The Wheeling intelligencer. [volume] (Wheeling, W. Va.) 1903-1961, 1913-11-26
RAILROAD RATE
tcontinusd from. First PAxs.)

tcontinusd from. Rirst PArs.l
tain more mony The margin OF profit
II was asserted. was so constantly mar
rowing that IL was becoming increas-
ingly difficult to obtain the necessary
additional capital with which adequate
~ u maintain, equip and operate the
roads.
Elaborate explanations were made
or the methods pursued In making
The hye per cent increase. which sub
stantially, II was developed. applied to
ali traffic except east bound anthracite
coal On anthracite no Increase was
made, becauses OF pending investiga-
tions by the Interstate Commerce Com
mis- sion and by the department of
justice.
g. c. Mccain. chairman OF the Trunk
Line Association. who had supervis-
ion OF the preparation OF the proposed
advanced tariffs. explained In detail
the methods employed In figuring the
advances.
The proposed first class rate be-
tween New York and Chicago" said
Mr.. Mccain. is 1S.S cents per hun
dred pounds. instead OF 7 cents. as
az present In this increase the rates
are expressed in tenths OF "A cent Tho
same system was employed in igur-
ing rates To intermediate points This
results In making the Increase in some
instances more and in other instances
less than five per cent All OF the
class rates are based upon a percent
age OF the New York-Chicago rate"
Mr.. Mccain explained that all
differentials both between cities and
between established difTerential routes
had been preserved.
Affect All Rates the Same.
Mr.. Mccain said the New England
rate structure on west bound trafiifiic
was not affected by the proposed ad-
vance, though east bound rates 20
New England were increased five per
cent Rates on export and import
traiiltnc were affected precisely as are
domestic rates.
ON bituminous coal" said Mr. Nc
Cain. 1t is proposed 10 advance rates
from all fields approximately five per
cent, preserving such dinerentials as
now obtain"
r. n. Large. general freight agent
OF the Pennsylvania railroad. eX-
planned that that system, in prepar-
ing carefully the present rate relation
ship. both regional and destinational.
He testified that five per cent had
been added TO present rates on soft
figured by taking the average OF tn c
rates from four felds and adding five
per cent 20 a. This method. he said.
resulted In an increase OF less than
five per cent on water-borne coal.
On anthracite coal Mr. Large said
the advance on westbound traffic had
been made five per cent via the all
rail route. through Pitts burgh. To
eastern destinations no advance had
been made al all on anthracite, be
cause existing rates already had been
made the subject OF attack and the
commission had under consideration
the results Of an investigation OF IN 9
trauspo rjation OF hard coal. He as
serted that much anthracite now is
being sold in the east at substantial
IS les than the cost o. production.
Chief Revenue Producer.
ct i- absolutely sary," de
clarei SIR. Large. IN response 20 IN
gu.rics OF opposing counsel FOR US
To make "a substantial profit on the
frau-po rtafion of coal because lt con
-t.tI'ea so large a percentage Of the
traffic ~ $50 were forced TO decrease
our coal rates. we should De obliged
go increase enormously tNc rates on
O.h-r traffic IN order 20 break even 90
Assuming that your profit on thu
sIcrtatiOu % coal IS 80 OF IS or
fUr per cent" inquired counsel FOR
the Pittsburgh Coal company. would
sou favor Tho addition OF the pro-
posed five per cent?
eyes, replied Nr Large. because
the returns on the traffic now are
insufficient 90 meet our absolute
needs 40 such profit however. Is
being made"