Pine Bluff daily graphic., 1913-08-05
! REDUCTION N .: ;: EXPRESS RATES Est s-4tz @@ *. Figured Express Companies Will Lose $26, ,O00,O00 a i ': i..ii:ll:::'saaif Z. ..-..l#. Year as Result
  ' ..;;,:4 ;,:i <: <: !,as: sg:s#Ea55 4 TWO YEARS TEST
 .a United, States Will Be Dividided. Into Blocks to Simplify the Making
 ., of Future Rates.
4 TWO YEARS TEST

Washington, Aug. 4.-Reductions in express rates, which will cost the companies fully $2e,oOoQoo a year, approximately 1e per Gent of their gross revenuessS were ordered by the Interstate Commerce Commission to become effective on or before October b, 1913. : Notable reforms in prac- tices also were ordered
 The most important change pre- scribed by the order is by way of mo- dification of the present graduated scale of parcel rates. One hundred pound rates for short distances either have been left unchanged or slightly reduced. For longer distances they have been lowered. For fifty pounds or less all rates have been practically reduced. For packages of more than four pounds going more than 200 miles and less than 2,000, the new express rates are generally lower than the parcel post rates, for more than 5000 miles the rates are practically the same.
 The report and order of the con- mission, prepared by Commissioner John H. Marble, are virtual affirma- tion of the findings of former Com missioner Franklin K. Lane, now sec retary of the interior
 Country Divided Into Blocks.
 By prescribing a so-called block system, dividing the United States in to $50 blocks, averaging 2,50O square miles as originally proposed by Mr. Lane, nine hundred thousand different rates now published by the express companies will be reduced less than $65O,O0O, and the Interstate Commerce Commission believes that the system points the way to solution of the ex- isting maze of freight rates
 The general impression in official quarters is that the express compan- ies will test the constituti onality of the commissions order
 The express companies had filed statements indicating that the losses of revenue under the proposed rates would be intolerable and rgued stren~ ucusly that the establish ment of the parcel post had deprived them of quite 30 per cent of the revenue they for merly received from par cells of eleven pounds or less They contended that the express business could not sur vive the losses from both sources"
 This is equivalent to saying" com, ments Commissioner Marble in his re- pert, "that inasmuch as shippers have been given the convenience and econ O. my of parcel post, the express carrier must on that account, be allowed to charge higher rates than otherwise would be right. That is to say, the commission is called upon to take from the shippers of the country all the benefit that they receive from the parcel post and give it to the express companies in the form of higher rates upon the remaining business"
 New System SimE lilies Rates.
 The new system of rates is not only a simplification of existing rates and methods, but in the opinion of rate ex- perts, lays the founda tions for future practice in all rate .reivisions.
 While the commission has not con- sitdeged the practicab biifitysof the 'aPplii5! :! cation of the block '!ySstem to the mak ing of freight ratese{ {itsisi known that che question may bel taken up almost at any time With alstaasdard freight rate once establish's sd between blocks,