The daily banner. (Cambridge, Md.) 1897-2008, 1920-08-02
EI3 ADVANCE IN
Ea.LRChL) Rates
F.. .a1u2S to 81 Increased a
Elton ao1 d Hat.
FIT GOES Up A THIRD
Passenger Fares to Be a Fifth High
er and Pullman Charges One-HaIf
More.

Washington, Aug. 2-Authority for
the railroads of the country to in
crease their revenues by approximate
I,0G0OOO,000 was granted by the in
tersrate commerce commission.
FREIGHT rates Will be advanced about
one-third, passenger fares one-ffth
and PUllman charges one-half
Coastwtse and inland steamship
lines and electric railway companies
also were granted permission to in
crease their freight rates in proper
ton 70 the increases granted to the
railroads serving the same territory
No estimate of the aggregate amount
TO result from these advances has
been made.
The new rates will become effective
upon i've days notice by the carriers
to the commission and the public, and
chey must be in operation before Jan
uary l. Since the government guar
lntee expires September l, the car
rtnrs are expected to bend every eff
fort to put the advances into effect by
hat date
Increases granted by the commits
sion are designed to offset the $780,
100000 wage advance awarded by the
abroad labor board and to provide
he 6 per cent net income on the ag-
rlegate value of the railroad proper
les as permitted under the transport
alton act. The aggregate value Of
all the railroads was estimated by the
commission at $1S.9000OO,O as
against a book value of S20O40,O0O,-
100 given by the carriers.
The 20 per cent increase in laSsen-
ger fares. excess baggage charges and
milk transportation rates and the so
per cent surcharge on Pullman fares
authorized by the commission. will be
General The country over Freight
rate increases will vary according to
territory. with 10 per cent in the east,
p per cent in the south, 50 per cent
IN the West-that is from the MiSsis-
sippi river to the Rocky mountains
md - per cent in the mountain-Paci-
ic territory. from east of the Rockies
u the Pacific coast. NOT including
Alaska.
The commission in is 36-page de-
sion made no attempt to compute the
amount of increased revenue the car
'ierS would receive by reason of the
"ate advances. 1t did say. however,
hat The increases were justified In
Jew of the rapidly changing cOndi-
mil, IL. ~
! FOR providing adequate transportation
facilities during and after the period
If REIMBURSEMENT.
From figures submitted to the com
mission by the carriers when theil
applications for the increases were
made, il was unotIicially estimated
that the apportionment of the ad
vances would work out at about ST.,
2S5.300 coo ON freight, 1898, S00,g00 on
passengers, $43,600,000 on Pullmanr
S4500.000 on milk, and $1,400,000 on
excess baggage charges.
On the same calculations the east
arn roads would get the greater part
IF the total increase. receiving ap
lproXimateIy $S73.930O0O, as compar
ed with $3.50. 4S3. 600 for the western
lines. including those in the mountain
! Pacific territory, and $135.29S. 900 fOI
| thn southern carriers.
The increased charges on freight
alone were estimated as eQualling 6
levy Of SO per capita per annum fol
every man, woman and child in the
country, basing the nations popula
ton at 105,OOO,OOO for 1920, recently
made by the census bureau.
The increases in passenger, Pull
man and excess baggage rates were
exactly those asked by the roads
Freight increases requested were
1915 for the eastern roads, 3203 fol
| the western roads and 1891 for the
southern roads. the total estimated
to yield S1,356,OOO, The eastern
roads thus were granted % of l pei
cent more than they sought, and the
western roads approximately wha
| they sought, but the southern road:
| received approximately IA per cen
less then they had requested.
In connection with the increase fol
! TIM southern roads, the commission
said that the financial condition o.
those carriers was more favorable
/ than that of the lines in either of tht
| other groups In view Of this condi
ton the commission held that the.
were better able to meet the demands
upon them than some of the ethe1
companies and, therefore, did not re
uuire as large an increase.