Highland recorder. (Monterey, Highland County, Va.) 1877-1972, 1918-06-07
Order MERCES
EXPRESS lines
MCAdoo to Control Service, Sal
aries, ETC., Cutting Out
All Duplication.
SYSTEM TO BE PERMANENT.
Will Offer Nation Unified Service-Ter.
nninaIs and Routes Being Redistrib-
uted to Save Time and Trans
fers-Banking to Continue.

Washington.-One union express
company for the United States was
created by agreement between Direc.
tor General McAdoo and the Adams
American. Wells-Fargo and Southern
companies. Their transportation bust
ness will be merged under a new pri-
vate corporation with capital of more
than $30,000,00O.
George G. Taylor, now president Of
the American, will be head Of the new
concern.
After July l, when the combination
becomes effective, shippers will direct
shipments "by express" without regard
to company, and soon thereafter the
individual names of the separate COM
ranIes will begin to disappear from
| wagons, stations and cars.
The company will be the express
carrying agency Of the railroads, oper-
ating privately, but under contract to
turn over son per cent. of its gross
revenues-more than 100000, 600 las
year-to. the roads for transportation
privileges.
Three smaller railroad owned com
panies, the Western, Great Northern
and Northern, may join the coInbina-
ton later.
More than 100000 employees Of the
four companies are to be retained
under the new corporation, and their
WAGES will be raised In many cases,
according to Mr. Taylor. The amount
will be determined after the scale OF
wage advances ordered for railroad
employees Is examined carefully
Through economies by the common
use Of wagons, trucks, distributing sta
tons, city Offices, warehouses, rail-
road cars end other equipment and the
simDlification of accounting the merged
companies hope to save many millions
of dollars and to render better service.
Though the merger Is arranged I'M
der war exigencies, it is planned as
permanent and accomplishes the OBJ
ject which for years has been discuss
ed IN vain.
Last year the four leading compa-
MES barely made expenses, ana the
Adams recorded q deficit. Early
months this year showed even a worse
record owing to the general demoraliz-
ed conditions of railroad transporta-
ton, the rising cost of materials and
shortage Of labor.
Some officials of the companies
sought to have the railroad admins
tration take over the companies along
with the railroads and guarantee the
average prewar earnings, which would
have been about $3,700,000 year, but
Director General McAdoo declined to
extend his field Of operations to this
extent.
Distribution of the Stock.
The stock will be distributed among
The four companies according to the
comparative value Of the properties
they contribute to be determined after
further valuation proceedings. Each of
the companies will continue it's finan-
cial business, such as dealing in money
orders, foreign exchange and limited
banking, individually, and with the I'm
ion company as their agent. The cor
porate identities Of the companies will
be retained.
Out of the 49% per cent. of gross
earnings retained the union corpora
ton will pay operating expenses, taxes
and dividends of per cent. on it's cap
ital stock. Out Of the next per cent.
available for distribution the company
will receive l per cent. and the govern
ment per cent. Out Of the next 3
per cent. the company will get l per
cent. and the government 2 per cent.
One-fourth Of amounts above this will
be distributed to the company and
three-fourths to the government.