Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1915-06-26
lNcREASE DEMANDED BY RAIL.
ROADS WOULD SEND VALUES
ekYNNARp.
SAME COMPANIES ASKING
LIFT IN PASSENGER FARES
Railroads Abandon Plea That Euro
psan War 10 Affecting Their Business
-Proposod Raise in Passenger Rates
Would Increase Revenues Total OF
100000.
special to Times-Republican.

Special to Ttmee-Republtcan.
Des Moines June 26.-n the carriers
succeed in securing from the interstate
commerce commission the order they
desire for an increase IN their income
that will make them yield 10 per cent,
the price Of stocks will go soaring TO
the skies and there vii, be the greatest
distribution of prosperity in certain
circles ever known. This is a phase
OF the western advance rate case that
will be presented to the commission
thIs week.
The reply arguments or behalf OF the
shippers and consumers was pract-
cally completed by Chairman Thorne,
Judge Henderson and others before
they went 10 Washington, but not IN
time to have the printing done here.
They took their manuscript along and
will have the printing done in Wash
ington.
AS q part of the resistance to the
advance in rates some interesting facts
came out as 10 the amount that the
carriers would realize or the boost II
granted. and it's effect on values. The
carriers made an estimate that the ad
varces they had filed would bring
them a net increase Of about $4,000
900. II was promised witnesses would
be produced who made the conputa
ton showing this estimate. but the
witnesses never were produced. But
Mr.. Thorne declared that il is not for
s10,o00.000 the carriers are asking the
advance. The same companies are
seeking an advance OF 20 per cent on
passenger fares, which would make
$50, ooo. 600.
Increases Proposed Daily.
I'm addition TO these we have in
creases being proposed daily by The
carriers" says Mr.. Thorne in his argu-
ment as printed. There is now pend
ing before the commission an advance.
from the far northwest. on live stock.
which has been pending for over one
year. Other advances on concentra-
ton Of dairy food produces, eltmina-
ton OF certain privileges, stoppage in
transit and charges for demurrase
services, etc. AL Of these will bring
more revenues to the carriers. If what
the railroad companies are realizing
asking is an additional $50. 900 900 in
their net income, If they are successful
and that $50. 600, 900 is divided be-
tween the northwestern and south
western lines, in proportion to their
present net corporate income, it will
make this northwestern group OF rail-
roads earn over 10 per cent on their
capital The market prices OF their
stocks, in that event, will soar highe,
than they are today; instead of aver
aging 125. as they do today, they will
be much above $50"
An interesting feature of the case
as to western railroads is that whereas
in the eastern rate case last year much
stress was laid on the European war
as reason for demanding higher
rates, in this latter case there was dis
tinct reputation of the idea that the
disturbance caused by the war was a
reason for the advance. President
FELTON,. Of the Great Western, testi-
fled that there had been no increase
IN cost Of supplies because OF the war,
nor any increase Of wages, and that
money can be borrowed as cheaply
now as before the war and said: We
have nothing on here as to the war"
In fact. the war situation was taken
wholly from the case; and the demand
for an increase is based on the idea
that the railroads need the money for
current and ordinary business.