Arizona republican., 1909-03-24

4 significant, and perhaps thc most
significant, development of the rate
hearing yesterday was an indication
Of the thoroughness Of it disclosed in
a request by Special Examiner Lyons
for complete information as to the
earnings Of the through roads.
This request followed the presenta-
ton by the Southern Pacific attorneys
Of statements OF the earnings Of that
line for 1908. They were offered by
W. II. Hathaway, chief clerk of the
general freight offices at San Fran
cisco. Though all he witnesses for
the complainants had rot been heard,
Mr.. billiard requested that Mr.. Hatha-
way, who desired TO return to San
Francisco last night, be put upon the
stand
The statements offered by him were
five bulky documents, numbered re-
spectively and marked, Hathaway,
Exhibit No. l." and so on. The first
described the tOnnags and revenue OF
all business picked up and laid down
in Arizona The second related to the
local business of New Mexico. Then
followed business originating in each
OF the territories for outside points;
then business from outside points, ter
minating in either of the territories:
then the business received from juno
ton lines and the business delivered
TO junction lines. This covered every
thing except the business originating
and ending on branch lines, and that
Mr. billiard said would be offered in
another statement.
It was then that the special exam
iner made his request. He said that
the matter had been discussed by the
commission before he left Washington
and he was directed to request the
roads to submit a statement of all bus
mess along their lines, including the
tonnage. the revenues. the points OF
origin and the points of delivery. The
object, he said, was to ascertain
whether it was true. as had been claim
ed. that the business Of the roads in
the so-called Rocky mountain region
had been conducted at a loss. The
commission did not know whether that
claim was true OF not, and no oppor-
tunity had ever before been offered to
enlighten it. Mr.. Lyons said that the
commission and he realized the magni-
tude Of the work Of preparing such a
statement as he asked for and it had
been suggested that it be made to
cover only one representative week,
say the first week Of February. There
was an intimation that the disclosure
Of such statements would be factors
in an order that the commission might
make in regard to the rate situation
in the territory included in the present
complaint.
The Phoenix and Eastern.
For the first time the absorption Of
the Phoenix and Eastern railroad was
touched upon in the hearing. That oc-
CURED in the redirect examination Of
Traffic Manager Jones Of the Maricopa
Commercial club by Mr.. Costigan. In
reply to a question, asked under Case
l7q5. relating to a-territOrial busi-
ness concerning traffic between Phoe-
nix. Tempe and Mesa, Mr.. Jones said
competition in that traffic had been
entirely eliminated by the absorption
Of the Phoenix and Eastern. Since
then he saidthat charges over the line
had been greatly increased: that the
service was much less satisfactory and
that the facilities were less adequate
than formerly.
These statements were reiterated in
the course Of the afternoon by several
shippers. members Of the commercial
club. who said that under the original
management there were ample train
facilities. whereas nOw there vas but
one train each way daily and that
rates had been increased.
After Mr.. Jones had testified on THIS
point. he was examined by
Mr.. Durburrow as to the rates
and sought to explain that they
were high because the traffic WAS so
small. He added that all OF the towns
were small. Yes" 1ssented the traf-
fic manager. that is our misfortune"
And YOU want US TO share it wi:h
YOU" replied Mr.. Durburrow.
The Second Day.
The proceedings Of the second day
began with Mr.. Jones or the stand
under cross examination in Case 1898.
Mr. Durburrow said that he had ascer-
tained that the witness had erred the
dav before in his statement regarding
the Pittsburg- g-Cincinnati-Ph Phoenix rate,
in the statement that the rate from
Pittsburg was $2.07. As n matter OF
fact, he said. the PittsbUrg rate was
S2.17: he attributed the error to a mis-
take in addition and he asked Mr..
Jones if he knew how those rates were
constructed. The public is not enlight-