Evening star., 1920-04-03
RAILROADS FACING
10000 SHORTAGE
OF FREIGHT CARS
Lack Of Funds for New Con-
struction Adds to Gravity
of Situation.

A shortage of $4,000 freight cars
with orders for no more than 10000
new cars placed so far this year. is the
situation confronting the railroads OF
| America, the lines of which were re-
turned to private control by the gov
| ernment one month ago.
The shortage is 10000. less than II
was during part of January and
February, when thousands of cars
were blocked by storms and SHOWS
winter. but it is serious enough to
hamper the movement of coal and
news print paper at a time Of the
year when there is usually a surplus
of transportation facilities.
Lack OF Funds Is Noted.
Lack of funds to finance the build
ing of new cars. except among the
larger roads, is adding to the gravity
Of the situation, and transportation
experts see little hope for material
change until the latter part of the
present year. The compromise rail-
road bill providing for the return OF
the roads to private control sets aside
the sum Of $300,0O0,000 to be loaned
the railroads for immediate use, until
adjustment Of freight rates can be
made under the direction of the In
terstate Commerce Commission.
1t is assured that the greater part OF
the foregoing sum will, be sent for new
rolling stock-freight cars in particu-
lar-and the question of distributing
1t equally among the roads, according
to their needs, now-is being worked
out. The Association of Railway
Executives has mad several conferences
with members of the Interstate Com
merce Commission. and as a result has
sent questionnaires to all the roads in
the United States, asking them to
state their most pressing needs. Most
of the answers have been received and
the association has held two meetings
in New York to study them. and will
hold third meeting in Chicago next
Friday.
Orders for Cars Based ON Loan,
1t Is expected that orders for 5000
new cars can be placed this year, to
loans. That does not necessarily mean
that the car shortage will be wiped
out, however, for many OF the old cars
now being used are incapable Of much
further service.
There are now approximately $780,
100000 freight cars in the United
States, and to keep that number in
service transportation experts have
found that 125.000 new cars are re-
quired every year. During the years
1915 and 1917 prices of materials and
labor were mounting SO rapidly that
many Of the roads reduced their
usual orders for new cars. hoping for
a drop in cost. In 1913. after the gov
ernment had taken over the roads,
orders were placed for 100000 new
freight cars. which cost almost $4,000
each. more than double the price of a
few years before.
Though the government ordered
these cars the railroads are paying
for them, the payments being extend
ed over period of years. In 1919
TO new cars were ordered. with the
consequences that the number OF cars
Is now far short of what 1t ought
to be. The car shortage figures are
based on the number of orders for cars
that cannot be filed, not on the number
Of cars that would be required to move
the country's merchandise with no de-
lay There is wide difference of
opinion as to how many cars the coun-
try Is "short," estimates running all the
way from 5000. 900 to 100000.
Sections Hampered by Shortage.
The Atlantic seaboard and north
west are feeling the present short
age most keenly, though. the north
west is also badly Handicapped by
restricted transportation facilities.
The coal fields Of Pennsylvania, Ohio.
Illinois and West Virginia are badly
in need Of coal cars. as many cars
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