New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-09-16
RAILROADS AGAIN
ASK RATE REVIEW
Show Decreases in Oper-
ating Revenue of
$44, 100000.
Iron The Tribune Bureau

Washington, Sept. 15.-An applca-
ton for modification Of the Interstate
Commerce Commissions order OF July
% directing that certain tariffs pro-
posed by the railroads in the oihcial
classification territory be cancelled was
made to-day by Daniel Willard, presi-
dent Of the Baltimore e. OHIO Rail
road. as chairman Of the committee,
representing III roads and thirty-hve
systems.
/ The petition of the railroads IS one
Of the results of the conference their
presidents had with President Wilson
last week. Three reasons for the modl-
fcation of the order are set forth, as
follows: ..
First THE complete income accounts
Of the railroads for the fiscal year ehu,
ed June 80, 1914, are now available ana
should be considered, as there has oeeh
diminishing operating income.
Second-"The unforeseen European
war has brought about an unparalleled
destruction of wealth and dlslOcatlon
of credit throughout the civilized
( world" and cit is certain that the con,
petition for capital will be keener ana
! interest rates higher for some years 10
come than in any corresponding perlod
within living memory. -,
, Tbird-Increasc allowed in freight
rates in Central Freight Association
territory will not be adequate, as the
additional revenue which may be Sc
cured by the adoption OF means oIher
than general advance III freight rates
cannot be obtained in the near future
and when secured will be Inadequate
/ 10 meet the needs Of the carriers lot
increased revenue in the present sltua-
tom
Since October. 1913, it is stated, he
complete income accounts for the year
! ended limo 30, 1914, have tecOmc avail
/ able and show Il decrease in operating
revenues of S44.7OO,O00. Al the same
time the operating expenses increased
! S23. 300 900. After deductions for taxes
and deficit in outside operations, ac-
cording to the petition, there was
decrease in operating income OF Shi,-
10000. This tendency toward de-
cline is continued in the monthly re-
ports for July and Augurt.' IT Is cs-
I tim;tcd that the obligations Of rail
roads of the United States maturing
within the next fifteen months VIII
( amount to $50O,0O0,O00.
! Large sums will be required TO pro-
/ vide for improvements to prevent the
standard Of transportation service from
deteriorating, and TO compete effective
( " for this new capital the roads must
have material increase in revenue.
Finally, the petition states that the
roads have put into effect the advance
in rates in the Central Freight Asso-
citation which were authorized by the
commission, and arc giving earnest at
tention to the suggestions other than
increasing rates offered by the COM
mission.
Importance is placed on the fact that
additional revenue derived as a result
of the suggestions of the commission,
other than the advancing of rates, will
not be available for a long time to
come, and even then will not be ade-
uuate to meet the needs of the car
rieTs.
/ II is not known when the petition
will be considered by the commission.
/ Commissioners Daniels and McChord
we're the only members in Washington
tonight. 1t is believed if hearings arc
granted the proceedings Will be COM
paratiycly brief.