Evening star. [volume] (Washington, D.C.) 1854-1972, 1908-03-03

| fear that n the result Of recent Federal and
State legislation, the regulation Of the railways
| had approached nearly to an effort to control
| their management and revenues. that the invest
ments therein were not assured Of that protec'
| tion to which they are justly entitled Eventu-
ally. 1t may be assumed the questions that arse
will be fairly adjusted. but In the meantime. the
railways have to face the loss Of revenue conse'
auent upon the enforced idleness Of a large por-
ton of their equipment. while to proportionate
number OF their employees this has necessarily
brought about either entire loss OF employ
| ment or q material reduction IN their hours OF
labor.
In Pennsylvania, Notwithstanding the ieeai
maximum charge was three cents per mile, ana
the rates on passenger travel had been adjusted
from time to time. upon a careful consideration
Of the extent, frequency and character OF the
| service rendered, and while the average rate re-
I'ceived upon your lines was only about two cents
mile, bill was passed, under which the ran
ways Of the State were forbidden to charge, IN
der any circumstances more than that rate for
transportation within the State. In order to earn
the average rate heretofore received, 1t would
have been necessary to advance the special rates
on communication and excursion business: which
are specially authorized p the ths na. s
upon which communities had been built up, val
uas fixed and methods Of living established which
Or in default Of such action, the rate fixed BY
the law referred to would have reduced our earn
ings below fair and proper return upon the
For these reasons legal proceedings were in
stituted in the Court OF Common Pleas OF the
County Of Philadelphia to restrain the ENFORCE
ment Of this law. After an exhaustive exam
nation Of the data and facts submitted, 1t was
decided to be unconstitutional by reason OF the
fact that under its provisions Injustice would De
done to the owners Of the railways. and this
decision was affirmed appeal by the Supreme
In pursuance of the action taken by the Share
holders at the last annual meeting. the Philadei-
phia and Erie Railroad has been merged into the
main line: and In further pursuance OF the policy
of acquiring the minority interests In roads IN
your system, where such acquisition promotes
efficiency and economy Of operation and ts to
your general advantage your Board has ased
on satisfactory terms all the individual interests
In the Bald Eagle Valley Railroad. which extends
from q point near Tyrone on your main line to
Lock Haven on your Erie Division.
It has also been deemed advisable to absorb
the Junction Railroad. three miles In length:
which furnishes the connection In the city OF
Philadelphia between the PhiladeiPhia. Baltimore
the Philadelphia and Reading Railway. and the
entire stock interest wherein is owned by your
Company: and also the Southwest Connecting
Railway, a small branch. about mile and three
quarters long in the Connellsville coke region.
Your approval will therefore be asked OF the
necessary agreements covering the absorption OF
the Bald Eagle Valley Railroad. Junction Rail-
road and Southwest Connecting Railway prop
critics. x
the year were follows