Salt Lake Telegram | 1923-06-14 | Page 13 | Railroads Plan Reductions on Farm Produce

A l V J THE HE I SA SAL L RAilROADS PlAN REDUCTIONS ON fARM PRODUCE COP Copyright 1923 by United Press WASHINGTON June 14 Volun 14 Volun Voluntary tar tary reduction of ot rates particularly lady on agricultural products Is being seriously considered by some e of ot the country's loading lending railroad executives as a a. partial answer to the great clamor about railroad problems The railroads will have their o own wn answer to this whole problem including In in- in eluding the tho administrations administration's consolidation consolidation consolidation con con- plan the progressives' progressives demand for tor government go ownership or more inertia government con on- on trot and the general appeal for tor reductions One phase of this answer will be bea a a. claim of ot Increased efficiency in management and operation better service and more extensive coping with transportation than the country coun- coun try tIT has seen in years The railroads are spending millions mil roll lions of dollars on new now equipment They have asked the Interstate commerce commission to authorize k t. t T p I LAKE TELEGRAM 1 M j Ji I Ithem them to spend more than 1600 1500 on cars and locomotives Inmany In rn Inmany many sections they are planning and building extensions They are arc reducing the number ot of bad order cars and locomotives by hundreds This constitutes more moro than orai- orai nary business procedure It Is the railroads railroads' answer to the question to their ability to reconstruct and arid rehabilitate their business by them them- I selves es At the same san time the railroads have ve been increasing their earnings earnings earn earn- j ings so 50 that generally they are making a return of ot from 6 to 6 per cent That figure must I be he used broadly and not as ns applying applying apply apply- Ing to a year or any other lengthy period nor norr to Individual roads It Is accepted for the time being simply as an Indication of ot tho tiro condition con con- V o of the tho transportation bust busi ness But Dut it is a a. strong enough in Indica Indication ica- ica tion to the tho most practical and farseeing farseeing farseeing far- far seeing of ot the railroad executives to lead them to consider an offer otter to reduce rates to the farmers even even below a fair return standing