THE 3IORNIXG OREGOXTAX. MOXDAY, MARCH 8, 1009. . 7j
1 1
TEXT OF SPOKANE FREIGHT RATE DECISION
CONTINUED FROM PAGE 7.
111. r
K
V
must be accurate and complete. After
earnings have once been "capitalized" and
benefit have been "conferred." when the
various Interdependent organizations have
been perfected. It Is Impossible to either
know or to undo.
Having: considered the claim of the re
spective parties touching- the evidence In
troduced as to the value and earnings of
these properties, we may now Inquire what
facta are established by this evidence and
what the bearing of those facts Is upon the
Issues before us. The complaints Insist that
even If the discrimination created by the
Imposition of higher rates at Spokane than
at more distant points Is not strictly within
the Inhibition or the third and the fourth
Motions, it Is nevertheless a discrimination
which should be remowed. provided this can
be done without unduly reducing the reve
nues of these defendants. Otherwise stated.
Jf their return upon th present basis of
rates Is excessive the excess should be re
moved by removing the discrimination com
plained of In this case. First, then. Is there
any excess?
Many governments construct and operate
their own railways; ours has elected to dis
charge this function of sovereignty by dele
gation to private corporations, who. In the
language of the Suoreme Court of the
Vnlted States, act as agents for the Gov
ernment In this respect, ftw governmental
functions can be higher than the providing
of proper highways, and the most essential
highway under National control today Is
the railway. It Is of first Importance that
our railway service should be efficient, for
Just in proportion as It Is Inadequate, In
dustry must suffer and commerce languish.
If the present system of private ownership
Is to be continued, sufficient Inducement
must be extended to private Investors
Captai will seek Investment In rallwavs
for the same reason that It does In other
enterprises, the amount forthcoming depend
ing upon the attractiveness of the invest
, ment. This in turn Is determined by two
considerations. first. certainty; second,
amount of probable return. If the Gov
ernment of the United States were to guar
antee an income of 4 per cent on all money
Invested In railroads, an abundance of cap
ital would be offered. If that Govern
ment were to Impose upon our railways such
rates that not exceeding 4 per cent could
be realized without giving a guaranty that
anything whatever should be paid. It would
be exceedingly difficult to procure funds
for railway development. It seems certain
that in the immediate future very large
sums of money must be expended In Im
proving and extending the railroad facilities
of this country, and it is therefore extremely
Important that railroad Investments should
be made sufficiently attractive so that the
necessary money for these Improvements can
be obtained. It Is not necessary today that
opportunity should be given for the accumu
lation of enormous fortunes by speculation
In and manipulation of railroad securities,
but it is necessary that railroad raniti
should be assured of fair treatment and of
a suitable return; otherwise, this Govern
ment will find Itself confronted with the
problem of providing such railway capital
from Its own resources, for it is absolutely
essential that railroad development keep
pace with Industrial and commercial re
quirements. We now turn to the earnings of these
companies.
It appears that from I89S to 1S07 in
clusive, the Northern Pacific earned over
and above all fixed charges, taxes, and other
expenses. In addition to the payment of a
dividend for every year except the first. In
round numbers Jio.000.000. During the last
six years of that period It earned in addi
tion to the payment of Its taxes and fixed
charges from 10 to 15 per cent upon Its cap
ital stock of J155.000.000.
The period covered by the operations of
the Great Xorthern is seven years longer,
extending from 1S91 to 1907. inclusive, but
these additional seven years covered a
period of the greatest depression among
railway in recent years, during which
more than 25 per cent of all the railroad
mileage of this country was at one time In
the hands of receivers.
The surplus accumulated by that com
pany during that period. In addition to
fixed charges, taxes, and a dividend, usually
of 7 per cent, paid upon many millions of
stock Issued without any money considera
tion, was. In round numbers, J61.000.000.
During the last six years of that period
this company has also earned upon the par
value of its capital stock from 10 to 15
per cent.
It 1r impossible to avoid the conviction
that both these companies and there is
very little difference between the two In
this respect have enjoyed for the last halt
dozen years previous to June 30. 1807. ex
cessive earnings.
In saying this we have in mind the fact
that those years were years of unusual
prosperity, but It must also be remembered
that the development of the country served
by these systems and the financial strength
of the systems themselves put them be
yond the possibility of a recurrence of the
conditions of 1S93. Nothing more con
clusively shows this than the actual re
sults of the year 190S.
This report was prepared before the finan
cial returns for that year were available.
Accordlng to the universal statement of
railway managers it was one of unusual ad
versity. Almost without warning came an
enormous falling off in business and rev
enues. Just as expenses do not ordinarily
Increase as rapidly as traffic upon a rising
tide, so it was found Impossible to re
duce expenses at a moment's notice to meet
the reduction In revenues. As the rates of
these defendants ought not to be fixed al
together with respect to the recent years of
prosperity above referred to. so neither
should they be established upon the basis
of this year of adverse conditions. The an
nual reports of these companies show that
In this year of adversity the Great North
ern paid Its taxes. Its interest, a dividend
of 7 per cent upon its capital ctock. and
had remaining $3,000,000. The Northern Pa
cific, after the payment, of Its taxes, its in
terest, and a dividend of 7 per cent upon its
capital stock, had left $0.yo0,000.
In order to understand the effect tit. on the
revenues of these defendants of any order
which might be made, we required them
to furniBh us a statement Bhowing the loss
of Income which would be worked by ap
plying terminal rates to the business which
actually moved to Spokane for the year
1906. Since it was a work of much labor
to determine these .figures for an entire
year, two months were selected which were
said to be fairly representative, and it
was assumed that the showing made in
these months would indicate correctly the
whole year. From these figures which have
been worked out by taking actual ship
ments to Spokane and applying terminal
rates it would appear that during the year
3l0o the Great Xurthern would have lost
In Its revenues at Spokane $340,484. and
that the Northern Pacific, during the same
time, by the application of terminal rates,
would have lost J 177.1:19.
The rates attacked are made in pursuance
of a well-delined scheme of rate-making.
All other Intermediate territory pays hlsher
rates in comm-n with Ppokane" What
ever rule is applied hvre must be applied
elsewhere, and in deciding this question we
must consider the effect upon the revenues
of these defendants of applying terminal
rates, not only at Spokane, but at all other
Intermediate territory. The defendants
were, therefore required io furnish, in ad
dition to the above-mentioned computation
as to Spokane, a further computation show
ing reductions in revenue if terminal rates
had been applied to all business both east
and west of Spokane. These figures show
that the entire loss to the Great Northern
would have been $45.000, while the entire
loss to the Northern Pacific would have
been about $1.V7.000.
The effect upon the earnings of these
defendants would not probably be limited
to the loss of these sums. The present
system of rate-making has become a part
of the commercial development of the Pa
cific Coast, and any radical departure from
that system would inevitably lead to agita
tion and changes of various kinds. The
Interveners, representing the Coast towns
earnestly Insist that rates from those cities
toward the east are higher than rates from
Spokane to the west and south. They de
mand In this proceeding a reduction of
those rates, and whiie we did not deem this
a proper case in whicn to pass upon that
question, the demand wi!! undoubtedly be
renewed.
The complainants urge that the defend
ants, by charging a, lower rate to Seattle
from eastern destinations than is applied
at Spokane, the intermediate- point, dis
criminate against that locality, and that
- Commission should order a removal
of that discrimination. We have expressed
the opinion that this contention is not well
taken; that Seattle, by virtue of Its loca
tion upon the ocean. can command a bet
ter rate from eastern territory than Spo
kane, situated 400 miles inland; that the
carriers may meet this situation at Seattle
by making a lower rate than Is accorded
Spokane. This Is a disadvantage of loca
tion, under which the City of Spokane rests
and of which it can not Justly complain.
Spokane Is entitled to ask of these defend
ants, not of necessity the same rate as Se
attle, but a rate which Is. under all the
circumstances. Just and reasonable, and our
duty in the premises Is to establish such
Just and reasonable rate.
It has been seen that these rates to Spo
kane and Seattle are of tv. o general kinds,
namely, class rates and commodity rates.
These two kinds should be considered sep
arately. The Northern Pacific and the Great North
ern established ratea from St. Paul to
Spokane and Seattle. These same defend
ants. In connection with other defendants,
establish joint class rates from Chicago to
Spokane and Seattle. There are no Joint
class rates east of Chicago. While railroad
lines extending all the way to the Atlantic
seaboard are parties to this proceeding, there
Is no petition before the Commission for the
establishment of a Joint through rate, and
we cannot, therefore, properly deal with
these class rates east of Chicago, and shall
not attempt to do so.
The class rates from St. Paul and Chicago
to Spokane and Seattle are given on page S79
of this report. By referring t those tables
it will be seen that the first-class rate
from St. Paul Is the same to both Spokane
and Seattle, while the nrst-cluss rate from
Chicago Is 60 cents higher to Spokane than
to Seattle. with some trilling exceptions
the same relation is maintained in the other
classes. Are these class rates from St.
high?""1 CnlcaBO to Spokane unreasonably
The first-class rate from New Tork to Chi
cago, a distance of approximately 1000
miles, is 70 cents, and this rate Is the
basis for the making of all first-class rates
from the Atlantic seaboard Into west-rn
territory east of the Mississippi River. 'iie
rate from St. Paul to Spokane is four times
as great for a distance but one-third greater
J' . .. !.aiJ that this difference In rate. Is
Justified by different traffic and operating
conditions, the two principal points of dif
ference being that the cost of operation
upon the transcontinental defendant llnu Is
greater than upon the Chicago New York
line and the the density of traffic Is very
much less.
For the purpose of putting In Its true light
this argument derived from greater density
or traffic we have caused to be compiled
from the annual reports of these carriers
certain Information which Is given below.
VrJ,-H year 1SUT 'lth the
year
pass upon the remainder of these commodity
rates, and Its probable effect.
These terminal -ates to Seattle apply
generally from all points upon the Missouri
River and east. ' It Is evident that In es
tablishing rates to Spokane which are Just
and reasonable we must have regard to
some extent to distance;', that Is, we can
not establish the same rate from New York.
Chlcaco and St. Paul, but must Increase
the rate as the distance Increases. We will
Orst Inquire, therefore, whether these Seat
tle rates are Just and reasonable to apply
as local rates from St. Paul to Spokane.
While terminal rates are usually the same
from all Eastern points of origin, the Chicago-Seattle
rate will be selected as repre
sentative. The complaints Insist that upon this point
the past conduct of the defendants Is con
clusive upon the reasonableness of the rates.
It Is 400 miles from Chicago, to St. Paul,
and another 4O0 miles from Spokane to Se
attle. For many years past the defendants
have maintained the Chicago-Seattle rate
through St. Paul and Spokane. Further,
the rate from New York to Seattle Is usually
the same as from Chicago, and under this
rate business has for many years moved
habitually through St, Paul and Spokane
to Seattle. The distance from New York
to Seattle by this route la 3200 mil-. While
this" competitive rate cannot be selected as
the measure of a reasonable rate from St.
Paul to Spokane, It must be assumed that
the business has been handled from New
York and Chicago at some profit. It la
urged with great foroe that a rate which
pays the cost of the movement from New
York to Seattle, a distance of 3200 miles,
through St. Paul and Spokane, must yield
a reasonable profit when applied as a local
rate for the 1500 miles of that haul be
tween St. Paul and Saokane.
We have compared these rates with those
upon similar commodities for correspond
ing distances In various parts of the United
States, and when due allowance Is made
for difference In condition, it Is believed that
such rates are fairly In line with those else
where, excepting always transcontinental
rates themselves, which are really under at
tack in this proceeding. The distance, for
example, from Cleveland to San Antonio,
from Boston to Omaha, and from Chicago
upon rope and cordage J1.2S. Otherwise
these rates seem to be Just and reasonable.
We are further of the opinion that Just
and reasonable rates upon these commodi
ties from Chicago to Spokane would be
obtained by adding IS 2-1 per cent to the
rates thus found to be reasonable from St.
Paul to Spokane.
We are. therefore, of the opinion that
the following rates In cents per 100 pounds
are Just and reasonable charges to be ap
plied for the future to the shipment. In
carloads, of the various commodities named
from Chicago and St. Paul to Spokane, the
minimum to be In all cases the same as
that applied upon similar business to Seattle.
are unjust and unreasonable, and being fur
ther of the opinion that the class rates named
In the third paragraph of this ordr would
be Just and reasonable class rates to apply
between said points for the future, and that
the commodity rates stated in the fourth
paragraph of this order would be Just and
reasonable rates to apply to the transporta
tion of said commodities, in carload, be
tween said points, and having on the date
fcereof made and filed a report containing Its
conclue-lons thereon:
It la ordered. That the said defendants be,
and they are hereby, severally notified and
required to cease and desist on or before the
1st day of May. 1!0. and for the period of
two yeans thereafter to abstain from chars
Ing, demanding, collecting or receiving for the
COMMODITY.
Rates from
St. Paul. Chicago. .
I Cents.j Cents.
Tin boxes and lard palls, n. o,
Boxed, crated or Jacketed .......
Nested in boxes, barrels or crates. ........
Carpets, n. o. s
Plow points
Shovels, spades, scoops. In packages
Fruit jars and glasses
Canned com
Canned beans
Canned peaj
Kelt In, cotton or rubber ....... .............
Plcycles. boxed
Ulcycles. crated
Blank books and tablets
Books, n. o. s.. boxed .
Pruts and medicines
Cotton durk and denims, any quantity. .....
G'.aew, common, window, under HfS inches. ... ...
Glass, coinman. window, all sizes-, n. o. s
Pair.t, dry. in cans ti-acked In brxe or barrels)
ke;s. kits, boxes or Iron drums
Paint, in oil. In cans (packed In boxes or barrels!
kegs. kits, boxes or Iron drums
White or red lead, dry or In oil, in cans fpacked In boxes or barrels")
or in barrels, casks, kegs, kits, boxes or Iron drums
Paper brigs, plain . . . .a ............ ............. ..111
Paper bagn. printed
Rubber boots and shoes .' "." '
Saws, circular, on boards
Saws, circular, etc.. In boxes ... ........ . . . . ... . " "
Watr heaters, gas or gasoline, instantaneous........... ....J.I""""""
Stoves and ranges least iron), conking, etc........ .............
Stoves. sir-tls;ht heaters (sheet Iron) -....".".""..'.".'
Glassware, n. o. s ..."...""
Twine and cordage, cotton, hemp. Jute. etc.. In bales, boxes or
Wheelbarrows, k. d., f'.at
Windmills, k. d
Wire, copper .--.................
Wire, fencing. In rolls .-...;...."..""
Wodenware, in packages .....
or In barrels, casks.
or In barrels, cases.
...I
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126
117
117
117
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lUt
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175
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115
ICS
Ins
117
117
24
ITS
175
10
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fTS
UO
111
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1.-.7
US
VI
148
Northern Pacific Rv. Co....
Great Northern Ry. Co
Union Pacific R R Co In
eluding Oregon Short L.ine
n. rt. i o.. ana Oregon R. R
& Navigation Co. .........
Per cent.
3
3
I 3
o 3
1R07 I 1907
e S.
3
3 2
J4.074
3.95(1
1S97 I 1!K7
I 1!7 I l!r7 I 1S37
HiOHI fl. .VIIHKT,7.1.V.-.4.P4 2l.(VJfi 1.011 Jf!4
9.606I 1.8O0I 3.H72'54.31'5S.6.-. 303.S77I 941.612
6.7541 13.403 2.300 6.2S8;60.0453.0S;380,S41 1,010.543
Of all lines between New York and Chi
cago the Lake Shore & Michigan Southern
is perhaps the most profitable. The gross
earnings per mile of that road in 1807
were only slightly In excess of the gross
earnings of the Union Pacific and the
Northern Pacific today, and Its percentage
of operating expenses was higher than
either of those lines at the present time.
There was In 1697 no through line from
Chicago to New York whose gross earnings
per mile were materially greater than those
shown by the two defendants last named
and none which showed as low a ratio
of operating expenses. The thing which is
not properly understood -nor allowed for Is
the wonderful change ' In conditions upon
these transcontinental roads due to the
Increase in traffic In the last decade. tur
S tlme every rondtlon which should
im,e.e , ,OWer rate b:L nor I"'" ex
istence, while the rates themselves, on the
advancedn8teaa be'"B "auMd have been
K t ca"aJLd th orle"aI Spokane case.
were no, P' Z ?8, thl" thK"e ClaM
w? competitive. Whatever may have
thf.case then- thf Is not strictly true
now At that time the class rate graded
up from the Missouri River to the Atlantic
seaboard, being, first class. J3.50 from St.
iaul to Seattle, as compared with J4 20
from New York. Today, under the influence
of competitive conditions, class rates are
in the main the same from all territory east
of the Missouri River to Pacific Coast ter
minals. But while these class rates to the
Coast cities are Influenced to some extent
by competitive conditions, this Is not true
to the same extent as with commodity rates
and whatever may be said of such rates
lolDlB ea" of St. Paul, we are clear
that the present scale of class rates from
St. Paul to Seattle affords ample compen
sation to the defendants.
. original case the Commission es
tablished from St. Paul to Spokane class
rates which were S2 per cent of those to
Seattle. The first class rate from St. Paul
to Seattle was then JJ.50; it Is now J3 in
our opinion reasonable class rates from St
Paul to Spokane would be obtained by re
ducing the present Seattle rate about 1 --i
per cent.
Class rates from Chicago to Spokane may
properly be higher than those from St. Paul
by the following arbitrages- "
Class ..1 2 3 a 5 . r
11
showing rates In force January 1. 1D09.
upon these commodities between the points
No attempt has been made to deal with
less-than-carload commodity rates. The
carload rates which have been established
will necessitate a revision in some cases of
the lcss-Lhan-carload rate, but the consid
erations upon which the relation of these
rates depends were not discussed before the
Commission, and the carriers themselves
are better qualified to deal intelligently
with that subject. If they decline to do
so. or if in the opinion of the complainants
proper less-than-carload rates are not es
tablished, the matter can be called to our
attention. We shall not attempt In this
proceeding to establish either class or com
modity rates east ot Chicago.
We realize that this case should be dis
posed of in some more comprehensive man
ner, but after much consideration have been
able to determine upon no other order
which would not be open to legal objec
tion. The carriers may. If they desire, pre
sent to the Commission, before the effective
date of the order, some scheme for the re
adjustment of those Intermediate rates. If
approved, the Commission will strike off
the present order In favor of that plan.
We wish to emphasize the fact that the
conclusion reached Is of necessity in a
measure experimental. If In an honest at
tempt to work out this idea any unex
pected difficulty Is encountered or any un-
Tinware. n. o. a., in boxes, barrels or crates..
Plow points. In bundles
Shovels, sputles and scoops ........."""
Fruit jars and glasses .............Ill
Canned corn, peas and beans..............""""
rieltlng. canvas, or rubber
Htcycles. crated ..".!""
Rlank books with flexible paper covers"."...".'!"""
Blank books, n. o. s,.
Paper tablets II'II"""""'
Books, n. o. s i ".""!"' "
Bottles, wine or beer
Drugs and medicines, n. o. B. I. "I I"!!
Cotton ducks and denims "...111!
Glass, common window....................!"'
Glassware, n. o. s
Dry paint In bags. kegs, barreis or "casks '
Paints In. oil, buckets or kits
Paint In oil. iron drums, kegs, etc I!
Paper bags !!"!!""
Rubber boots and shoes !!!!!!! I !! 1 !"" "
circular saws without frames, in boxes!!!!! ""
Stoves, alcohol, gas. etc., with frames
Stoves, n. o. s ....!'""
Twine, in bales, boxes or barrels." !.'!!." J."."
Cordage. In packages !."
Wheelbarrows, k. d. ......... ............
Windmills, k. d 7.7.7.
Copper wire ........77""""""""
Wire fencing. In rolls. ..!!!!!! 7.7.7.
Woodenware -...........
2
is
o
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e
8
r.7
57
94
13H
6-.'
ll!l
: 53
11!
57
103
IOO
07
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!-.3
131!
127
fl:l
r7
02
2
5!t4
BO
OS
-I-
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S
107
92
l(i:;
91
f7
13'l
1K7
144
mil
1441
91
Rl
121
Mi
Tl 1
Hi
Dill
1 Rl I
114
;!
9t;i
121 1
121
im:
92
121
107
11RI
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no
1 12
179
1:121
182l
US
12(1!
931
171)
lrtl
S3
132
l
9Hi
179'
I.-.!
IM
!tH
1321
132)
104
nr.;
132
74l
118
(Rates in cents per 100 pounds.)
.-.
11.11
13.-. I
H.-.l
HO
120
2.-.0
12"
12"
1 2?
14n
751
ir..
loo
1MI
1201
911
90
HO!
lool
151 1 1
1511:
1
13C1;
9
951
HO
1351
no
1251
190
104
1(14
1!M)
1 25
2i5
3:15
17"
170
151
Oil
200
175
1 50
1!K
115
1 15
115
1211
235
22S
l.-.o
155
IttT
17
141
155
1H
105
174
Rate
B
17
C
14
- w 21 17 21 17 14 1
The resulting rates will be substantially
those which have been applied In the past
from St. Paul to Seattle, and which we
hava found to be sufficiently high without
reference to competitive conditions. The
distance from Chicago to Spokane Is but
slightly greater than that from St. Paul
to Seattle, and there Is no condition of
transportation which would Justify the
maintenance of higher class rates.
In our opinion, therefore, upon a con
sideration of all the facts and circumstances
the rates named below would be reasonable
class rates to be charged for the future
from St. Paul and Chicago to Spokane -
to El Paso are about the same as from St.
Paul to Spokane. Below is given a table
We have carefully considered the prob
able effect of the application of such rates
upon the revenues of these defendants in
t the light of the figures already given In this
report. In so doing It has been assumed
that other commodities must receive sub
stantially the same treatm' 1 as Is ac
corded to these and that re. :.tions at Spo
kane must be followed b corresponding
reductions at other points.
It should also be noted that the per
centage of shrinkage upon all commodities,
if the Seattle-Chicago rate were to be es
tablished as the local rats from St. Paul
to Spokane, would be nothing like as great
upon the average as that In case of the
above. Naturally, the complainants have
selected thoss articles where the showing Is
most favorable to the contention of Spo
kane. In many Instances commodity rates
at ths present time are the same or nearly
the earns from Eastern points of origin
to both Spokane and Seattle. Below Is
given a fable enumerating a few of these
To Spokane.
From
While It
not tne dutv of ti.
nil-Mtm to declare the divisions of this
rae It Is proper to say that in our opinion
in the making of rates from points east of
the Missouri Kiver to Spokane the line lead
ing to the Missouri River ought not ordin
arily to be allowed Its full local rate. Joint
through rates should be etl.n.h
all lines participating In the rate should
in consideration of the long distance cov
ered, abate something from the ordinary
local charge.
We next come to the commodity rates,
and here the problem presented Is much
more difficult. As already said, there are
some 1600 commodity items from eastern
destinations to Seattle, and In most cases
the rates so established are lower to Seat
tle than to Spokane. The complaints in
sist that this is unlawful, first, because a
discrimination Is created against Spokane,
and. second, because the rates to Seattle
are In and of themselves reasonable ' rates
to apply at Spokane.
We have already seen that the Seattle
rate is Induced by water competition and
that the carriers do not, therefore, of ne
cessity violate either the third or fourth
sections In maintaining from a given point
of origin a higher rate at Spokane. It
remains to Inquire whether these rates
would be reasonable to apply at Spokane
Irrespective of Seattle.
While the complaint attacks generally all
commodity rates to Seattle which are less
than those upon the same article to Spo
kane, only 34 of these rates are specifically
referred to. No testimony was taken as
to any articles except these, and in the
view which the Commission has taken of
Its authority under the statute, we can only
fix specific rates upon these articles which
have been made the subject of specific com
plaint, although we must consider what our
probable action would be If required to
250; 2171 1S3) 158! 1331 133! 104 83 791 71
3001 250 2iajl79!150J5412i:t'lf 911 82
commodities, the rates being those now In
effect from Chicago to Seattle and Spokane:
foreseen result produced or If the reduc
tion In revenue la. upon an actual trial,
more than has been anticipated, the Com
mission will, upon application of either
party, make such modification of its order
as may seem Just.
If the defendants simply establish ths
rates ordered In this proceeding and stop
there, or If in fixing other rates they do
not, in the opinion of the complaints, es
tablish those which are Just and reasonable
to Spokane, the complainants may rile sup
plemental petition.
The order In this case will he made ef
fective on May 1. If ths Commission Is
satisfied that the carriers will require ad
ditional time to check In rates upon other
commodities and to other points, the ef
fective date will, upoh application, be
tended.
ORDER.
At a general session of ths Interstate
Commerce Commission, held at Its office
In Washington. D. c, on ths th day of
Februairy, A. D. 10.
Present: Martin A. Knapp, Judson C.
Clements, Charles A. Prouty, Francis M.
Cockrell. Franklin K. Lime, dgar E.
Clark. James S. Harlan, Commissioners.
Number 879. city of Spokane. Wash.;
Chamber of Commerce of Spokane, Wash.;
County of Spokane, Wash., and Spokane
Jobbers Association of Spokane. Wash., vs.
Northern Pacific Hallway Company; Great
Northern Railway Company; Union Pacific
Railroad Company: Oregon Railroad A
Navigation Company; Oregon Short I.lns
Railroad Company; CanadLan Pacific Rail
way Company; Chicago, Burlington A
Qulncy Railway Company; Chicago & North
western Railway Company; Ike Shore a-
COMMODITY.
I
Rat
Seattle.
Beer, beer tonic, malt, ale and porter
F.our (wheat, rye or buckwheat) and corn meal
vi hi"' ",t'"arn. ner no feet In length, and ore brick for u
- uiwuinerr .............
Oil cake and oil-cake meal
Pipe, sewer (clay), and drain tile
tntter. bu.terlr.e. oleomargarine, dressed pou "T. eggs and cheese..
hertilizer. n. o. s.. Including dried blood
i-T " 11 desk" and bookcases combined
Kitchen safes and wardrobes, k. d.. flat and ooinpact. net cost . not
exceed fu each
Sideboards buffets, combination ' sideboards a nd buffets! " "and
.r -"".Miiers. net cost or each piece not to exceed 16 1
Mitier:tl mntAK V.r, . . I .. i i, . . . ....
. , .11 ui is -11 u 1 imcnages
Potatoes
Terra cotta, bu 1 1 d I n g "..!.'."!.'."."."." .' ." ." ." ." ." ! ."
I
in same.l
1
Ndebcardsl
I
empty, second-hand, returned!
Spokane.
Cents
1 n
75;
15u;
150:
';
100
I
106
Ifin'
75;
75
7ftl
Cents.
I'D
.
140
150
75
SOO
1W
106
iao
73
75
75
Examining in detail ths rates upon the
82 articles In question. In the light of all
the facts and circumstances, we are of the
opinion that the Chicago-Seattle rate on
the first Item, "tin boxes," would be too
low. and that a Just and reasonable rate
from St. Paul to Spokane would be Jl. Our
conclusion as to "fruit Jars and glasses"
Is the same. The present rate on "bottles,
wine, and beer" of 90 cents Is. In our opin
ion, sufficiently low already. The Seattle
rate on "cotton ducks and denims" is a
carload rate, especially induced by water
competition. This commodity moves gen
erally upon an any-quantlty rate. We see
no reason why this rule should be depart ei.
from in case of Spokane, and think that
a rate of J1.50 per 100 pounds In any
quantity Is sufficiently low. We are also
of the opinion that the rate 'of J1.60 upon
boots and shoes ought to bs J1.76. and that
Michigan Southern Railway Company; New
York Central & Hudson River Railroad
Company: Pittsburg. Fort Wayne A Chicago
Railway Company; Pennsylvania Railroad
Company: New York. New Haven fc Hart
ford Railroad Company; Boston A Mains
Railroad, and Spokane Falls A Northern
Railway Company.
This case being at issue upon complaint and
answers on file, and having been duly heard
and submitted by the parties and full Inves
tigation of the matters and things Involved
having been had. and the Commission being
of the opinion that the class rates now main
tained by the defendants from St. Paul, in
the State of Minnesota, and Chicago. In the
State of Illinois, to Spokane, in the State of
Washington, are unjust and unreasonable, and
that the rates now applied by said defendants
to the transportation of the commodities here
inafter named. In carloads, from St. Paul,
Minn., and Chicago. 111., to Spokane. Wash.'
transportation of property from St. Paul.
c.ulti.i, ana nicago. aroreald. to Spo
kane. Wash., their class rates now In effect,
and their rates now Imposed for the trans
portation. In carloads, of the commodities
hereinafter named.
It.,'1 '"rther ordered. That the Northern
Pacific Railway Company, the Great North
ern Railway Company, the Chicago. Burling
ton A Qulncy Hallway Company, the Chi
cago & Northwestern Railway Company, the
Union Pacific Railroad Company, the Oregon
Railroad A Navigation Company and the
Oregon Short I.lne Railroad Company be. and
tney are hereby notified and required to es
tablish and put In force on or before the 1st
day of May. lis 9. and maintain for a period
of not less than two years thereafter, the
class rates for the transportation of commodi
ties moving under the Western classification
from St. Paul, aforesaid, and from Chicajo.
aforesaid. to Spokant. Wash.. which are
ruimed below In centu per loo poun.ls. to-wlt:
' ''ssmsssss si wi saw m SSe:tirnMmmmaami 11 1 I
OLDEST BANK ON THE PACIFIC COAST
Capital $1,000,000
Surplus and Undivided Profits $500,000
F fills?
1DD
NATIONAL
EMENS
BANK
Second and Stark Streets
CAPITAL $250,000
I1FF1CER5,
?. K. WEXTWORTH. TresMent. GEO. L. M'PHKRsnx. Vice-President.
JOHN A. KKATIN'O. Vice-President. U. IJ. STORY. Cashier.
t A. KREEMAX, Ass't Cashier.
the hull Into an ocean-irnlnfr barse.
Her cabins will be removed and only
ft poop and forccast!e-hoad left above
the main deck. A donkey holler and
winches will he installed.
The Minnie K. Kilton was built In
To Niwltane.
(Rates In cents per lop pounds. )
From
St. I'aul..
Chicago ..
It Is further ordered. That said defendants
last above named be. and they are hereby,
notified and required to establish aid put In
force on or before ths 1st day of Slav. mow.
and maintain for a i-erlod of not less thun
two years thereafter, for the transportation
of the articles following, from St. I'aul,
aforesaid, and from Chicago, aforesaid, to
Spokane, Wash., the rales. In certs per lOi)
pound, following, to-wlt:
Rates From
St. Paul. Chicago.
Class.
i s I .-.:AinicrjK
2S! 21f l3i I I.irt' t-V.i, 14 hit Tl Tl I
3mi .V.i IMUj 1 7ti l.-. lit 121 lTi til 82
'Commodity
Tin boxes and lard palls.
Cents.
UK!
loo
Cents.
11T
117
Boxed, crated or Jacketed
Nested in boxes, barrels
or crates
Carpets, n. o. s.
I'lnw points
Shovels, spades, scoops, in
packages
Fruit Jars and glasses
Canned corn
Canned beans .............
Canned peas
Belting cotton or rubber...
Ilicycls, boxed
Bicycles, crated
Blank books and tablets...
Books, n. o. boxed
Drugs and medicines
Cotton ducks and denims,
any quantity
Glas. common, window, un
der es inches
Class, common, window, all
sixes, n. o. s
Paint, dry. In cans packed
In boxes or barrels!, or in
barrels, casks. Itess, kits,
boxes, or in iron drums. .
Paint. In oil. In cans I parked
in boxes or barrels), or In
barrels, cases, kegs. kits,
boxes, or in Iron drums..
White or red lead, dry
or in oil. In cans
(packed In boxes or
barrels), or in barrels,
casks. ke. kits,
boxes, or Iron drums.
Pntver bags, plain
Paper bags, printed
Rubber boots and shoes....
Saws, circular, etc., on h'da.
Saws, circular, etc.. In boxes
Water heaters, gas or gaso
line, instantaneous
Stoves and ranges (cast
Iron), cooking, etc 130
Stoves. air-tight heaters
(sheet iron 1 -.0
.iiaHsware, r. . o. a.........
Rope and cordage; cotton,
hemp. Jute. etc.. In bales.
boxes or barrels
Wheelbarrows, k. d., flat...
Windmills, k. d
Wire, copper
Wire, fencing. In rolls
Woodenware, in packages..
. ,. wmiowii.y rates are in t-.ir-
loads. upon the same minimum as is applied
to the transportation of the same commodi
ties from said St. Paul and Chicago to Seat
tle. Wash.
loo
Is.-.
110
in.-.
100
im
i
no
1 20
2.-.0
2.-.0
1 2.".
1 HI
1..0
150
no
1H)
00
90
no
10.1
loo
IT.i
1 r.o
150
170
120
12.".
no
1.:-.
1 10
Ml
12.5
117
21 '1
128
1.17
117
105
in,-.
1.
140
2;i2
MtS
1,1
173
17-
105
105
105
105
105
117
117
2U
175
175
108
143
171
140
14,
I11.I
157
12
on
14d
MINNIE KELTDN Of DOCK
WRECKED STKAM SCIIOOXEU
TO BE MADE INTO BARGE.
Hulk, AYorth $20,000, AVa Pur
chased by Daniel Hern Krom
Underwriter for $1400.
The hulk of the wrecked steam
schooner Minnie K. Kelton, recently
purchased from the underwriters by
ran!el Kern, will be put on the Port
of Portland drydoi-k at noon today. It
Is the Intention of Me 1. . .
... ..... j i"uvr-.t
1SS4 and has a solid oak hull. She was
abandoned nt set May S. 190S. and two
days later was picked up by the steam
Bcliooner Washington a a J towed to
Astoria. The t-raft later turned turtle.
The insurance people filially sold her
for $1400 to Daniel Kern. The rarso
and machinery were disposed of by
the present owner for $2S00 and it Is
estimated that the hull is" worth at
least Jl'0.000.
San Pedro Shipping.
SAN PKDF.O. Cnl.. March 7. The
steamer . Norwood arrived today from
Grays Harbor with lumber and passengers.
The steamer Olsen & Mahoney arrived I
from Astoria, with lumber. The steamer
Shasta cleared for Ticlltnuham to reload.
The schooner Alpena arrived, 21 days
from Tacoma with lumber.
The bnrkentine Chehul'.s, arrived from
Coos Buy with l.Ouo.OOO feet of lumber.
Ixps Scarce; Mill Reduces Cut.
MARSH FIEL.D, Or.. March 7. (Spe
cial.) The c. A. Smith I.utnlier & Manu
facturing Company's mill has shut down
the nlRht run for a short time, owing to
the gre.il difficulty and expense In se
curing: Ioks at this time of year. Im
provements will be made during the shutdown.
Breakwater Arrives F"rom Coos.
With S3 passengers and a larg-e
quantity of freight. the Mean-.ship
Breakwater reached the Ainsworth
dock at 5 o'clork last nicht. Captain
Macfrenn reports fair weather ilurlnir
the voyaRe. There was little wind, but
a heavy westerly swell. The Break
water sailed from, Coos Pay at noon
Saturday.
Bonds
Stocks
Securities
For Sale by
T. S. HcGrath
Lumber Exchange
PORTLAND. OR.
Marine Notes.
From San Fmncisro direct with
freight ami passmpors, the steamship
Uoh t'ily Is due to arrive tonight.
With a. full carpo of vhat for the
T'nited Kingdom, the French built De
fiaix sailed at nOon yesterday.
The oil tank steamship Atlas arrived
up lust rtlpht and la discharKing at the
Standard tanks.
Arrivals and Departures.
PORTLAND. Mnrch 7. Arrived Steam
ship Breakwater, from Co Hay; otcHm
phlp AUu, from San Franc. sen; French bark
9alx. rom the fnlted Kingdom.
AstorlA. Or.. March 7. Condition of fh
bar at A P. M.. mush; wind, eouthwest;
weather, cloudy, raining- Arrived at S A.
M. and left up. ateaniwr Krt-nk water, from
l'oo Hay. Arrived at IO A. M. and left up
at 1U. noon, ateamer Atlaa. from tian Kran
clco. iMttled at rt A. al . t-amor 'iLSter,
fun S.in I'rdro; ateamer Jnhnn Vulen. for
San KranctM ; utrtimrr Kinmro for Tilla
mook; at earner Waanienaw. or t?an Krau-ci.-o.
San Franrlsca. March 7. Arrived at 1 A.
M.. rteam-r uth Kay. from Tortiand.
Snlled at 12. noon. ahoonsr Vtririnla. tor
Portland: m-anirr t-outh Kay. from Atoria;
Manier Yellowstone, from Aatona: fivm mor
Vlrclnlan. from Salin:ta Crux; thlp Win
romble Park, from Kotterday ; barken ttne
Coronado. from Honolulu.
Sal led Steamer Curacao, for Guaym.u:
.K'hooner Virginia, tor port In nd; a h-oner
Commerce, fur k'ort Towns. id
1:5. A,
Tide at Antoria Monday.
Hlnh. I.ow
M I fert 5 OH A. M .... 1 ft
M 7 feet s 1 rt p. M . . .1 foo.
THE BESISTREET INSURANCE
IS THE BITULITHIC PAVEMENT
It insures against dust, mud and strwt r.oisps.
It insures against slipperiness and falling horses.
It insures against cracks, disintegration and costly repairs.
It assures a sanitary and durable street.
It assures conscientious workmanship and best materials.
It assures perfect satisfaction.
BITULITHIC INSURANCE IS SAFEST AND SUREST
WARREN COSTRUCTION COMPANY
317 Beck Building, Portland, Or.
HARTMAJNT &
THOMPSON
BANKERS
CHAMRER OF
COilMtRCE
solicit small
check accounts
and offer every
convenience to
depositors, re
gardless of the
amount deposited
PtvKmfc PsrsonoJ IAaMtltf
TRAVELERS' Cl'UlE.
CANADIAN PACIFIC
Less Than Four Days at Sea
WEEKLY SAILING BETWEEN MONTREAL
C'liLBEC AND LIVERPOOL
Two dN)c on tne beautiful frt. Law ran c
Kiver and th iaortvtt ocean rout to fin
n.pe.
Nothing better on tho Atlantic than our
lim i rt-v Vir !e on a'l ateatuera
1 lrt-eia $!0; aevond f.Vo. one dati
cabin 4V
Ak any ticket acnt, or mrito for aatllnga,
rat i ai.-i MoKlt.
Y K- Jnlmwii V. A.. I IS Sd at.. Portland. Ot
NORTH PACIFIC S. S. CO.
S. S. Geo. W. Elder
Sails for Eureka, San Francisco and
Los Anireles Marc h 18, April 1st, 15th,
2.Uh. Ticket office 132 Third street,
near Alder. II. YOLXC!, Agent.
SAN IKAM Lo lOKTUNU 8. 8. (U
oniy dir-i-t i'jtn.r. too t'.m.iKQt sailing
from Ansorth Uvxk. Portland. 4 PM.
S..S. K-. Itj. Mar. IS. Sli. ric.
.s. tM-nuior Mur. 19. Auril t. etc
From Lombard :m.. Sri ricolo. 11 A. aC.
U.S. SfDalor. Mar. la. tl. nr.
S.S. K"M City. Mar. 10. Avrtl . etc
J- V Hansuiu. Ivx-w Aitent.
Mn:n ?; Alnmvorth Dock.
M. J. R1K II K. City Ticket Atent. HI Sd St.
Phona Main 402. A 14vl.
COOS BAY LINE
The :.um.-r 1:1: E A K w ATKIt l-av rort-l.-ind
tiirj rdncMUy . f. M.. from Alns
orlh dock, for Norm Mend. MarihUcld and
Hay points Kri.(!u rccid tiil 4 V.
M. on U.iy ot sallinc. i'tnsrr far. f!rt
clan. SlO; seconi-cla. 7. Inclurt'rif; berth
and moals lnqu r. city ticket office. Thlr4
and 'Wah!ngtoii atraeta. or Alnsworto, daefc-
tKnn. Mala 2g