Evening star. [volume] (Washington, D.C.) 1854-1972, 1940-11-15
New Jump in Rail
Loadings Predicted
Early in 1941
5 Per Cent Increase
Over Levels of This
Year Foreseen
BY PAUL ID. GESNER,

NEW YORK, Nov. 15-A fresh
rise in railway freight loadings start
ing early in l941 was predicted today
in carrier circles. Some rail ex-
ecutives, in New York this week at
tending the annual meeting of the
Association of American Railroads,
saw trafiic originated In connection
with national defense as likely to
give strong undertone to general
freight movement throughout 1871.
Many felt the defense stimulus
might be heavy enough to iron out
some Of the usually expected sea-
sonal peaks and valleys in general
traffic.
Conservative forecasters saw l94l
loadings exceeding by around 5 per
cent the 36.l50.O00 crs Of freight
anticipated for the full year 1910. A
S per cent increase would put 1871
traffic in the vicinity of 1887, 500
cars
Others, more optimistic. said
freight trafnc might run as much as
10 per cent above this year in 1e41,
which would put total 1871 loadines
at around SO, 765 900 cars.
Revenues to Improve.
Even without an increase in freight
loadings. railway revenues next year
should be better, some executives
say. They point out that since the
big domestic defense program got
under way this fall, there has been
substantial gain in ton miles" of
freight carried. In other words, the
average distance a cargo OF freight
is hauled today is longer than six
months ago or 4 year back. And. of
course, the longer the haul, the
bigger the freight revenue. This
trend, number of the experts think,
is likely to continue into next year.
Roads likely to mark up the first
and sharpest freight trafiic increases
next year are those serving indus
trial areas. However, the improve
ment will not be confined to lines
within such regions. Many COM
modities outside the highly central
lied factory cities will be moved in
larger volume.
Lumber, for instance. is already
showing how n-industrial road.
will benefit. Lumber currently is
being moved in heavy volume from
planning mills near Far Western
and Southern timber stands.
Huge supplies of lumber are need.
ed In construction of military can.
comments Tor the draft army and
In connection with generally ex-
banded building construction. Heavy
lumber demand. many trafic men
feel, Is likely to continue for some
time to come.
Big Gain Expected.
Gross revenues of the Nations
railroads this year are expected to
be substantially better than the
s. ,ss5. 07o,943 in 1889 and possibly
the largest since 1880. Further i'm.
provement Is due in lo4l.
The railway net income outlook
for 1910 and 194l still Is . little
obscure, because many carriers have
been spending large sums for main
tenance. This years maintenance
spending, including improvement Of
right Of way and repairs on heavy
equipment. may be the biggest In
10 years for the roads as q group.
Increased expenditures must be de-
Quoted from gross, and they may
draw down heavily on earnings.
In addition. purchases Of new To-
comotives, freight and passenger
cars have been large, and many
tend to increase carrier expense
OUTLAWS.
Anticipating heavier freight move
ment as 4 result of the defense
program, rail spending for mainte.
nance and new equipment Is likely
to continue on q broad scale into
lo41. Many roads already are plan.
ming bigger 1871 spending budgets.
Heavier supplies Of steel rails have
been ordered, and schedules call for
continued robust replacement Of
mileage next year.