Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1905-10-20
PRIVATE CAR LINE HEARING
Commerce Commission Probing HSthSds Of
Shipping Psrishable Goods.
EAILwAYs ACT AS TRANSPORTATION AGENT
TrRHc Manager for Company Using
Gould Lines says Present Rates
DO Not Pay Divi-
dends.

WASHINGTON, oct. 1e.-Several trafhe
managers Of southeastern railroads tesu-
fed before the Interstate Commerce COM
mission today in the private car inquiry
concerning the manner Of handling fruit
and perishable products in their territory.
Most of them said they have entered into
arrangements with private car lines by
which the latter engaged to take the re-
sponsibility for the handling Of the fruit.
the railroads acting as agents only in the
matter Of transportation. A. Allis, an Ice
manufacturer of Augusta, Ga, submitted
contract his company has to supply the
Armour car lines with ice. and gave many
details concerning the arrangement with
the private car lines. II is expected the
| hearing will be concluded tomorrow.
w. c. Rowley. freight trafic man
ager OF the Michigan Central railroad.
was cross-examined by Mr. Richman OF
counsel for the Armour car lines, who OBJ
tanned from the witness the admission that
in case where free icing OF dairy or other
! products is advertised the freight tariff
takes into account the cost OF such icing.
Pays No Dividends.
]. II. Kerr general manager of the Amer
! lean Refrigerator Transit company, testi-
/ fed that he believed the stock of the COM
| pany is owned by the wabash, Missouri
I Pacific and the St, Louis & Iron Mountain
| companies. The company operates 3,l00
! cars of it's own and 1000 leased cars. Mr..
Kerr said his company has a contract with
! the Gould lines to solicit perishable fruit
| business along these lines, but this does
not constitute the company an agent of the
roads.
The contract with the Iron Mountain
was offered in evidence. This contract
showed that the American Refrigerator
! company receives / cent a mile for each
| car, travelling both ways. and 12k per cent
commission on all freight charges ON per-
| ishable goods carried in these cars. TAX
| ing one concrete case, the shipment Of a
car of Strawberries from Judsonia, Ark,
| to St. Louis, Mr.. Kerr said il cost his
company $54.75 for icing and other ncces-
sary expenses and II received from the
shipper only $50 per car. Mileage and COM
missions brought receipts OF the company
UP to $50 a car. The company. ne said,
had not lost money, but had paid no dlvi-
dends.
A. G. jackson. general freight agent of
the Georgia railroad, testified that his road
carried about 400 cars a season Of perish
able goods and had contract with the Ar
rnour car lines. which attended TO the
carrying of fruits and vegetables. They
attended to the refrigeration OF the cars
although his road sometimes provided for
i the refrigeration merely as an agent.
Armour Contract with Frisco Line.
A. 8. Dodge, third vice president Of the
Frisco line at Chicago, stated that his com
pany had contract with the Armour cal
lines for all refrigeration business under
which the Armour line cars should be used
/ h ~ nnAu
planned that he had persuaded the Armour
lines to make reduction at the time theil
contract was made on the rate for peaches
and berries and he added that the Armour
people had made voluntarily some other re
ductions from their ordinary rates. He wal
asked II the meat packers fixed the cost o.
refrigeration as we'll as for freight charges
in accordance with previous statements II
evidence He replied that he did not agret
with Mr. Stickney and Mr.. Ripley that thu
packers fixed the rates.
H. NJ. Emerson. traffic manager of tn,
Atlantic Coast Line, said the refrigeration
service of that line was covered by a con
tract with the Armour car lines which hat
, been entered into at the request OF man!
shippers in the territory through which tn
Atlantic Coast Line runs. He gave figure
to show that under competition the refrige
ration crate rate on berries from Caroliui
points to New York was 64 cents in 1904 ant
that under the exclusive contract system
the rate has been reduced annually until /
is now only q cents a crate. The witnes
, insisted that the shipper deals directl
, with the Armour lines and the railroad Il
no manner acts as the agent OF the privat
: car line.
At 4:sO an adjournment was taken unit