The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1914-10-16
BANKERS DEMAND a IS \
ADEQUATE RATES
EORsE3AlL ROADS

FOR RAIL ROADS,
Continued From: flrst Pase.) ~,
not BIO opened and business restored to
normal conditions.
Tho railroad and Transportation In
terests OF tho country lie at tho basis
of tho cntiro Industrial and anancIai
fabric. and. unless these interests can
be made prosperous, their financial
| necessities relieved and sthe confidence
in tho stability OF their securities re-
stored and maintained, no permanent
relief from existing conditions can be
expected
-The rates charged for service rem
dercd by the railroad companies have
been constantly decreasing for years
past, while tho cost of operation. main
tenancc and Improvement of such prop
critics to provide the improved service
| required has constantly increSaed, with
the result that the net earnings of these
companies IN proportion to capital In
vested and required for their develop
ment, have declined until many rail-
road properties are facing bankruptcy
or are in the hands OF receivers, and
| the obligations OF railroad compa nies
nGw IN default have. rsxched a sum
more than equal to onc-half OF the ma
! tional debt of the United States; while
| the confidence. ofi-the Investing public.
both in this country and abroad. in the
value and stability Of railroad Hecuri-
| ties lIas.bcen seriously Impaired. I'm
less these conditions are promptly
rcmedied the effect must be disastrous
TO all interests. 21S
The government or the United
States. through the Interstate Com
merce Commission. has taken control
and reRulationN of railroads with, the
power to fix their rates. and this power
carries with II the responsibility upon
| tho commission to permit and require
the railroads of the country. to charge
| rates adequate to meet their operating
texpcnses. take care ofima,ntenance and
improvements necessary TO the con-
Istantly improving service and provide
a reasonable return upon the invested
capital, and to establish their securities
upon such firm basis OF credit aH to
Justify the confidence OF the invest
Ing public.
ITO this end a prompt and liberal In
crease In railroad rates Is essential
aud 1t liz matter of serious import to
every business interest in.the United
States. and especially TO the banking
interest charged with the responsibility
| for financing the large maturing obli-
g:lt,ons OF the railroads OF. this country
ithat the applications now pending be-
fore the Interstate Commerce Commits
sion for increase In rates, and any other
! reasonable applications which may be
. made to- thaten should receive prompt
and favorable action of the commits
sion.
"Now,} therefore, be It resoivedi That
the American Bankers' AHsociation, I'm
convention assembled at Richmond. Va.
on October Is, 1914. Do hereby declare
TINT In their opinion prompt and
liberal incresse In railroad rates
throughout the United States Is esnen-
tini In order to enable the railroads to
finance their maturing obligations, and
to provide the money with which to
operate, maintain and improve their
!propertfcs, and that such Increase In
rates must be mnde before ne can hope
to sccure the confidence of the invest
Ing public both Mt home and abroad tn
railroad seruricsties, or make an ade-
quate market for said securities so
TINT the financial exchanges of this
country may be opened and normal
financial conditions reinforced.
"Refolve further, That In the opfn.
lon of the American Bankers' Asaocia-
tion theyinterests of the whole country
40 affected are OF more Importance than
the individual interests of q few ship
pers who might deem their interests
prejudtced by such Increase In rates.
"ResoIveti further. That the criais
now confronting the railroads I'm this
cOGntry and directly affecting our en-
tire credit system and the reatora ton
Of normal coudItionE In business. :, ind
, foreign exchange ~ urged upon the
serious atteBtion of the sInteratate
Commerce Commission, and the cotanis-
sion In respectfully but earnestly re-
questcd to act promptly and fsvorably
upon pending applications for increase
of railroad rntcs, and. In the exercise
OF its broad powers md In the din-
chnrge of Its obligations to project the
interests of the railroads under It's con.
troll to take such action as may pro-
ssuce general and adequate increnae
In railroad revsnues of this country. to
the end that the financial credit OF the
rnIIrOad IN IN ea 1.o g.
lishcd. and that these companies may
lie thus placed In position TO finance
their maturing obligations.
"Reso1vcd futher, That the secre-
tary Of this nssociation In directed to
forward n certified copy OF these reno-
iufions To the Interstate Commerce
Commissiop.'