Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1914-03-09
TRAIN SERVICE
To Be GUT, IS
PREDICTION
Roads Can't Continue Long Los
ing Money Says Forbes, Favor
ing Freight Rate Advance.
BY 3. C. FORBES.

You may find your train service cut
down shortly The largest railroad
system in the United States-and In
the world-has started to reduce the
number Of its trains. And the Penn
sylvanias example has been followed
by the New Haven.
Unless conditions are speedily cor
rected. other lines are certain to fol-
low suit
What attitude do the public-wha
attitude do you-propose TO take to-
ward the whole railroad problem?
Let there be no misconception on
this simple point;
Railroads can not be run forever
at loss. No power on earth can
!. compel investors. against their viii
TO supply capital for Improbable
purposes.
The public must not expect the
railroads to give for 100 cents sery-
ice costing them 105 cents. If a
loss can be turned into a profit by
looping off a number of trains, the
railroads. if unable to make ends
meet by other means, will have re
course TO that unpalatable expedient.
The indications are that railroad
service viii be materially curtailed in
the near future.
This, of couse will breed discon-
tent, and discomfort viii give an i'm
pctus to the agitation for Government
ownership
A trifing increase-say IL or even
per cent-in freight rates win not
remove an railroad difficulties,
American railroads must call a halt
in the snowfall like rolling up of
debts. debts, debts which never are
liquidated
We're investors to refuse to supply
ADDITIONAL capital to our railroads
for two or three years, the country
would be strewn with bankrupt sys-
TENS. Solvehcy under the present
method of financing transportation. is
dependent upon ability to raise larger
and still larger loars. That is an I'M
pleasant fact, but it is fact
My opinion is that the whole ma
ing Of the rate increase desired
But that would not--will notLset-
tie everything.
Did you notice that the new presi-
dent of the Chicago and Alton be-
gan by cutting the payroll 10 per
cent and abolishing number OF
high salaried official positions?
Among developments l look for are
these:
Cessation of the building OF places
as stations in cities and towns.
Curtailment of Improbable serv-
ices
Further uprooting Of graft" how
ever polite, in purchasing supplies
etc, etc.--a la the recent Illinois
Central, New Haven and other dis
closures.
Reduction of commissions paid to
fiscal agents" for issuing securities,
many Of which would sell themselves.
Federal supervision of all security
issues.
Also, there is undoubtedly more or
less room for saving money legiti-
mately and wisely in such connec-
tons as:
Demurrage.
Switching
Tap lines.
Lighterage
Use of piers,
Underweighing,
Damage claims,
Carrying at carload rates shipments
not entitled to this classification,
Allowances ia pTiVata oar 1fpaS
Excess baggage carried free,
Free telesfaphing and telephoning
Tor shippers,
Maintenance Of expensive ticket d.
fees in fashionable neighborhoods.
The railroads contracted the ex-
travagance mania in common with tho
rest of us. They must now embark
on a different course. To apply the
pruning knife is always painful. hut
II usually makes the healthier ant
solid growth.
If granted slightly better freigh
rates, and il they use all conceivable
diligence and ingenuity in eliminating
unnecessary expenses. American rail,
roads may by and by be able to in.
crease instead of Curtail their SERVED
and 10 control their now mountins
debts, thus placing their finances ~
a basis calculated TO excite less con
Germ than is now felt by those VIII
look below the surface and a littl'
further ahead theH their noses,
As see ii. the Interstate Commerc,
Commission, the public. labor, ship
pers. and. not least the railroad
themselves must all bear a share Il
rectifying the present untenable an'
impossible position. Things can no
continue as they are now without cui
minating in an upheaval II were be-.