The Waterbury Democrat., 1932-09-27
Expect Coolidge To
 Return To Public
 Life On Commission
Will Head Body to Protect Investments and Savings
 of Railroads Al Smith on Same Board

I in what all authorities had con- l ceded to be safe and sound stocks and bonds, including many railroad securities.
 If these stock and bond values are wiped out by continued fall in earnings, insurance policies, which represent savings, will become valueless. The same is true of in- I vestment securities in which many have placed their life savings. The commission will be expected | to propose that the rate making laws be revised to permit adjust ments by the railroads when and where deemed just and necessary. This responsibility rests today with the interstate commerce comnnis- sion which refused to permit last year blanket IS per cent increase in freight rates.
 The proposals in mind, as sum- marized by the United States Chamber Of Commerce. call for the stabilization of credit by fexibility in earnings; revision of the rate making laws and "recapture" clause; elimination of unnecessary regulation or interference; meas
  other forms of transportation, busses, ships, planes etc. Of the one reported. ready to serve on the commission, the form- CT president is director in the New York Life Insurance com pany, Alfred E. Smith has maga- zine editorial duties and responsi- bility for real estate management. Bernard M. Baruch is a director of the B. and o. railroad, and form CT member of the war industries board. Howell is editor of the Att lanta Constitution. Legge is presi- dent of the International Harvester company, and former head of the federal farm board.
 There problem will be to prevent such security value fluctuations as these quotations:
 Six years ago ......... .$121.SS
 Three years ago (Sept 3 1S9.11 Last February ......... 111.53 July 8, 1882 ........... 1923
 Sept 21, 1882 .......... 36.22
 Earnings reports for the first eight months this year are show ing even more severe drops:
 Road 1882 1929
 N. J.. .s1, 1,5so,501 5 5,751,ss4 Delaware,
 L. & W. 2,22s,e15 1o,e77,527' ] Great
 No'ern zs,701,18S 17,673,955
 M.T.&T. z1 ,38O,O18 4,715,O14
 NGc paeiac z1,221,so5 n,s47,1se Texas &
 Pacifc. 1,934,2O1 5,738,545 Met loss
 Measured by such loss of status by decline in price, it is necessary to go to such dangerous invest nents as the bonds of the bankrupt German republic in order to get a comparison" Fairman. Dick, rail- road investment authority told members of the State Savings Bank association recently.
 Government regulation" Dick said, land taxation and regulation of wages, working hours etc. pre- vent the railroads from maintain ing net earnings needed to retain their credit. The railroads can't do anything about it..
 "If regulation is to succeed a change must be made so that pro- lection against confiscation in the railroad industry may be made ef- fective."
 And he concluded his remarks with a warning that the roads faced government ownership with all its attendant dangers. washington, Sept 27-(UP)- President Hoover's suggestion that railroad labor wage cut negotla- ftlons be delayed until the first of the year was viewed to-day as based on a hope that the economic situation may have cleared by Jan- uary so that drastic cuts would not be necessary.
 It was expected MT Hoover's pro- posal would meet immediate sup port from the labor representatives. They already had indicated their unwillingness to discuss the wage situation at this time by rejecting advances of railway executives for an immediate conference on the roads proposal.
 The presidents position was an- nounced by Secretary of Labor Doak. He said Mir Hoover felt me- gotiations "could be based on. a better realization of the actual cir CuAloIdACCS CAASsAi6 nASSA SAAO|AAAS S@ of next year.
 The existing te.. per cent wage cut agreement expires February 1.
 The labor secretary explained that MT Hoover was of the opin- ion that Ut might be well agreed to defer further discussion until the end of the year, as the general economic situation would be much clearer at that time."
 Labor leaders who met with the president last week suggested that the government refuse any further loans to the carriers unless they agreed not to reduce wages.
 Representatives of the railroads who came here endowed with full authority to act in the wage, dis | pute explained that business con- ditions had made it necessary to notify their employees immediately | of the intention to make further | pay reductions.
 Whether railroad representatives would approve MT Hoover's sugges- tion was mot known. HIGH SCHOOL TREE RECORD
 The tree planting army, now made up of thousands of individu- als and organizations, is going right along with plans for in~ creased Washington bicentennial registrations on the national honor roll of the American Tree Associa- ton in Washington. One fine eX- ample of looking to the future is the work of the Avoca, N. Y., High School pupils. These young Amer jeans have planted 1O,500 trees with the help of the Exchange Club and the Village Board, and G. J. Carter and F. J. Ryan of the nnhlic schoola rannrt fha nropr ra m