Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1906-07-27
Railroads Have Entered Into
Worst Rate War in the
Last Decade
CUT RATE ON FLOOR ALSO
Great Westerns Plan Was Knocked
Out by the Rock island and Other
Roads Help to Complete the De-
moraIizaton of Rates-New Move
Made in the Oil Fight.

Chicago, July 27.-LWith only thirty
days before the new Interstate COM
mcrce law goes into effect, the rail-
roads of the country have entered upon
the worst rate war in the last decade.
1t is their last opportunity, and they
have taken full advantage of it.
smashing grain and flour rates as they
never have been smashed before. Al
tho it is early for grain to move,
doubtless a large quantity will be
brought out by these low rates. BY
August 81 1t will be all over, and the
railroads will settle down again, or
else the Interstate commerce commits
sion will get after them.
The situation has been embroied for
more than Il month and there has been
some rate cutting for a week or more.
since the Great Western reduced the
rate from the Missouri river to Chi
cago 10A cents, and refused further to
absorb the elevator allowance, but an
nounced its intention of doing the ele-
waiting free in it's own elevator. This
cut caused the decentralization of the
rates clear into Nebraska. and it also
resulted in the Union Pacific, against
which road Stickney was aiming his
blows, to extend the elevator allowance
to all elevators on the Missouri river,
instead of giving the Peavey COM
pany monopoly.
Cuts Rate on Flour, Too.
But the Great Western was not con-
tent with the havoc it wrought, APP
parently, for few days ago 1t an
nounced a cut in the -four rate to 8
cents, or 2N cents less than the grain
rate, and another howl was raised by
the railroads The cut was made it was
said, to secure a special large ship
ment, but the Rock Island stole q
march on the Great Western and got
the shipment away from them.
Things moved fast in the rate situa-
ton yesterday. The st. Paul road an
nounced a reduction OF the grain rate
from the Missouri river to s cents to
meet the reduction in the flour rate
made by the Great Western, and that
brought the cut clear across the Mis-
sissippi river and into Illinois. No
sooner was this announcement made
than the Wabash got busy. and sue
ceeded in dragging the eastern roads in
to the melee by cutting the rate clear
thru from the Missouri river to New
York to 1SA cents. instead Of the old
rate of 90 cents. Their cut causes a
total reduction Of cents.
Other Roads Likely to Cut, Too.
There being no thru rate quoted OH
grain from the Missouri river to the
seaboard, the new Wabash rate is
made up of cents to Chicago and
10A cents beyond There is no pro-
vision for an elevation allowance on
the river in this rate. The other east
ern roads have not had time to meet
this rate yet but 1t is expected tina
they will do so the first thing, and it is
not at all likely that they will even
cut the Wabash rate between Chicago
and the seaboard.
While the Wabash was making this
move the Great Western added little
fuel to the fire the last thing in the
afternoon by announcing cut i'll the
coarse grain rates from the river -
Chicago to cents, or l cent lower
than the rate quoted by the other
roads.
Today will bring forth it's own de-
velopments and if the rate war serves
no other purpose it will at least have
the result of taking the minds of the
traffic men off their other worry, the
new rate law which since it's adoption
has been constant nightmare to
nearly every traffic official in the
country.
New Move in Oil Fight.
1t has finally been decided not to
have a grand jury in Chicago investi-
gate the Standard Oil Company and
the railroads, but to bring them to tria!
by filing information against them in
the United States district court. upon
evidence taken at Cleveland and also
that furnished by the Garfield report.
An information is now being prepared
by Special Attorney Oliver d. Pagin
and will be filed in a few days. 1t is
not expected that the trial will occur
until after the summer vacation of the
courts. This method of bringing suit
by filing information is the same meth
Cd that was used by the states attor-
of the Standard Oil Company for vio>
laton of the Valentine anti-tr law.
1t was done in this way there because
it was feared that the government
could not get an unprejudiced grand
jury. The government attorneys will
not say they have the same reason for
bringing the action i'm this manner
here, but the fact that the federal
grand jury at Cleveland was suspected