The Washington herald., 1921-02-24
RAILWAY MERGER
IS sure, SAYS Ham,
URGING PATIENCE
Action Up to Stockhold.
ers, w. r. E. President
Tells City Club.

A merger of the Washington Rail-
way and Electric Company with the
Capital Traction Company is bound
to come, but the public must be pa
tient and must not attempt through
Bolshevistic methods to force an
immediate consolidation, according
10 William +. Ham, president Of
the former company, who yesterday
afternoon addressed the weekly
forum luncheon OF the City Club.
"Officials of the two companies
cannot effect the merger" said Ham.
And. indeed, existing law absolute
ly forbids merger. The public
should be patient until the $4,000
Capital Traction stockholders and
the $4,000 Washington Railway and
Electric stockholders reach an
agreement and the voluntary con-
solidation is permitted by law. Such
a merger will take time but it will
respect private property rights and
will avoid Bolshevistic methods"
Sees Bar to Growth.
Ham condemned the action OF the
Public Utilities Commission in limit
ing the company's return to 6 per
cent.
Such a policy is narrow minded
and IL persisted IN will stop the
growth of the city's railway sys-
TENS" he declared. 1T is impos-
sible to attract capital for the ex-
tension of the railway service when
public utility investments elsewhere
are yielding a return of s and
per cent. Since September, 1918, the
Washington Railway and Electric
Company has received about Sl.50O,-
600 less than enough revenue 10
yield a 6 per cent return"
Ham said that car companies all
over the country has suffered great
ly from refusal of utilities commits
sions to permit sufficiently high
fares to meet increased costs of
operation.
Believes Darkest Days Past.
The commissions have been slow
to raise fares commensurate with
increased labor and material costs.
he said. '"The result has been that
railways have been driven into
financial straits and have had theii
credit destroyed. The condition OF
fhtCc NOOog Is Nht SCNtA
est arraignment OF rate regulation
The failure of the commissions e
respond promptly to fluctuations In
operation costs has made regHa'
tion assume an aspect OF unfair.
ness"
Ham expressed the opinion thai
the darkest days were past; thai
the high peak in costs had beer
prices would be reflected in lowel
fares.
/ The speaker pointed out the dis
PARTIES existing between the TIVE
car companies. He explained tha
the Washington Railway and Elec
trio Company has about two and a
half times as much track as the Cap
/ ital Traction and has more cars anC
employees.
Calls &. r. Most Prosperous Co.
The Capital Traction" he said
lis the most prosperous street ca
company in the country. II enjoy
the densest traffic per mile of an!
system in the United States. Ou
company naturally can not be- ex
pected to operate so economically.
Ham said the rush hour traffi'
in Washington is probably NOR
pronounced than that OF any othe
city.
THE Mount Pleasant line betweei
$3.50 and . in the morning carries a,
average of 1878 passengers, -'
compared with 30 during the aver
age half hour during the day" h
said. The Fourteenth street lin
carries 4.1os passengers per hal
during rush hours as compared will
755 during a half jhour in the mid
die of the day. These nuctustfon
present serious management prob
lens"
| :. John Dolph. first vice president o