The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-06-28
new RAVENS FREfGHFS 60 up.
PRESIDENT HAIL TELLS WHY
THE ADVANCE rs MADE.
Augmented Expenses. Largely Due to the
High Pricc OF Coal. Onc or the Chief
ReasOns--Incrcased Cost Of supplies
and the Advance In Wages Count Up.

NEW HAVEN, Conn, June 27,--President
John NJ Hall Of the New Haven railroad
tonight made public the reasons for the
increase Of freight rates all along the line
that will 60 into effect on July I.
-The increase amounts to two cents per
hundred pounds on the three higher classes
and one cent per hundred pounds on the
three lower classes | would say that this
is done to partially reimburse the railroad
at least to a small extent for the enormous
increase in cost Of operation brought about
during the past two or three years.
at is our intention in making this ad-
vance to make it uniform 80 far as posi-
BILE, SO that it will not fall unduly on any
particular locality or any particular line OF
trade. and this We believe we have done.
Goal for our locomotives, will cost APP
proximately s2,0O0,O00 more for the year
ending June 80 than for the previous year r,
and while it is true that famine prices for
coal do not prevail at the present time,
nevertheless. tho present prices of coal
will make the cost to the railroad for the
year ending June 30, 1904, about $500, 900
greater than for the year ending June
80, 1909
at has been frequently stated in the press
and elsewhere that this company has not
got sufficient equipment to serve its patrons
properly and in response to this would
say that bet ween 900 and 5000 new freight
cars have been purchased about half
Of which are yet to be delivered, at prices
aver? gng IS per cent. more than the cost
for tne sane car three years ago
"Onn hundred and fifty passenger coaches
.ln
been ordered at an increased cost. com
pared with three years ago, of about G5
per cent. Locomotives --a|l of which are
built in Proviolence-are about 70 per cent.
higher. :.
largest buyer of certain lines Of goods in
New England, and all such purchases are
made, wherever possible. from New Eng
land manufacturers in preferences TO those
located in other States. A notable instance
of this is the car works at Sycamore. Mass,
whose sole Gust omer is this railroad, and
the town Is kept alive by the employment
given in the car works az that point. There
is scarcely large manufacturer in New
England that does not sell largely to this
company. and, without exception. the prices
which this company has paid TO such manu-
facturers for their goods have advanced
from IS to 100 per cent in the last three
years.
I'VE are called upon to expend a large
amount Of money for the elimination OF
grade crossings which expense does not
add at all to our earning power, and the
saving in fiagman is such very small per
centage of the interest on the cost of elimi-
nation that it cannot he figured.
Our annual report shows that last year
on the rail lines alone, sec, 600 600. This
money is expended by employees in New
England for living expenses and thousands
of merchants and farmers are benefited.
and il seems only fair that those benefited
should stand their share OF the increased
cost in transportation.
"ln order prevent strike which would
have been public calamity, increases in
wages to employees were made IN May,
which increases will add 81 900 900 per annum
to our pay roll.
In no way made for the purpose Of having
the public assist in the purchase of the new
equipment referred to. all of which has
been provided for by the issuance of add
tional toci.
1T is estimated that the increased revenus
obtained from this advance in freight rates
will not begin TO Offset the single item of
increase in wages and the road IL still left
in the position of paying manufacturers
made from them without making a sufficient
advance IN its freight rates TO take care OF
such advances in the prices of manufactured
articles.
IF it is right for manufacturers to ad-
vance the price of their manufactured
articles, It certainly seems fair for the rail-
roads to advance the price of the only
article they have for sale, namely. trans
portation.
IAN of the trunk line railroads have been
compelled TO take similar steps and advance
their rates. and hearing was held before
the Interstate Commerce Commission as
to the justice Of such advances and they
decided that. with the exception Of The ad-
vance on one single article. the advances
were justified, and that article is not af
fected by the advance in rates on the New