The Guthrie daily leader. [volume] (Guthrie, Okla.) 1893-1996, 1909-12-01
GULF, COLORADO AND
SANTA fE ROAD CITED
But Ono Of Many Statements
The Stale VIII Introduce
at Rate Hearing

According TO a statement prepared
by the experts of the corporation com
mission upon data derived from the
annual report to the commission the
Gulf. Colorado and Santa Fe railioad,
which operates 100 miles of road IN
his state from Purcell to the Red rly-
er, made profit OF s77.O35.43 during
the fiscal year ending June 80, 1909,
on strictly lntrastate business.
The freight revenue for the year
was S79, l6li5 and the passenger lev
enue $l43,97447; the excess bag
gage revenue was $2,57l7O and other
sources of income brought a revenue
Of Sl,S53.32, The profits for the year
as shown above do not include the
revenue for carrying mail and express.
switching charges, special train sery-
Ice and miscellaneous transportation.
The average cost OF road and equip
lnent for the 1903 miles of road operat
ed IN Oklahoma Is given by the com
mission In its statement as S3.lOO,'
SSs.S5. OF which valuation s462, 1872
Is apportioned es strictly intrastate,
or local, traffic, which, according TO
this formula, is equivalent to 1866 per
cent interest on the cost OF The prop
erty, and the profits on the intrastate
business is equivalent to 1926 per
cent interest on the average capitali.
zatlon OF the property, while on the
other hand the road realized profit
of $43g.S20 under this formula on
the strictly interstate business. Ac-
cording to the formulas submitted by
the Santa Ne officials the railroad lost
money on intrastate traffic, but made
larger revenues on the Interstate trat-
fic.
More Powder In Reserve
|, This Is but one OF many statements
and comparisons which the state VIII
Introduce during the rate hearing be.
fore the corporation commission, to-
gether with d lot OF evidence in sup
port OF the states contention that the
big railroad systems operating IN Ok
lahoma are making more than a fair
return upon their property while OPP
Grating under the two cent passenger
rate and the freight tariffs of the coin
mission which the railroads now al
lege are confiscatory after they have
been operating under the rates during
the past year.
Statistlcan Peabody. OF the Santa
Fe. who was excused today by the
commission for one week after two
days' grilllng upon the witness stand,
Tuesday afternoon admitted that com
pairing the month OF June in the
years 190S09 material increase OF
leyenue was derived by the railroad In
Oklahoma on all ten OF the eommodi-
ties upon which the commission had
issued reduced tariffs. In some in
stances tdis comparison, which was
put into the record by Assistant At.
torney General Henshaw, showed
twice the revenue under the new rate
as under the old
The assistant attorney general also
secured an admission from the wit
ness that he had filed affidaYits In a
Chicago rate hearing which contained
Opposite theories as to computing cost
OF operating branch and main line
roads than was made by him before
the Oklahoma commission He also
admitted that his formulas of reckon
4 ing cost OF operating roads had been
rejected by the Interstate Commerce
commission several times as an IN
fair and improper system.