Omaha daily bee., 1910-12-01
Witness Says Values Better Than Any
Other Public Utility.
GEORGE A. POST ON THE STAND
Head of Railroad Business Association
Testifies in Rate Inquiry,
BUYING OF EQUIPMENT FALLS OFF
He a. Unable to Remember that Any
Railroads Have Suspended De-
veIopment Work Already

WASHINGTON, Nov 3O-Testimony in
the eastern trunk line freight advance case
was virtually concluded by the Interstate
Commerce commission today after many
witnesses for the shippers had agreed that
the proposed increases would localize com
petition, hurt he western market for east
ern goods and otherwise seriously inter
fere with their business.
The pending suspension Of the proposed
advances is until February 1 and in the
meantime, on January 8, the arguments
Of counsel will be made and the commission
may be prepared TO render its decision by
the expiration Of the present extension.
Perfunctory testiony tomorrow will close
the evidence.
There was steady stream Of witnesses
today in support Of the shippers protests.
They included heads Of the Westinghouse
Air Brake company, the Railway Business
association. American Locomotive company,
shoe and leather drug, cotton piece goods
and other enterprises.
ThOrne on the stand.
Clifford Thorne Of washington. Ia, state
railroad mmissioner-e elect, counsel for the
Corn Belt Meat Producers association and
the Farmers and Grain Dealers association,
contended that in four states alone, covered
by an exhaustive investigation he had
made, the railroads had been overcapital-
lied by $4O0. 100000 This was based on
statistical summary OF the actual physical
valuation Of 1S5 properties having com
bined capitalization of more than $1,000,
100000.
Mr.. Thorne contended the railways net
earnings have been increasing faster than
their expenses, and that the credit of the
roads was good. He urged that the only
proof offered by the railroads TO support
their argument Of credit impairment was
that they could not market per cent bonds
at par, an ability which he recognized as
by no means Indicative Of bad credit
He said railroad securities are more de-
sirable today than five. ten, fifteen or
twenty years ago. and command higher
market prices than any other public utility
or industrial companies,
TELL your troubles 10 the commission
was the only consolation President John S.
Lawrence of the Lawrence company of
Boston and New York. testified he received
from the railroads when he tried TO talk to
them about the advances which meant
$4,000 increased cost annually to his cotton
piece goods selling agency business.
Asserts Candy is Necessity.
Edwin F. Fobes Of Boston, candy manu-
facturer, contended that candy is ne
cessity and not a luxury. Attorney But
terrified. for the New York Central lines.
forced him to say that he saw no reason
why sugar, unaffected in the proposed ad-
vance and a big factor in the candy bus
iness should not bear its fair share Of the
increase.
He said the increases would take off
half of his quarter of cent profit on 6
and cents per pound candy and that in
the east his candy goods, jobbed at S5
and 40 cents per pound, were sold by re-
tailers at from 50 cents to $1.5O a pound.
Charles L. Schwartz OF St. Louis, repre-
senting the National and Western associa-
tions of shoe wholesalers, testified that
LElnu.Alr.nana nd 1