The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1896-05-06

case in defense of the San Francisco
Jobber, who it is claimed, is practically
shut off from the Utah trade by the
| action of the Union Pacific and Rio
Grande Western in withdrawing the ap-
plication of Salt Lake rates from Ogden
1T will be remembered that at the
| time the Ogden people were complaining
the most loudly, it was one of the Salt
Lake jobber's chief contentious in sup
port of the action of the two roads, that
with the application of the Salt Lake
rates to Ogden, the markets of Utah
were thrown open to the San Francisco
Jobber to the detriment of the home mer-
chant. This the Ogden people contra
dicted most strenuously, but that the
claim of the Salt Lake merchants was
we'll founded is shown in the following
the San Francisco Chronicle. The ar
ticle reads:
THE bitter rate war between the
Southern Pacific company on the one
side and the lines from the east doing
business in Utah is approaching crisis
The freight department of the Southern
Pacific company was advised yesterday
that the Union Pacific and the Rio Grande
Western roads had withdrawn what are
known as the distributing rates out of
Ogden, and this action on the part of
The Southern Pacific competitors has
placed the Ogden jobbers, who lave sup
pOIlcQ Tie IoOulLGIH III tie OldH
rate fight, at such an unequal disadvan
tage with the Salt Lake jobbers that Wig
orouS protests have gone forth from
Ogden during the past few days.
The trouble between the Southern Pa
cifc and it's eastern connections, which
are it's competitors as far as Utah traf
fic is concerned. dates from last fall
when the eastern lines reduced their
freight rates into Utah from the east.
The Southern Pacific, claiming that San
Francisco was the natural distributing
point on account of its proximity to
Utah, then issued tariff in which it
reduced it's rates from California to Utah
common points. The Southern Pacific's
connections refused to participate in
these rates and the Southern Pacific was
left no other alternative but to with
draw it's tariff. AS substitute it made
rates to ogden sufficiently low, it was
thought to compete with eastern job
bers in Utah. The Southern Pacific took
the stand that it was entitled to make
the same rate per mile from San Fran
cisco to Utah as existed from Chicago to
Utah. and the Ogden tariff was figured
on that basis The Southern Pacific has
since been making such special rates to
Ogden as the traffic warranted, and these
rates were recently Incorporated in
special tariff published two weeks ago.
These rates apply only to Ogden, the ter
minus of the Central Pacific, but. were
made sufficiently low to enable shippers
to pay the additional distributing rate
on the lines of the Union Pacific and
Rio Grande Western and still be left a
margin of profit. The Ogden jobbers have
company in it's fight with the lines which
want Utahs business to come from the
east, and for retaliation the Union Pa
cific and the Rio Grande Western have
of Ogden and given the Salt Lake job
beers a practical monopoly of the trade
of Southern Utah.
LAS c.. F. Smurr. general freight agent
.I-.,
terday, the jobbers of Ogden and Salt
Lake have always enjoyed an equal adj
vantage in respect to rates in pursuance
of an agreement with both the Union
lines. Distributing rates to points north
of Logan and south of Lehi Junction
have been the same from both Ogden
and Salt Lake, and the withdrawal of
the distributing rates from Ogden ac-
cordingly leaves the Ogden jobber in an
embarrassing predicament In order to
with the Salt Lake jobber in
Southern Utah he has now to pay the
local rate from Ogden to Salt Lake in
addition to the distributing rate from
Salt Lake. These local rates are almost
and added to the rate from
San Francisco to Ogden, make through
rate from this city which in many IN
stances equals the rate from Chicago.
The local rates from Ogden to Salt Lake
per 100 pounds are as follows, governed
by the Western classification: First class,
81 cents. second CLASS, 70 CeHlS, THRU
class. 20 cents: fourth class 151s cents;
fifth class, Is cents; class a, Is cents;
class B, 1872 cents; class c, IL cents;
class D, cents; class E, 8 cents. The
cipal commodities shipped from here to
Utah, takes the fifth-class rate, or 10
cents per 100 pounds for the short haul
of thirty-six miles between Ogden and
Salt Lake, which, added 10 the rate OF
30 cents from here to Ogden. makes
rate of As cents to Salt Lake. 1t
is the same with all other commodities
which California is supplying to the
Der, but the San Francisco iobber, from
whom the former obtains his goods, is
now forced to face an unpleasant condl-
ton of affairs. which he has no means
now taking the Union Pacific and the
Rio Grande Western lines severely to
task for their withdrawal of all distribu-
ting rates out of Ogden, and the ogden
iobbers are sending cut circulars to their
customers notifying them to send in their
orders as usual, and offering to refund
them every cent their freight costs them |
mora from Ogden than it would cost
two lines nentiol,Sl is regarded as an
4 ttempt to freeze the San Francisco mer-
chant and the Southern Pacific com
oany, and incidentally the Salt Lake JOB
cisco, out of all territory which can be
supplied from Salt Lake"
1t will be noted that numerous inaccur-
acies are made in the sta tement contained
In the foregoing in relation to the motives
which actuated the Southern Pacific in
publishing it's extraordinarily low tariff,
and the Union Pacific and Western in
their act of retaliation as the withdrawal
Of the common rates is termed.
The statement that the Southern Pacific
only published its low tariff to enable
the Ogden iobber to pay the distributing
ocals from Salt Lake and compete with
the Salt Lake jobber in southern Utah is
shown to be incorrect, since the rates are |
SO low, as named in the tariff referred to-
that the Ogden jobber can pay the local
rates from Ogden to Salt Lake, add the
rates beyond Salt Lake, and
still have something the better of it over
the Salt Lake merchant, according to the
railway officials. They allege that the !
tariff was published with the excuse of |
oenefitting the Ogden man but primarily |
10 enable the San Francisco wholesaler to |
come in and capture business which, I'M |
Ter normal conditions, belongs to Utah |
merchants. The Chronicle very aptly says |
hat mot only the Ogden jobber but the |
San Francisco jobber. from whom the |
ACE very unpleasant condition of af- |
AIRS which, the local merchants con- |
end, is as it should be when the San
Francisco merchant is to be permitted to |
ship goods once and half across the |
and dump them into Utah at the |
expense of home institutions.
Another statement made in the Chroni- |
lie article. which is denounced as untrue
by the roads, is that to the effect that |
he Union Pacific and Western were |
lctuated by a desire to freeze out the
san Francisco jobber and the Southern
Pacific The statement may perhaps be |
rue Indirectly and in the abstract, but |
he withdrawal of Salt Lake rates from
Ogden was not aimed by the two roads as |
/ blow at either but was instead intended |
Is it is now operating, as a protection to
Utah industries.
THE WORK GOES ON.