The New York herald., 1922-08-22
SHIPPER CONFIRMS
RATE WAR DANGER
High Official Says COMPETE
tion Has Strained Atlantic
Fare Agreements.

Although denials were made yesterday
that there was any possibility Of a re-
duction In cabin fares to Europe or of
rate war among the steamship lines.
there was plenty of evidence that THE
New YORK HERALp's statement had been
sound in substance and accurate in de-
tail. 1t was generally agreed that ex-
posure OF the facts In the situation
might have an unfavorable reaction in
the present delicate state of shipping
affairs, but here the agreement ended.
Confirmation came Unexpectedly from
a well known figure in passenger circles.
This man, whose name would carry wide
ccnvication could it be used, said that
undoubtedly there was a likelihood of
lower rates this winter He added that
he hoped any reductions would be made
by agreement OF all the lines, but that
there was the danger that one or the
Vher OF them would break away and
precipitate a war.
New CIassihcations Mean Cuts.
Coincidently it was learned that the
recent reclassification of ocean liners
for purposes OF rate fixing by the Allan
tic conference, which was placed before
the individual companies for approval
embodied lower classifications and con-
sequently substantially lower rates for a
large number Of the ships in service
The new rates to result from the re-
classification have not yet been made
public.
BY way of showing to what a low
ebb outward travel had already fallen,
figures of sailings last Saturday were
produced On that day the Lapland,
1850 tons register and the crack ship
Of the Red Star Line. with a capacity
of about 1000 passengers, left for
Plymouth, Cherbourg and Antwerp with
first, 80 second and II third class
passengers. The Noordam OF the Hol-
land America Line. 12,500 tons. had 1s
first, 35 second and Is third for Plym-
outh. Boulogne and. Rotterdam.
The point was made that at the cur
rent rates the lucrative tourist traffic
was being won only in four or Ave
months of the year and The travellers
at other times were business men who
simply had to sail regardless of the ex-
pense
Signs were not wanting that thu.
travelling public was ready to take nd.
vantage Of the keener competition
among the steamship lines. Several
prospective passengers secuted around
yesterday from office to Office to deter
mine where the best accommodations at
tho cheapest rate could be obtained The
| companies, although ready in most IN
| stances to make some concessions on
the rates for the better looms, wer.
careful to observe the minimum specified
/ by conference agreement
Fares Are Double Those Of 1914.
Those who argued for continuation
| CT the present rates, which are moro
than double those of. 1914 end are far
cut of line with South American fares,
added little to the points already made
! by THE NEW YoRK HERALD. Stress was
laid upon the higher operating costs Tor
| passenger shipping to-day. but there
was no pretence that these were nearly
as far above the pre-war level as were
rates.
Reports Of surreptitious rate cutting
we're secuted. II would avgil little for a
line to grant special favors to an occa :
SIGNAL passenger. who would probably
get to talking aboard the ship and have
hundred others clamorin5 at the doors
Of the line for refund of part of their
passage money. Any cuts, 1t was said,
whether made by individual lines or by
| conference action, would be ADVERTISED.
as that was the only way that addi-
tional business could be won.
The difficulty Of cutting cabin rates
without also lowering third class rates
was pointed out. Minimurls in thrce
classes are about s225, SEQ and ss5. 50
any considerable reductions would
virtually eliminate the gap between
second class and third