Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1914-10-19
REHEAR'v ST REQUEST FoR >
PER E INCREASE BEGUN
: WASHINGTON.
WILLARD TELLS COMMISSION
NEEDS ARE PRESSING
Statistics Presented 20 Show That
While Revenues Havo lnorsassd,
Operating Expenses Have Multiplied
and That Dividends to Stockholders
Are Dwindlins.

Washington. Oct. 19--Public hearings
on the demand OF eastern railroads for
increased freight rates. which they
contend are necessary because of tho
worldwide financial exigency due In
part to the European war, were begun
here today before the Interstate com
merce commission. The commission IL
hearing arguments only on issues
which have arisen since it's hearing In
July. which denied Increases east Of
Pittsburgh and Buffalo and granted In
creases west OF those points.
Tho railroads were represented by
their executives. shipping organiza-
tions and individuals who opposed fur
ther Increases were represented by
counsel. among them Clifford Thorne.
Of Iowa, who led the opposition Ia tho
last application
Todny's hearing was given over to u
statement for the railroads Daniel II.
Willard. president OF the Baltimore n
OHIO railroad. made the ere,:!n; state
mcnt for the roads
"Ncods Are Pressing" Says Willard.
The needs of the carriers are press
ing and Immediate" he declared. Tho
actual situation has become critical.
The roads are seeking u Hat Increase
of ! per cent In freight rates thruout
the territory east Of the mississippi
and north of the Ohio and Potomac
rivers.
MIR, Willard called attention to tho
decision Of the commission In the for
mer ease wherein 1t was stated that
the net operating income of the rail-
roads in official classification territory
Is smaller than is demanded In the itI-s
terest or the general public" and to
the fact that the railroads have alrendy
taken action to secure additional fev-
cnucs thru changcsDf practice.
"'rhc measure OF relief proposed by
the commission will not. In our Opin-
ion. adequately meet the existing situ-
alton" he added
Mr. Willard concluded his statement
hy saying that n grave emergency cx-'
lists" ana that should IL appear at any
time that the emergency had passed.
the commission had power tn order any
reduction and that he was OF tho opin-
lon that should reductions he shown to
he warranted. the railroads would not
oppose them
Supporting Testimony Given.
George stuart Patterson general
counsel Of the Pennsylvania. asked TINT
Wee President schriver. OF the y. \ o..
he appointed to submit data for tho
eastern railroads as n whole to sup
port Mr.. Wizards statement, Mr..
Schriver presented statistics of the
financial conditions or the railroads for
the year ending June 20. which were
not available for the commissions con =
sideraton in the previous case. This
synopsis OF his statement MAS prcscnt-
ed by Mn Sehiver;
Operating revenue In 1911 was 81 =
a15. O00 900. less by siS.oN0, 900 than In
1919, atho operating expenses tnot-
wthatanaing the smaller amount Of
business hnudcrt We're So .ono, 900 mora
than In the previous year. While tho
business handled In 1914 was. excepting
1918. the largest In fifteen years. the
nc. operating income was the smallest
shown In ten years
Dividends Decrease.
"Taxcs increased $4,000. 600 In iofa:
Stree 1890 thcy increased 10, per cent,
For ,ho Pennsylvania. New York
Central and tho r. ~ o. not operating
income for 1911 was tt1 .476,o00 lcss
than in 1913. and the lowest In ten
years The dividends paid by these
three systems were tho smallest In flve
years and at tho lowest average rata
for ten vars.
"in 1914 for tho three systems the
sum available for interest dividends.
and surplus amounted to 4.ba per cent
on total capital obligations. rate
much the lowest OF any shown In tho
preceding fourteen years Previous
to 1914 tho ratio did not fail below
/ J6J per cent
Use Capital to. Pay Dividends.
| Louis d. Brandes counsel for tho
! commission. asked Mr., Schriver or
! cross examination if incursion OF the
I New Haven and Boston Il Maine rail.
roads had not accounted for si.000.0p0
! OF thc ss 0nn,0o0 shown In the state.
| ment of Mr.. Schrivcr ~ inroads Oh tho
! capital TO meet dividend payments. Mr..
| Schriver admitted such was the ease
! MIR, Brandcis also brought out the facs
\ that the last per cent dividend paid
i by the f. 4 q. was paid despite i'm ans
| nuai deticit OF sS.000.0o0,
Alleged Fircbug Dies in Jail.
! S.,cot,, d, 'finca- Ropiihiipait