The Birmingham age-herald., 1912-07-14

tax values which have been fixed for them by the tax authorities of the state? It asserts with every degree of confidence that the wholesale grocer's trust of Alabama Is earning, not more, but many times more net profit per an mum on the money actually invested by them in their business than this com pany is earning. It has not discrim- mated against Alabama; 1t Is not will
 ing voluntarily to discriminate in fla vor of Alabama against other southern states in which 1t operates. It Is not fair that it should be required by law to do so, and if it were possible to do so by law, it would be unwise, from every consideration of the states own interest. It would serve nothing but the selfish aggrandizement of the few.
 Consumers Received No Benefit From
 Reduction
 During the period when the statutory freight rates were in force in this state, under which this company was compelled to render like services for 20 per cent. less than It's competitors. did any one ever hear of a consumer who received any of the benefits of the re- duction? We assert without fear of substantial contradiction that the bene- fit of those reductions went mainly to the large shippers and wholesalers, the small remainder to the retailers, and the consumers paid the bills of the ex- tra session as their part of the con test.
 Passenger Rates
 The position of this company on the passenger rates, has been repeatedly stated. Ii Is earning less than five per cent per annum in this state on the tax values of it's property, from all of It's business and the passenger busi- ness is less profitable than the freight 1t cannot reduce its passenger rates in Alabama without reducing them In all the other states in which 1t does bus- ness. It will cost 1t a loss of more than one million dollars per annum to reduce passenger rates alone and fin view of the small return 1t is making on it's property 1t does not feel war ranted in submitting to this loss.
 Why Suit Brought Before Judge Jones
 Neither does 1t feel called upon to defend the integrity and general fair ness of the special masters and the judge who determined these cases. They were brought in Montgomery because the law of the state requMes them to be so brought. They were brought in federal court because they presented a question of right under the federal l. constitution and the decision of dis Dultu 1utSliouS pl ldCl iOA bp i'- viewed In the supreme court of the Gnited States on appeal from the deci- sion of state court. The judge who tried the cases had no option in the matter; nor did this company, If the judge had found differently from the special masters there might have been moro reason for the opinion that he erred. But the special master who gave quite two years time to these cases reached the conclusion that the statutes were unconstitutional and so found. Neither Colonel Gunter. nor Judge Thor ington had ever had any railroad employ ment. Neither had been connected with this company. Tn intelligence. in integrity in freedom from improper influence from any source they stand without superiors in Alabama. Their conclusions are cer- tainly entitled to respectful considera- ton. They were affirmed by the court, and in our opinion. justly so. An appeal does lie to the supreme court and we are more than willing for it to be taken there and we shall cheerfully abide by any decision which 1t may render.
 Large Investments Necessary
 Finally, this company calls attention to the fact that for the period between June 30. 1906, and March 31, 1912. 1t in- creased its total mileage operated from 4205.55 to 4727.74, making an increase of 52219 miles A large portion of this new mileage was new construction. During this period 1t expended in new lines and extensions in second tracks and reduction of grades, equipment and in other improvements. q total of s45, 02.3246S. q material portion of which was expended in Alabama. This road challenges comparison with any of its in this state. and 1t asks what other competitor, although fav- ored by state statutes, has invested as much or half as much in the state of Alabama and in other southern states. during the same period? While it's gross returns have increased. it must be remembered that to justify addi-