The Little River news., 1921-11-19
FREIGHT RATES ON FARM
 PRODUCTS IS REDUCED
Voluntary Reduction Is t9 }c in Force Six MOnths-TO Cost Roads
 S55,00O,0a0.

New York, Nov. 15.--An immediate reduction of 10 per cent in carload freight rates on farm products for six months was agreed upon today by executives Lf the railroads Of the U ted States
 Announcing the decision, Thomas Dewitt Cuyler, president of the Asso- citation of Railway Executives, said that reductions made since September II, 1920, are to be included III .he 10 per cent that it will be put into eyect without waiting for a reduc.. tion in wages. The freight rate cut will apply throughout the entire country except on traffic moving wholly within New England. It is expected that the new rate will be effective within 10 days be- cause the railroads had asked the Interstate Commerce Commission through their general attorney to authorize the change on a days notice. The reduction will cost the railroads about $55,OOO,Oo0, is was estimated.
 Involves Heavy Loss.
 'The railroads have already re- duced freight rates substantially from the leve established by the commission in August, 1920" Mr. Cuyler said, ''The reductions al ready made are estimated as ac- curately as can be. to involve loss of revenue at the rate of from $175 : 000,O00 to $200,OO0,0OO annually These reductions on many roads rep resent a loss much greater than any corresponding saving realized from reductions in wages already effected The railroads are, furthermore, await ing decisions of the Labor Board which it is hoped, will relieve the companies of the expense of many onerous and uneconomical working conditions. The railroads are not in a financial position to make this sacrifice.
 Unless there should be some re vival in business the probability ot which is conjectural, the entire i'm mediate loss involved in this pre- posed reduction in rates would be taken from the net earnings of the railroads"
 Appeals to the Public.
 MT. Cuyler said the railroads were relying on the public for effective aid in bringing about the necessary reductions in labor and other trans portation costs and that they hoped for labor's cooperation. He said the railroads had taken the first step to relieve existing business depression and had given an earnest example of their fixed purpose to reduce rates and to relieve at the earliest prac- tical moment so far as reasonably l pOSSlDlS tie puDlIC ldliSpOl ldlloli burden.
 It was also decided by resolution to apply to the Interstate Commerce Commission for hearing of the hay and grain case. A general inquiry is asked to determine if until sub stantial reduction in operation any labor costs could be obtained any further rate reductions could lawful ly be required or with due regard to the transportation industry made pos sible.
 The new rates are applicable to carloads of wheat, corn, oats, other grains, flour and meal hay, straw and alfalfa, manufactured tobacco, cotton, cotton seed and products, eX cept cotton seed oil and cotton seed meal; citrus fruits, other fresh fruits potatoes, other fresh vegetables; dried fruit and vegetables, horses and mules, cattle and calves, sheep and goats, hogs, poultry, eggs, butter and cheese and wool.