New-York tribune., 1910-09-02
A RAILROAD PROTEST
Washington Statements Called
"MisIeading and Unfair"
CLASHES AT RATE HEARING
Swamped with Statistics, Com
mission Adjourns to Prepare
Gross Examination.

Chica go Sept Testimony relative TO
| operat ting cost and revenue OF the ROCK
| Island Railway Company occupied the at
tention of the examiners to-day In the hear
! ing Of the freight rate dispute between tne
railroads who seek an increased rate on
certain commodities and the shippers VINO
oppose the advance.
F. 0. Melcher. vice-president OF the kock
Island occupied the stand throughout the
morning and several clashes between the
witnesses and counsel for the shippers oc-
Cured.
F. ]. Norton. attorney for the SANTA I
Railroad filed with the examiners a ior
NAL protest against what he termed
ments which have been sent out from
Washington proceeding from the lh'e
state Commerce Commission since tie 0o"-
test over the tariffs began, which have oeen
uniformly misleading, narrow ana uiiidii
to the carriers
The statement offered free access OIL tii0
commission or the shippers TO all or the
books of the Santa Fe company 10 sho"
that the statistics were fair and accurate
Mr. Lyon, Of the commission. oo]ecteu "
the statement as rejecting on the connliis
sion but it was admitted in the recoiu u
the hearing by Examiner Brown
Tabulations introduced by Frank Nay
controller of the Rock Island, sho"eo
comparisons of different years end the III
creases and decreases of operating reVe-
nue expenses cost of maintenance OF way
and other items on which the carriers oe-
pend to demonstrate that the proposeu III
creases of commodity rates snould oe po'
rnitted to go into effect
One of the first exhibits introduced oS
Controller Nay was compilation VI 9ta
tistics extending from 1898 to 1879 sho"lii7
a total operating revenue in 1898 OF s-o'o'Z'-
800. in 1907 of s5553S,4s7 and in 1910 OF soo'-
oso, 42s
The Same tabulation showed the total op-
Grating expenses of the road aggregated IN
1885 s12e36, 25s; in 1907 3S,566coo. and IN lslo
s4s, sol, ,625.
The net operating income was listed as
In 1898. S. ss1 oto in 1907. 13o2s.51o; in 1910.
81, ,1o2 o3S.
Another group of figures read into the
record showed that the expenses for main
tenance Of way and structures IN 1904 was
81 sss 900. In 1903. 81 s98 600; in 1909 s8596,oeo
and In 1910. s1o,2o0,oo0
The report of the road for the month OF
July. 1910. as compared with July. 1909 was
introduced the figures showing that IN
July, 1910, there was comparative de-
crease over the business in July. 1893. OF
s110 $50 in freight revenues and an increase
Of s281 454 in operating expenses.
Gross earnings Of the road for three
weeks in August this year, according 10
Mr.. Nav. decreased s245.272 compared
with the corresponding period last year.
making a total comparative decrease In
freight earnings for the first seven weeks
of the present fiscal year of s355,oo0 in
round numbers
A tabulstion based the present
freight rates and on the proposed rates
as applied to commodities hauled in 1910
sented by the witness. that the operating
revenue Of the road would have been In
creased s14266s had the proposed rates
been in effect.
Another group of statistics entered IN
the evidence gave the net capitalization
of the Rock Island Railway company on
June 90. 1910 as S2s6. .a4s. go including s75,-
oo0 OGo in stock and the entire funded in
debtedness of the system. The book value
of the property and franchises was listed
on June 30. 1910. at s1S8 9.o11; the addi-
tIonaI construction and equipment was
placed at s2359,S35, and equipment pur-
chases at $50, ,ss7. .as1, making a total book
value of s22s $50. 900.
In addition to these tables a number of
charts were introduced showing the COM
parative increases and decreases over
period of years of the various expenses
and revenues of the road.