The Washington herald., 1914-07-19
EXPRESS FIRMS
LOSE BUSINESS
Parcel Post Has Wiped Gu.
Trade Of Nearly All the
Big Companies.
LONG HAULS SAVE SOME
In Nine Months. Ending June 30. OPP
Grating Income of All Concerns Was
Reduced BY 84.4 Per Cent.

American express companies Of tn
larger size suffered a reduction OF 81
per cent of operating income during tn,
first nine months OF the fiscal year endet
June 90. In dollars the reduction wa
from Ga 7B SIS to $5Ss, 40, loss Of s., 2os sss
In that list are included the Canadian
express companies on account OF the
business they do south of the interna.
tional boundary line.
The period covers the operations OF
the now definct United States Express
Company. which, when II went out OF
business. attributed its going to the COM
petition OF the parcel post and the re-
ductions made in express rates by order
or the Interstate Commerce Commission,
although before either was a fact the
business Of that company had been de-
Long Hauls Profitable.
These figures, prepared by the division
of statistics Of sthe Interstate Commerce
Commission show that the Southern and
Western; lines companies are the only
cnes able to keep out Of the positive
deficit column. They are the ones that
have the -fong natis in which the profits
lie. Express, in common with all other
railroad service rates, increase with dis
tance, but expenses do not On an ex-
press package from New York City to
Tarrytowa the essential express ex-
penses, that Of pickup and delivery. are
the same as on a package carried from
New York TO San Francisco.
That is believed to be the chief reason
why the Adams, American, and Globe
show great-reductions of their operating
income, while the losses OF the Western
and Southern companies were not great
enough to force the income account into
the minus column, although all suffered
reductions In comparison with the corre-
spending period Of the preceding fiscal
year.
How PIatts Pet Was Hit.
Standing next to the figures Of the COM
paratively prosperous Southern are those
pertaining to the United States the pride
OF the late Thomas Collier Plat, to whose
influence through a long stretch of years
is attributed the blocking OF parcel post
legislation. That company had a deficit
in operating income for the nine-month
period ending with March. 1913, amount
ing to Seo.27S During the nFne-montn
period ending with March, 1914, the deficit
amounted to $153,617. II took in in pay
ments on express companies 1914. .l45. of
which It paid 45 per cent to the railroads
for carrying its packages. II had total
operating revenues amounting TO $751;
42i, but its operating expenses amounted
to 7,sTs, ,dS7, or more than its operating
revenues. exclusive of accrued taxes
amounting TO s9S,0O4.
Wells Fargo & Co., which took over the |
remnants of the Plat company. suffered /
a reduction of operating income of sub |
$516.00O, but remained out of |
the deficit column, having an operating |
income of Ssl4,622, as compared with one.
of 81, I,sOl,0sS for the corresponding nine
month period Of the preceding fiscal year.
None Of these figures can be used in .
the political wrangling in the House and /
Senate. They are not the result of any |
thing the Wilson administration did or |
failed to do. The reductions in rates and /
the establishment Of the parcel post serv-
ice were not partisan acts. The rates /
were reduced by the Interstate Commerce |
Commission.