New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-04-23
Commerce Commissions AC.
Countant Tells of TransaC.
tiOns Involving Company
and Subsidiaries.
BOSTON & MAINE TRANSFER
Billiards. Part in the Merger Set
Forth-Strange Changes in
the Prices of Stocks of
Various Steamship
Lines.

Boston. April 22.-An alleged loss to
the New York. New Haven & Hartford
Railroad Of more than 100000 an
nuaIy as result of its recent contract
with the Pullman Company, by which
The latter took over the parlor and
sleeping car service Of the railroad
company. was described by David f..
Brown. the examining accountant Of
the Interstate Commerce Commission,
to-day at the hearing on the service
rates, policies and financial transac-
tions Of the New Haven company be-
fore Commissioner Charles a. Prouty.
Inside history Of the merger of the
Boston & Maine and the New Haven
system was related for the first time.
and Mr.. Brown told in detail Of the
manner in which the Boston & Maine
stock was acquired by the New Haven
road. with special attention TO the part
taken by J. i. Billiard, Of Meriden,
Conn. in the matter.
Mr.. Brown was examined by Louis D..
Brandeis. counsel for the Boston Fruit
and Produce Exchange. The relations
between the New Haven road and the
Pullman company were gone into when
Mr.. Brown put in evidence copy oil
the agreement between the New Haven
and the Pullman company. 1t PROVIDES
that the Pullman company shall pay
the New Haven road on an earning
basis a minimum of Sl4O,OOO yearly.
II the Pullman cars in service exceed
$500 the Pullman company is to pay
500 yearly for each additional car.
The Pullman Company is entitled 10
all fares on parlor, chair and sleeping
cars. with the exception of the 81 extra
fare charged on the so-called limited
trains. The Pullman Company agrees
10 pay the railroad company a fair cost
for performing certain services in re-
gard TO repairs and the expenses Of
heating. lighting, watering and lubri-
eating these cars.
The parlor. chair and sleeping cars
belonging to the New Haven road were
purchased by the Pullman Company for
S3, ,300,0O0
Figures a Heavy Loss.
Mr.. Brown compiled sets Of figures
showing that the New Haven ROAD IN
1910 derived a net revenue of S1,2lI.-
So7 from its parlor, chair and sleeping
car service. He reckoned the expense
due to interest charges, TO depreciation
10 heating, lighting, watering and
h,bricating the cars, and announced his
conclusions that the New Haven COM
panv had incurred an annual loss OF
siO7 900 by turning over its parlor'
chair and sleeping car service 10 the
Pullman Company
Taking up the Boston & Maine
merger. Mr.. Brown said that on May l.,
1907. the American Express Company
and the Boston & Maine maze
twentv-year contract. under which the
express company agreed TO pay the
railroad 80 per cent of its gross re-
ceipts. An examination Of the records
Of the New England Navigation Com
pany, a subsidiary Of the New Haven
showed that antedating the contract
between the express company and the
Boston & Maine, c. S. Mellen, president
Of the navigation company, and the
president OF the American Express
Company entered into a contract by
which the express company agreed TO
sell to the navigation company not less
than $1,000 shares of the Boston &
Continued Cd fourth page, fifth column.