The morning news. [volume] (Savannah, Ga.) 1887-1900, 1894-03-07
NAY co MUCH LOWER
It Is Said That the East Tennessee
Will Meet The Cut.

on ClaSS6S u, u ana w emit Into
Eject Yesterday-Several Lucky
Brokers Placed Large Orders Before
Anything Was Known About the
Cut-The Rate War May be Cut
Short by the Meeting OF the Assoc
citation in New York March IS.
The cut rates on the Louisville and
Nashville railroad, as a result of the
withdrawal of that road from
the Southern Railway and Steam
ship association, went into eff
! feet yesterday, and among other points
Savannah will get the benefit of them
The cut so far made has not been
large one, but it is sufficient to cause
great reduction in prices, and some of the
brokers who kept posted on the matter
took good advantage of it. The cut which
went into effect yesterday was a reduc-
ton Of five cents per hundred pounds on
! classes of freight c, d and f. which in
clude corn, oats, -four, wheat, hay and
similar produce.
This reduction is made to coast points,
which includes Savannah. 1t is equiva-
| lent to a reduction of about 81 a ton on
hay, 10 cents barrel on -four, 3 cents a
bushel on wheat, 2.S cents bushel on
corn and l 6 cents bushel on oats
TOOK ADVANTAGE OF THE CUT.
Some of the enterprising brokers who
! kept posted on the movements of the
/ Louisville and Nashville in Withdrawing
/ from the association have made consider
/ able capital out of the cut. Before it was
| known definitely that there would be any
/ cutting of rates they had found it out on
/ the quiet, and quoted prices to their Gus
| toners considerably lower than their
! competitors. Large orders were given on
| grain, -four and produce to be shipped
after the rates went into effect, and when
/ it became well known that the action of
/ the Louisville and Nashville would affect
| rates to this section many of the mer-
chants had already given large orders
! ahead.
The rates q uoted here apply from Ohio
| river points to southeast coast points.
| Now that it is known that the rates have
/ beenreduced the merchants are very wary
| about entering into any more contracts.
! They are expecting other lines to meet
! the cut, and believe rates will go still
| lower. Then too, good many orders were
taken on the strength of the cut before it
was definitely known whether it would
be made, and the consequence is many
! VI buG buyers dIC well SlOChCu 1H6
! brokers who were fortunate to get a
good supply Of orders on the strength of
the tips they received about the proba-
| bility of cut beforehand were very few
in number, but they have been congratu-
lating themselves that they kept well
posted on the sitaution.
THE EAST TENNESSEE MAY MEET IT.
The merchants here have been given
strong limitations that the East Tennes-
see railroad will meet the cut from Ohio
| river points to points on the coast In
| fact representatives of the East Tennes-
see railroad have stated that they ex-
pected instructions al any time to come
down to the same rate. OtherTOads have
given similar notice throughout the south,
wherever the Louisville and Nashville
and its connections extend. From the
present aspect of the situation it looks as
If freight rates on grain and produce from
the west would run lower than they ever
have before.
While the old rates established by the
association hold good within the section
specified, that is, south and east of a line
drawn through Montgomery, Birming
ham, Chattanooga, Jellico and Oakdale,
there is no way for the roads in this sec
ton to prevent the reduction of freight
| rates as long as the Louisville and Nash
vile maintains the stand it has taken. 1t
will be remembered that at the meeting
of the association, roads competing with
the Louisville and Nashville gave notice
that they would remain in the association
provided they were protected. If cuts
are made by their competitor there is
nothing for them to do but to meet them,
ana that is the only way in which they
can secure protection for themselves.
1t is believed that the Louisville and
Nashville will make other reductions
Just as soon as their rates are met by