The Waterbury Democrat., 1934-08-27
BY HENRY T. GoRRELL

NChHtNu hC55 CtUA SOHACSkfOHAthCnNI Washington, Aug 27- U.P.) = American railroads, complaining that their very existence is threat
 ened by rising wage levels and unit prices of materials, to-day asked government sanction of a country wide increase in freight rates caluculated to raise their annual revenues $17O,0OO,0 ,0O0.
 The application, filed with the Interstate Commerce Commission on behalf of class one railroads by the Association of Railway Execu- tives, had been long anticipated and followed a vote of the nations big railway systems at the annual con- vention in Atlantic City recently. Few commodities would he ex- empted, although the proposed i'm creases were miscellaneous. rather than horizontal. It was not learned whether any of the rates cited in intricate schedule of increases filed with the I. c. c. were computed by arrangement with industrial groups.
 Revenues vS Expenses In applying for the freight in-
 creases. the railroads. sought rev enues to meet, irr part, additional
 expenses to which they have been
 subjected by increases in operat- ing expenses. These increases. oc- casioned by an increased wage
 level and increased prices of ma
 mated at $293,0OO,O0O annually. The rise in costs of materials which the railroads must purchase, is in accord with economic forces the application said. Higher labor costs were attributed to the grad ual restoration of the 10 per cent dage deduction, to which employees agreed in 1892. Ut is a matter of common know ledge," the I. c. c. was advised
 that the carriers are in dire need of additional revenues. The addi- tional increase in their operating expenses that now confronts them intensifies that need" h. Y" Reasonable Rates
 The railroads stated that if their application were granted. the new
 rates would be reasonable. and would permit the free movement of traffic, schedules having been prepared with due regard to re- lationship of rates"
 The l. c. C. was asked to grant an early hearing on the applica- ton.
 Increases in short haul rates in the various territories ranged from cent per 100, popnds, to 4 cents per 100 pounds. .- In cases of long hauls (greater than 220 miles) there would be a maximum increase of 10 per cent in the total first class rates. No increases would be made in rates on grain and grain products in eastern territory. comprising the section east of the Mississippi river and north of the Ohio and the
 Potomac. There would be a speci-
 fic increase of 3 cents per 100
 popunds in western territory. Mar
 ed, except that coarse grains and
 products taking coarse grain rates
 would be placed on the new wheat
 basis.
 Rates on grain and grain pro-
 ducts, any quantity in southern territory would be increased 3
 cents.
 Rates for "vegetbles. fresh or green" other than cold pack would be increased 10 per cent with a maximum of cents except on po- tatoes, other than sweet. There would be no increase in rates from producing points in Maine to the North Atlantic seaboard which
 have been established to meet Wa
 ter competition, and no increase in
 rates from Wisconsin points, An tigo and south, to Chicago estab-
 lished to meet truck competition. In the animals and products group, including cattle and calves sheep and goats, and hogs. the in- crease would be 10 per cent except that no increase would be made in rates 25 cents or less.
 Rates on iron ore (not ground) would be increased 16 cents per