The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1903-06-10
STILL THRESHING
OUT Mr.. BAER
And Again He Shows His
Teeth to the Interstate
Commission.

NEW YORK. June 9.-Hearing in the
investigation of the complaint Of w. R.
Hearst against the coal carrying roads
was continued before the interstate COM
merce commission today, when President
Baer was recalled. He said the rates
charged on coal from the anthracite re-
giOns tapped by the Reading system,
about $50 miles to tidewater, IS $1.55 a
ton. Thirty or forty years experience
had shown that the coal could not be
carried for less.
Notwithstanding the enormous increase
of traffic. he said, the cost Of trans
pOrtation has increased. The rates have
not increased. In wages alone on the
Reading system the increase last year
was 81, 200 004."
Mr.. PrOuty wanted to know why gross
item of nearly $4,000 600 was shown in
the report as improvements and asked
for details
Il do not understand" Mr.. Baer replied,
that your commission has jurisdiction
over the way the Reading shall keep its
books or to what account it shall charge
the moneys expended for Improvements -
The commission does not claim such
jurisdiction Mr.. Prouty replied. but has
the right under the congressional pro-
vision TO know what the railroad COM
pany does with the money ii earns SO as
TO be able to determine if its charges
are fair and reasonab able
Witness said had he known the COM
mission wanted a detailed statement of
expenditures he would have it made out.
Further along Mr.. Baer said:
4 doubt If the great state of Pennsyl-
Nan1a VIII allow her great corporations
and her coal fields to be spoilated for the
l think it more likely that special induce
ments will be made to manufacturers to
come to Pennsylvania and consume the
state"
AIR. Bear said some of his associates in
the company would be justified in charg-
ing any price they could get for their COAL
but he believed it was not to the COM
pany's interest to charge an unfair price.
The Reading had never yet made any
money. but if it could maintain the bot
tom prices at 81. so a ton for the price
basis sizes, it will be able to pay cents
on this basis. He doubted if they could
Increase the price another so cents a ton,
met
Mr.. Shern wanted to know why the rates
on anthracite on the Reading are higher
on a 1S0-mile haul than are the Penn
sylvania charges for 200-mile haul Mr..
Baer said he doubted if the figures were
correct He declared that the, Reading
Coal & Iron company pays the same
freight rates to the Reading railroad that
al other shippers pay.
When, if ever" he said. 'the price
cannot pay the established rate and make
a profit on its coal it will suspend
Joseph S. Harris. who was president Of
the Reading system before Mr.. Baer, was
called and he was followed by c. D. Hen
derson, second vice president Of the Phil
adelphia & Reading railroad and general
manager Of the Philadelphia & Reading
Coal and Iron company.
]. D. Childs, general manager of the
Ontario & Western, was asked by the
commission the exact figures the company
gets for transporting coal. J. B. Kerr
counsel for the company, said they had
the same contracts with the Independent
coal companies as with the companies
controlled by the Ontario & Western. He
said he would submit a statement cover
ing the last ten years. During the scar
city Of coal following the recent strike.
Mr.. Childs said the Ontario & Western
abrogated the contracts and carried the
coal the operators had to sell at 35 per
cent Of So. The railroad took no part of
the profit above that figure
The commission adjourned untiI Thurs
day. Tomorrow counsel will argue be-
fore Judge LacOmbe in the United States
circuit court as to the admissibiiity of
the coal purchase contracts.