New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-01-02
poads Should Cooperate
with the Interstate Com
merce Commission.
OBVIOUS POLICY IS
HONESTY. SAYS EXPERT
Only Argument Against Physical
Variation Is That 1t May
Increase Taxes.

March T. '..'
national .t.. ....,,..,., IN
i', -e- .. .pe mos, complete SYM
l,s.r~ Of tle various questions relaurs
railroads arl taoir relations TO t"c
nrbio Chat has see been presented. ~
asrs>es 600 3D. perfectly d.spassionate W"N
Los, and Capitalization ana the cucc,
.t-.,- of rates. 10 considers the cost
..,or.otior and o. capital and the
,,-,.rr power of OH, properties 10 shows
~. 5esirabuy OF t1o acquisition of
,.--.h Tines and Che equitable method Ji
tin. minority stockholders
NJ, s rrf,.i. .te that some railroad
r.l.. ham. ..eu rt to decrr the law
... tal Oh, realize fts impor-
't,.l. ,o t.e ..irc and 10 security
r.-. This attitude results
-. .-...f.o OF railroad managers
r..-lt orr9oscs of taxation.
..,.- -ro book value Of an .ir
.-.,,s
,..,..,.... fI..t dire to boo met lCta
.. -,r,..r. and hv the Interstate
,..,-,,.. Commission valuation board
.. il.,.t~,te1 bv briefly giving hs-
ne 49,, ttc official rooorts Of two
competIuc railroads
A. o
some r'9"'e9
4N' .......,,tio, If Road and
l''' ..- ,....,..r,or+ of 81. o.
elAPl-. ....-- 800. .,,. rail
y" i' o.. ,,,.. .s.,o i.c,...
way 70 -,.. c..,.-.-1 Ain
IL n
W. ..-.-. and If ,oe At
iaNe 60 a., ..,u. Dc
'.''. ,,.. -.i.. ,..,.....ies ,,Do~aiscl
.-......., .,. entitled to . p,r
r.s', .... ,tc r,.., line shows SUI
',"' esq. . ...... In, ir.ara--
Ne ....r.t fine Sesboards failure 10
sno" e''"''-7 '' ~ l" '''' .o,,.
.......i..,. ,.. nronerties of
.--,...-.,s ,.s5s 90 tho com
t.r.,.,,-. Get line can
, ,...... ,..i,.o ,,r,ler "a ,b,si-
~, .....;..l ,.,s, tbo Soaloard There
$40 ,,,cs,fon that WHOM the Sesboard
,.,,,,,,s Tho 4a,rrs of the cost of It's yari-
or. ,o.s,i,r,,t ,or,narfes il can show "a
ocsf io excess of IFS present book value
,5,-it.in- ,ren that am anpraisal value
i,.. d,,.-..i...,, viii show I'm excess Of
,,s n-,s.r. l..,.l. ,,lne 81 is obvious at
ain. s,..i,...d hs. o., intangible value
which ,,..,,, DC added IN the physical APP
nrai,sl even when its present earnings do
rot devotion am c0uity above the appraised
,,hne or i,- nbvsicsI property
Roth tho Scaboard and Atlantic Coast
riar ,,.1 Doc able TO show much more
than DoeI, value under a fair appraisal
Of Tho taurirlcs. and SO the important
question for security owners IS tho valae
of in,ar-Ihles
railroad is q plant built for the
PURPOSE Of manufacturing and SOL
iuc TRANSFORMATION The profits earned by
the plant are tic difference between the
mon,, received from the sale or trans
por,ator and tho cost of labor and ma
ierIsl expended 60 produce that transpor-
tstion To maintain tine integrity of the
plant DO is necessary Co add 10 cN-
pcnec a eum which Will represent the Do
probation of tfc nlaut From tho result
Thor. n taxes are deducted. the remainder
u.iu ~tv, On. actual manufacturing profit
n +. irtercst.ne 20 note that FOR many
,esr. railroad managers have endeavored
,, go .-. ,.st,tc and
% p.'t"' ''' "''''' .'o' 49,.
The earning capacity OF their properties
10 public boards This resulted from the
fac, shat ,aflroad managers cudeavOrcd
t..-t.,l ,-s1no
TO Keen mo ldh-lNl' "i p"H '''"'
or tho property as Tow as p"7sl'''' ."