The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-09-01
BUENOS AYRES LINE
ASKS FARE INCREASE
Tramways Company Employ
ing 5000 Seeks 20 Per
Cent. More.
ALL DIVIDENDS STOPPED
Labor Troubles and Heavier
Operating Expenses Given
as Reasons.

BuENos AYREs, Aug. 17.-An increase
OF 20 per cent. in fares, with the pros
pect that the municipal authorities will
grant the application, is made in the
annual report OF the Anglo-Argentine
Tramways Company. The company OPP
crates the trolley lines in Buenos Ayres
and employs 5000 men.
The report gives a review OF the
| finances of the company and says that
| II Is impossible, due to the increased
cost of operation and supplies. to de-
clare the usual dividend on the preferred
| stock of the company or to resume pay
ments on the common stock, dividends
on which were discontinued In 1913.
However, the directors of the company
are hopeful that, with the increased fare
| and the effects of the war rapidly disap-
pearing, dividends on both classes of
stock can be renewed next year.
Labor troubles, due to outside infiu-
| ences during the wharf.-the report hint
ing that the Germans may have been
| active in stirring up this strife-also
| were a factor in the failure of the COM
\ pany to make sufficient money to pay
stockholders a return on their Invest
| ments. Labor demands for increased
| wages also are a large factor in the
| application of the company for an In
| creased rate of fare. On this phase Of
| the situation the report says:
There have been serious labor trou-
f! bles in the Argentine. Until this year
we have escaped but in May last, how
ever, the powers behind these movements
succeeded in forcing a strike of our EN-
ployees. Most of them would have been
| loyal, but they were inundated. The
result was that for eighteen days, from
| May 81 to June 10, our service was en-
/ nj Nd int
reduced $450,000. In the end full SER
vice was resumed with the understand
ing that our employees would have the
eight hour day and other advantages
as soon as the municipality sanctioned
the increase of fares which We ap-
| piled for.
| application was made to the NUM-
| cipality to sanction this increase and il
| appointed committee TO consider and
report upon II. The committee has unan-
imously reported in favor of the appli-
cation being granted, but the question
is still under consideration by the mu-
nicipality. When our concession was
granted a uniform rate OF 10 cents was
sanctioned upon the ground that 1t was
fair in the interests of the city of
Buenos Ayres and was sufficient to give
an adequate return upon the capital al
ready invested and to be invested. With
| In the last four years, however, wages
and the cost of coal and materials have
increased by leaps and bounds and the
expenditure on wages and materials its
| not likely to become less.
I'VE have provided Buenos Ayres with
| what we believe to be the best and
| cheapest tramway system in the world,
| and we confidently look to the munich
pality to grant our petition and thus
enable us to satisfy our employees, and
| give to our shareholders a fair and
reasonable return on the capital they
| have invested in our company"
The report shows that traffic receipts
for the last year were s14,547,175, an
| increase of $1,045,655 over 1917 and
closely approaching the high record Of
1913, $14,592,370. In 1913 the company
| carried 342.000.000 passengers, but in
1918 the number was $40, 000, 900, an
other argument for increased fares. The
report takes a hopeful view of the flu
ture. pointing out that the population of
Buenos Ayres has remained virtually
stationary during the war, due to the
practical stoppage of immigration, and
the number of passengers carried in that
period has shown an Increase.
In closing the report speaks of gen.
eral conditions and intimidation during
the strike in these words:
Having regard to the good wages
paid to our men and to all that is done
for their welfare, it is hard to explain
why they should strike, except 1t was
due to outside pressure of a formidable
character and to terrorism"