
delay Of fitting up cars, for the.purpose Of
transporting peaches and berries.
Another excuse for the high rate was
the extra service on the part Of the rail
road company at stations He alleged
that the proof did not bear this out.
The high rate of speed required for the
transportation of these perlshable
freights was also made an excuse for
high rates, but the statistics Of the rail
road showed an average speed Of not ex
ceeding fifteen miles on any section of
the road AS to the speedy delivery at
Jersey City, which the railroad company
alleges IS reason for the alleged exorbi-
tant rates. there was no delivery at all
by the respondent company for they
simply opened the cars and the con
signees had TO unload them.
Mr.. Bates also said that there was a
concurrence of testimony that an early
delivery at Jersey City, which is the vital
thing with respect to this class Of traffic,
is not and has not been realized.
The counsel of the Delaware Changers
said that the result of 1888 is still more
striking, and that 1878 cars earned dur
ing the peach season an average of $268
per car, or equal to 53i days earnings at
an average of 81 a car for less than 30
days actual service. He quoted from the
reports of the Delaware Railroad Com
pany to show that, year after year, the
success or failure Of the fruit crop was
used by the Directors to account for the
increase or decrease Of the earnings of
fherailroad company; and he charged
that the policy of the Pennsylvania Com
pany had been to load up the operating
expenses on the Delaware Railroad for
the purpose of reducing the surplus
which would go to the stockholders Of
the latter road. He closed his argument
by the statement that the average Of
operating expenses charged TO the Della
ware Railroad is very much above tho
average Of operating expenses Of rail-
roads in the United States, and that in
face Of the fact that in the reports of its
own engineers Il is avowed that IL is an
exceptionally cheap road to operate
Mr.. Massey, for the defendants, said
that the case had finally resolved itself
into the consideration Of two PROPOSE.
tions. First as to the reasonableness
or unreasonableness Of the rates Of freight
upon perishable fruits, and secondly, the
consideration Of the question Of discrim-
nation in favor Of shippers from Norfolk
by way of the Delaware Peninsula as
against the producers and shippers To-
Gated on the Peninsula
He denied that the rates were other
than fair and reasonable, and said that
the railroad for many years past had
opened up new markets for the disposal
of the products of the Peninsula which
had not heretofore existed and in what
manner created large demand for the
products Of the locality in question and
that year by year the railroad company
was extending the area that the growers
and shippers may reach. Each and all of
the branch lines Of the Delaware railroad
proper which form part Of the Delaware
Peninsula system Of the Philadelphia
Wilmington and Baltimore railroad have
been Tor years losing money, which must be
taken into consideration in determining
what is a reasonable or unreasonable rate
charged by a railroad that affords this
highway to the markets
The evaporation Of the fruit accounted
In some localities for the seeming decline
in transportation Of green peaches II
was a notorious fact that the fruit rails
ing belt was gradually moving south
ward, which was controlled by nature,
and it was something that rates had
nothing to do with, but notwithstanding
this the testimony showed that the
acreage devoted 20 peach plantations was
increasing 1t was a perishable freight
and required extraordinary speed in car
rage and entailed expenses that were
not encountered in the transportation OF
ordinary frieghts The commission mer-
chants Of New York had a motive in tes-
tifying against the cause of the railroad.
They We're naturally antagonistic to the
home buyers as middlemen ALWAYS. The
whole thing. said Mr. Massey. depends
upon results II the fruit brings good
price in the market there is no complaint
ltit does not, the blame is laid at the
door of the railroad. The commission
merchant informs the shipper that the
low price is due to the produce not arriv.
ing in time to catch the early market
Mr.. Logan then took up the cudgel foi
the defendants and said that the com
plainants had confined their allegations
to tardy delivery to the year 1887, anC
to-day he did not propose to go into that
He stated that their company had everJ
year improved its service over that of tn,