Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1911-10-31
LARGE SHIPPERS OF THIS CITY
HAVE ISSUES IN IOWA SUIT
AGAINST RAILROADS.
DRAPER AND cooM5s IN
DIES MONIES At WITNESSES
Western Grocer Company and Mar
shall Oh! Company Greatly Interested
in Outcome Of Hearins-AI Othsr
Local Manufacturers and Jobbsrs
Are Also Involved.

Il All manufacturers. wholesalers. and
jobbers Of this city are, to greater
or less extent interested in the states
freight rate cases now being heard III
the federal court at Des Moines before
Interstate Commerce Commissioner j
S. Harlan Some are interested &c
such an extent that individual suits
!; based on the same alleged discrimin-
ations as are the issues in this case
have been contemplated. Practical!
all the large shippers of the city will
be affected by the decision in proper
ton to the amount of their shipments
espec ially these originating east OF
Chicago
Some of the evidence to be heard
will be from freight rate experts OF
this city. and will have local bearing
ION a great number of central and in
terror Iowa points
Witnesses Go to Dss Moines.
Traffic Manager Z. H. Draper. OF
the Western Grocer Company, and
Traffic Manager a B. Coombs. Of the
Marshall Oil Company. went to Des
Gioines this morning to give testimony
at the hearing. The corporations they
lreoresent are interested perhaps TO as
large an extent as any others Of. this
City
The hearing is regarded as the most
important one having to do With
freight rates ever held in Iowa, and II
is expected that the decision VIII es-
ablish the rates which are to be levied
against the commodities received in
Iowa points from the east.
Is Same Old Complaint.
The complaint that the wholesalers
i iol,lers. and manufacturers OF not only
Des NIoines. but many interior Iowa
points. have raised in this case is one
that is of years standing. Briefly
stated it is that interior Iowa points
are assessed higher rate. proper
,ionately. for freight shipped from
points east OF Chicago than is Chi
cago. or cities on the Mississippi or
Missouri rivers. OF those designated
as common points" With the latter.
These rates from the east are based
On chicag go, the Mississippi river ano
the Missouri river, with the Missis-
sippi river being the "proportiona
basing point"
Specifically the complaint is that tbs
nronortion OF the thru west ooune
rate tha, applies west the MIS-
sissippi river to interior lowe
points is higher than the Iowa DIS
lance tariff rates from MISSISSIPPI
river OF common points" to the same
interior Iowa point. In some cases
these proport ions OF the thru rates are
as much as 100 or $50 per cent higher
than the Iowa distance tariff rates.
Claim Of Determination.
Tho result is claims Of Discrimination
in favor Of Chicago, Mississippi river
or Missouri river points and agalns
interior Iowa points. The claim OF th'
interior Iowa shippers Is that Cnlcasf
shippers and those at Mississippi rlve1
points have a distinct advantage ane
can lay down commodities in interior
Iowa points for less freight tnan I'M
Iowa wholesaler or distributor can
The reason is that the chicago o.
Peoria shipper gets local rate Ih'
Iowas hipper pays the thru proper
tionate rate from the east and loca
rate from point of distribution t
destination These two are higher IN
great many cases than the rate from
eastern points to say chicago piu'
the local rate from Chicago TO tn
Iowa point.
An Example in Illustration.
Very many examples OF these dis
examinations have been prepared as ex
hibits to submit at the hearing. !
specific example one Of many prepared
by the Western Grocer Company il
illustrates the point clearly. 1t deal
with case of canned goods shipped
from Baltimore to Mason City and solt
by the branch house Of that place t.
a Cresco customer, and the same cas-
OF canned goods shipped from Bait
mere 70 a Chicago wholesaler and re
shipped by him to a Cresco customer
The Mason City wholesaler pays tn
thru proportionate rate. The Chicas
wholesaler gets a local rate.
In the Mason City wholesalers cas-
the rate from Baltimore to the Missis
sippe river is % cents q hundred. tn
proportionate rate from the Missis
sippi river to Mason City is 16 cents.
total Of "A cents from Baltimore t
Mason City. The local rate from Maso
City to Cresco is 11.s cents or tota
! rate. Baltimore to Mason City to Ores
co. 55.s cents a hundred pounds.
\ In the Chicago wholesalers case tn
rate is, Baltimore to Chicago % cent.
and Chicago to Cresco. another locs
rate, 25 cents, total from Baltimor
to Chicago to Cresco of ~ cents a hun
dred pounds. This is an advantage 4
favor Of Chicago wholesaler Of s.s cent
a hundred, or in canned goods, s.
cents a case Of two dozen cans. It
. claimed the wholesalers average prof
per case on canned goods Is Is cents
The decrease in this profit due to tn
; price that must be made TO meet tn
. price the Chicago wholesaler 10 able
J make because Of lower rate, Illus
trates the selling advantage the Chi
} cago wholesaler has and the discfimi
nation against the Iowa coucern. !