The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1918-06-23
MUGH INTEREST IN
'FLORIOA OVER LATE
|. c. c. DECISION

TALLAHASSEE, June 22.-(Spe-
ciaD.-Today's papers carry a dis
patch from Washington stating the
issued an order refusing to grant the
express companies application to in
crease the rates on all classes of mat
ter carried by express in interstate
commerce ten per cent, and imme-
diately after withdrew the order with
out explanation.
Should this case come on for fur
Their hearing before the Interstate
Commerce Commission. the Florida
Railroad Commissioners will continue
to vigorously oppose this increase.
A copy of the express companies pc
tition for higher rates was received by
the Florida commissioners on Novem-
Der 21st, 1917, setting this case for
hearing on December eth, 1917. This
gave little time to prepare statistics
and briefs to oppose the raise, but
being convinced that the increase was
unjustifled in this territory and that ii
would be oppressive and detrimental
to the growers and producers of this
state, especially the fruit and vebe-
table Shippers, who have been hit
heavily by other adverse conditions.
the T lOHl commissioners immaculate
ly sent their statistician to the gen
eral offices of the Southern Express
Company to examine the books of the
company and secure data to prove the
increase asked for unnecessary
At the hearing the Florida Railroad
Commission was represented by Hon.
ID. G. McMullen, counsel, who, in his
argument against the 10 Fer cent raise
in rates. cross examined witnesses of
the express company, using the sta
tistics secured from the company's
books.
Ii was shown In these exhibits that
the net corporate income of the South
ern Express Company for the nine
years ending June 30th, 1916, was $13.-
t50.499.74. It was also shown that ir
this period dividends were declared to
the amount of $4,000, 10000 by the
Southern Express Company, and it was
with these facts in view that the COM
missioners opposed the 10 per cent in
crease in interstate commerce. The
operating results of the Southern Ex-
press Company in the five years end
ing June 30th, 1916, show (and il was
evidenced in exhibits OF the railroad
commission) that this company has
been earning a return upon its real
property investment of approximately
II per cent, and in the four years
previous from 336 to ST per cent. The
Florida Railroad Commissioners feel
that their presentation of these facts
to the Interstate Commerce Commits
sion has had considerable to do with
the opinion rendered In substantial
ton of their claim for the 10 per cent
increase the express companies submit
ted figures January LIST, 1917, to June
3Oth 1917 and while the figures of
the Southern Express Company showed
Il decrease from s146,000 in January,
1917, to S27.409.27 i'm June. and while
their exhibits showed a loss of $4,000
n operations for July, 1917, further in
vestigation by the railroad commission
Of the books of the company developed
the facts that for the month of Au-
gust there was an earning, and that
the figures of the company included
excessive and abnormal estimates of
taxes amounting to and decreasing its
net earnings some $4,000 for the
period May to August. 1917. It was
without doubt the intention of the
Southern Express Company to demon
strate that If the operations for the
balance oe the year continued as they
had in the first seven months of 1917,
it's net revenue for the entire year
would have been a deficit, but the COM
missioners now find by examination of
the 1917 annual report of the South
ern Express Company that its net in
come for the year 1917 was S1.0c4.-
59611. and from this amount dividends
have been appropriated to the amount
of $500 600 90, all of which goes to
show that the contention OF the Flor
ida Railroad Commission before the
Interstate Commerce Commission that
this increase was not justified by facts,
was and Is correct.
1t is impossible to give the exact
amount which the denial OF the in
creae OF 10 per cent on express rates
would have for the people of Florida
but 1t would be safe to state that this
saving in express charges woulL
amount to from 100000 10 100000
per annum.