The Hawaiian gazette., 1908-12-15
AMERICAN HAWA||AN TO.
ADVANCE EAST BOUND
RATES BY TRAFFIC DEAL

and. Freight Agent Sutton both made
positive denials. The two are stock
holders in the company, and asserted
that if the control of the line had pass
ed to new hands they would have been
aware of it. They said, moreover, that
the American. Hawaiian Company was n
close corporation, rather n family af-
fair, and that it would be impossible
for any one to obtain majority of the
stock or to perfect an agreement un-
der which the rates would be dictated.
Sutton, at that time, said there would
be slight advances OF the rates on spe-
cifc commodities, but he expressly and
emphatically denied knowledge of an
increase of rates that in any particular
would correspond to the threatened rail
tariffs, He said specifically that no
general or horizontal advance was con-
templated.
When asked to specify on which com
modities he thought the rates would be
advanced, Sutton said he did not know,
as he had not received advices from
the New York Office of the company.
He was then informed by his inquisitor
that the rate upon leather would be ad-
| vanced and that he should have been
aware of the fact, as the information
had emanated from mis- own Office.
He admitted finally that the rate on
leather would be increased, saying,
however, that within his knowledge
only two shipments, certainly not more
than three, had been made over his line.
Sutton endeavored to create the inn
| preston that the leather rate was of
minor Importance, arguing that the
/ greater market for California tanners
was in the Middle West. Consequently,
he said, the element of water competi-
ton did not enter into the question, as
high local rates from the seaboard to
competitive market would preclude ad-
vantage in shipping the product by the
American-Hawaiian Company.
Careful questioning failed to elicit
any further information from Sutton
concerning what he termed contempat-
ed advances of the rates on certain
commodities. He frequently reiterated
his assertion that there would be no
general advance of rates, and qualified
this, saying that, as a stakeholder, he
ought to know. In this he was sup
ported by Cook. The interview oc-
CURED in Cook IS office in the presence
of his secretary.
Sutton Makes Admissions.
Sutton yesterday said the advance
probably would not be more than FIVE
cents ON hundred pounds. He ad-
mitted, however, that it will be the
equivalent of the 10 per cent. general
advance threatened by the transconti-
mental lines, as ocean tariffs are about
30 per cent. less than rail tariffs.
Moreover, Sutton admitted, somewhat
equivocally, that the increase would
apply proportionately to all eastbound
commodities upon which the transcon-
tinental lines have advanced rates.
There will be no increase of the
rates on hops or wines or wool, abso-
lutely none,' he said. GAS / under
stand it, the rail lines have not adj
vanced the rates on these commodities,
and our rates under these circumstances,
of course, will not be increased. Our
advance will be very small, as com
pared to that proposed by the rail lines,
| should say not more than five cents
on a hundred pounds"
That is 10 per cent. advance, is it
mott"
eyes"
And it will meet or correspond to
the advance by the rail lines, will it
mott"
90 Well, yes; but proportionately.
Your advance will/include all com
modities on which the railroads have
advanced rates, will it not7''
81 would not say that. There will
be slight advance, / think, on dried
fruits, canned fruits and canned salmon
Our rates now on these commodities
are: Dried fruit, so cents in cases and
90 cents in sacks; on canned fruit, so
cents, and on canned salmon, So cents
The advance will not be more than five
cents ON the hundred pounds
ION what other commodities will
You advance ratesG''
81 dom u KNOW
Would it not be safe to say that
you will follow whatever advances have
been made by the transcontinental
lines?u
-" suppose that we will make a small
advance on the commodities included in
the proposed rail lines tariffs.''
or, in other words, you propose
horizontal increase of 10 per cent cor
responding to the threatened advance
of rail ratesi''
No, / do not say that. 1t is very
diihcult for any one not familiar with
the steamship business to understand
our method of establishing rates. When
we receive bulky shipments like hops
we sometimes have to adjust our rates. |
You understand that a steamship is not |
train, and it is impossible to add a |
car whenever necessary. The capacity |
of our steamers and the character of the |
shipments govern the making of rates. {"
our on;n;on Which :. -.