The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1917-07-04
GAN NOT INCREASE RATES.
COMMISSION REFUSES no GRANT
Is PER CENT. RAISE.
Thinks There Is No Ground sor Dow.
erty Plea Of Railroads in Southern
District.

state commerce commission TODAY
denied the plea Of the railroads Of
the United States for a horizontal
Increase Of Is per cent. in freight
rates.
The commission indicated its will
ingness to increase class rates in the
Eastern district approximately II
per cent. Since about one.fourth of
the freight handled is moved under
class rates. the decision virtually
allows the Eastern lines about per
cent. increase in gross freight rev.
enue. Increases In rate on coal
coke and iron ore will be granted.
In the Southern district an in
crease Of 15 per cent. on coal with
@ maximum Of 15 cents a ton was
permitted.
The commission found, as result
OF the extended hearings on tho
case. that the carriers generally show
a substantial increasing financial
prosperity and that they have ample
resources with which to conduct
transportation. ar
Little sympathy was given the
arguments Of the roads that they
wore victims of war prices. the COM
mission holding that the carriers
have profited by the mobilization of
troops. 3H~
The commission suspended the pro-
posed tariffs until October %, but it
indicated that no rehearing of the
case would be of value at this time,
and suggests cancellation of the
tariffs.
The commission finds that the
gloomy forecasts of jeopardized in
comes seen by railroad officials early
In 1917 have not been borne out by
the figures available for later months.
The proceedings were brought in
March when the returns from Feb
ruary were just being made up,
February was one of the worst
months in railroad history. The sub
seQuent months have shown increas-
ing revenues. while expenses have, in
many cases, failed to amount to the
extent the carriers officials feared.
The commission pointed opt that
the carriers comparisons haye been
made largely with those Of 1915.
which was the banner %year in,r rail-
road earnings. and adds that the
1917 income might be considerably
diminished without necessarily in
dicating a danger point in earnings.
Commissioner Harlan in a concur
ring statement declared that should
the next few months show the rail-
road mems fears we'll foundedJ the
commission would be ready to grant
relief. He also made a plea for bet
ter equipment and service.
Commissioner Meyer. dissenting in
part. disagreed with the commission
holding that an emergency exists for
Eastern railroads of such character
as to make it imperative to authorize
even the increased class rates sane
toned by the majority. He stated
there Is no proof that the returns of
the carriers Of the East for this year
may not be more favorable than the
net returns for all but a small num-
Der of years in their entire history.
Commissioner McChord, also dis
senting, urged that the commission
report to congress the essential facts
disclosed and ask that an investiga-
tion to determine whether prices de-
manded Of the carriers for fuel and
supplies are reasonable under pres
ent conditions. He also intimated
that government control Of these
commodities might afford relief.
The commission authorized the fol-
lowing raises in class rates for points
north Of the Ohio. east Of the Mis-
sissippi First class, from 1873 to
80; second class, from 68. 3 to 10;
third clas, from 52.5 to 60; fourth
class, from 3s.S to AZ; fifth class,
1925 to Sc; sixth class. 263 to 80
cents per hundred pounds.
The commission found in general
that the effects of the Adamson eight
hour basic day and Of the increased
cost of fuel. supplies and materials
had not affected the Southern and
Western carriers as generally as it af-
fected the Eastern carriers.
FOR CONSERVATION
OF FOOD.