The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1913-04-15

Il II OIL
increase Of $41,S24
TO its station agents, S2s7, 729, increase Of
$261s4.
To all other employees and laborers, s2s2 so7,
an increase of $64,O81.
You will that wages we're paid in
every department of the business Of the railroad
company, from the clerks in the general offices to
the enginemen the locomotives; more men were
required to do the same amount Of work"
THE COST OF FUEL AND MATERIALS AND
SUPPLIES USED BY THE PERE MARQUETTE
DURING THE YEAR REFERRED TO WAS $402,.
822 MORE THAN IN THE FORMER YEAR In
other words with gross earnings less than in the
former year. fuel and materials and supplies cost
$492,S22 than in the former year The increased
cost Of Aoi"g - ~ot co~f"ed TO TIE hoasekeeper.
In the year named the Pere Marquette was required
to pay account Of "Hire Of Equipment" az above
explained, $427, 900 than in the former year.
With all these increased expenses, what additional
revenue has been allowed by law to meet them?
NONE WHATEVER. On the contrary a substantial
part OF the increase Of that would naturally
arise from the development of the State and Of the
business OF railroad companies in the State has been
taken a'cdy by the operation of the T,co Cent Fore
Lao. After showing by statistics that the law did
not stimulate travel Mr.. Stevens testified follow
"In 1908 the passenger earnings Of the Pere
Marquette, it's grOss passenger earnings, were
$4,000 less than they would have been under
the rates prevailing before the two.cent fare law
was passed. That sum is equal to five per cent
on nearly 81 100000
The decrease In passenger earnings for the year
1909 due to the tvo-cent fare law was $3.50 900;
thc%s. A. De- H.
have had that amount additional for it, purposes
If it he'd been able to charge under the former
law. That sum is equal to insesest On over 49,.
00O, 0OH at FIVE per cent.
In 1910 the decrease $500, 600, a sum
equal to interest at five per cent over $1,000.
In 1911 the decrease was $629, 600. sum equal
to interest at five per cent on over @12,b0O,OOO.
The figures that l have given are based on the
average passenger rate for the year 1905, under
the former law. Then in order to show what
would be the result average rate received
series of years computation has been made.
which | will present to the committee, based
the average passenger rate received from 1900 to
1907, and applying that average rate to the years
subsequent to 1907 the loss decrease in passen.
ger earnings due to the twO-cent fare law are
greater than the basis of the average pas
senger rate in 1907 Of that year In other words
based on the average rate in years 1900 to 1907,
the decrease in passenger earnings for 1908
$456, 1000, instead of 100000, under the other
method Of computing; for 1909. $685., 900, instead
Of $5s6,OOO, the other method of computing;
for 1910 $685. 900, in the place Of 1902 ,000 on
the other method; for 1911, $4,000 instead Of
$e29,OOO; and for 1912, $0e2, 900. l haven't the
figures for 1912 the first mentioned basis"
And in his concluding remarks, Mr.. Stevens said
"The chief trouble with the Pere Marquette is
the increase Of its expenses Of operation
due to legislation and to economic conditions
which II has had control AS you have seen,
the wages paid to it's employees and the cost of its
materials and supplies have enormously increased
in recent years AS you know, further increases
in wages are sought To meet the demands
" Of it's business, it has been obliged to purchase
large amounts Of new equi pment, the cost OF which
has risen substantially in recent years, and to
spend large in other additions and improve
ments. These demands have made necessary the
creation from time to time Of new Indebtedness
payable in annual other frequently maturing
instaments.
Under all these conditions. it's income has been
substantially reduced by law.
There is mystery in the situation; il has
suffered OH account Of the high cost Of living,
prevailing in the railroad business we'll In
other lines"
IN THE LIGHT OF THESE FACTS. what il to
be said of the Justice of Sealing down, -repudatng,
securities issued with the approval Of the State
ant procppds of WHICH GOOD