The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1900-06-12

The June Letter Of the Anthracite
Coal Operators association says of the
proposed Delaware Valley and Kings
ton railroad:
The opponents of the Delaware Valley and
Kingston railroad have appealed to the courts
for a review of the decision Of the state rail
road commission, granting charter. 1t must
be generally recognized that this is simply an
effort to delay construction work. SINCE after
the very convincing proofs of its necessity,
which were placed before the commissioners, and
the strong reasons why its construction was
advisable, as stated in their decision there docs
not apcar to be any other final result possible
that the confirmation Of the consent already Civ
en-. The Objectionable delay to construction
work can be avoided by filing suitable bond.
but whether or not this may be advisable will
depend upon the length Of time before a deci-
sion can be expected The entire matter is well
in hand and being urged forward rapidly as
may be done.
1t is not surprising that the fight against this
railroad is being carried at every point. The
present anthracite carriers realize that its COM
pletion and operation will introduce into the
anthracite trade an independent factor, amenable
only to its own policy of conducting business,
one which cannot be dictated by outside influ-
ences. Owing to contracts which this road has
concluded with individual operators, and which
provide for lower proportionate freight charge
than any hitherto granted these other anthracite
carriers will be practically forced to adopt the
same rate; indeed, the Ontario and Western is
bound under its present contracts to do so.
Thus, the earnings of these various companies
will be reduced and, according to the universal
experience Of all transporters, this reduction
in freight will necessarily lower the selling price
to the public
Not only will there be reduction in the sell.
ing price through lower freight charges, but
since the contracts with the new road provide
for practically full working time for the indi-
yidua operators, a larger tonnage will come
forward to the markets. 1t follows, as a natural
commercial law, that such increased shipments
will stimulate competition and result in further
reductions by other sellers in order TO try to
avoid losing their customers. The fact that
these new contracts provide that the amount
paid to the operators shall be based up on the
average selling prices of three other companies
does not affect this underlying condition. since
these companies must meet such competition and
make their prices in accordance, but It docs
insure to the operator the receipt of a fair
average price instead Of the return from only
selling company.
The importance Of the successful issue of this
project to the individual operators and to the
public at large cannot be over.estimated. To the
Iormer it means relief from the thraldom of rail-
road domination and an assured market for all
) their product, while to the latter il will bring,
Is already stated, lower prices for one OF the
necessities OF life.
THE COAL MARKET.
The past month has shown no change in the
lnthracite market other than a small relief
through western shipments. In the tidewater and
'astern markets sales have been slow and while
here has been evident effort to maintain
prices, rumors of purchases under current rates
ave been frequent and apparently well founded
June opens without any change in prospect un
ess, as is anticipated, an advance circular is
issued, to take effect July lst. II this course i:
taken it is probable that the selling companie,
will maintain the new price firmly in order &c
failed to take sufficient stock in the expectation
of a decline in the market
The intrinsic strength of the situation has moi
changed. Nearly all of the selling companies ar,
in position to act in harmony, should an ad
vance in prices be made, and are looking for
ward TO a large volume OF business during IN,
fall months. That they will enter this perio,
with a weak and low-priced market is not to b,
expected unless, as happened last year and fol
many preceding it, some OF them make an nj
tempt to force tonnage on the market durin.
June and July. These have always been IN,
critical months in the anthracite market. an,
the course followed during the next sixty day
will practically determine fall prices, whateye
circular may be Observation-Disclosures Goa
Operators June Letter.