The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1897-07-04

MALLORY LINES FIRST SLASH Is
FIFTY PER CENT CUT.
between the Devil and the Deem
Blue Sea, They Are Drawn Into
This Fight for ScIf-Protection.

Galveston, Texas, July S.-The red rag
of war has been III furled and diplomacy is
out of a Job in so far as the freight rate
situation is concerned. When The Post an
nounccd that the Lone Star Steamship line
between Galveston and New York was an
accomplished fact. the knowing ones at
once busted themselves with predictions
that the greatest rate war which Texas has
known in years would follow There was.
however, a conservative element that
hoped such would not be the case. To this
element belonged the railways, and so far
as can be learned they have kept clear of
justments.
Several days ago the Mallory line an
nounced a new commodity tariff. In which
a number of substantial reductions We're
named. But matters were brought TO "A
crisis yesterday evening" when the Mall
lcry line announced horizontal cut of 80
per cent in class rates from New York to
Galveston. This tarin is as follows. and
becomes effective July !:
First class. 80 cents; second class, 321h;
third class 2T52 fourth claes PLY; filth
clase. 2l class \. 2lia. class b. 1919 clase
c, II ;class j, lIia; class E, 17is; class
+, 17is.
Traffic Manager Bartholomew was asked
If the Mallory line would sign through bills
cf lading from New York TO Texas common
New York to Galveston and Galveston 10
Texas common points as fhe rate, This
question, he replied he was not ready TO
answer.
Daniel Ripley. agent of the Lone Star
Nb lima, do
about the cut. He replied that his line
Yves here 10 stay and the inference Is pretty
strong that he is prepared 10 meet any
cute the Mallory line may make.
Financially, the Lone star Steamship
company" slid he, us strong and we have
fuly matured cur plans. We shall oper-
ate first-class freight STEAMERS and will
take care of our patrons. We started out
10 mako the Galveston rate the same az
The New orleans rate and promptly In
formed the Mallory people OF our inten-
ton. Tho first-class rate from New York
cents To Galveston. The flrst-cass rate
from Boston. Philadelphia and Baltimore
10 Galveston is 80 cents - against a 10
cont Fate 10 New Orleans"
WHAT rates will you announce"
IL am not ready to announce them ms
yet. When ! do you viii hear of It soon
enough. In the meantime We are meeting
New York for Galveston July 10"
Mr. Ripley appeared In a decidedly
cheerful mood. Mr.. Bartholomew seemed
perfectly serene at the turn of events. But
the railway people. o: at lcWt these who
were accessible. were very gloomy lot,
Colonel Polk OF the Santa Fe frankly de-
clared that rate war which would de-
moralize business was jusN Exactly what
the railroads dl not want and hoped that
the roads would not be drawn in the mat
ter, But he talked like a man whose tudg
mont was against his desires and that how
ever much he might deplore the matter,
disturbance Is at hand
Assistant General Freight Agent Crosse
close of the Katy is here today. He WAS
non -commttal in discussing the matter
and like Colonel Polk declined to talk OF
the possibilities of the situation and ad-
ysed against any discussion which would
tend 10 complicate matters.
But things have gone too far now for an
insight into the future not to be obtained.
There was a time when New York and
other Eastern cities supplied 80 per cent
OF the commodities and manufactures con-
sumed in Texas But the West mas eaten
into the business OF the East until today
tho situation is practically reversed ana
ness done by New York range from 10 10
20 per cent. with a preference for the
former figure.
Thus is shown the vital interest the mer-
chants and iobbers OF Kansas city. Louis
Vile Memphis, New orleans, Chicago, ON |
cinnau and St. Louis have in these new
rates and the cause OF the gloom 10 IeSas
traffic circles becomes apparent.
To-day tho first class rate from New YORK
10 Texes common points is si.Ia, being
combination OF so cents from New YORK
and 20 cents from Galveston. The Mallory
cut will bring this down at once from Si'i5
10 81. 35. The present rate from 81 Louis
first class TO Texas common points is - .So,
or within cents of what the New YORK
rate will be. and the differential OF 40 cents
which ST. Louis has heretofore enjoyed |
under New York will shrink to 5 cents. II
win naturally follow that st. Louis mer-
chants will kick and kick vigorously Tor
reduction. .,
louisville and Memphis are all factors IN
this adjustment. and they all have diner
entail rights. Should reduction III rates
from ST. Louis be made corresponding |,
raduction will therefore probably follow |
from New Orleans. Kansas Guy mempnis
and Chicago In the old days wnen the
Texas lines controlled the Galveston rates
those rates formed the foundation stone
,,non which the whole Southwestern rate
adsnstmcnt was built. but the Texas lines
haying been dsogived q ~ nsnt - cnsnSsI