The Daily Missoulian. [volume] (Missoula, Mont.) 1904-1961, 1910-10-14
HEADS OF TWO GREAT RAILWAY
SYSTEMS TESTIFY BEFORE
COMMISSION.
BOTH DESIRE INCREASE
Both State That Higher Wages Are
Not Alone Responsible for the Pro
posed Tariffs, Although They Are
important Factor--Improvcmen In
Transportation Facilities Necessary.

Washington. Oct i3.--Two presidents
~ great American railroad systems
today testified before the interstate
commerce commission, concerning the
proposed advance In freight rates III
eastern trunk line territory. The Wit
nesses were President Daniel l.. Will
lard Of the Baltimore & Ohio Railroad
company and President Il. WI Brown
of the New York Central lines. Both
argued for the advance
Marked similarity characterized the
statements Of the two presidents.
Neither placed the responsibility for
the proposed increases III rates wholly
upon recent advances In wages. al
though both asserted that the wage
increase had been nm important factor.
President Brown declared that i'm
provements on railroad properties SO
as TO furnish adequate transportation
facilities could be accomplished only
through an increase of the freight In
come. Under present conditions, he
said, 1t has been shown to he im-
possible to obtain money necessary
to make proposed improvements, and
he apprehended that the impossiblity
would continue until such time as the
railroads were able to secure what
he regarded as an adequate return on
investments.
Disbursements Per Dollar.
Mr. Willard presented a clarifying
statement of the disbursements per
dollar earned by the Baltimore & Ohio
during the fiscal year 1910 and 1900. Mr..
Willard said he could see no way to
maintain the policy Of the Baltimore
& Ohio to furnish prompt and ade-
quate service without an increase I'm
freight rates.
Our expenses have been increasing
during the last five years by legisla-
tion," he said. "rhe act regulating the
hours of labor and the employers
liability act to neither one Of which
am opposed. have added to the cost
of operating railroads. II we possibly
can recoup ourselves we know that we
shall have TO do SO from freight in
come.
II do not think the present rates
are high enough and | would not think
SO even though there had been no re-
cent increase In wages. Wages We're Il
factor In the proposition to Increase
the rates. but they were not con-
trolling factor, l know our road is
not making enough money to properly
maintain Its service"
Mr.. Willard expressed the opinion
that the stockholders of the Baltimore
~ Ohio We're entitled to receive not
less than 8 per cent dividends. He
suggested that the financial credit
not only Of the Baltimore & Ohio COM
pany. but of other lines, practically
was In the hands Of the interstate
commerce commission.
What would be better" suggested
Louis ID. Brandics, Of the shippers
counsel, than ruling Of this COM
mission that would insure the security
holders of the Baltimore & Ohio {
per cent return?.
OF course" responded Mr.. Willard
mo action of this commission In any
sense could be regarded as a lien on
the railroad property. 1t would not be
possible for tho commission to guar.
antee anything | do believe, how
ever, that, If the freight rates were
adjusted fairly and with reasonable
degree of permanecy, the credit of the
railroads would be supported