Evening star. [volume] (Washington, D.C.) 1854-1972, 1896-07-24
A CUT OF EIGHTY PER CENT
Freight Rates to Points in the South Go
Tumbling.
The SeabOard's Reduction is Met by
the Southern Association With
O Large Margin.

The Southern States Freight Association
at their yesterdays session at Atlanta or
dered reduction Of 80 per cent in the tar
if in order to meet and surpass the cut re-
Gently ordered by the seaboard, which has
been in effect for some days. The new
tariff applies to all classes of freight ex-
cept provisions. sugar and grain. The ac-
ton was not taken until Vice President st.
John positively refused to recede from the
position assumed by himself and the other
officers of the Seaboard in the matter,
which was that the Southern should with
draw its steamer line on Chesapeake bay,
between Baltimore and Norfolk.
In reference to the latter suggestion an
officer Of the Southern said: The PROPOSE
ton or demand of the Seaboard, whichever
1t may be termed, is preposterous. The
steamer lire established by our company
between Baltimore and Norfolk is there to
stay"
Another railroad official, in speaking of
the war between the Southern and the Sea-
board. said: The rate cutting which is
being INDUCED in by the two roads is most
unfortunate. especially when the business
OF the country is in a very unsettled and
unsatisfac tory condition. The effect will
undoubtedly be to injure the financial
standing Of both roads. and deleterious
influence will be exerted on all the rail-
roads along the entire coast Already this
trouble has affected the business of roads
in some other parts of the country very
severely. Many southern merchants who
have heretofore purchased their supplies
In the west have countermanded their or
ders there and are buying their goods in
baltimore, so that they may be able to
take advantage Of the reduced freight rate.
II this state of affairs continues much
longer, there Is not the slightest reason to
doubt that the northern and western roads.
whose revenues are lessened by the fight
between these two roads, will also reduce
a md f1,0fr ty,fo
which is the only reasonable course for
them to pursue in the matter. This will
result In q material reduction Of revenues;
and, 1t is expected. a curtailment of ex-
peaditures. with the almost absolute GER
tainty that many men will be thrown out
of employment.
1T Is to be earnestly hoped that although
the cut Of so per cent in the schedule has
been ordered by the Southern States
Freight Association, some compromise Of
the trouble may be effected before the rates
go into effect. Otherwise, 1t is feared that
there is disaster ahead for many railroads
besides those Immediately involved"
Vice President ST. John has issued the
following statement in regard to the course
adopted by the Seaboard company:
we have taken a strong defensive posi-
ton to repel an unprovoked and unjust at
tack on the Baltimore Steam Packet Com
pany's business and property rights. The
southern Railway Company. regardless Of
duty and courtesy, established q wholly
unnecessary line Of steamers between Bal
timore and Norfolk They had technical
right to do 1t. but say boldly and advised
ly that they did not do 1t to serve the pub
lie or their own business interests. They
propose to destroy and not to build up.
Friendly connections cannot permit such
an attack as this. The claim Of the South
ern that 1t cannot handle its business ex-
cept with its own line is preposterous Es-
tablished lines can furnish all the facilities
needed for scores of years to come The
Southern was offered terms of perfect
equality with all other lines. The Bay Line
Is Independent of the Seaboard Air Line.
but 1t has been a close ally. The South
ern, in its attack on the Bay Line business,
threatens all other established business.
We have been unable because of the in
nuence of the Southern to run sleepers to
and from New York as the Southern does
We have been trying for three years to do
this, and We will yet accomplish 1t, al
though at present it is unlawfully denied
US We have been thwarted by the same
influence in our Atlanta and New Orleans
business. but the interstate commerce law
Will, sooner or later, be enforced in thes.
cases. Our determination to secure cur
rights may cause the rate war to last for
months. and possibly for years, but we be-
Heve the shippers and people will support
US against the Southern railway and those
behind 1t.