| Show j 1 SHIPPERS SHIPPERS' TION ATTACKS A TT TTA ACKS CK S CUMMINS C BILL Hp UNION NIO PROFIT US USE HI HIT I Irn rn of Lines Is Ad- Ad Jin hi Memorial l tos to s 5 Drawn Drall by Agents 16 States y Associated Press Jan 7 Guaranteed for Is' the railroads ap- ap df surplus r railroad profits rois ment thereby and compulsory con con- p 1 the roads are arc all op- op addressed to Con Con- Shippers Shippers' con con- f of ot shippers in six six- ct et here herc December 30 10 and to draft the attacks many proC pro- pro C Cummins railroad b bIlL lL mailed today to every even rs' rs urge passage e of ot hegis- hegis r y return of ot tho the roads to toil tor r il I and favor r retention Q QI of cIt I missions to fix fb x intrastate t f the proposed rIs ris r- r Ii is opposed because it ita a the thc interstate commerce it field and make mako public LIonS tlona In rate rato advance cas cases s B necessity of ot conducting Lion Ion of an additional fed- fed f f. f tills this character the tho moIs mois mo- mo is ls wholly unnecessary essary Ue t commerce commission confidence sup eup- of ot the people of or the tho theand theas thoS as S and its powers should paled ted an and should be added it to effectually deal dealt t tonal Lional nal transportation Ht I Detailed 6 ea u l Hint U o me oUt mi r- r ree commission is over over- tn Ui thO work Such statements I 1 If I Whenever the tue time does ho bo commission is unable function because o of the theta ts ta worl work subordinate com- com can be created or granted which care for Cor the situation s se e any form Corm of a perma ly ty of or returns as M provided bill or otherwise but Joet to a continuation of d provided in the law approved Match Maceli uch i-uch a tuna as asi rid i d necessary durin during tho the period bill created tho the theT T t f a n government guaranty r j or cent to the railway coma com com- I and a halt half pr or 6 per ir cent dest return in a private I it t it lt IB It a lir large c cr r return lUrn on by tho thu United of ot 6 G 1 per cent on pi 1 theor the tho or called so-called property In- In Jour ur railroads v com com- use aso in fri tho the present stand of at r more than S time Ume when wo we are coner con eon or cr er industries for any atc at- at c case their charges and asking labor to refrain ding wage increases It Is 19 t t we shall add to tho the rove roe railroads and this la is not to tor i. i r cars and better engines but it is ill to go goly o oly ly ty holders or Ii r Point o the appropriation by y the tho f the lie surplus earnings Use lie limitations upon the theany isny an any railway company a ahe ashe alf as he Cummins bill t of the earnings of ot nt the memorial says don tiou of a portion of ot tho the 0 moro more successful roads to to penalize efficiency r consolidation of ot the sed because if we coni- coni oads to consolidate and c their earnings such uch a u. petition in service will beno hu be no no operating in two t-o rate it t under the compulsory scheme bo be r required to dia dlo dl- dl a 0 o two parts palts thereby im im- efficiency the tho me- me J situation the shippers shipper I b being wholly dependent t ton on page 2 S I SHIPPERS SHIPPERS' ASSOCIATION I ATTACKS RAil MEASURE Continued from Pago Page 1 1 upon tho dan dally daily uninterrupted continuous continuous contin contin- ope operation of ot our common carriers wo are arc In favor of or the enactment of legislation that will effectually prevent tho the catastrophe that would follow Collow a general s railroad strike and anti which legIslation legislation legislation leg leg- will twill at tho the samo same time fully recognize rec- rec os the Just rights of or tho the laborer and all nil other parties In Interest Wo Cull fully appreciate the necessity and courageous courageous coura coura- for Cor the tho most far tar an statesmanship In dealing with this issue Lines' Lines Consolidation Advocated l by Hines I New York Jan Tan 7 Compulsory i. consolidation consolidation consolidation con con- of ot the railroads into a few great corporations before the they return to private control with tho the public and labor as well ell as 38 capital c. represented In thoman tho ement of oC the systems was wasn n advocated tonight ht b by Director General HInes In an address before tho the NewYork Now New York City Bar Dar association Without this fundamental reconstruction reconstruction reconstruction recon recon- Mr Hines declared the result result re sult suit will be Je progressively I disappointing disappoint big ing III and In a few v years carR the tho dissatisfaction tion lion o of th the tho public will manifest itself through nn un InRI insistent lent demand for a radically radically rad rad- leall different plan which Is not likely likely like lIke- ly h to stop short of oC outright government ownership Pointing out the tho almost Impossible situation of oC the railroads prior to federal federal fed ted eral control owing to the tho difficulty of or financing the lines Mr 1 Hines nines said that our past experiences has demonstrated that the tho old system will not nol succeed He Ire advocated the tho fixing by Con Congress rp s sor of or a general stan standard of rates to roads toads earning clearly in excess of or a a. reasonable reason reason- able return which must go o largely to pro l providing adequate reserves to take care rare of years ears of ot depression and at the same time enough of the excess must mustI be left lert with the roads earning It to tu provide provide adequate stimulus for tor or effi ern- I dency Common Ground We Wo make mako a grave mistake In as assuming assuming assuming as- as suming that the tho representatives of 01 capital can alone manage the situation situation situa situa- tion Mr Ir lilacs HInes said The scheme of the past has been on that false theory theory theory the the- ory and anti tho the result has hns been that the public ha has injected Itself Into time the management management man man- through all sorts of oC agencies and labor has injected Itself Into the management through Its own We Ye have all throe three Interests p participating par par- r In time the management in all sorts o of ways wn's and yet ret there Is IR no common common common com com- mon ground on which these three elements elements ele ele- ments can cnn meet and exchange views and endeavor or t to teach reach conclusions I belle believe the only sort o of management which can bo be permanently effective Is Isone Isone isone one which provides for tor an orderly participation participation participation par par- at tho the outset of all three of or these interests instead of ot tho the past scheme which leaves each interest lo to pursue Its Us own methods Irrespective of oC the others until an nn eventual e contact is IR established In some som form of oC contro- contro vcr Describing the difficulties attending the the- immediate establishment of ot any plan of or private ate management with adequate adequate ade nde- quate credit to provide the tho necessary capital needed for private development development develop develop- ment Mr Ir Hines said that It was WOoS generally generally gen sen- crall a agreed that this was as ono one of the most difficult financial periods In the history of oC tho world Credit I In Obviously Ob he continued it will willbe willbe willbe be more difficult to o establish satisfactorily the cr credit of ot a large largo number of railroad companies at tho the present moment mo mo- moment moment ment than It Jt would be to do this thin at a aI I later date date- when financial conditions generally have hate become better stabilIzed zed Railroad credit Is dependent o of course upon the conclusions which the Investing In public reach as to the earning capacity of or the railroads No Noone Noone Noone one would seriously contend that 1918 furnished a satisfactory basis for concluding concluding con con- chIdinG what the time railroads could earn earnon earnon earnon on the basis of a n given rate level but as a matter of oC fact 1919 I 1 is going to tobe tobe be bo equally unreliable I There probably bl could coul not be x a more moro difficult time In which to readjust I rates so as ns to reassure tho the railroad Investor in- in estor vestor and at the same same- limo timo reasonably protect the public Rates Are Problem By ny reason ot or this condition tho the public public pub pub- lic lie interest is confronted with a serious serious serious seri seri- ous dilemma How can it at the th present present present pres pres- ent moments make rates high enough to constitute adequate reassurance to railroad credit without at tho the same time lime making them much higher than would likely turn out to bo be necessary 1 If the tho period of oC readjustment could be e postponed until a n. time lime of oC more stable conditions conditions' Undoubtedly if JC the policy be adopted of oC establishing Independent railroad credit instantly at all hazards hazard It would bo be only logical t to make malte tho the rato rate Increases large larSe enough to do soOn soOn so On one ono point 1 there thoro must be bo agreement and that is that any rate rato Increase that will at all establish an adequate credit for the tho various railroad railroad railroad rail rail- road companies operating Independently Independent Independent- ly on th their lr own responsibility must be substantially greater grenter than n. n rate in increase increase in- in crease which would protect the tho situation situation situation situa situa- tion temporarily I If unified control were cre continued until more stable con conditions appear Defending the results obtained under federal control the director general s sal said tho deficit de incurred was not due to excessive costs but to tho the fact act that the tho charged for railroad transportation transportation transportation trans trans- have not been increased In Ink k keeping with the increases in prices of commodities Progress Reported In Railroad Bills 1 Washington Jan 7 Sena 7 Senate e and House conferees working toda today on the tho tho Esch and Cummins railroad bills agreed upon as the amount of ot a revolving re fund und from which carolers carriers carriers car car- would be bo permitted to borrow to tide Udo themselves over the period perlo Imme Imme- following their return to private private private vate operation The Cummins bill Jill passe passed Eby J by tho time Senate fixed the tho amount at and tho the Esch measure passed by Jy bythe bythe the House made It At t two sessions today the conferees ere co covered much ground and aro lO about ready now to take tako up ulm the tho real big questions over which a sharp fight Is expected These are aro the guarantee return re- re tilt turn n to the roads rate making and the tho labor section with its provision pro I think we wc will soon see daylight daUght ahead said Senator Cummins to to- to night Rail Men May l Give Over V Wane Wage Demands Washington Washington Jan 7 i-D i By the Associated Associated Associated Asso Asso- Press Press Failing Falling to ob obtain satisfactory sat sat satisfactory at- at relief reller from tho high cost of living either cither through further wage advances b by the tho railroad administration lra- lra lion tion or from tho the campaign campaign cam earn of or the department of oC justice Justice of officials officials ot- ot of or the thc four our bl big railway brotherhoods brotherhoods broth broth- and the tho railroad shop crafts affiliated with the American Federation Federation Federation Federa Federa- tion of oC Labor have decided to lo seek a n solution for themselves through h co cooperative cooperative cooperative co- co operative buying production and dIstribution dis dIs- Tho The step tep was construed construe In somo some quarters as Indicating that demands de de- demands e- e mands for further wa wage e Increases would not be presse pressed pending outcome of oC the experiment Details of oC of the time operative co-operative organization tion lion have ha not yet been completed but plans have h been under consideration since the tho labor farmer conference at Chicago In November Tho The formation of oC the American labor farmer-labor co cooperative cooperative co- co operative commission nn an outgrowth of oC the conference was announced today at its offices Another conference will willbo willbo bo held In Chicago February l 12 1216 Warren S S. S Stone grand chief of the Brotherhood o of Locomotive e Engineers and ono one of tho the organizers o of the time Chica Chicago Chicago Chi Chi- ca cago o meeting is general treasurer of oC the co o commission and other officials of 01 the railway or organizations or- or arc are officers of oC the commission com com- mission |
