New-York tribune., 1920-11-07
No Reduction
Seen i'm Rates
For Sea Travel
Impossible While Operating
Costs Remain at Present
Level, Says p. A. S. Frank
lin. President |. M. Nj. Lines
Increase Not Unlikely
First-Class Passages May Be
Higher Next Summer; Nav
Buy More CermanTonnage

No decline in ocean passenger rates
can be expected until it cost sicss to
operate ships than it does now. saws
P. A. S. Franklin, president of the
International Mercantile Marine Com
pany. Mr.. Franklin made the state
ment yesterday just before sailing for
Southampton on the Olympic. In fact,
ne added frst-class transatlantic pas
senger rates should be increased for
next SUNNI er'S travel unless operating
costs are reduced.
With coal at $40 per ton in Eng
land and costing an average of about
three times the pre-war price here and
with wages in ell departments aboard
ship considerably more than double
what they were before the war. with
all other operating costs in proper
tion, and with labor efficiency re-
duced," says Mr.. Franklin, che steam
ship companies cannot afford TO re-
duce present passenger rates and may
be obliged TO increase them. Supplies
for ships cost as much as supplies on
land. The increase in ocean fares has
not kept pace wlih the increase in
the cost Of food, labor and materials
ly 60 down i there were a reduction
in operating costs, but operating costs
are still gong up
Mr.. Franklin stated that he was 60
ing abroad fer his usual semi-annual
visit 10 tie company's officers in Eu-
rope
To Add to American Tonnoge
I'VE have n hand plans for the ex-
tension o. olr passenger business"
he sad, respectfully WITH american
flagship The colnpany's policy is to
increase its tonnage for the American
Lines service TO Germany by the ad-
ditlon Of sacn suitable ships as it may
be able - procure for tn fleet Of that
line. Had the eX-German ships taken
over by Tie United States been availa-
bic to Us by purchase many of them
woald have been added to and would
row be IN operation in the American
Line 5 feet; Oar lids for those yes
se!s early This year not having been
accepted " have made otner plans.
This week wc added 20 our American
flag tonnage the new 17.000-tOn steel
steamship NlrneA2haa Of British
bul q. She is the largest British yes
SCI ever transferred o American regis
try and we have to thank the British
Board os Trade for its aroadminded
policy IL allowing the transfer o. this
ship to the Ame!can has under pres
ent conditions.
"The American Lines service TO
Hamburg is now nearly year old
The line aas its own building il the
Steamship section Of Hamburg. where
II maintains its own SAT-, under an
America manager II expects shortly
10 establish It's own terminals al Ham
burg Ii, operations a.c under the di-
rectlon o. Am ricars. One pUrQCse Of
NY visit is - Investigate the condl-
tons in the German trade
Conservative Building Plans
Asked E The American Line pro-
posed, as reported 20 bui d Two large
nrst clss7 passenger liners for the Eng
llsh Channe ira MIR Franklin said:
III is true lhal we have prepared plans
FOR such ships and pro baby they " ulL
have been cg1ared trom the builders ho-
fore now had ~c0d4,l MS been css cha
otc in the American merchant marine.
The nation 7.s not yet diccsrod its wAr
built Aeet o. merchant sh ps. Until 1t
does ana Until the new merchant ma
rlnc IS privately owned and can stand
on It's o"r icet against tho competl-
tion o. ships under other flags by oper
atlon on sound business basis, any
established american steamship COM
pany mus proceed with caution in
ordering The construction OF passenger
liners
Mr. Franklin addco tLat he expected
10 have adequate tonnage in hand with
whlch to rts-I4t .n the spring the
| AmeNican Line New York K-~outhamp-
ION service from which the New York,
Fni.ade.pha and s.. Paul recently
were Withdrawn FOR the winter
Regarding the recently announced
purchase o. ,he eN-German liner Ber~
| Ia by tne Whlfe star Line. MIR. Frank
In said; she viii be used TO
| strengthen he White Star Lines Bos-
ton New k-Nedlteryanean service
and we expect TO have her ready in the
spring, when sne will join the Cretic
ana Canop.c ir that service with a
SAILING every three weeks. She has
oeen named the Arabic for the White
e'sr inner Of that name lost III the war.
Inc White Star Lane is IN the mar
Aet Tor others of the German ships
oNered for sale in England, is aim be-
,ng 10 build up its tonnage as
promptly as possible to It's prc-war
eSe1. he year before the war began
5He 5ne International Mercantile Marine
Eompany owned l,ll5,Hl gross tons Of
snips Its war losses reduced the total
~ eSo'o2+ tons 1t row owns 1,056,l l53
70 OFT fleets