The Richmond Virginian. (Richmond, Va.) 1910-1920, 1914-04-03
the same period have decreased si.211 900 from

the same period have decreased sl.2i1 900 from
November /. 1913, to date.
The net operating revenues of the Chesapeake
and Ohio for the month of February show
decrease Of Al per cent and the net revenue for
the first eight months OF the roads fiscal year
show falling off of 2 per cent.
President Smith of the New York Central
told the Interstate commerce commission We'd
nesday what three other railroad presidents told
that body before him. and President Rea. of the
Pennsylvania lines. yesterday corroborated the
other witnesses. They all agreed on the state
ment that the situation ia critical with the
railroads and that If present conditions continue
there would not be a sufficient margin Of income
to pay dividends and make improvements.
The commission has heard all the evidence
from the carriers. and now contemplates the
proposition OF is attorney, Louis H. Brandeis,
to make personal investigation of the rail-
road property before passing upon the petition
Of the carriers
The Baltimore Sun expresses the opinion that
the commission has it within its power merely
by pressing button to set the wheels of pros
perity running and chafes over any delay in
settling the question and ending an uncertainty
that it claims as taking the heart out of every
business man in the country"
The sun while not processing to bold any
brief for the railroads of the country. observes
that.
ALREADY tariffs covering an advance Of 5 per
cent in freight rates posted in the offices
the Eastern railroad lines The preparing and
printing of them the railroads a million
dollars They had to be prepared and printed
before the commission would consider the ques-
uon Of increased rates all. Everything is
ready for the new rates to be put into opera
tion. If ti.e commission gives the word it can
be done tomorrow. And that the grant Of the
Increased rates would stimulate business might
ny, would end the present period of threatening
disaster, is hardly to be questioned The bust
ness men who know about such things prac-
tCa3ty unanimous in their opinion that il would.
They cannot all he wrong. And they are also
Of the opinion that II the decision of the com
mission IS much longer delayed the result may
be very disastrous indeed.
Ought the commission To grant the in
crease 1t knows best. 1t has the data and for
years has. been kept fully advised. every month.
Of the condition Of all the railroads Outsiders
have their opinion. but il cannot be as we'll
grounded is that of the commission. Some
TO he significant They know. for instance. that
roads like the Pennsylvania, which have con-
eededly been managed honestly and conserva-
lively have for three years been showing de-
erea&es IN earnings most alarming to those who
realize that unless the railroads can command
new capital the people must suffer They know
hat shippers, who must pay the increased rates
and who in ordinary circumstances would pro-
test against them, largely in favor of the
increase. They know that the newspapers
which reflect public sentiment and which ten
years ago were almost all hotly antagonistic~ to
the railroads almost unanimous in
favor Of the increase. 1t is uncomfortable that
situation Ike this could obtain unless there
WAS some overwhelming }oeic behind the APP
plIcatton for increased rates"
The commission has also heard the arguments
Of the outsiders against the proposed increases.
Continues the SHn
There sthe argument Of Mr. Brandeis for
instance. that with the present system of IN
terfoci<ins directorates. with officers and drec-
tors Of steel companies and car companies and
supply companies of all sorts sitting the
boards Of railroads. there is no telling what
exorblta1t prices the railroads pay for materials
and nnta this is demonstrated there Is no telling
what rates are fair and just. This may all
he true. but II may he wears before the exist
ing system Is changed and the truth or falsity
of the charges concerning the evil influence of
fnterlocking directorates established Surely
the sensible thing to do in ease like this is to
grant the rates demanded by the present svs-
tenn, and when that system Is changed then
make the appropriate changes in rates.
There is the argument that the railroads are
heavy losers through the special services which
they render Ia large shippers. such MS switch
ng, sporting and floating services. Here again
tremendously big question that affects the
whole system of rate-making is opened up 1t
ts like the question Of the long and short haul.
the question OF making rates 10 suit what the
trathc viii bear and such things They are
all parts Of the existing system. IL you change
changes in others. If the commission has
studied this whole question thoroughly and Is
ready to announce a matured policy, we'll and
good The public win accept it's decision But
n It Is mon ready, then surely the right thing
TO do is TO settle tho present question or In
creased rates on the basis of the existing sys-
yem and after that system is changed to make
corresponding changes in rates
Then there the arguments of the Mr.
Thorne. who represents the railroad commits
sions of several Western States II wants the
rates kept as they are, for fear that If the in
creases are granted In the East they viii later
he demanded by the railroads OF the West
That question, Of course. should be settled upon
its meriise If the Western railroads deserve
higher rates they should get them. Irrespective
Of the settlement in the East Mr., Thorne's
assertion that the railroads have iucpled their