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Show SAYS THE RAILWAYS HEED HiGHER MIES i . Samuel Rea of Pennsylvania Pennsyl-vania Road Talks to Commerce Commission, WASHINGTON". March 22. Samuel Rea, president of tlie Pennsylvania railroad, rail-road, told the interstate commerce commission com-mission to-lay that the rising cost of all commodities load affected the railroads to Kiich an extent that the situation was "tense," and that lm mediate relief should be Riven the- roads by higher freight rales, if they were to continue to render sate and efficient service. Increased cost of all supplies, Mr. Rea said, was reflcrted In prices paid by the ! ra ilronds for fuel, equipment and construction con-struction materi;U, in addition to heavier .payrolls resulting from the Adamson decision. de-cision. Speaking for the chief bituminous coal carrying roads of the east, he urged the commission to dispense with its usual us-ual suspension of proposed increases from 6 to 15 cents per ton on coal from eastern east-ern fields to Atlantic and Great lakes ports, and to authorize the rates at once. The proposal to increase rates on bituminous bi-tuminous coal, he Intimated, is the first step in a movement for a revision of freight rates generally In order that the railroads may meet increased cost of operation op-eration and yield a fair profit to holders of their securities. Mr. Rea was spokesman for the presidents presi-dents of the seven chief roads involved in the application to increase coal rateB, including the New York Central, Baltimore Balti-more Sc Ohio, Norfolk & Western. Chesa- peake & Ohio and Western Maryland, j Proposed increases to New York, Philadelphia Phila-delphia and Baltimore are 5 cents; to Hampton Roads and Newport News, 10 i cents, and to lake poris 15 cents. ! In support of his contention that higher high-er prices of supplies justified higher rates, Mr. Rea declared that the higher price of coal alone increased the fuel bill of the seven roads $37,000,000, that equipment equip-ment had risen 50 per cent, steel bridge material 1-18 per cent, steel plates 244 per cent and other supplies in proportion. "With the demand for larger terminals, termi-nals, increased facilities for carrying freight and more equipment widespread and pressing," Mr. Rea said, "It is essential es-sential that the railroads be granted the f higher rates necessary to place them In a position to meet rising costs and give them the earning basis to attract new capital. The lack of sufficient surplus for many years past has prevented the railroads from providing such additions and betterments in advance of traffic j demands." Coal and coke interests from Virginia, West Virginia and Kentucky fields op-' op-' posed the proposed increases. The hear- ing will continue tomorrow. |