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Show WILLIAM WARNIR MAKES STATEMENT Salt Lake Route Official in lnterie With Deseret News Shows Why 1"i Per Cent Increase is Reasonable. ( Deseret Evening News, May 23.) "In justification of the permission asked for by the raildroad companies for an increase of 15 percent in all freight rates, effective July 1st, William Wil-liam Warner, Assistant General Freight and Passenger agent, Salt Lake Route, states that every single thing that a railroad company buys has increased on an average of JiO percent over that obtained a year ago; also that their payrolls have very largely increased. It is estimated estimat-ed that the increase in cost of fuel alone will amount to over $130,000,-000 $130,000,-000 more in 1!17 than in 1916 for all lines. Without a corresponding higher high-er selling price of tranportation, the price of locomotives has increased 00 percent, price of freight and passenger passen-ger cars 50 percent, and taxes II to j 20 percent over a year ago. "Last September the Salt Lake Route placed an order for 1,500 steel j gendola cars at an advance in price, of 75 percent over normal price three years ago the increased cost of equipment has advanced so steadily since that time that these cars could j I be sold for nearly $1,000,000 profit be- i fore delivery of a single car is made, i ; Many Receiverships. "Mr. Warner further said "Over, 42,000 miles of railroads today are in the hands of receivers, representing I securities of over two and a quarter billions of dollars. It is a very sad 'outlook, that the biggest business in I the country no longer has the confidence confi-dence of investors, and does not attract at-tract new money into investments, in railroad stocks, by which the country may be developed and new railroad facilities built. I "Satisfactory credit forbids starving starv-ing the carriers down to the low limit ' of rates. In prosperous times there must be a margin out of which to I build up credit for times of depres-i depres-i sion, or transportation will forever be . lagging behind the shipper's demand for service. And the urrunient for I investors and shippers il also an ar- gument for the public at large. The consumer wants good;, want-; them delivered and he can't get them delivered without cars, motive power i and terminal facilities sufficient for the service. The railroads are asking for a horizontal advance of 15 percent in freight rates, in order to retain the efficiency of their organizations, and to give the public transportation facilities fa-cilities adequate to their needs." |