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From January i, 1922, to June 30, 1922 

Published Every Friday and Daily Eight Times in June by the 


Woolworth Building, New York. 

Edward A. Simmons, President 

L. 11. Sherman, Vice-President. Henry Lee, Vice-President & Treas. 

Samuel O. Dunn, [■ice-President. C. R. Mills, Vice-President. 

Roy V. Wright. Secretary. 

Chicago: Transportation Bldg. Cleveland: 4300 Euclid Ave. 

Washington: Home Life Bldg. Cincinnati: First National Bank Bldc. 

New Orleans: Maison Blanche Annex 

London, England: 34, Victoria St., Westminster, S. W. 1 

Samuel O. Dunn, Editor 

Km V. Wright. Managing Editor 

E. T. 
B. B. 

II. F. 
R. I'.. 


('. W. Foss 
K. E. Kei.lenberger 
Alfred G. Oehler 
F. W. Kraeger 
Holcombe Parkes 
('. N. Winter 
Milburn Moore 

E. I- 
I. G. 
I. II. 
D. A. 
K. II. 
R. ('. 




\i ... u 

Established in April, 1856) 






Seventy-Second Quarto Volume — January I, 1922, to June 30, 1922 


Alu. S.. 263 

Acworth, Sir William M.. 261, 558, 

1051, 1716 
Adler, Charles, Jr., 1269 
Aishton, R. II.. 598 
Armstrong, \V. k., 1270 
An:,u. 1. T. P., 337 


R. C, 4« 

Bailey, F. J., 461 

Baldwin. L. \V„ 1233 

Barnes, W. II., 1104 

Barr, Wm. M.. .164 

Basford. G. M.. 177, 105.1. 1549 

Beeuwkees, R., 1053 

Beyer. O. S.. Jr., 1290 

Binkerd, Robert S., 236 

Brown, Nelson Courtlandt, 743 

Bnell, D. C, 1287 

Burnett, W. S.. 1285 

Cain, P.. 413 

Campbell, J. M., 1162 
Caracristi, V. Z., 745 
Carter. Charles Frederick, 5S1 
Carter, F. W., 778 
Castle. O. C, 811 
Chamherlin, William F., 1061 
Chorley, R. W., 412 
Clagett, Brice. 1471 
Clements. M. F., 1333 
Cobb. F.arl, 1289 
Cole. J. F.., 66 
Colston, Col. W. A.. 1745 
Comstock, G. V., 1324 
Cuyler, Thomas De Witt, 5 

Davis, James C, 1169 

Delano, Frederic A., 1004 

Downs, L. A., 599, 626 

l)u Brul, Ernest F.. 1559 

Dudley, S. W., 1604 

Dunn. J. H., 143 

Dunn, Samuel O., 1105, 1163, 1211, 

1271, 1743 
Dyer, Gus M., 699 

F.ldridge. J. L.. 462 
Emerson, Harrington, 10] 1 
Fnnes, S., 1746 

Farrell, H. E., 364 

Fay. Thornwell, 75 

Fish, F. P., 344 

Fisher, Charles E., 953 

Fisher, Walter I... 481 

Ford, Robert II., 1009 

Foss, Charles W.. 47. 58, 133, 771, 

829, 1055. 1119. 1347 
French, D. K.. 907 

Garwood, E. F., 1159 
Gibson, Grant, 1160 
Giordano, Antonio, 85 

Glazier. J. G., 1162 
Glisson. Harry B.. S73 
Goldstein, Dr. J. M., 91 
(Jormley. M. J., 1007 
Grande, Julian. 88 

Gray. Willis E., 862 

Green, W. H.. 313 

Crewe, II. F.. 423 
Griffin. M. T., Ill 

Ilaggander, G. A.. 730 
Ilanna, D. B„ 1065 
Hendricks, V. K., 270, 779 
Ilennessy, J. J., 487 
Ilershherger, David C, 216 
Hines, Walker D., 287 
Hooper, S. U., 1236 
Hoover, Herbert, 379 
Howard. James E., 237 
Howson, E. T., 36 
Huffman, J. T., 510 

Jackman. W. T.. 567, 735 
Johnson, A. C, 1161 
Juneau, C. G.. 223, 1270 

Kellenberger, K. E'., 137 
Kennicott, Cass, 1168 
Koach, K. II.. 55, 1341 
Kraeger, Frank W., 124, 127, 131 
Kruttschnitt. J., 6 

I.acher, W. S.. 43. 53, W. G„ 907 

Lane, Harold F., 9, 15. 27. 39. 1227 

Laughton. II. II., 1697 

Lee, Elisha, 1593 

Leighti n. George B., 954 

Lesher, C. E., 1284 

Leucs, R. C. 954 

Lisman, F. J., 477 

Long, A. E., 312 

I.yne. James G.. 113. 115 

McAdoo, W. G., 327. 371 
McFetridge, W. S., 1275 
McKelligon, A. S., 1703 
Markham, C. H., 7 
Marks, G., 469 
Marshall. R. C, Jr., 60S 
Mell. ('. D., 744 
Meyer. Eugene. 343 
Milner. B. B.. 101 
Moore. Milburn, 147. 149 
Morton. E. II., 812 
Myers, A. C, 214 

Oelil'er. Alfred G., 61 

Parker. F. A.. 362 
Park,-. Charles E„ 512 
Parkes. Holcombe, 31 
Parmelee. Julius II., 119 

Partington. James, 909 
Payne. J. L., 70, 1297 
Peabody, I-'. S., 1283 
Peabody, J. A., 1053 
Peck. C. B., 43, 471 
Pershall, K. E., 269 
Peschaud, M., 81 
Phillips, W. C, 533 
Porterfield. J. F., 976 
Powell, T. C., 826 
Pownall, W. A., 794 
Pyeatt. J. S., 75 

Reder, G., 93 
Rhoads, Stanley, 525 
Robbins, Col. F. G., 1024 
Roberts. J. W., 529 
Roberts, M. S., 215 
Robinson, A. F., 369 
Robinson, Bird M., 1029 
Robinson, Joseph, 906 
Robinson, W. L.. 1234 
Rudd, A. H., 1345 
Rusch. Frank. 833 

Sands. C. Radford, 953 

Schwinn, F. S., 1004 

Scott. Frof. Charles F„ 727 

Shinn, Forrest S.. 271 

Slater. J. E.. 341. 435 

Smith. A. H., 7 

Smith. Walter H., 1477 

Sproule, William, 535 

Stimson. Earl, 416 

Stone. E. J.. 861 

Storey, W. B., 928 

Stubbs. Linton W.. 510 

Stuebing. A. F.. 51. 59 

Taylor, H. N., 1104 
Thayer. Robert E.. 76. 95, 105 
Thompson, Slason, 811 
Thornley, E. W„ 1698 
Titcomb, H. B.. 74 
Tobey. B. C, 1701 
Tollerton, W. J., 1378, 140S 
Tutan. G. W., 463 

Vissering. Harry. 1159 
Yoight. A. E.. 579 

Walker. Roberts. 21 
Watkins, T. II., 1283 
Wendt, Edwin F., 1160 
Weston, Edgar W., 417 
Whitenton, W. M.. 511 
Whyte, F. M., 107 
Wiechardt, A. J.. 1051 
Winterrowd. W. II.. 11,".'. 1229 
Wise. Marion J.. 1647 
Wollner, William S., 583 
\\ llriilge, J. Lester, 1406 
Woodward, E. L.. 63 
Wright. Paul. 312 

January 1-Junc 30, 1922 



[Illustrated articles arc indicated thus*; Editorials thusf; Letters to Editor thus%.\ 

Abandoned Lines During 1921, 147* 
Ability of Carrier t„ lay. 460 + 
Academy of Political Science: Meeting, 9Slt 
Accidents (See also Safety First): 

Atlanta, Birmingham & Atlantic at Union 

City, 751 
Atlanta, Birmingham & Atlantic near Man- 
chester, 887 
Atchison, Topcka & Santa Fe Trains Collide, 

Automobiles at Crossings, 1351, 1497, 1749 
Baltimore & Ohio near Noble, 347 
Chicago, Rock Island & Pacific near Plains, 

Kan., 1319t, 1332 
Frozen Signals in England, 1086 
I. C. C. Bulletin Xo. 80, 242; No. 81, 936 
I. C. C. Investigations — Quarterly, 1343, 

1463t, 1483, 1712t „ 

Lehigh Valley Black Diamond Express De- 
railed, 1176'. 1206t 
London & North Western, 450 
Louisville \ Nashville near l'l.mianton, 1747 
New York Central at Pamesville, 555t, 585 
Oregon-Washington Railroad & Navigation 

Company at Celilo, 1031* 
Pennsylvania near Halifax, Pa.. 887 
Pennsylvania Railroad Employees, 1033 
Pennsylvania Railroad Locomotive, 442 
Philadelphia & Reading near Woodmont 
(Bryn Athvn). 168+, 173, 357, 490. 549, 
840 (Conductor and Engineman Im- 
prisoned), 1351 (Pardoned) 
Save Minutes Safely, 1319, 
Summary of Year 1921. 825, 903t 
Texas & Pacific at Camps, 3571. 374 
Texas & Pacific near Mineola, 1747 
Accounting (See ajso Railway Accounting Offi- 
cers Association) : 
Auditor, Opportunities of the, 1746 
Classification of Material, 1575t, 1598 
Classification of Operating Expenses, Pro- 
posed Revision of. 1466T. 1473 
Cost of Treating Ties Charged to Mainten- 
ance, 416, 1003t, 1160J 
Depreciation. Charging, 1745 
Division; N. Y., N. H. X H„ 341*, 435* 
Gasoline; Missouri Pacific, 1600 
Knowledge, Improve Y'our. 17111 
Mandatory Rules, 5S 
Material, 1652* ... 

Settlements with Railroad Administration, 

378 , , ... 

Traveling Auditor, Recognition of the, 235) 
Accounts with the Railroad Administration, 39 , 

Acetylene Torch for \\ elding, 704 
Activity in New Constructicn in 1921, 149 
Acworth, Sir William M.: Can tie Railroads 
Earn a Fair Return? 259t, 261, 558+., 81U, 
1051 J 
Additional Trackage Needed, 999 i 
Adhesion and Rack Locomotive for Sumatra, 

Adjuster. Automatic Brake Slack. 1540 
Adjustment Board (See Regional) 
Adjustment, Wage, A Much Needed. 307 1 
Administration, Railroad (See United States) 
Administration Trying to Prevent Labor Conflict, 

196, 232, 243, 2571. 755 

Central of Georgia, 857+, 889 
Illinois Central Advertises Safety. 888 
Public Relations Work, 953*.. 954* 
"Selling" the Railroads, 410+, 457+, S05J, 
553 + . 723 + . 807t. 901+, 953t. 954*. 1155T, 
Space for Sale: Pennsylvania, 347 
Aeronautics, Legislation to Regulate, 491 
Africa: Railroad Notes. 449. 1251 
Vfter Highways are Porn led to Pieces, 480 
Vftermath of Federal Control, The, 1169 
Agent. Station, A Plea for the, 1054+. 
Agents as Railway Spokesmen, 725 + 
Agricultural Conference: . 

President Discusses Transportation, 276 
Rate Reduction Asked, 317 
V'ricultural Inquiry, Report of Joint Commis- 
sion of. 967, lOOOt. 1015. 1112, 1346. 1480 
Agricultural Rate Reducti. n, Maine Roads Not 

Included in, 295 
Agriculture, Relation of Freight Rates to. 967 
Air Brake (See also Brake) 
Air Brake and Train Operation, The. 7651 
\ir Brake Association: Annual Convention, 

1544t, 1603*, 16S1, 16S5+, 1707* 
Air Brake Compound. Galena. 1402 
Air Brake Tests and English Vacuum Brake 

Tests Compared, Slot, 823* 
Air Brake Retaining Waive, Clark, 142S 
Air Brake Wastes, 1604. 1685 + 
Air Compressor. Dual Flow, 4S5* 
Air Compressor, Westinghouse o Vb., los.i 
Air Mail Service in 1921, 195, 929 
Air-Operated Auxiliary Devices. 1681 
Air Pump Strainer. 1623* . 

Air Reduction Sales Company Acquires Davis- 

Bournonville Company. S49 
Air Separator. Thor, 1618 . 

Aishton, R. II.: Efficiency ot Operation. 193 

Akron, Canton ,\ Youngstown: Locomotives, Re- 
built—Operating Results, 407t, 423* 
Alarm, Low Water, 1618*, 1621* 
Alaska Railroad: 

American Railway Express Business, 1189 
Completing the Line, 813* 
All in a Day's Work, 656 
All Thai Glitters Is Not Gold 
Allegheny Steel Co.: Journal Box Lid, 1397* 
Allis-Chalmers Company: Annual Report, 1041 
Alloy Steels for Locomotives, 257T 
All-Steel or Composite Car, 14321 
Amendment (S?e Transportation Act; also Valu- 
ation of Railways) 
American Aid for Foreign Railways, 766t 
American Arch Co.: Double Sectional Arch. 1565* 
American Bankers' Association: Public Opinion, 

William Sproule on, 535 
American Brake Shoe and Foundry Company: 

Annual Report, 894 
American Car & Foundry Company: Valves, 

Tank Car, 1429* 
American Connector, 361+, 375*, 906+., 1398 
American Engineering Council : Hoover, Her- 
bert, on Electrification, 242 
American Engineering Standards Committee, 347, 

796, 1345 (Highway Signals i 
American Farm Bureau Federation: Tractive 

Power and Car Capacity, 507t 
American Hose Connectors, Changes in, 375* 
American Iron and Steel Institute: Rail Produc- 
tion in 1921, 970 
American Locomotive Company : 
Annual Report, 547 
Mountain and Santa Fe Types for Manila 

Railroad, 387* 
Mountain Type; Union Pacific, 1325* 
American Railway Association (See also Car 
Service Division) : 
Automatic Stop Order, Objections to, 783, 

Careful Crossing Campaign, 1302, 1464+ 
Coal in Stock, 1748 
Directors, Additional, 394 
Division V— Mechanical : 

Canadian Night. 1404+ 

Chairman W. T. Tollerton's Address, 

1404+, 1405+. 1408* 
Chairman W. J. Tollerton on Work of 

the Mechanical Division. 1592 
Cc mmittees. A Suggestion to. 1577 + 
Corrosion of Steel Cars. 1403+ 
Death of Members. 1422 
Discussion of Reports, 1403+, 1431 + 
Life Members, 1420 
Manual, 1303, 1586 
Mayor Bader's Address, 1407 
Next Year's Convention, 1578+ 
Officers Elected, 1602 
Officers, One-Year Term for, 1683 + 
Power Brake Investigation, I, C. C, 797 
Proceedings. 1403+, 1404+, 1407*. 1431+, 
1435*, J543+, 1575+, 1577+, 1581*, 
1631*, *1687* 
Railroad Labor Board Members at Con- 
ventions, 1393 
Registration, 1393. 142n, 1421, 1456, 
1457, 1552, 1561. 1611, 1678, 1686, 
Report of Arbitration Committee, 1437 

1438, 154.1 + 
Report of General Committee. 1410 
Report on Design .m,l Maintenance of 

Locomotive Boilers, 1687* 
Report (ii Feed Water Heaters for 

Locomotives, 1639 
Report en Loading Rules. 1446* 
Report on Locomotive Construction. 1631 
Report on Locomotive Headlights and 
Classification Lamps. 1575 + , 1581*, 
Report tn Manual. 15S6 
Report on Modernization of Stationary 

Boiler Plants. 1629+, 1641* 
Report on Nominations, 1412 
Report on Prices for Labcr ami Mate- 
rials, 1433+. 1435 
Report on Safety Appliances, 1420 
Report on Scheduling Equipment 
Through Repair Shops, 1403+, 1412* 
Report on Specifications and Tests for 
Materials, 1576+, 1577 + . 1586. 1686+ 
Report on Tank Cars. 1441 
Report on Train Brake and Signal 

Equipment, 1543+ 
Report on Train Lighting and Equip- 
ment, 1432+, 1450* 
Rules of Interchange, Recommended 

Changes in, 1437*. 143S 
Salinas, Leon, at Convention. 1457 
Subjects, Mechanical Department, 1543 1 
Tank Car Specifications, Effective Date 

of, 981 
Tribute to A. W. Gibbs. 1410 
Tribute to F. F. Gaines, 1580 
Work of, 1545 + , 1547, 1592 
Y'oung Men. Make Room for the. 1431T, 
1547. 1592 
Division VI— Purchases and M ..- 
Address bv Elisha lee. 1593 
Murphy, J, P., Resignation of. 1704 

American Railway Association (Continued): 
Officers, Election of, 1704 
Proceedings, 157=,, 1593*, 1647*, 1683t. 

Registration. 1613, 1678, 1686. 1705 
Report of Committee on Resolutions, 1704 
Report of F'uel Conservation Joint Com- 
mittee, 1703 
Report of General Committee, 1596 
Report of Memorial Committee, 1704 
Report on Classification of Material, 

1575+, 1598 
Report on Distribution and Accounting 

for Gasoline, 1600 
Report on Economies in the Stationery 

Store, 1701 
Report on Educating Employees, 1703 
Report on Forest Products, 1697 
Report on Inventory, 1654 
Report on Material Accounting, 1652* 
Report on Need of a Sinking; Fund, 1697 
Report on Office Organization, 1698 
Report on Purchasing Agents' Office 

Records, 1674* 
Report on Reclamation of Material, 

1657*, 1684+ 
Report on Scrap Classification, 1665* 
Report on Stores Department Book of 

Rules, 1596 
Report on Supply Train Operation, 

Repcrt on Unit Piling of Materials and 
Numerical Numbering System, 1673 
Engineering Division (See American Rail- 
way Engineering Association) 
Freight Claim Division: 

Cut Eoss and Damage in Half. 55* 
Live Stock Claim Prevention, 348 
Payments for Three Months, 5S7; Y"ear, 
1921, 1034 
Interchange Practice, Recommends New-, 985 
Opportunity for, An., 860t 
Perfect Package Campaign. 222, 295 
Rail, Study of Wear on, 1206+ 
Safety Section Holds Meeting, 1131 
Signal Section: 

Committee on Conservation, 595+ 
Meeting, Annual, 1479, 1733, 1754 
Meeting, March Stated, 595+. 600*, 646* 
Registration, 615, 663 
Report on Batteries. 609* 
Report on Contracts. o55* 
Report on D. C. Automatic Block Signal- 
ing, 606* 
Report on D. C. Relays 612* 
Report on D. C. Track Circuits, 650* 
Report on Economics. 623+, 646 
Report on Electrical Testing. 623+, 647* 
Report on Highway Crossing Protection, 

595+. 604* 
Report on Maintenance Rules, 601* 
Report on Mechanical Interlocking, 653* 
Report on Power Interlocking, 595+, 

Report on Signaling Practice, 600* 
Report on Specifications for Oils. 610* 
Report on Standard Designs, 60S* 
Report on Valuation. 649* 
Standard Highway Signals. 949+, 1345 
Telegraph and Telephone Section: 
March Meeting, 765 + . 7 75 
Pole Lines, Permanency of, 951 + 
Traffic Division— Standing Committees, 585 
Transportation Division : 

Gormley, M. I., on Car Service Rules, 

I000+, 1007 
Meeting in Chicago, 1033 
Robbins, Col. F. G., on Preparing for 
Heavier Business, 1024. 
American Railway Development Association: An- 
nual Convention, 1177 
American Railway Engineering Association: 
Address of President Downs. 623+, 626* 
Aishton, R. H., on Responsibility of, 598, 

Annual Convention (See also Proceedings 

under this head), 458+ 
Annual Dinner, 698 
Bulletins, An improvement in the, 66Si 
Committee Personnel, 708+ 
Downs. L. A., Presiding Officer, 707+ 
Fairbairn. I. M. R.. Presentation to. 645* 
Fritch, E. 1L, Letter f r, m Russia to, 656 
Hotel Facilities for Convention, 667+. 707+ 
Officers. New. 700* . 

Proceedings 623+, 626*, 667+, 668+, 6/0*, 
• 707+. 708+. 709* 
Registration. 659, 701, 708 
Report on Ballast, 631* 
Report on Buildings, 711* 
Report on Economics of Railway Labor, 642* 
Report on Economics of Railway Location, 

Report on Economics of Railway Operation, 

Report on Electricity, 696* 
Report on Masonry, 715* 
Report on Rail. 712*. 80 8+ , 828 
Report on Records and Accounts, 686" 
Report on Roadway, 68 
Report on Rules and Organization, 721 


January 1-June 30, 1922 


[Illustrated articles arc indicated thus*; Editorials tlmsf; Letters to Editor thiist] 

Eng. Assn. (Continued) : 

; rminals, 

rnals and 1 uteri, eking. 636* 

■' ;s, 667i, 

■i Track. 041 

iform General Contract form?, 

'', 765t 
-, rvation, 717- 

lies, 719* 

: Railway Bridges, 309t 
hn F. Wallace and George H. 

What the Association I D 
Railway Expri 


Railway Master Mecl 

n Railway A 
American Railway Mel i . 

American Short Line Railroad Association: 

Annual Meeting. 243, 
Nominations, I „ .. 

Specifications for Steel Railway Bridges, 
309t. HOOt 
American Society of Mechanical Engi 

Railroad Divisi Ifficers, 195 


American ','• 8 j 9 . , 

Corporation: llendnck, 
(-, W.. Before 1. C. C, 927 
American Trai: D ": Luhr- 

i nferences, 243 

Amerii ' |,,on: 

ance, 41... Kl(l3t. 11MU 

I • . 369 

1 lilt 

j, A Water. 1168 

K no- 
An, 119 

., ion 
ittee, 290 



rch, 938 



i Continued) : 

. 928 
Atkins Metal Band Sav 
Atlanta. Birmingham ,\ 

Derailment .887 

■ Imprisonment 
B 1717 

Atlantic City as a Winter Resort, 447 

! i -, I. I . 

-:. S67 
Attacking the ' 952f 

. 1 . 517* 
Auditor. I if the, 1746 

tuition of. 2.19, 1054$ 

Government Railvi i; leavily, /58 

i ition . f Railwaj I 150, 1037 


Automatic Bio. 

Automatic Brake Slack Adjuster, 1540 
Automatic Connector. American, 361f, 3/5 , 906J, 

'"' ' c n ,+ 

Automat. Conn. of, 9061 ic Lubricator, i B 

Automati. P ' Hers, 703 

lutomatii Substations; I iri got Elei trit Ry.. 34, 

\,,t,„ii.iti, Stop i 5i ■ \. it. an. in. rrain ' 
natic Train Control: 
Definition-, Functi. ns. Ki .|inrcments, etc., 191 

i,l; ,i omi ,,:. s Ant. .-manual, 521* 
Cenl il i I neland 

i )i der, 189, 
08t, 443 
(Hearing), 767t, 7s,!. 7 s7. 837, B59t, 927, 
.,;i ' inent) 

Interpreting Spa ificatiens, 
-\l \ \il w. ithi r," 185* 
New V..rk. Number of Stops in, 395 
\,, Partii il u I '■'■ Endorsed by I. C. C, 

Objections of A. R. A. Committee, 7Sa 
Otis, 1626 ,,„. 

-«ive Feature. Why Eliminate, B59f 


■ m: N . N C, 
Vmer icat Rai 

. . 175" 

- 1351. 1 I"... "■»? 

. Virginia), 1192. 

.. Shipment: of, 13 >*, 748" 

' press De- 
Shipments, Heavy, 1192 

Tail I . ■ l"---'*. 1345 

Auxiliary 1' 

1 "'o 

i units, 6 



.1 in X. 

. 12051 

il,. on* 

, , r, ■, 

Battle of the Brakes, The. 8101 

.i the New Haven, 
Bearing, ,1571 

Bearing. - 

rucks, 14321 

. 1087 

rs, 1452 
ling the, 449 
Bentley, Ming Materials. 

Pal Elei c Heater, 1 
Vi G.: 

Goverin I E Jersey Central Loco- 

mverting a Tunnel 
Into an Open Cut, I 
Best Accident Reci rd, 

. alion: 
Annual Repo- 1 

Lackawanna Sti I'urchased, 1196 

Better Ra Coi 

Bid, The lowest, 51HJ 

Bierd, W. G., Opposes Regional Board of Adjust- 
ment, 220 

i W.i Rat« 
Bill of 1 ading Cases, 447 
Bill (See Legist 
Billincsley, P. L. Co. : Flexway Woodworking 

Bills. State-' Rights 

Brid I if; Northern 

Pacific. 1333* 
Black Diamond Express Derailed; I.. V.. 1176*. 

Blackall Ratchet Hand Brake, 1396* 
111... I Signaling) 

Blower, I 
Board of 1 and Engineering: 

•mats at Chicago, 1179* 

Test it" C., 481 


. 1641* 
Boiler PI 
Boiler I 

Waters, Interior Treatment of, 313$, 364*, 

412t. 768t, 704, 907$ 
Bolivia: Railway Situation. 114 
Bolster, I Truck, 1565* 

Boltless Truck Column. Bradfoi 

Boring ' 

Boring Mill, i 

Borsig, \ i .. • ■ • i 

e, 517*. 558} 
Springfield, 1358 

"I one: 
Annual Rel 
Valuation, 974 

• .•n.i I: also tin. 
Bracket foi ^ 

Bradford Boltless Truck Colur i 
Brake, Brake) 


Beam Strut, B 


.-, .«» 


Bran. I -e in. 



n River, 


January 1-June 30, 1922 


British Institute .it Transport: Motor and 

Inland Water Versus Rail Transport, 

. 1271 

Broad View of Locomotive Improvements, A, 8071 

Brotherhood of I ocomotive En C ' 

. 1748 
Brotherhood of locomotive Firemi 

men Condemns President Harding, 1497 
Brubakcr Spiral Fluted Tap. 
Bryn Athvn Collision, 168t, 173, 357t, 490, 549, 
: Com] .my: 

Annual Report, 760 
Shovel with Caterpillar Traction, 1450* 
. 703- 
Buffalo ,\ Susquehanna Cited to Appear Before 

Labor Board, 74! 
Buffalo Forged Reversible Brake Beam strut 

and Safetv Brake Shoe Key, 1542* 
Buffet ,1620 

Buffing Mechanism, Top Vestibule, 1459* 
Buffalo, Rochester & I'ittsburgh: 
it. "<i9, 996 
Cash Awards foi Suggestions, 506t, 540 
Buildings (See Bridges and Buildings) 
Bull Ring, Rogatchoff Piston, 1625* 
"Bull's Eye," The Railroad, 1013* 
Bullseye Dust Guards, 1459 
Burchmore, J. S.. Before Labor Board, 1079 
Bureau of Accounts. 1. C. C.: 
Annua! R( iort. 194 

Revision of Operating Expense Classifica- 
ti. n. I466t, 1473 
Bureau of Foreign and Domestic G mmerce: 
Feiker. F. M., to Continue with, 292 
Industrial Machinery Division's Services, 
Bureau ■! Labor: lost of Living, Wages and 

Rates, 3581, 413 
Bureau of Locomotive Inspection, Report of, 

Bureau of Railway Economics: Ratios of Opera- 
tion. 19 
Bureau of Safety (See Interstate Commerce 

Commission — Accident) 
Bureau cf Statistics, I. C. C: 
Annual Report, 194 

Seas inal Variation of Operating Income, 273* 
Trend of Freight Traffic, 226* 
Bureau of Traffic I. C. C: Annual Report. 235 
Bureaus, I. C. C, Further Reports of, 234 
Burma. Meter Oage Mallets for. 847* 
Burnham Car Repair Company: Labor Boards 
Decision on Indiana Harbor Belt's ton- 
tracts, 1111, 1158f 
Business (S=e also Freight Car Leadings): 
Confidence in the Future. 11571 
Government and Business, 699 
Locomotive Ownership, 471 

Orders for Equipment in 1922, 163t. 21 If. 
357t, 506f, S57t, 905t. 1048t, 12671 (Five 
Outlook Continues to Grow Brighter, 357* 
Prepare for Heavier Business, 1024 
R. B. A. Dinner, 343 
Revival. Car Loading Shows, 1206f 
Solicitation Compaign: A. T. & S. Fe, 751 
Business Handicaps of Railway Car Shop, 529* 
Buying Paint, 458t. 952t, 10001, HOlt 
Buying Tools on Price Basis, 12661 
Buying with Savings Produced, 7071 
Byram, II. E.: Rale Testimony, 228 

Cab Signals. Eurooean Experience with. 926 
Cab Ventilating Unit, Sturtevant, 1074* 
Caille-Potome Feedwater Heater, 263* 
California Electric Railway Association: "After 
Highways are Pounded p. Pieces— What?" 
Campbell. Commissioner, Before Senate Commit- 
tee, 184 
Camps Collision, 5571, 374 

Government Ownership, D. B. Hanna on, 

Political Situation and Railway Policy. 1297 
Problem of the Government Railways, \\ . J. 

lackman on, 555t, S67*, 735* 
Railroad 'Construction in 1921, 154* 
Railways Are In a Bad Way, 70* 
Toronto Electrification Disapproved. 286 

'Canadian National Railways: Hanna, D. B., 
on Government Ownership, 1065 

Canadian Pacific: 

Annual Report, 835*, 853 

Bridi i 'Ivor St. John River, 1175 

Memorial at Montreal. 1249* 

Memorial in New York, "84 

Peao cl Geared Hand Brake, 1425* 

sb, ping Cars, 291 „ ,,, 

Can the Railroad- Earn a Fair Return. Sir W. 
M. Ackworth on, 2591, 261. 558}. 81U, 

Cantilever Bridge at St. John, N. B.. 1175" 

Capital Needed, W. I. Lauck on, 961t 

Capper Bill, 18.1, .168, 396 

Car: Brake (See Brake) 

Buffing Mechanism, Top Vestibule, 1459* 
Composite or All-Steel, 14321 
Connections. Barco Steam Heat. 1396 
Connector, American, 3611, 375*. 906*., 1398 
Connector, Futrell Train Line. 1536* 
Connector, Rcbinson, 157* 
Corrosion of Steel Civs. 14031 
Coupler, Swivel Butt, 1395* 

Coupler. l'i. 

Coupling i !i 

Door Controller. Sliding. 1462 

Door Fa B 1014* 


Trade i 

Frictio I I 1128" 

Maintenance of, 13721 

Journal Box. 16K-* 

Lighting (See Lighting) 

Lumber, Treated, 271 

Motoi (See M Cars) 

Multiple Unit; N. V.. N. II. & It., 1477- 

Orders in 192 1, 06f, 8571, 

905t, 10481, 12i i I ive Months) 

I Irders in 1921, 127 

Passei I irs, Rough-Riding, 9081, 954+. 

Pennsylvania's (Inlet . 857t 

Plush' Rem vator, Chasi 

Prices, 44 

Refrigerator Cars. Notes en, 1173*, 1229* 

Repair Schedule, 1413* 

Repair Work, 1371 + 

Repairs, Deferred Cost of. 215 1 

Ri of, Sharon Pi 1 Med. 1129* 

Roof Sheets. Reclaiming 

Sleeping: Canadian Pacific, 291 

Sleeping Cars Criticized. 363} 

Sleeping Cars in Europe. 1143 

Sleeping Third Class, in Germany, 399* 

Steel Cars. Harris Bill on. 981 

Tank. Report on. 1441 

Truck Side Frame. Wrought Steel. 1426* 

Truck, Stafford Rolling Bearing, 1460* 

Trucks, Roller Bearings fi r, 1432f 

Types Introduced in 1921. 51* 

Vapor System, 1541* 

Wheel Grinding, 1156+ 

Wheels, Record of Carnegie, 1462 

Window Post, Brill Renitent, 1397* 

Windows, Weather Stripping for. 1542 
Car Capacity and Tractive Power. 507+ 
Car Department. Education in the, 225. 512}, 

Car Foremen's Association of Chicago: Old 

Shop Machinery Limits Output. 507 + 
Car, Freight: 

Container, Erie Freight Service at New York, 

Cupola, Why the. 357+ 

Grain Dmrs, Standardizing, 166+ 

Historic Box Car Wrecked: N. C. & St. L., 

Orders in 1921, 127* 

Repair Schedule. 1415* 
Car Handling (See Car Service) 
Car Loading (See Freight Car Leading) 
Car Service: „ . . 

Bad Order Equipment at Beginning and 
End of Federal Control, 32S, 329 

Bad Order Percentages. 950+ 

Bad Order Situation, 59* 

Capacity and Tractive Power. 507+ 

Coal Car Distribution, I. C. C. to Investigate, 
1 748 

Interchange Rules, Recommended Changes in. 
1437*, 1438 

Loading Rules. Report on. 1446* 

Pooling Plan. Warfield, 481, 508f, 576, S0S+, 
SI 1 J 860+ 
Car Service Division. A. R. A.: 

Freight Car Loading (See Freight Carl 

Qormley, M. L, en Car Service Rules and 
the Movement of Equipment. 1000+, 1007 

Shippers Asked to Co-operate in Car Hand- 
ling. 866 

Speeding Up Movements at Terminals, 411} 
Car Service Rules Improve UJse of Equipment, 

1000+, 1007 
Car Service Rules. Principles of, 866 
Car Shop, Railway. Handicaps of. 529* 
Car Shortage (See also Freight Car Loading), 
.Car Situaticn, Watch the, 1431 + 
Car Surplus and Shortage, 1919-1921, 17* 
Car sin plus and Shortage, Weekly Figures of 

(See Freight Car Loading) 
Carhon Steel Castings, Specifications for, 1588* 
Carborundum Company: Firefrax Cement, 1617 
Care of Oil Lamps. 17121, 1734 
Careful Crossing Campaign. 1502, 14641 
Carnegie Steel Company: Record of Wheels, 

Service. 1462 
Cash Prizes for Ideas. 446. 5061, 540 
(-.Mines. Sl.,1 Specifications fir, 1588* 
Castleton Bridge Project; New \ ork Central, 

11571, 1197, 1246* 
Catenarv Hantrer. 1617 
Caterpillar Shovel. Bucyrus. 1430* 
Causeway, Galveston, 1113* 
Celilo Collision. 1031* 
Cell, Ed'son "HW." 1 loo' 
Cells of Battery Fifteen. 1406} 
Cement, Firefrax, 1617 
Cement Gun Company, Inc.: Tank. 666* 
Cement Tester, Pittsburgh. 1622* 
C-.isuo -i '..-t;t.- Wrrk:-... V -! 
Central Europe, Hi pe for Normal Railroading in. 

Central Europe's Greatest Problem, 97* 
Central of Brazil: Electrification, 204 
Central of Georgia: 

Advertising in Newspaper-. 857f, S89 

Cogary Cogs, 937 

Engine Terminals at Columbus, Ga., 463* 

Fuel and Locomotive Performance, 479 

Pensions Capitalized. 124s 

Public Invited to Confer. 44? 

Central of inued): 

Therm i< 

Winburn, \\ 
Central of Verm 'lant at St. Albans, 

Central Pacific and Southern Pacific Decision 

if, 1296, 1354. 1495 
Central Railroad i r ' 

to, 879* 
G vernment's Use of i icomotives, 443 
Central Railway Club: 

Essential- of Progressive M> tive Power 


What Shop Equipment Means to a Railroad, 

Chain Hoist, Yale Model 20, 1573* 
Chairman Anderson i Sec Anderson) 
Chamber of Commerce. Altoona. Pa.: Interest of 
the Employees in Railroad Earning Power, 

Chamber of Commerce of the United States: 
Amendment of Transportation Act Opposed, 

Annual Meeting. 1171 

Commissioner General of Transportation Pro- 
posed, 273, 345. 589. 424 
Legislation to Regulate Aeronautics, 491 
Railroad Committee. 1560 
Railroad Problem Discussed. 389, 1171 
Chandler, W. II.: 

Cuyler, T. I)., on Cost of Xaticnal Shop 

Agreement, 467. 524 
Rate Testimony, 319 
Changes in American Hose Connectors, 3611, 

Chaos (See Railway Chaos) 

Chapman. H. J.. Before Senate Committee, 330 
Charging the Cost of Treating Ties to Main- 
tenance, 416, 1003}, 1160} 
Chase Plush Renovator, 1430 
Checking Tonnage Rating, 3581 
Check Your Reclamation Work, 1628+ 
Chemical Toilets, 665* 
Chesapeake & Ohio: 

Annual Report. 1735. 1758 
Locomotive Facilities at Clifton Forge, 955* 

Burlington Building Damaged by Fire, 668+, 

669*. 766+. 785*. 840. 9021 
Dinner of Traffic Club, 295 
Exhibit, Permanent Railway Supply, 1159} 
Illinois Central Wins Suit. 887 
Mail Terminal, 513* 
Terminal I'lans. 9041, 918, 1179* 
Union Station Plans, 525*. 513*. 554 + . 561* 
(Foundation Tests) 
Chicago & Altcn: Bierd, W. G.. Opposes Regional 

Board of Adjustment. 12i\ 
Chicago & Eastern Illinois: Receivership Ends, 

Chicago & North Western: Annual Report. 1245, 

Chicago, Burlington & Quincy: 
Annual Report, 1494. 1509 
Clerical Employees' Wages Cut. 740 
Creosoted Cypress Piling. 730* 
Fire Damages Office Building in Chicago, 

6681, 669*, 7761, 785*, 840. 9021 
Pension System, 243 
Treatment of Car Lumber, 271 
Chicago Great Western: 
Annual Report, 1027 
Fares Reduced. 446 
Chicago function: Acquisition by New York Cen- 
tral. 866. 1244 
Chicago, Milwaukee & St. Paul: 
Annual Report, 1127, 1148 
Application to Acquire C. M. & G., 136 
Clerks' Case Before Labor Board, S22 
Contracts with Japanese Steamship Lines, 

Refuse to Cancel. 205 
Education in the Car Department. 223 
Effects of Electric Power Used for Traction, 

Electrical Operation. S33. 1052} 
Officers Fined — Appeal Dismissed, 442 
Chicago, Milwaukee & Gary: 

St. Paul Wants to Acquire. 136 
Chicago Pneumatic Tool Company: 

Dual Flow Air Compressor, 485* 
Little Giant Drill Mi tors. 1401 
Chicago Railway Equipment Company: Annual 

~ Report, 760 
Chicago, Rock Island & Pacific: 
Anniversary FVogram, 174S 
Collision near Plains, Kan.. 13191, 1332 
Havden's, Charles, Letter to Stockholders, 

Regan Train Control, Demonstration of, 442 
Scrap Dock at Silvis, 111.. 1665* 
Thrift Month, 242 
Chicago, St. Paul. Minneapolis & Omaha: Annual 

"Report, 1244 
Chicago Traffic Club: Officers Elected, 937 
Chicago Union Station Company: Foundation 

Tests. 554+. 561* 
Chicaao Union Station Plans. 323*, 513* 
Chief Clerks' Position. 462}. S61} 
Chihuahua & Orient, Construction of, 299 

Electrification, 216*. =<27\ 990, 1005* 

Line to Argentina Authorized, 799 

Locomotives, Electric Freight. 1005* 

Locomotives, Electric Passenger, 527* 

Railroad Notes. 847 

Railroad Problem and Its Solution, 216* 

Railway Situatii n. 114 

Visitors to Mechanical Conventicn, 1556 


January 1-June 30. 1922 

[Illustrated articles are indicated thus*; Editorials thusf; Letters to Editor thust] 


Clark, F. H., on Railways. 1S51 

Dutch Secure Bridge I" ntracts, 499 



ShaniunK Railway, 1 
Chinese Eastern. . to Hold. 249 

Chronological Re. 
Church - . irchl 

Cincinnati. Labor Leaders Meet at, 1320t, 1338, 

Cincinnati Southern Bridge. I209t, 12 
Cincinnati. Lawrrnceburg & Aurora: C. ntainer 

. 475" 
Cinder-Separating Induced Draft Fan, 
Civil Engineers as Railway Executives 
Claims I See also American Railway Association — 
Freight Claim Division): 

Cutting Loss and Damage in Half. 35" 

Live Stock Claim Prevention. 
nd Damage and Rebatr 

f. Thirty Da 
arce. lime for Filing. 498 
1 1034 (Year 1921) 

lion, Settlements i f, 421 
Settlements by Agents! N. Y.. N. II. S: H.. 

Clark Equipment Company: Ode on Transporta- 

i'nze for. 840 
Clark. F. II.. on Chinese Railways. 1SS1 
Clark Gasoline Power-Lift Truck. 1568 

Wireless Control. 973 
osolidations, Th, 
M - 

Reclamation. 1' 

\. R. E. A. on, 

Clerk ' St 

Cleveland. Cincinnati, Chicago 


Reopened undi t 

1 Low Water Alarm. 

died Railway, 
Anthracite Shi 147, 756. 938 




Common Sense in French Passenger Scrvi 
Communication Situation. Tho. 
Compensation (See Em: 

\:1 Steel Car. 1432? 
Galena Air Brake. 1402 
. Dual 1 

i omposil 


ofed; P. & R.. 

Belding: P. M.. 664* 

Rail, 237, 293 
Conditions Are Host Favorable, The. 212* 
Conferences. Hoover Labor, 196, 232. 243, 257t, 
nee in the Future. 1157' 

.See also Senate: also H ius I: 
Railt . 1356 

Report of Joint Com) ricultural 

Inquiry, 967, lOOOt, Ml?. 1112, 134 

Hill. 551. 8S7t, 902t, 1034, 
St:,i.s' Rights ii,;;. 
Connections. Barco. 107<i" 
Connector. American, II *t. 1398 

i Brack< 
Connector, Futrell Train Line. 1536* 
Connector. R 

tional Railw 
Conservatic mmittee on. 595t 

Freight Handling Company: Con- 
tract with Frie. 547 
Consolidated Machine Ttol Corporation, 1560 
Consolidated Pui Short Lines'. 


-'5. 1141. 

Freight Terminals. 477. 862*. 

nd Build- 
ind Terminals): 

':it; B. 
S I.. F 
Cost i I Work. Saving it . 

Revival, 242 
. -. . 1113" 
Light Trati I27"t 

Mexico. _' 

• 1921. 149* 
•ranee lot 


Detroit. 1711T. 

ocram Ne< Ii 

nstruction, 213t 

at New 
Y. rk 
Container Svstem: Cinn ra, 475* 

( ontraet for v arded to 

I9t, «79 

I ontraet r 1 mte for, 

ma Harbor Belt. 
1111. US8t 

i "16t 

nes, Rail- 

I ontinutd): 
Ulinou rating Costs in Missis- 

sippi, 1082 
Knowledge of. 14051 

Locomotive Operating Results Snow Sav- 
ings by Rebuilt Pbv 
Locomotive Operatii n, 
Loccmotive Repair Contracts. 858t, 867 
Mater r, 45" 

lent, 467, 524 
Repaii Wales and the United 

Pole Posts. 951 1 

Public and Private Operation. 330 
Railroad and Contract Shi ; 

ish for Water Treatment, 412* 
■ . 525" 
Terminals, Renewal of 

Train Cost and Maintenance Expenditures, 

140St, 14"'' 
Travel in Europe. 1215 
Treating Ties Charged to Maintenance, 416> 

Unified Terminals at Chicago, 1181* 

Unit Cost of Train Operati ■ 
Cost of I Reduce. 214t 

Cost of 1 .413 

Coupler, Swivel Butt. 1395" 
Coupler, Universal Car 

Coupling Devices. 1429 

Court Decision on Pennsylvania < ontroversy with 

11 24 
Court News (Si 

Covington Machine Companv: Hose Dismantling 

and Assembling Machine. 
Craft Incorporated: Lightweight M. tor Car. 920* 
Crane. Elwell-Parker Truck with 
Cranes. I.' comotive; Lchich Valley, 365* 
Crank Planer. N 
Creosote (See Ties and Timber) 

Ci ntinuous Ra 


464 1 
law- -. 1206t 

Maintenance of. Recti 8121 

Cummii - nuns) 

Cupola. Why (hi 

Cup Vending Machine, 

dishing. George 11.. Urcis Reduced i 

i is. 467 

Cylinder, Dual How S 


\l K ,\ T . 


Ibinn on, 

'. 414* 

January 1-June 30, 1922 

Detroit Exhaust Noxzlc I over, 1621" 

Detroit, Pennsylvania's Entrance Into, 171 It, 

Detroit, Toledo .V [ronton: Revenues and Ex- 
it. November, 167t; December, 
March, 1047} 
Development Association (See American Rail- 
way ) 
Developments During the Year, "' 

>, Trying New Mechanical, 1-Ult. 1685}- 
Dictator, Word of Suggestion to the, 51 1 1 
Die Head, Williams Receding, 1569 

Motoi I ars, 1183*, 1431} 
Diesel Engine Locomotives, 50 
DitTcrent Kinds of Block Systems, 1712} 
Differential Between Clerical Positions, 307} 
. | ,i Fan s, New York-Chicago, 159 
I i ink S., Death of. 452* 
Direct Drive foi ' ar Lighting Generators, 1432}, 

1450*, 1540" 
Director General Davis: 

Aftermath of Federal Control, The, 1169 
Equipment Trust Agreement, Modification 

of, 348 
Railroad Administration Liquidation, 427 
Directors. Interlocking. 1. C. C. Rulings on, 157, 

196, 243. 291, 347, 755, 840, 1033 
Disarming Critics by Frankness, 857t, 889 
Disc Boiler Check Valve, 1616* 
Dispatchers (See Train Dispatchers) 
Distribution, Cutting Down Cost of, 724 j 
Distributor Tube. Stoker, 1617* 
Dividend Changes in 1921. 133 
Dispatching (See Train Dispatching) 
Division Accounting; X. Y. X. H. & II.. 341*, 

435* . . 

Division V (See American Railway Association) 
Division Superintendent's Interest in Fuel Con- 
servation, A., 1236 
Dixie Cup Vending Machine, 1402* 
Doak, William N.: Relation of Employees and 

Employers, 266 
Door Controller. Sliding. 1462 
Door Fastener, Car. 1014* 
Door, Shoemaker Radial Fire, 1620* 
Door, Trap, Spring Testing Device, 1710 
Doors. Standardizing Grain, 166} 
Drop Pits, Enginehouse, 1684t 
Double Automatic Control Vapor System, 1541 
Double Sectional Arch, 1565* 
Double Track and the Standard Code, 459t 
Down, S. G., on South America, 1552 
Dov ns, L. A., President A. R. E. A., 707t 
Draft Attachments, Farlow, 1536* 
Draft Gear: 

Farlow Attachments. 1536* 
Hall Friction, 1128* 
Lug, Drop Forged, 1618* 
Maintenance of, 1372f 
Sessions-Standard. 1537* 
Drainage, Large Expenditures for, 1009 
Drill Motors, Little Giant, 1401 
Dulls, "Pigmy" Type, 1622 
Drive (See Direct Drive) 
Driving Box, Lateral Motion, 1710* 
Driving Box Spreader, 1709* 
Drop Forged Draft Gear Lug, 1618* 
Dual Flow Air Compressor, 485* 
Duncan C. S.: Testimony Before Senate Com- 
mittee, 1067, 1117 

A'ddress' Before Accounting Officers, 1743 
Ananias Class, Enlarging the, 1208f 
European Railway Service, 12051. 1211 
International Railway Congress, 110(1,, 

1105*, 1156t, H63* 
Motor and Waterway Transport, 1266|, 

Testimony Before I. C. C, 229 
Durant Automobiles, Shipments of, 339 , /4S 
Dust Guards. Bullseye, 1459 
Dutch State Railways: 

I. motive, Adhesion Rack. 263* 

Dynamometer Car, L se of, 358} 
Dynamometer Tests With and Without Feed 
\\ ati i Heaters, 1236* 


Earning a Fair Return (Se; Rate of Return) 
I i ning Power, Interest of Employees in, 236 
Earnings (See Revenues and Expenses) 
•East Brookfield on the Map," 558} 
Eastern Managers Meet, 395 
Economical Freight Tram Speed, 312? 
Economics of Railway Labor, Report on. 642 
"Economic Impossibility," Strike for an, 1713T 

Fcoiioniics of Kail\va\ Location. ONX 
Economics of Railway Operation, 709 
Economics of Railway Signaling, Report on, 

623t. 646, 1733 
Economics of Tie Renewals, 270 . 

Economies from Better Locomotive Maintenance, 

1047t „ ,„., 

Economies in the Stationery Store, 1701 

Kconomv, Fuel I See Fuel I 

Economy of Modern Work Equipment, 1463, 

Economy Possibilities, Every Day, 902} 

Economy in Painting, 212} 

F.ilg. 'water Steel Company: Rolled Wheels, 5/1 

Edison "HW" Cell, 1460* 

Edna Water Column, 1617* 


College Men for Railroad Work, 411t. 511}, 

985, 15781, 1629t, 1685t 
Employees of Stores Department. 1/03 


Education (( ontinued): 
Fuel Economy, 1287 
Juneau, C. O., on. 223, 512}, 1270} 
Locomotive Appliances, Usi of, 953} 
Motor Truck Composition, 1269} 
Rea, Samuel, on Value of, 985 
Transportation Institute Proposed, 1346 
Edwards. ( '. M-, Company: 
Sliding Door Controller, I 
Trap Door Spring Testing Device, 1710 
Effects of Electric Power L se.l for Traction, 

727*, 1052} 
Efficiency (See also Operating Efficiency): 

Government and Private Operation, 409} 
Stoker Fired Locomotives, 1686} 
Egypt: Railroad Notes. 1193 
Eight-Hour Day and Trainmen. 461} 
Electric Controllers, Protector for, 703 
Electric Headlights (See Headlights) 
Electric Heater, Berwick, 1398* 
Electric Hoist, Standard. 1566* 
Electric Locomotive (See Locomotive) 
Electric Melting Pot, 1569 
Electric Storage Battery Company- 
Miniature Track Circuits, 664* 
Sediment Measures, 1566 
Electric Switching Service; N. Y. N. H. & H., 

Electric Traction for Steam Railroads, 335 
Electric Truck (See Trucks) 
Electric Welding (See Welding) 
Electrical Departments, 1543}, 1575} 
Electrical Developments for the Year 1921, 61* 
Electrical Engineers. Meeting of, 1609* 
Electrical Men and Automatic Train Control, 

Electrical Standardization in England, 590 
Electrical Testing, Report on. 623}, 647* 
Electricity. Report of A. R. E. A. on, 696* 
Brazil, 204 

Catenary Hanger. 1617 

Chicago, Milwaukee & St. Faul, 833, 1052} 
Chile. 216*. 527* (Passenger Locomotives), 

990, 1005* (Freight Locomotives) 
Czechoslovakia, 499 
Europe, Programs in, 61* 
Europe, W. J. Tollerton on, 1404}, 1410 
French Railways, 82, 1307 
Future Locomotive, The, 1004}, 1053} 
Gibbs, George, Report of, 335 
Greek Railways, 2<>s 
Holland, 1086 
Hoover, Herbert, on, 242 
Hungary, 847 
Inductive Interference and Electrolysis, 727 , 

Italian Railways, 87, 449, 1105 
Japanese Railways, 103* 
London, Brighton & South Coast. 449 
N. Y., N. H. it H. Equipment, 1477* 
No, way, 1307 
Philippines. 204 
President Harding on, 276 
Serbia. 298 

South Africa, 398. 1143 
Swiss Railways. S9 

Toronto Electrification Disapproved, 286 
Electrolysis and Inductive Interference. 727*, 

Elliott, Howard: 

Chamber of Commerces Report Opposed, 

Railroad Situation. 266 
Elvin Mechanical Stoker Company: Suit of Lo- 
comotive Stoker Company Against, 1351 
Elwell-Parker Electric Company: 

Trailer. Wheeled Platform, 1401* 
Trucks, 980", 1182* 
Emery, E.: Brake Shoe Key. 1540* 
Employee (See also Labor; also Railroad Labor 
Besler. W. G„ and the C. of X. J.. 879* 
Bringing the Best Out. 510} 
Canadian Pacific Memorial. 9S4, 1249* 
Cash Prizes for Suggestions. 446, 506}, 540 
Clerk, the Chief. 462}, Soil 
i lerks. New Rules for, 174, 277, 292, 308} 
i leiks, Wage Reductions for, 1504, 1719 
i o "i" ration, 360t 
Education (See Education) 
Election on the Pennsylvania, 1302 
Engineer's Name on Cab; St. L. S. F., 807} 
Engineman Saves Child; Erie. 1264 
Enginemen Sent to Fuel Convention; S. P., 

Fined for Theft; X. Y. C, 394 
Flagman's Pride in Road: D. L. & W., 1159} 
Foremen, Developing. 459} 
Foremen, Loyal, Laying Off, 407} 
Foremen, Selecting and Training of, 1371 1. 
1403}, 1433}, 1544}, 1576}, 162/}, 1684} 
Full Crew Law, Campaign Against. 291. 
39, 442, 585, 796, S40, 1133 (Maryland 
and New Jersey) 
Grand Trunk Rally at Stratford, 1302 
Imprisonment for Responsibility for Col- 
lision Near Woodmont; P. & R., 840, 1351 
Imprisonment, Life, for Bridge Burning; 

A. B. & A., 1747 
Insurance, Free Life; D. & H., 1S2 
Insurance. Group. 1061 
Insurance; Lehigh Valley. 883 
Interest in Railroad Earning Power, 236 
Knocking. Cut Out the, 413} 

ad Labor 

Letter, 11. L Hungerford's; - 

ngtneer Tells How 

1 .' I Ipi : 861}, 1104}, 1161}, 

Number and I ;i ember, 

242; October, 44_ ; De- 

cember and Year 1921, 888; January, 
1033; March, 1465t 1497 
Number and Compensation in 1920 and 

1921, 122 
I Ivertime, Reducing, 1205}, 1713} 
Pennsylvania Reviewing Committees, 936 
Pennsylvania System Athletic Exhibition, 

984 ' 
Pension System; C. B. & Q., 243 
Pension,- I entral of Georgia, 1248 
Pullman Porters' Chorus, 1033 
Secretaries, The, 557t 

Selling the Railroads to the Public, 1162} 
Service Letter Laws Upheld, 1751 
Sleeping in Cabooses, 1099} 
Solicitation of Business; A. T. & S. Fe, 751 
Stock, Helping Employees Buy, 307}, 348 

Coal Miners (See Coal Strike) 841 

Germany, 351, 399 

Threatened Strike, 1320}. 1476, 1713}, 

Western Maryland. 84] 
Thefts; New York Central, 394, 796 
Ticket Clerks. Advice to. 400 
Training Men for Promotion, 507} 
Veterans' Association. New England, 812} 
Veterans, Xew York Central, 244 
Veterans' Reunion; Southern Pacific, 1248 

Ability to Pay, 460} 

British Railways, 78 

Comparisons Between 1916 and 1921, 1208} 

Cost of Living. Reduce the, 214} 

Cost of Living. Wages and Rates, 358}, 

Differential Between Clerical Positions, 

Eight-Hour Day, The. 461} 
English Railways. 78, 249 
French Ra.lways, 83 , 

Joint Commission of Agricultural In- 
quiry, Reports on, 1112 
M of W. Employees Before Labor Board, 

921, 1268}, 1279. 1320}, 1476 
New Rules for Clerks, 174, 277, 292, 333 
New Rules for Shopmen, 174. 243 
New Rules for Signalmen, 438 
Purchasing Power of, 1720, 1723 
Reductions for Clerks; C. B. & Q., 740 
Reductions in Great Britain, 249, 399 
Reductions Ordered (See Railroad Labor 

Senator La Follette on, 422 
Short Lines' Disputes, 174 
Statistics for 1916 and 1921, 120Sf 
Statistics for 1920 and 1921, 122, 888, 1140 
Statistics, Monthly. 122. 242. 442. 755 
(December and Year 1921). 888. 1033, 
1140, 1465}, 1497 (March) 
Train Service Employees. 258}. 293. 461} 
Winburn, W. A., Circular of, 1049} 
Women's Aid; Pennsylvania, 919*. 174S 
End Valve, Packless, 1399* 
Engine (See also Locomotive): 

Buda Unit Power Plant, 703* 
Diesel, for Motor Cars, 1431} 
Engine Lathe, American, 1567 
Engine Lathe, The Neglected, 766} 
Engineer Can Play a Part. The, 902} 
Engineer. Civil, in Railroad Service, 1209} 
Engineer or Railroad Man? 624} 
Engineering Standardization, Progress in, 347, 

Engineer's Knowledge of Accounting, 1711} 
Engineer's Name on Cab; St. L. S. F., 807} 
Enginehouse (See Engine Terminal) 
Engine Terminal: 

Central of Georgia at C olumbus. 463* 
Chesapeake & Ohio at Clifton Forge, 955* 
Developments During 1921, 63* 
Drop Pits, 1684} 
Lighting Facilities, 212} 
Locomotive Inspection at, 16S4, 
Machine Tools for, 1544t 
Report of A. R. E. A. on, 678* 
Work Specialized, 1576} 
England (See Great Britain) 
English the Railway Language, 1136} 
Enlarging the Ananias Class, 1208} 
Entering Another Year of Struggle, 4}^ 
Equate Costs to Service Rendered, 16S3i 
Equipment (See also Car; also Locomotive): 

Bad Order Condition at End of Federal 

Control, 329 nnni 

Cars and Trackage Needed, 999} 
Conditions Show Dangerous Tendency, ?■' 
India to Order Annually, 398 
Needs of Railways, 379 
Orders in 1922. 163}. 211}, 357}, 506}, 
857}, 905}, 1048}. 1267} (Firsl 
Months) „„ ,,,. 

Orders in 1921. 124*. 127*. 131* 
Repair Facilities. V. Z. Caracristi on, 745 
Russia's Railways, 92 
Single Phase. N. Y. X II. & II . 1477* 
Work Equipment. Modern, 1463} 
Equipment Trust Agreement, Modification ot. 


January 1-June 30, 1922 


>t Maintenance of Track 


1 -11111111166, 


m, un* 

'. 1471* 
Dunn. S. O., on Pas . 1205t, 


■-. 1410 

Railway Situation in Norway, Sweden, Spain 

an>l Belfriurj 
Sleeping Car Service. 114.1. 1205t, 1211 
Toiler!..!!. \V. 1.. on Trip. 1378 

. 911' 
Exampli 8121 

rery of, 334, 796, 

! Britain. 
Executives (See also V Railway 


luntary Rate Reduction, 

Exhaust ' Detroit, 1621" 

Exhiln! tions): 

Permanent Exhibit in Chicago. A.. 1159*. 
Railway Supply Manufacturers. 724-7, 1371t, 
■-. 1406, 
T7t. 1608, 1630 
Expen-1 ■ 

Northern Pacific in Montana, 1035 

I'mon Pacific's Proposed, 929 

[ . .-: !;. 

: 466t, 1473 

and Expenses) 
!:-ireau Improves Service 


ng, 663* 

Treated Cross 

-. 1042 

ides are indicated th i/« thusf; Letters to Editor thus%] 

: ■ 

Firemen and (Mlcr*. Working Conditions for, 

Burlingt-m Building at Chicago, 668t, 669*, 

Extinguisher, Hand Fire, 

-.ranee. 1748 

J., 981 
P. R R 

First Polis I 

ii.-ight Traffic Growth Is Lost, 

k, 1710 
Flexible Metallic Conn 

II, sway \'- 

I, 134 
Force 1 - 1 Lubricator, I 

I -t.I. Hei ry: Oi D. T 8 

November, 1921, 167t; December, 
Foreign J. 'lis t'nr American Railway Men. 807f 
-tintriesl : 
American Aid for, 
Foreign Trailer 

Bids f..r Argentim I 
Commerce Bureau I 
-. 115* 

1102t {Railway 

■. .1 I 
K\|> ill \ 

ccn-.l . - . 1251; March. 

1.107. 130s 
United Kingdom as a Market for American 
Ties. ■ 
Foremen (See Enipl.-- 

Forged Reversible Brake Beam Strut. 1542* 
Forged St,,-1 ( , upler 'i oke, 
Forging Machines Value, 1 432 1 

117, 5111 

rrucks and the Railways, 

Fort Smith & Western: Cash Prizes t 

Foundation Invest 

Four-Wheel Drive R.ul Car; New 'Means & 

1 749" 

Frame (Sec Side Frame) 

Authorized I 
. Railway Regulatory, 1039 


Railwaj Situation, High Lights ii 

, 398 
Franklin Railwaj Supply Company: 


I 5 T 1 ' 

Unil 1710 



Trend of. 12<S 
Freight Transportation de Lu: 
Freight Transportation in New England, 468 
French R; 

Friction. i' Bearings, 

Machine for Determining. 14 
Fritch, E. II.: I ■ iia, 656 

Fntts. J. i n< r, 1014* 

Front-Ends, Crates and Ashpans 
Frozen Signals I 
Fruit (,: 

Fuel As- 
sociate ■ 

Maintei Department's Relation 

to Fu I 

Saving Campaign; I 
Fuel ( nt Committee. 1703 

Full-right, K. C: 
Full Crew Law (Sec Emplos 
Full Day's Work for a Day's Pay, 411J 
Fundamental Considerations in Locomotive Op- 

eratioi . 
Futrell Train Line Connector, 
Future. Confidence in the. 11571 
Future of Auto:! 

Future of Steam Locomotiv-. 1004*., 1053*. 

Wheels. 1539' 

- ia, Unifying. 107*. 450, 1037 
Gages, Master Pressun ind Masti r Pilot, 1401 

I-'., Trihuta ti 
Galena A pound, 1402 

Gas Engin: Driven El .430* 

Gasoline I 

Distribution and Accounting for, 1600 
Truck. Clark. 
Gas Regulator. Mill-urn, 1427" 

(■ear. Sil 

General Committee (Se* American Railway As- 

(ieneral Electric Con; 

Annual Report. 1042 

Automatic Substations; Greg, n Electric Rv., 

Welding ! I 

-ling the 

Annual RepO 

General Rate I in 

'-ive for, 
14321, 1450*, 
Germany : 

Danxtg Rail-.- Be In- 

ternationalized, U''4 
- -\ . . L'na-fli iv 

motives, 1205f 

Railways ' '; 


.Give •' Public, 510t 


I Vvice*. 

Gould Coupli 

Conn. v Inter- 

Januar-, l-Juni 


Government Ownership (.Continued): 

lian Railways, I). I:. Hanna on, 1065 
a idi i Railwa [. 1.. Payi 
Canadian Railways, \\ . I. [ackman on. 5SSt, 
567*, 735" 

Ped< ral Rail* lys R I 

9, 5-15 
Government Payments Posptponsd to i 
1001 - 
ienl Railroads in Alaska, 813" 
Grade Crossing (Sire Crossings; also Highway 
paration in 'I i 

ii Work; N. V. C. & St. L., 

m Mexico's Railways Reported, 300 

, Standardizing, I66+. 

Grand I Irder of Supervisors, 393 
Grand Trunk Ralh at Stratford, 1302 

CralLS, HuIm.ii; Wabash, 975* 

8 pi rt of 1. R F A. on, 1238 
R . on i i mi.. I Pai ii...-, 1496 
Maximum Service Planer, 1568 
lei i.l. .ii on L. .V N. W\, 45ii 
Acworth, Sir William M., on a Fair Return 
for the Railroads, 259t, 261, 558$, Silt, 
Automatic Stop on Great Central. 5-15* 
Bill Allowing Railways to Engage in High- 
ways 1 . anspoi is, 89 
Combines of Supply Manufacturers. 1251, 

Consolidation of Railroads, 1087 
Council System; L. & N. \V„ 1143 
Electrical Standardization Committee, 590 
Electrification of Brighton Railway, 449 
English Railways During 1921, 76* 
Excursion and Tourist Services, 163f, 204, 

Frozen Signals Cause Collision, 1086 
Institute of Transport, Meeting of, 1266+, 

Learning Railroading Abroad, 211+ 
Light Signals, Report on, 450 
Locomotive Coaling Plant, L. & N. W., 544* 
Motor Truck Competition, 79, 799, 891 
Owners of Interoceanic Railway of Mexico, 

Passenger Cars, Traveling in, 9081: 
Railroad Notes, 240, 298, 590, 757, 1037, 

1038, 1751 
Railway Car Builders Strike, 800 
Rates and Wages. 78 
Rates, Reductions in. 250, 449, 1307 
"Reductions by Installments," 407+ 
Regan Train Control Demonstration, 195 
Reorganization of the L. & N. W. and the 

L. & Y., 204. 250. 298, 351 
Shippers' Questionnaire on Effect of Rates 

on Traffic, 451 
South African Electrification Contract, 398 
Thornton, Sir Henry on Railways, 590 
Ties, Market for American, 1039 
Train Speeds, 1752 
Turbo-Electric Locomotive; L. & N. W., 

Vacuum Brake Tests; G. N., S10+, 823* 
Wage Reductions, 249, 399 
Waterloo Station Completed, 941* 
Great Central, England; Automatic Stop, 545* 
Great Eastern Railway of England: 

Regan Train Control Demonstration, 195 
Russell, F. V., Suggests Interchange of 
Railway Operating Men, 211f 
Great Northern: 

Contracts with Japanese Steamship Lines, 

Refuse to Cancel, 203 
Dividends on Semi-Annual Basis, 766+ 
Great Northern of England: 

Vacuum Brake Tests, 810f, 823* 
Great Reduction of Railway Expenses, 1465+ 
Greatest Traffic Slump in History, 3+, 123 
Greece: Electrification, 298 
Grinding, Car Wheel, 1156f 
Grocers Versus Railroads, 459f 
Group Insurance, 1061 
Guaranty Accounts, Payment of, 40, 42 
Guaranty Payments Delayed Till 1923, 987, 

Guernsey, Charles: Gasoline Propelled Rail- 
way Coaches, 1008 
Gunite-Constructed Tank, An Old, 666* 
Gwathmey, Frank: Rate Testimony, 574 


Hacksaw. Racine Junior Power, 1569 

Hackneyed Word. Force to a, 1321 f 

Hagerty, A. G., Before Senate Committee, 1118 

Hall Color-Light Signal, 186* 

Hall. IT. Cm Before Senate Committee, 183 

Hall Multiplate Friction Draft Gear, 1128* 

Hanauer, J. J., on Rate of Return, 231 

Hand Brake' Attachment. Universal. 1461* 

Hand Brake, Blackall Ratchet, 1396* 

Hand Brake. Peacock Geared, 1425* 

Hand Brake Safety Attachment, 1459* 

Hand Fire Extinguisher, 1622* 

Hand Labor, Eliminating, 1009 

Handling Freight (See Freight) 

Hanger, Catenary, 1617 

Hanna Locomotive Stoker, 429* 

Harding (See President Harding') 

Hardwood Lumber Association. 1747 

Hardwood Lumber Rates Unreasonable, 2S3, 317 

II ■ l: 

Hayden, I harles: Letter to Rock Island Stock- 
hi Idi ; f, 367 

R i 245 
Hays, Tosep w 5po P i riant Fuel 

Heads is, , Rail) 

ti ..Hi. I... I. n ivi ,1572*, 1573* 

Headlight Turbine I',,. 
Headlights and I ab u 
Headlights on Signals, Effect of, 600 

. Berwick Two-Path, I 
Heating: \ apOl ^> stem, 1541* 
Heat Treated Steel, Use of, 1686t 
Heat Treating Equipment Needed, 1628+ 
Heavy Duly Crank Planer, 

Hecker, A. S., Company: Awarded Contract for 

.Maintenance of Track; En. . II 
Hendlev Machines. 1507 
Hsndrick, C. W„ Before I. C. C, 9 17 
Higgins, .1. W., Before Labor Board, 563, 565, 

819, 9 
High Lights in French Railway Situation, 81* 
High Pressure Gas Regulator. 1427* 
High Speed of British Trains, 1752 
High Speed Tools, Possibilities of, 1205+ 
Highway and Motor Transport, 1266t, 1271 

California Newspapers on Pounding of, 

M.i tor Truck Service Colorado P. U. Com- 
mission's Decision on, 860+ 
Special Motor Truck Highways, 246 
Highway Crossings (See also Crossings): 

Laws, 1047f, 1082 (Virginia), 1192, 1206+ 

(Tennessee), 1266t, 1747 
Protection, Report on, 595t, 604* 
Signals, Standard, 949+, 1206t, 1345, 1479 
"Stop" Versus "Danger" Sign, 1269$ 
Substitute, 667t, 004 
Highway Signals, Standard, 1345 
Hines, Walker D.: 

Federal Control Period Reviewed, 287 
Testimony Before I. C. C, 321. 467 
Hoch Bill to Amend Transportation Act, 1192, 

1249, 1336, 1464f, 1470, 1504 
Hocking Valley: Annual Report, 1759, 1736 
Hoist, Standard Electric, 1566* 

Chinese Bridge Contracts, 499 
Electrification, 1086 
Homeseekers' Rates Restored. 555t, 587 
Hoodless Journal Box Lid, 1397* 
Hooper. Ben W. : Address Before Nat. Civic 

Federation, 318 
Hoover. Herbert: 

Conference Between Labor Leaders and 
Railway Executives, 196, 232, 243, 257+, 
Electrification, 242 

Lumber Conference, 1156+, 1303, 1712t 
Testimony Before I. C. C. 357+, 379, 383, 

Trade Associations, 443 
Hope for Normal Railroading in Central Eu- 
rope, 1471* 
Hopeful Signs, Some of the, 7 
Hose Connectors, American, 361+, 375* 
Hose Coupler, Universal, 440* 
Hose Dismantling and Assembling Machine, 1569 
Hotel Facilities for A. R. E. A. Convention, 

667+. 707+ 
Hotel on Wheels; Illinois Central, 929 
House Committee on Appropriations: Uses of 

Federal Valuation, 337 
House Committee on Interstate and Foreign 
Hearings on Amendments to Transportation 
Act, 516, 1192, 1249, 1336, 1464+, 1470, 
Mileage Book Legistlation, 818, 889, 1336 
Howell Motor Bearing. 1571 
How to Better Railroad Conditions, 6 
How to Successfully Avoid Progress, 1431+, 

Hulson Grates, Service of Wabash, 975* 
Human Side of Railroading, The, 407 + 
Hungary : 

Electrification and New Equipment, 847 
Hope for Normal Railroading, 1471* 
Advice to Ticket Clerks, 490 
Hungerford. H. L. : 

Letter to Cashiers and Clerks, 1034 
Hunt, Henry T., Before Senate Committee, 290 
Hunt, Robert W. & Co.: Rail Failure, A., 

Huntington. President G. R., 1241* 
Huther Saw Blade, 1569 
"II \Y" Cell, Edison. 146(1* 

Hyatt, L. V.: Distribution and Accounting for 
Gasoline, 1600 


Icing Facilities; S. P. and U. P.. 533* 

I-D Service Metal Wheel Gage, 1539* 

Illinois Central: 

Annual Report. 1075*. 1093 
Hotel on Wheels Planned, 929 
Operating Costs in Mississippi, lnsj 
Safety Record Advertised, sss 
State Rate Control Discussed, 395 
Suit Against City of Chicago, 887 

Illinois Manufacturers' Association: Capper Bill 
and Railway Wages. 396 

Imperial Railway Association, Japanese, 104* 

1 1 
Improved Service and Morale 1 

Improvemi - Locomotive: also Con- 

struction, Ni 
Improvements in the Railroad £ 

Accounting, 1711f 
1.1 Reduce O 
Incentives f,,r Fuel F. 
Income, Excess, Rules for Recovery of, 334, 

Increa ._■ t., April 1. 950f 

Increase in Total Tractive Powei and Car Capac- 
ity. 5U7 + 
Increasing Track Capacity — Signaling Single 

Tracks, 1099+ 
Independent Pneumati. I....1 1 ompany: 
Drills, "Pigmy" Typ 
Thor Air Separatoi . 
Thor Rivet Buster, 1568 

Equipment, Annual Bid- for. 398 
Railroad Notes. 757. 1038, 1 I'M 
I'.nlv, 13 - Fai ■ .. Si rious Problem, 105* 
Indiana Harbor Belt: Labor Board's Decision on 

Contracting of Repairs. 1111. 11 58 + 
Indiana Highway Crossing Order, 1747 
Individual Drinking Cup Company, Inc., Dixie 

Cup Vendors, 14iu* 
Induction Motors, Self-starting, 748* 
Inductive Interference and Electrolysis, r_7* 

Industrial Machinery Division of Bureau of 

Foreign and Domestic Commerce, 115* 
Inland Waterway and Motor Transport, 1266+, 

Institution, National Transportation, 1346 
Institution of Civil Engineers: Vacuum Brake 

Tests; Great Northern. 8KI7, 823* 
Insurance (See also Employee): Pennsylvania 

Railroad's Fund, 1748 
Interchange Practice, A. R. A. Recommends 

New, 985 
Interchange Rules, Recommended Changes in, 

1437*, 1438 
Interchangeable Mileage Bills, 267, S18, S89, 

Interest of the Employees in Railroad Earning 



Interference, Inductive. 727*. 1052J 

Interior Treatment of Boiler Waters, 3 13+, 364t, 

412+.. 768+, 794, 907+. 
Interlocking Officers, I. C. C. Rulings on, 157, 
196, 243 (Pennsylvania), 291, 347, 755, 
840, 1033 
Interlocking (See Signaling) 
International & Great Northern: Operating 

Study, 1347 
International Association of Railroad Supervisors 

of Mechanics: New Rules, 524 
International Association Rotarv Clubs: 

Storey, W. B., on Railroad Growth, 928 
International Locomotive Association, 1082 
International Railway Association: 
Cab Signals in Europe, 926 
Congress, S. O. Dunn on. 1100+. 1105*, 

1156+, 1163* 
Delegates to Congress, 555+, 586, S87, 903t 
Electric Traction for Steam Railroads. 335 
Tollerton. W. J., on European Trip, 1378 
International Railway Fuel Association: 
Annual Meeting, 1233, 1285 
Southern Pacific Sends Enginemen, 936 
Interoceanic Railway of Mexico: British Owners 

Become, 299 
International Signal Company: Webb Automatic 

Train Stop Tested on the Erie, 175* 
Interpreting Train Control Specifications, 408+ 
Interstate Commerce Commission: 

Accident Bulletin No. 81). 242; Xo. 81, 936 
Accident Investigations, 1343, 1463+, 1483, 

Accidents Reports: 

C. R. I. 6k P. near Plains, 1319+, 1332 
Oregon-Washington R. R. iV Nav. Co. at 

Celilo, 1031* 
P. R. R. Locomotive. 442 
P. & R. at Woodmont, 168+, 173, 357f, 

490, 549 
Texas & Pacific at Camps, 357+, 374 
Accidents in 1921, 825, 903 + 
Appointments, Senate Delays Confirmation 

of, 188 
Appropriation, 291 

Automatic Train Control Hearing, 7o7+, 
783, 787. 837, 859+, 927, 971*, 1714+, 1739 
(Order Permanent) 
Bill of Lading Cases, 447 
Bureaus, Reports of, 194, 254 
Bureaus Stepping-Stones to Advancement, 

1711 + 
Coal Car Distribution, to Investigate, 174S 
Commissioner Esch on Mileage Bill, 268 

Potter on Rates and Wages, 


Consolidation Hearings, 792. 1025. 1141. 1731 
Consolidation with Labor Board, Urged. 392 
Contracts of Railroads with Japanese 

Steamship Lines, 203 
Co-operation with State Commissions. 1076 
Freight Commodity Statistics for 1921. S45 
Freight Traffic in 1921, 49S 
Harris Bill on Steel Cars Amended, 981 
Hoover, Herbert, on Railroad Situation, 

:. 379 
Kansas City. Mexico and Orient Asks In- 
creased Divisions, 889 


January 1-June 30. 1922 

[Illustrated articles arc indicated thus*; Editorials thusi; Letters to Editor thust] 

Interstate Commerce Commission (Continued): 

r, S5Sf, 

New England Ship| 


Open 1!4 : De- 

cember, ?3S; January. 842; Februa 


,-U. 44.1 

1 •'■'- , r- 

Return and Gov- 
ern m* 
Rate I 

419, 481, 535 ' Information 

Rate Investig 

' - 

:. W. H . 319 

, ] I 

- M 

Walter L., 481 

Hanaucr. ler 

Walker D., 3 

S3, 407f 


i Plan). 
I. 1067 

0. 576 

I Year 


Commerce Commission Rulings (Con- 


N .rk Central Authorized to Acquire 

. 1244 
Fare Case, 519, 556t. 

side Belt. 364t 
Potato Embargo at New York; Pennsylvania. 
1354, 150S 

Rate R .. 1221, 

»3 (S- ' >. Dunn onl. 

Records. Preservation 


Tare Case. 519, 556t, 
1 1 09 
Interstate Railroad Bel I ird, 279. 

Appliance Company, Inc.: 
Hand Brake Safety Attachment, I I 
Interview with S. M. Vauclain, An, 

I as, 1109 

Investigate Foui I 

Investigat >f U.nls. 1206t 

Irish Railway Strike. 450 
Irish Railways, Government Investigation of. 

R. E. A. Report 
on, 634* 
Iron Box Car Wrecked; V C. & St. I 


Electrification of Railways. 87, 449. nOs 
Railro 1751 

Repair of Rolling Stock. 299 
Review of Railway - 

lack P.ase. Trail 

i stern Illinois Ends 
rership, 181* 

Shantung Railway, The. 307* 

Steamship Lim Refuse to 

■ icts with, 203, 

Jewell. B. M 

.>rm Attacked, 809t. S21, 921 

: ! of Transi 

\ 1051 

Institution, 1346 



Labor (See also Railroad Labor Board; also 
Empl- «ued): 

■ ■( Living and Wages. -'14*. 
C. uncil System; I. Jc N W.. 114.1 

Kish. F. P., on, 344 

. Charles, on Conditions, 368 
r and Plumb Discuss Problems, 318 
Italy. Organizations ii 
Leaders Meet at Cincinnati, 1320t, 1338, 

Maintenance — Power Equipment, 1009 
Mine and B 

I Coalitil n, Attempted Forma' 

Tries for, 1435 

rmalcv. 31* 
i-.'s Ijhor Poll. 

Ijustment, W. G. Bierd 

Region: \ ijustment Formed, 34 

-.. 9Q2t 
Strike Threat! . 17131. 1719 

Territorial Conference Committees. 

Time to Play Fair 

Trainmen and the Eight-Hour Day. 46U 
Train Service Employees. Negotiations Be- 
tween K : . 4„1J 
Unions May Be Sued. 1351 

in 1916 an.l 1921, 1208* 
Warm's. Frank. L, Testimony Before 
"Lalxr" and the Ananias Class. 1208t 
Labor B Ir ad) 

R. II. Ford on, 1009 

Lackawanna Steel I ..mpanv Purchased by Bethle- 
hem Si n. 1196 

La Follette) 
Lake Erie .\ rcbase b» \'an Swer- 

Lake Mil 

Lamb, G. \\ . Rate Testim ny, 

Lamps, . anil lleadlmhts, I 

Lamps. Oil, Care of, 

- Train Light in( 
Land Development S. Fc. 

Lame M 

I assitet " ichine. 1568 

I-athc. Engine. The Si . 

Si -late Commit- 


•n and 
n Cluh. 1133 



■. 11.6 . 


January 1-June 30, 1922 


. R. [. 8 I'.. 357f, 367 
Libby, l. II., Before Labi 
Lid, loan 

Life insurance. Free: I). S It., 182 
Life Members, A, R. A. Mechanical Division, 

Life of Ties. Determining, 779* 
Light Gasoline Motor Cars. 1372t 
Light Traffic an Aid to Construction, 9 

. 408+ 
Direct Drive for Car Lighting Generators, 

1450'. 15411- 
Edison "II W" Cell. 1460' 
Fifteen-Cell Cat Lighting Batteries, 1406+ 
Headlights and Cab Wiring. I576t 
Headlights and Classification Lamps, 1575t, 

Locomotive Lighting Equipment, 1572*. 1573* 
Ruhher Batter? lars; A.. T. & S. Fe.. 554t, 

Measure fi r Batteries, 1566 

Shop and Enginehouse Facilities, 212+ 

I i mi Lighting Equipment, 171" 

Train. Report on, 1432t, 1450" 
Light Signal I S i Signaling) 
Lights at Highway Crossings. 362+ 
Lightweight Railway Motor Cai . 
Lima Locomotive Works: Annual Report, 760 
Lines Abandoned Dunne 1921, 147* 
Liquidation Problems of Railn ad A, [ministration, 

mt Drill Motors. 1401 
Live Stock Claim Prevention. 348 
Living (See Cost of) 

Ljungstrom, F. : Turhine Locomotive, 1295* 
I-oading, Cooper. 1463t 
Loading Rules, Report on. 1446* 
Loading, Unsystematic Freight. 1004*. 

Certified by the I. C. C, 41. 191 

Period for Filing Applications Expires, 534 
"Locating the Factory." 1319* 
I ock, i at Door, 1014* 
Locomotive : 

Adhesion and Rack, fcr Sumatra, 263* 

Alloy Steels for, 257t 

Appliances, Education in Use of, 953*. 

Auxiliary Devices, Air-Operated, 16S1 

Boiler Check Valve, 1616* 

Boiler Explosions, 322* 

I! ,ilei Plates, Large Size. 1620 

Boilers, Design and Maintenance of, 1687 

Boilers. Pitting and Corrosion in. 667t, 690 

Booster, 1571* 

Tvpe D. 1620 

Cab Ventilating Set, 1074* 

Checking Tonnage Ratine. 358t 

li ctions, Bare., Flexible Metallic, 1070* 
Report on, 1631 

Design. Modern Tendencies in, 909 

Development. Recent Tendencies 

Driving Box Spreader, 1709* 

W ... dward, 1710* 



Chilean Freight, 1005* 

Chilean Passenger. 527* 

Delano, Frederic v. on, 1004*. 1053*. 

Gibbs, George, Report of. 335 

Swedish Locomotives for France, 398 

Switching Service; X. Y.. X. II. & H., 773 
Exhaust Nozzle Cover, Detroit, 1621* 
Feedwater Connections Barco, 1070* 
let Heater Caille-Potonie. 263* 
Feedwater Heaters. Reports on. 1235 , 1639 
Firebox with Double Arch, 1565* 

Fire I Shoemaker Radial. 1620* 

Front-Ends, Grates and Ashpans, 1237 

Fuel Saving; Central of Georgia, 479 

Future 1 nennntive. 1004*. 1053* 

Grates. Unison; Wabash, 975* 

Headlight Turbine lacking, 1571* 

Headlights, 1572". 1573* 

Headlights and Classification Lamps. Report 

on, 1575t, 1581*, 1677 
Improvements, A Broad View of, 807 + 
Improvements, G. M. Basford on, 177 
, at Terminals. 1684t 
,i. Report of Bureau of. 331* 
Lighting Equipment, 1572* 
Lubrication of Journals. 487* 
Lubricator, Fori i Feed, 1619 
Maintenance, 1047f 

Mallet. Meter I lace. f. r Burma, 847 
\|, ( ,.„1 obsession. The 951 + 
Mountain Type; Manila Railroad. 38/* 
Mountain Type; Unicn Pacific. 1325* 
Oil Burning. Operating. 1187 
Operation, Fundamental Considerations in, 

Operation, Statistics of, 746 
Orders in 1921, 124* 
Orders in 1922, 905+. 1048+, 1267t (First 

Five Months) , . 

Ownership. Factors in Business of. 471 
Performance with Hanna Stoker; N. & W., 

Purdue University's Testing Locomotive, 797 
Rebuilt Type; A. C. & V.. 407t. 423* 
Repairs T C. C. Reports on Contracts for, 

858+. 867. 1716+ „ ., , ,.,. 

Santa Fe Tvpe: Manila Railroad, 387 
Southern Pacific. 2-10-2 Type for. 1553* 
Slnlcr. Street, 1710 „_ M 

Stoker Distributor Tube, 1617* 
Stoker Fired. Efficiency of, 1686+ 


Sl.ker Infringement Suit. >51 
Therm I 1625 

Tractive Power and Car I , 507 + 

Turbine, 50, 1295* (Swedish State Railways), 

Turbo Electric, in England, ''40 

Types from a Transportation Viewpoint, 976 


Water Alarm. Low. ii, is . 1621* 

Water Column, Edna. 1617" 

Watei Treatment, Wayside Tank. 1619 

Wheels, Ri lied Steel Trail, r, 571« 
1 ocomotivc Coalin:; Plant, English, 5 -44 * 
Locomotive Cranes on the Lehigh Valley, 365* 
Locomotive Engineer Tells How to Improve Op- 
eration. A. Nuli. 1HI4;. 1 161*:, 1323 + 
Locomotive Exports (See Foreign Trad* I 
Locomotive Facilities at Clifton Forge, Va., 955* 
Locomotive Operation (See Locomotive) 
Locomotive Stoker Company: 

Distributor Tube. 1617* 

Suit Against Elvin Company, 1351 
Locomotive Tank, Flanged. 1710 
Locomotive Works, First Polish, 990* 
London & North Western: 

Accident, 450 

Amalgamation with the L. & V.. 204, 250, 
298, 351 

Coaling Plant at Willesden. 544* 

Turbo-Electric Locomotive Being Tried. 940 

Council Svstem for Dealing with Labor Mat- 
ters. 1143 
London, Brighton & South Coast: Electrification, 

Ixng Island: 

Oiling of Roadbed, 1747 

Safety Record, Three-Year. 1265+ 

Ticket Frauds Prohibited bv Law, 988 
Loree. I.. F. : 

Free Life Insurance on D. & H., 182 

Lauck Charges Denied, 1726 

Rale Decision. I. C. C. 1278 
Loss and Damage (See Claims') 
Louisville & Nashville: Accident near Floman- 

ton, 1747 
Lovett, R. S., Before Senate Committee, 1339 
Lowest Bidder, The, 510+ 
Low Platform Electric Truck, 1182* 
Low Water Alarm, Cleveland, 1618* 
Low Water Alarm, Ohio, 1621* 

Force-Feed, 1619 

Galena Air Brake Compound, 1402 

Present Methods Faulty. 487* 

Type B Automatic Luhricator, 1619* 
Lug, Drop Forged Draft Gear. 1618* 
Luhrsen, T. G., Scores Hoover Conferences, 243 
Lumber ("See also Ties and Timber): 

Conference. 1156+. 1712+. 1303 

Prices for. 45 

Railroads and the Lumber Industry, 1576 1 

Treated Car; C, B. & Q.. 271 
Lumber Rates, Southern Hardwood, 283 


Machinery. Old. Limits Output, 307+ 

Machine Tool Market. 1559 

Machine Tool Be Operated Continuously, Must 

a, 1627+ 
Machine Tool Prices. 1100+ 
Machine Tools for Engine Terminals, 1544 + 
Machinery Hall Teaches a Lesson, 1577+ 
Machines (See also Shops; also names of ma- 
chines'): Specialized vs. Wide-Range, 999t 
Mack Rail Car: N. Y. X. H. & H., 315* 
Madison Kipp Corporation: Force-Feed Locomo- 
tive Lubricator, 1619 
Aerial Service in 1921. 195, 929 
Terminal at Chicago, 513* 
Maine Central: Annual Report, 777 
Maine Roads Not Included in Agricultural Rate 

Reduction, 295 
Maintenance Accounts, Charging the Cost of 

Treating Ties to, 416, 1003 + , 1160+ 
Maintenance of Equipment: 

Bad i lid. r Car Figures, 950t 
Boilers, Locomotive, 1687* 
Deferring Repairs a Costlv Policy, 215+ 
Friction Draft Gear. 1372 + 
Locomotive Maintenance, 1047+ 
Oil Burning Locomotives. 1187 
Train Cost, Relation to. 1405+. 1409 
Maintenance of Way (See also American Rail- 
way Engineering Association): 
Contract Awarded A. S. Hecker Company 

by Erie, !] i 
Crossings, Reciprocity in L r pkeep of, 459f, 

Crossings. Upkeep of, 459+ 
Labor-Saving Devices, 1009 
Nov. on the Upgrade, 53* 
Work Should Be Pushed, 1319+ 
Maintenance of Way Department to Fuel Con- 

servation. Relation of, 1285 
Maintenance of Way Employees' Wages Cut by 
Labor Board, 911, 1268+, 1279, 1320+. 
Maintenance. Signal Rules for, 601* 
Major Church on Motor Truck Highways, 246 
Making Good with the Employees and the Public, 

Making of the March Dai 

Management ility and Safety First, 

Manchester. Ga., Derailment near, 887 
Mandator] Accounting Pro- 

-.-. 58 
Manhattan Produce Yarl; Pennsylvania, 1248 
Manila Railroad: 

Electrification, 204 

lives, American 

M.m.o, , 

I if B 

Testimony Before Senate Committee, 290 
Manufacturers Urge Consolidation of Labor 

Board and I. C. C, 392 
Mapother, W. L.: Rate Testimony, 228 


Australian Railways. 108* 

i nil an Railroad Elect'- fication, 117' 
Japanese Railways, 102*. 103* 
Missouri & North Arkansas, 1341* 
National Railways of Mexico. 1056* 
March Dailies. Making of the. 657 
Manne Piling, San Francisco Bay, 272 
Marked Improvements in Railroad Situation, 

-M3 + 
Markham. C. II.: Tribute to Labor Board, 984 
Maryland Full Crew Law Repealed, 840. 1133 
Masonry, Report of A. R. E. A. on, 715* 
Massachusetts. Bill-Boards Regulated in, 1206+ 
Massey Concrete Products Corporation: 
Pipe, 706* 
Poles. 664* 
Master Boiler Makers' Association: Officers, 

Master Car Builders' Association (See Amer- 
ican Railway Association: Division V) 
Master Pressure and Master Pilot Gages, 1401 
Material Handling Equipment: 

Locomotive Cranes; Lehigh Valley, 365* 
Materials (See also American Railway Associa- 
tion: Division VI — Purchases and 
Stores) : 
Accounting and Mechanical Facilities, 1652* 
Classification of. 1575+, 1598 
Inventory, 1654 
Mavor Itader's Address, 1407 
Prices for, 43*, 1433+, 1435 
Reclamation of, 1628+, 1657*, 1683+, 1684+ 
Specifications and Tests for, 1576+, 1577+, 

1586, 1686+ 
Turnover of, 1628+ 

Unit Pilinir and Numerical Numbering Sys- 
tem, 1673 
McA.loo, W G.: 

Testimony Before Senate Committee. 327, 

371, 392, 409t, 443, 877 and 913 (Daniel 

Willard's Reply), 925 and 959 (Julius 

Kruttschnitt's Reply i 

M i onway X- Torley Company: Coupling 

Devices. 1429 
Meadville Machinery Company: Labor Board to 

Investigate Erie's Contract with, 751 
Means of Determining the Average Life of 

Tics. A, 779* 
Measure. Sediment, for Batteries, 1566 
Mechanical Department: 

Education in C M. X- St. P., 223 
Public Opinion. 1100+ 
Stores Department, Help the, 1576+ 
Mechanical Devices in Stores Accounting, 1652* 
Mechanical Dev'cis, Trying Out, 1431+. 1685+ 
Mechanical Division (See American Railway As- 
sociation — Division V") 
Mechanical Interlocking. Report on. 653* 
Meeting a Rerouting of Traffic. 1711 + 
Meetings with Trainmen: Compulsory Attend- 
on c 510+ 
Memorial. Canadian Pacific. 984. 1249* 
Mercury Tractor and Trailor, 1400* 
Mercury Tractors and Trailer Trucks in Chicago 

terminal: Pennsylvania. 225" 
Merger of Steel Companies. 1352 
Merrill I ompany: Plug Valves. 1565 
Metal Band Saw. Atkins. 1402 
Metropolitan Chapter of the New York Central 

Veterans' Association, 244 

British Owners of Interoceanic Railway Be- 
come Restive. 299 
Construction of New Lines. 299, 398, 757, 

758, 990 1 193 
Graft on Railways Reported. 300 
National Tehuantepec, Rehabilitation of the, 

Progress in Railway Rehabilitation, 73* 
Railroad Construction in 1921. 154 
Railroad Notes. 499 
Railways Prepared for Improved Business, 

1055*. 1119* 
Salinas, Leon, at A. R. A. Convention, 1457 
Service Resumed on Southern Pa. . 
Michigan I entral: 

Annual Report, 1403, 1511 
Stafford Roller Bearing Trucks, 1460* 
Mid-Day Luncheon Club, Springfield, 111.: Han- 
na, D. B, on Government Ownership in 
Canada. 1065 
Midgjet S Borrowdali 

Bullseve Dust Guards, 1459 
Proteeto Weather Stripping. 1542 
Midvale Steel &• Ordnance Company: Annual 

B irt, 760 
Milburn Cut Weld Torch, 704* 
Mill, -no High IV isur. Gas Reeul ll ir, 142T* 
Mileage Abandoned in 1921, 147* 
Mileage Book Bill, 267. 818, 889, 1336 


January 1-June 30, 1922 

[Illustrated articles are indicated thus*; Editorials thusj; Letters to Editor iluist] 

Mileage, Russia's Railw 

Neglect, 408t 

Milling Machil 
Mine and Rail I 

i 5, (-01 


Ministry „ . _ 

Ste. Mane: Pen- 
•i. Edmund, Becomes Chairman, 

Minneapolis, Timber Treating Plant at, 1063* 

• Declared In- 


abor Board, 440, 



P ... 

ne, Distribution ami Accounting tor, 

Mixing Railroading and Religion, 41 

Modern Equipment, Economy of, 1463t 

Modern 1 1 .eight 469 

Modern Tendencies in I ' M S n ' *X? 

ary Boiler Plants, 1629t, 


Mogul ' ' . 9 51t 

irator, 1618 
< ol. F. A.: 
. Railway Securities Situatioi 
Molybdenum Steel Shovel, 924" 
Monument to Brazil, American, 1355 
Morale and Service. Improved, 1-catures of 1921, 

421. 577 

Buffing Mechanism. 

-•i esses, 916* 
Siation, 1033 
Motive i Progressive, 177 

Motor and Inland Water Versus Rail Trans- 
I266t. 1271 
Bearing, Howell, 1571 

Bram ' ,04 * 

.dish, 1183* 
. • e f..r. 143U 

' irleans & Lower 


Charles Guernsey on, 

• II ft H-. 31S*. 174 

. i. & Shawmut, 

>l r ... 1069* 

■i SS6 1 
-portation Co., 

I ngland, 10511 

.pcrs on, 480 

■ ition in. 

National Association oi Railway and I " tilities 
nference with, 

Automobile Chamber of Commerce: 
, 1 192 
Brake Company, Inc.: Peacock Brake 
. 1425' 
i ii Hooper and Plumb 

i J. D., Rate 

Testimony, 281, 421 

rds. 347, 796 

on, 726t, 808t, 

no:; I - "ted) 

National Industrial Traffic I i 
Inquiry, I. C. I 

■t->ii 15-a, 350 
-. 1079 
Perfect ligll, Results of, 

lation: VIeeti 

Officers and I H 
Presidents Group, 701* 
National Railw..- ipanj : 

Shoemaker Radial lire Door, 1620* 
National Raihv.r. 
Loan. Applii 

nt Salinas 
at Med. ameal i onvention, 1457 
National Safety Council: 

Census in Safety Workers. 242 
5tei 1 l .'i Corp 

■ National I ' i mti pi i Ri h : ' lil n 

National Transportation Institution, 1346 
National! Railways, 90 

Neatness in Handling Oil, 1712t, 1734 
Need of Additional Trackage, 999t 

.,...[ i , L 

Incidental to Handling of Materials, 1697 
a the Railroads, 698 
the St. ire. Departmi i 
W> Transportation. 1209t 
i 1 Engine Lathe, The, 766t 

'. Ki venues and Ex 

ating - 
New Construction in 1921, 149* 
I rj ing, i 131 

\ eterans, 

New England '■ mittccs. 1748 

i ini 

m, 468 
Mam.- Roads Not Included in Agricultural 
i i ion, 295 

■ ilii.ll. 1051} 
Rati 1 lii ision I asi . I I I R >I>ng on, 
425, 765t, 708, S45. 1.105 

New El ' 

n Handling of Package Freight. 469 

Shippers \sk Removal of Bain- 

New Ha < ork, New Havi 

New Jersey Full Crew Law Repealed, 442, 585, 

Wheel Di -. 749* 

New Rid. ' i Board) 

! of Re- 
pairs. 1087 
Newton Bill to Amend Transportation Act, 1336, 
1 |70 
i rank Planer, 1 5 70 • 

incr, Air 

17, 1246* 

irt on 


: Mit 
'. 1354, 


I- nil I rew I 

New Y..rk. New Haven & Hartford: 

laming a Fair 

ling Service, 778 
Fines irs of. Service 

Law. 1351 

5*, 474 

Terminal at Providence, 1467* 
ne, .'47 
New V.rk New Krsev Tunnel, 840 

New "i ' lub: 

ions Affecting the Head of a Rail, 

Simplified Analysis of the Railroad Problem, 
A, 1011* 

Store Door 1 ' 

nd ng Highways, 
New , . 1751 

i for Controllers, 703 
Nicholson i 3 : ne Inter- 

nation. 1 1 
.Nicholson Thermic Syphi cntral of 

Georgia. 1625 


Niles-Bement-Pond Turret Tool Pest, 15t>7 

.llision; H ,\ I 
N..r Do Smith America's Roads Escape Ad- 
ity, 11.'* 
,\ Western: 
Annual Rep..ii. 

Locomotive Performance with Hanna Stoker. 
Normalcy in Railway Labor Field, Progress 
Towards, 31* 

I, W. \ . B< fore 1 a ■ r Board. 741 

1 Invalid as to 
Interstate Railroads. 
North Dakota R 
Northern I 

Ann... 1314 

nditures in Mont I, 1035 

Shitting of Bridge P - '..'33* 

North Leroy, N "< Den ill 

III. Hid Express; L. \ 

Northriip Avenue Terminal at Providence; N. 

Y.. N II a II . 1467* 
Railwa: S 13711 
t the Plumb Plan. 581 

Number ' S 

iing System for Materials, 1673 

.in Control) 

' .1:11 1 

1 Stores 

llringii . 

41. tj 


o,l Burn 

One Big with the 

line \\ 


January l-Junc 30, 1922 


vJ) : 

Locomotive Engineer on. A, 861 1, 1104$, 

Locomotive Operation, Considerations in, 

Speedin I i vements, 4 1 1 1 

Operating Expense Classification, Proposed Re- 

1. 1466T, 1473 
Operating I ''5$, 1409 

■action of, 409t, 1465t 
Operating Income, Seasonal Variation of, 273* 
Operating Oil Burning Locomotive, 1187 
Operating Results ' See also Revenues and Ex- 
i Ucron, 

Cant n ■ . 107$, »2 

Operating Statistics: 

Monthly Figures: November, 444; Decem- 
ber, '538; January, S42; February, 982; 
March, 1190 
Year 1921. 585 
Operating Studies: 

International & Great Xonliern. 1347 
Mexican Railways, 1055*, lllv 
Wheeling & Lake F.rie, 771*. 829* 
Opportunities of the Auditor, 1746 
Opportunities for Eliminating Hand Labor, 1009 
Opportunity for the A. R. A., An, 860$ 
Order (See Equipment) 

Order of Railway Conductors: Annual Conven- 
ts n. 1133 
Oregon Electric Railway : Automatic Substations, 

34 7 
Oregon Short Line: Claim, Thirty Davs' Notice 

of. 588, 724i 
Oregon-Washington Railroad & Navigation Com- 
pany: Celilo Collision. 1031* 

Committee Plan The, 1160$ 
Electrical Departments. 1543t, 1575: 
Purchasing and Stores Department, 1698 
Service of Supply, 1647 
Water Service, 765f 
Original Tri-wav Universal Machine, 1568 
i in. II. II., Before I. C. C, 971 
Otis Automatic Train Control, 1626 
"Our Road," 11591 

Outlook Continues to Grow Brighter, 357t 
Outside Locomotive Repairs (See also Contracts), 

Overcharge Claims, Time for Filing, 498 
ertime, Way to Reduce. i205t, 1713t 
Owning Locomotives, Factors in Business of, 471 

Pacific Fruit Express Company: Icing Facilities, 

Pacific Great Eastern, to Investigate, 1082 

Package Freight. Handling; N. Y., N. H. & H., 

Package, Perfect, Campaign, 222 

Packing Air Cooled Rod, 1626 

Packing t up. VVabco, 1461* 

Packing. Headlight Turbine, 1571* 

Packing Rings for King Tvpe Cups, 839* 

Packless End Valve. 1399* 

Paige & bnes Chemical Company: Water Treat- 
ment at Wayside Tanks. 1619 

Painesville Crossing Disaster, 555t, 585 


Buying, 458t, 952t, lOOOf, 1101$ 

Silumite, 1402 

Spraying in Railroad Shops, 724t 

Painting, Economy in, 212f 

Parcel Post Rates. 1192 

Parkesburg Iron Company: Boiler Tube Practice, 

Parmelee. Dr. J. H.: Transportation Act, 1172 

Partial Payments (See Guaranty) 

Passenger Car (See Car) 

Passenger Fares: 

Differential Fares, New York-Chicago, 159 
Ilomeseeker's Rates Restored, 555t. 587 
I. C. C. Orders Increasing Intrastate Rates 
Upheld — Wisconsin and New York Cases, 
519, 556t, 757, 776 
Mileage Book Legislation, 267, 818, 889, 

Reductions: C. G. W., 446 
Reductions by Western Roads, 555t, 587 
"Reductions by Installments," 407t 
Tourist and Excursion Rates, 999t 
Tourist and Excursion Services in Great 
Britain, 163t, 204. 1265f, 1308 

Passenger Service: 

Cars, Rough-Riding, 908$, 954$ 

Common Sense in Branch Runs, 1104$ 

European Railways. 1205t, 1211 

Meals for One Dollar; S. P., 291 

Platforms at Stations, 954$ 

Reducing, 21 If 

Trains On Time, 291, 347 

Passenger Traffic: 

Excursion Rates in England, 163t, 204 
Reducing Passenger Train Service, 211f 
Review of 1921, 20 

Payments, Government, Delayed, 987, 1001$ 

Pav (See Officers: also Employee — Wages) 

Peacock Geared Hand Brake, 1425* 

Peculiar Rail Failure. A. 738* 

Pennington, Edmund, Becomes Chairman of the 
Soo, 1241* 


Advertising Spai - 347 

Annual Report, S57t, 863* 

Contrai M. I . Itoo on; Phil., 

Wil. S Ball 
Derailment near Halifax, Pa., 887 
Disputes, Plan for Settling. 484 
n of Employees, 1302' General Athletic Exhibition, 984 
Entrance Into Detroit, 171It, 1717* 

Fire Losses in 1921. 537 

Insurance Fund. Railroad's. 1748 

Jones, Mr., and the Dining-Car Business, 537 

Labor Board, Dispute with, 157, 395, 484, 
886, 1021 (Court Decision), 1124, 1339 

Lee, El tddressss A. R A. Puri b is> - 

and Stores Division, 1593 

Locomotive Repairs. I. C. C. Report on 
Contract for, 858f, 867, 1716$ 

Order for 250 Passi nj I ars, 857$ 

Passenger Trains On Time 293 

Pennsylvania News. The. 212f 

Potato Embargo Cancelled. 1354. 1505 

Rea, Samuel, on College Training, 985 

Refrigerator Traffic, 1035. 

Reviewing Committees. Report of, 936 

Safety Message by Radio. 1302 

Shipments of Durant Automobiles, 339*, 748* 

Stop-( iver Privilege, 245 

Thawing Shed at South Amboy, 394 

Tractors and Trailer Trucks in Polk Street 
Terminal, Chicago, 225* 

Women's Aid, 919*, 1748 

Yard at South Kearnev. 1248 
Pennsylvania News. The. 212t 
Pension (See Emplovee) 
Per cent of Bad Order Cars, 950$ 
Pere Marquette: 

Annual Report, 1181, 1203 

Budget for 1922, 490 

Posts at Belding, 664* 
Perfect Package Campaign, Results of, 222, 295 
Perfection Sand Drier Stove. 1622 
Performance (See Locomotive) 
Permanency of Pole Lines, 951t 
Permanent Supply Exhibit in Chicago, 1159$ 
Perpetuation and Operating Expense, 1011* 
Personnel Problems, Importance of, 1627$ 

Concession, British-Canadian, 450 

Railroad Notes, 1307 
Pettijohn. Fred: Rate Testimony, 385 
Philadelphia & Reading: 

Accident near Woodmont (Bryn Athvn), 
168t, 173, 357$, 490, 549, S40 (Conductor 
and Engineman Imprisoned). 1351 

Bridge Slabs Waterproofed Before Erection, 

Dissolution Decree to Be Modified, 1306 
Philadelphia, Wilmington & Baltimore: Contract 

System, 949f, 979 
Philippines I See Manila Railroad) 
Photographs on Commutation Tickets: N. Y. C, 

350. 930 
Photography Applied to Study of Track Stresses; 

St. L.-S. F., 916* 
P ecework Dispute: N. Y. (\, 1472 
Piecework. Present Status of. 1373$ 
Pier. Bridge, Shifting of. N. P., 1333* 
"Pigmv" Tvpe Drills. 1622 
Pile letting Tests, Bignell, 12S1* 
Piling, Creosoted Cypress; C. B. & Q., 730* 
Piling. San Francisco Bav Marine, 272 
Pipe. Pre-Cast Concrete, 706* 
Pipe Wrench, Walworth-Bostone, 1570* 
Piston Bull Ring. Rogatchoff, 1625* 
Pitting and Grooving in Locomotive Boilers, 667$, 

Pittsburgh & Lake Erie: Train Robbery, 1747 
Pittsburgh & Shawmut: Operating Results with 

Motor Cars, 516 
Pittsburgh & West Virginia: West Side Belt, 
Application for Authority to Acquire Con- 
trol of. 364$, 443 
"Pittsburgh Plus" Trade Prac'ice. 350 
Plains. Kan., Collision. 1319t, 1332 
Plan for Unified Terminals at Chicago, 1179* 
Planer, Gray Maximum Service, 1568 
Planer, Newton Crank. 1570" 

Planers Outlived Their Usefulness, Have, 1575$ 
Plates, Large Size Boiler, 1620 
Plates. Tie. from Rail Steel. 726t 
Platforms at Passenger Stations. 954$ 
Plea for the Station Agent. A. 1054$ 
Plea for the Traveling Auditor. A, 239 
Plea for the Truck Horse. A, 246 
Plug Valves for Tank Cars. 1565 
Plumb. Glenn E. : 

Address Before Na'. Civic Federation, 318 

Lo<s and Damage Claims and Rebating, 257$ 

Testimony Before I. C. C, 733 
Plumb Plan: 

"Labor" and the Ananias Class. 1208$ 

Nothing Very New About the, 581 

Propaganda Against the Railroads, 164$ 
Plush Renovator Chase, 1430 
Pneumatic Drills, 1622 
Pneumatic Tools, King. 1542 
Poirier. Charles G.: Testimony Before Senate 

Committee, 393, 462$ 

Condition of Railwavs Improved, 398 

Locomotive Works, First, 990* 

New Line, 1038* 

Railroad Notes, 29S 
Railway Cm 

by Private Concer 

D. L. & W., 

1354, 1505 



Pole Jack. Juvcc, 704* 

Pole I.:: 

P. le Lines. Permanent 

Political Labor Leaders Attempt 

Railways. Le-s, 1065 

1 Proposed, 481, 508$, 576, 

. .silt 
V. at A. R. A. Conventions, 1423 
Port of New York: Erie Freight Servic . 
Port of New York Authority: Maior Church on 
1 ruck Highwa; 

Portland Cement Railway Bureau, 

' ["id ets: X. Y. 1 

Positive Public Relations Work. 723t, 807$ 

Possibilities of High Speed Tools, 1205$ 

Postal Buildings at New York City, 242 

Post. Brill Renitent, 1397* 

Post Office (See Mail) 

Posters, Safety News-Servi 

Posts, Concrete Fence, 69; 

P 1 Embargo; Pennsylv 

Potter, Mark W.: Rates and Wages. 

Powell, T. C: Rate Testimony, 575 

Power & Transport Finance Company, 1251 

Power Brake Investigation, I. C. C, 751, 
840. 1213 (Hearing). 1332 

Power Equipment for Maintenance 
Work, 1009 

Power House at Clifton Forge: C. & O., 955* 

Power Interlocking. Report on. 595t. 613* 

Power of the Railroad Club, 1540, 1 S/^t 

Power Plant. Buda Unit. 703* 

Power Plant Fuel Wastes, 554$, 1433$ 

Pre-Cast (See Concrete) 

Prepare for Heavier Business. 1024 

Preservative Treatment (See Ties and Timber) 

President Harding: 

Address Before Agricultural Conference, 276 
Careful Crossing Campaign Endorsed, 1302 
Commissioner General of Transportation 

Proposed, 273, 345, 389, 424 
Dinner to Railroad Executives — Voluntary 

Rate Reduction Urged, 1110, 1227, 1278 
Firemen's Brotherhood Condemns, 1 4 ,:j 7 
I. C. C. Appointments, Senate Delays Con- 
firmation of, 188 
Labor Conferences, Hoover, 196, 232, 243, 

257$, 258$ 
Labor Leaders Plan Appeal. 1476 
Ship Subsidy Bill, 531, 857$, 902$, 1034, 
1505, 1738 

Presidents' Conference Committee (See Valua- 

Pressed Steel Car Company: Annual Report, 501 

Pressed Steel Mfg. Co. Wins Patent Suit, 292 

Pressure Filter for Dining Cars, 1539 

Price Basis, Buving on a, 458$, 1266$ 

Prices (See also Cost): 

Cars and Locomotives, 44* 

Coal, Rates and Miners' Wages, 726$ 

Coal. Trying to Hold Down,'l209$ 

Freight Rates, 268 

Labor and Materials, 1433$, 1435 

Lumber, 45 

Machine Tools, 1100$ 

Material, 43*, 1435* 

Princeton Foundry & Supply- Company: Sand 
Drier Stove, 1622 

Private and Government Operation, Efficiency of, 

Prizes (See Employee — Cash) 

Problem (See Canada; also Railroad Situation) 

Production. Railway Shop, 506t 

Program of Railroad Construction Needed, 357$, 

Progress, How to Successfully Avoid, 1431$, 

Progress in Automatic Train Control. 1001$ 

Progress Towards Normalcy in Railway Labor 
Field. 31* 

Progressive Motive Power Policy, 177 

Projects Authorized. New. 596$' 

Promising Field for Investigation. 1206$ 

Promotion for the Secretary. 557$ 

Propaganda, German. 1205$ 

"Propaganda" Regarding the Railroads, 164$ 

Propellor Blower. Coppus. 7S4* 

"Prosperity Special," The, 1277*. 1352. 1553*, 

Protecting Records from Fire. 766f, 7SS*, 902$ 

Protecto Weather Stripping. 1542 

Protector. Automatic, for Controllers, 703 

Providence, Terminal at: N. Y. X. H. & H., 

Provisions for 6 Per Cent Return and Govern- 
ment Loans Expire. 554 

Public Relations Work. 553$. 723t. 807$, 901 1, 
953$, 954$, 1155t. 1162$, 1745 

Public. The (See also Passenger Service) : 

Advertising in Newspapers. 857$. 888, 8S9 
Agents as Railway Spokesmen, 725$ 
Dinner to W. G. Besler, 879* 
Engineer Can Play a Part. The. 902$ 
Engineer's Name on Cab; St. L.-S. F., 807$ 
Faithful Are the Wounds of a Friend, 1266$ 
Give the Facts to, 510$ 


January 1-June 30. 1922 

[Illustrated articles ore indicated thus'; Editorials thitsi; Letters to Editor thust-] 

i r Service) (Con- 


ncntal Traveler, 

Mechanical Department and Public Opinion, 

Public Opim • I in Restore Credit, 53s 

ited, A, 1265? 
Railr. with, 7 

"Selling- the Railroads, 410t, -15/ 1, 505];, 
,,.; 53*., 954t, HS5t, 


Publicitv and Annual R Vi5 .i'., 

Publicity and the Coal Strike. L002t, 1104t 

Pubh. - ,; " 

Public U1 ' ' ... 

Pullman I Southern Pacific, 832 


Hotels at New < Irleans, 1189 


.. 16S.U 
Punitive Overtime i See Railroad Labor Board — 

Paini 1000*. llOlt 

Price - 
Purchas. - \mencan 

Railway Association: Division \I) 
Purchas 1 '' 74 " 

Purchasing Power of Vi !3 

Purdue Experimental Locomotive. 


Locomotive Lighting Equipment. 15/2 
Packing. Headlight Turbine, 1571* 

Racine | Hacksaw, 1569 

S, 888' 
' ■ ! 157 + 


gt by. 1302 

ntinuous, 663 
Failure, A Peculiar, 738* 

Fleeting the, 237, 293 

308t. 828 
l.*33 + 
B08t, 828. 929 

Mndy of; 



ler of Commerce. 

of, 357f, 
P., 822 

■ I, 1710 


Railroad Labor Hoard (Continued): 

. : . menu, T. D. Cuyler on, 467, 

New Quarters, 981 

12, 333, 30St 
Expre s, 523 

Signalmen, 438 

of Mechanics, 524 
phers, 485, 566 
Train 483 

New York Central Piece Work Dispute, 1472 

1021, (I I, 1124, 1339 

1 in for Settling 
, s. 484 
Phillips, All.ert,. Not to Resign. 822, 981 
Regional Boa A of Adjustment, W. G. Bierd 

Is of Adjustment Formed, 34 
It, 1337, 1476 
-. 308t 
Testimony of; 


19, 922 
II B M„ 739, 774, S09t, 819, 821, 

Manion, E. T., 564 
Northcutt, W. A.. 740 

Warne, Frank T.. 884 

1. 1719 

63, 645, 

767t, 774, soof. 819, 821, SS4, 921, 

-ion on 

Ot, 1337 (Shop- 

i lerical and Station 

I, 1719 

Rail,.. id Situation): 

. i '11" 

I, 1171 
liuim. S. (>.. on, 1743 

- o.r 19.'J. 5 
i ..'.,-, 928 

"Weak" and 

ents in. _M3t 
Railwi . 266 

. Ii i M.. on, -M.i 
ions al R. B, \. 1 'inner. 343 

Railroad TelegTaph an. I telephone Activities, 

1 4.1" 

Railro -ils.. Yards and 

Railr..., 110H 

I lisclaim con- 
■ o-'t 
\1 i . \ Fiftietl 

Rail,.. i ill Costs, 43* 


I, 1485*. 

. 578 


Raritan River Railroad: 

Hall Color-Light Signal, 186' 
"M-V All Weather Train Control, 185* 
Ratchet Han. I Brake, Blackall, 1396* 
Rate-Making Provisions (See Transportation Act) 
Rate of Return: 

W. M., on Can Railways Earn a 
Pair Return, 259t. 261, S58t, 81U. 105U 
Hanauer, I. I., on. 

i. 368 for 6 Per Cent Expires, 534 
Reduction ot the "Fair Return," 1267} 

I Variation of Operating Income, 

Shipping Bill, 902t 

Passenger Fares): 
to. 967 
Coal Prices and Miners' Wages, 726t 

Railways, 78 
Excursion Rates in England, 163t, 204 
Federal Vallcv Case, 1750 
French Railwa 

tlerman Railways. Increases on, 94 
Hardwood Lumber, I. C. C. Ruling on, 283, 

for Missouri \ 
Arkansas, 786 

I. C. C. Inv, 227, 281, 319, 

379 (Herbert Hoover's Testimony), 383, 
419, 481, 535 I Information Required), 
573. 731. ill '. 1110, 1178, 

1207'.. :n. 1227, 1278, 1282, 

1743 rs. ii. Dunn on), 1750 

Italian Railu 

Kansas City, Mexico & Orient Asks In- 

.ling on, 890 
Michigan Public Utilities Commission's In- 

quir) , 
Mileage Hook Bill I 
New England Divisions, 42S, 765t, 798, 845, 

New England Shippers Ask Removal of 
ire and Philadelphia Port Diffi- 
culties. 54 J 

Redo. ■ 

Agricultural Conference's Recommenda- 

. 317 
Agricultural, Not Included 

Baggage Transfer in N 
Coal. Ship] ■ 

: Rates. 358t, 

4 15 

English Railways, 250. 449, 1307 

Per Cent Reduc- 

luntary Rate Rcduc- 

Renai 936 

n, 1750 
s Pas- 


I, 1306 

: I1J* 





. . OR] 
'. 1465t 

V. 860t 

January 1-Junc 30, 1922 



Refrigerator Curs, \Y. II. Winterrowd on, 1173* 

Regan Train Control, 19S, 4-12, 973 
Regional Boards of Adjustment: 
Bierd, \V. G.. ( fpposes, 220 

Formation of, 34 

Report of Agricultural Commission on, 1112 
Regional Conferences to Adjust Disputes with 

Brotherhoods, -'.'-'. 243, 257t, 755 
Regulation of Securities Under Section 20a, 21*, 

Regulator, Milburn Gas, 1427* 
Relation of Freight Kates to Agriculture, 967 
Relation of Maintenance of Way Department to 

Fuel Conservation, E2SS 
Rclavi-, li. C, Report on, 612* 
Religion and Railroading, <U2t, 510$, 557J, 
Relocating Machines in Shops, 857t 
Renewal of Terminals, 904t 
Kenitent Post. Brill, 1397* 

Repair Shop and Enginehouse Developments, 63* 
Repair Shop (See Shops) 
Repail I racks, Small, Work on, 1371f 

Car Repair Work, 1371 1 

( ar Roof Slums, Reclaiming, 275* 

Contract (See Contract) 

Cos s m New South Wales and the United 

States, 1087 
Deferred, Cost of, 215 + 
Locomotive, I. C. C. Reports on Contracts 

for, 858+, 867, 17161 
Scheduling System. Shop, 1403+, 1412* 
Shop Equipment, V. Z. Caracristi on, 745* 
Reparation During Federal Control, 936 
Report (See names of associat.ons; a, so Bureau) 
Reports, Valuation, 904t 
Rerouting of Coal Traffic, 171 It 
Research, A Department of, 1051+ 
Research Graduate Assistantships — University of 

Illinois, 293 
Research Needed, Co-operative, 1404t, 1408 
Results of National Perfect Package Campaign, 

Retaining Valve, Clark, 1428 
Return CSee Rate of Return i 

Revenue Freight Loaded (See Freight Car Load- 
Revenues and Expenses: 

Analysis of Statistics for 1921, 119* 
( oal Strike and Earnings, 1049t 
D. T. & I. in November. 1921. 167t; Decem- 
ber, 858|; March 1047t 
German Railways, 93* 
Indian Railways, 1916-1920, 106 
Monthly Detailed Figures: November, 197; 
December, 492; January, 752; February, 
930; March, 1134'; April, 14'JX 
Monthly Summaries: November, 195, 292; 
December and Year 1021, 586; lanuary, 
797; February, "87; March. 1083, 1189; 
April, 1497 
Operating and Perpetuation Expenses, 1011* 
Railroad Traffic and Earnings, 1 101 1 
Reduction of Expanses, 409+, 

Year 1921, 586 
Reverse Gear, Barco, 1624* 
Reverse Gear, Simplex, 1572 
Review, Chronological, 66 

Review of 'English Railways During 1921, 76* 
Review of Italian Railway Situation, 85* 
Reviewing Committees, Pennsylvania, 936 
Revision of Operating Expenses Classification, 

Proposed, 1466t, 1473 
Revision of the Transportation Act, The, 1161* 
Rings, Terome Packing, 839* 
River Rouge Bridge; Wabash, 407t, 414* 
Rivet Buster. Thor Pneumatic, 1568 
Roach, H. !■'.: Phoiographv Applied to Study of 

Track Stresses, 916* 
Roadway, Report of A. R. E. A. on, 682* 
Roberts & Sshaefer Company: Coaling Plant, 

Electricallv-Operated, 666* 
Robinson, Bud M., on the Attack on the Trans- 
portation Act, 1029 
Robinson Connector, 157* 

Rock Island l See Chicago. Rock Island & Pacific) 
Rods, Locomotive, Alloy Steel for, 257 + 
Rogatchnff Piston Bull Ring. 1625* 
Rolled Steel Wheels for Locomotives. 571* 
Roller Bearing Truck. Stafford, 1460* 
Roller Bearings for Car Trucks, 1432+ 
Rolling Tie Plates from Rail Steel, 726+ 
Roof, Sharon Pressed Steel. 1129* 
Roof Sheets. Reclaiming Car, 275* 
Rough-Riding Passenger Cars, 908+ 

American Locomotives Satisfactory, 1205 1 
Railroad Notes, 1037 
Roundhouse (See Engine Terminal) 
Rubber Batterv Jars for Car Lighting: A. T. & 

S. Fe„ 554t, 579* 
Rudd, A. H.: Standard Highway Signals, 1345 
Rules (See also Railroad Labor Board): 
Car Service Rules, Principles of, 866 
Car Service, M. J. Gormley on. 1000t 1007 
Interchange, Recommended Changes in, 

Loading of Freight Cars. 1446* 
Mandatory Accounting, 5S 
Recovery of Excess Income. 334, 796 
Signal Maintenance, 601* 
Report of A. R. E. A. on. 721* 
Russell. F. V„ Suggests Interchange of Railway 
Operating Men, 211+ 


' lilwaj Men ii . 312+ 
in, Seek to II Id, 249 
Condition of Railroads lMlorable. 499 
Extent of Ruin and Chances of Recovery, 

1048+. 1073 
Famine Conditions and Railways, 941 
Letter to E. II. Fritch, 656 
Railroad Notes. 298, 757 

Soviets Demoralize Railway Situation, 91* 
Russian Railway Service Corps, 312$ 

Safety Attachment, Hand Brake, 145''' 
Safety Brake Shoe Key. Buffalo. 1542* 
Safety Car Heating and Lighting Company: 

Drive for Car Lighting Generators, 1450 

Train Lighting Equipment, 1710 
Safety First: 

Careful Crossing Campaign, 1302, 1464+ 

Census of Safety Workers, 242 

Highway Crossing Laws. 1047+, 10S2 (Vir- 
ginia), 1192, 1206+ (Tennessee), 1266t, 

Illinois Central Advertises Safetv, 888 

Long Island's Record, 1265+ 

Management Responsibility, 725 + 

Meetings with Trainmen, 510+ 

New Haven, Safetv on the, 395 

Posters; D. L. & W., 586* 

Radio Message, 1302 

Record for Y'ear 1921, 825, 903+ 
Safety Section, A. R. A.: Meeting. 1131 
St. Albans. \"t.. Coaling Plant at, 705* 
St. John River Bridge; C. P., 1175* 
St. Louis-San Francisco: 

Annual Report, 1071, 1095 

Engineer's Name on Cab, 807 + 

Expenditures Planned for 1922, 490, 500 

Rail Stresses, Photography Applied to Study 
of, 916* 
St. L, „is Union Station, Movies in, 1033 
Sand Drier Stove, 1622 
Sanding Plant at St. Albans. Vt., 705* 
San Francisco Bay Marine Piling, 272 
San Francisco, Pullman Checking Deck in, South- 
ern Pacific, 832* 
Santa Fe (See Atchison, Topeka & Santa Fe) 
Sargent Reflex Water Gace Shutter, 1623* 
Save Minutes Safely, 1319+ 
Sa«, Atkins Metal Band, 1402 
Saw Blade, Huther, 1569 
Scott, Bruce, on Hoch Bill, 1504 
Scrap Classification, 1665* 
Sera,, Reclamation. 1628+, 1657* 
Self-Grinding Valve, 1429* 
Self-Lowering lack. Joyce, 1428* 
Scheduling System. Shi p. 1403+, 1412* 
Schwab, C. M., on Railroad Situation, 243 
So Hand. Wage Reductions in, 399 
Scrap Heap, Study the. 950+ 
Seasonal Variation of Operating Income, 273* 
Seattle, Co-operative Switching at. 1184 
Secretary Hoover (See Hoover. Herbert) 
Secretary, Promotieii for the, 557+ 

I. C. C. Reeulation of, 27* 

Regulation Under Sectitn 20a. 21* 
Sediment Measure for Storage Batteries. 1566 
Segregation in Rail Steel, Titanium Treatment 

for, 1323} 
Si Inline Foremen. 1371+, 1403+, 1433+, 1544+, 

1S76+, 1627+, 1684+ 
Selection of Special Apprentices, 1578+, 1629+, 

Self-Locking Brake Shoe Key, 1540* 
Self-Starting Induction Mot, is, 748* 
Sellers, Win., & Company, Inc.: Boiler Check 

Valve 1616* 
"Selling" the Railroads. 410+, 457+, 505t, 553+, 
723t, 807t, oult, 9531 954}, 1155+, 1162+ 

Senate : 

I. C. C. Appointments. Delays Confirmation 

of, 188 
Laws Proposed in, 887 

Mileage Bill Passed. Interchangeable, 267 
Valuation Bill Passed. 520 
Senate Committee on Interstate Commerce: 
Capper Bill Hearings, 183, 368, 396 
Clerks' Brotherhood Officials Protest Dis- 
charge of Freight Inspectors, 330 
Hearings. 392, 877, 949 + , 959, 1067, 1117, 

1339, 1726 
Manufacturers Urge Consolidate n of Labor 

Board and I. C. O. 392 
Railroad Inquiry, 195 
Railroads Not Returned Self-Sustaining, 

949+, 960 
Testimony of: 

Anderson. T. F.. 290 

Chapman. II. I.. 330 

Dermody. J. L. 290 

Duncan, C. S., 1067. 1117 

Hagerty. Alfred G.. 1118 

Hines, Walker D„ 287 

Hunt, H. T., 290 

Kruttschnitt. Inlius. 925, 959 

Lauck, W. L. 960, 1117, 1339, 1726 

Loree. L. F., 17 16 

I.ovett. Robert, S., 1339 

Manion, E. J., 290 

McAdoo, W. C... 327. 371. 392, 409+, 443, 
877 and 913 (Daniel Willard's Reply), 
925, 959 

Poirier. Charles G.. 393. 462+ 

Senate Committee on Interstate Commerce, 

Testimony of (Continued): 

Walker, I . S., 3'J> 

Willard, Daniel, 877, 913 
Senator Cummins: 

Mi'. .,v, Bcok and Freight Rates. 268 
Railroads Not Returned Self-Sustaining, 

949+, 960 
Senatoi La Follette on Railwaj Wages, 422 
Senator Lenroot: Bill to Standardize Grain Dcors, 

Senator Robinson: Mileage Bill and Freight 

Rates, 267 
Si parator, I hor Air, 1618 
Serbia: Electrification, 298 
Service and Morale, Improved, Features of 1921, 

Service Letter Laws Upheld, 1751 
Service Metal Wheel Gag- 
Service Motor Coach, 11 69 
Service of Supply, Organization in, 1647 
Sessions-Standard Friction Draft Gears, 1537* 
Settlements (See United States Railroad Adminis- 
Sewer Pipe, FYe-Cast Concrete, L. V., 706* 
Shantung Railway, The, 307 + 
Shaper, Hendley Crank, 1567 
Shan n Pressed Steel Roof, 1129" 
ShauuhiicssCs. CO., Militarv Career. 362$, 406* 
Shearing Machine, Tube, 1568 
Shed. Thawing, at South Amboy; Penn.. 394 
Sheets, Reclaiming Car Roof, 275* 
Shifting of Bridge Pier Stopped; Northern Pa- 
cific, 1333* 
Shipments, Increase and Decrease of, 260+ 
Shipments of Automobiles to California, 339* 

Co-operation in Car Handling, 866 

Reductions in Freight Rates Urged, 281 
Shipping B. ard (See United States) 
Ship Subsidy Bill, 531, 857+, 902+, 1034, 1505, 

Shoemaker Radial Fire Don-, 1620* 
Shopmen, New Rules for. 174, 243 
Shopmen's Wages Cut by Labor Board, 1320+, 

Shops (See also Repairs) : 

Air Separator, Thor, 1618 

Car Repair Work. 1371 + 

Car Roof Reclaiming, 275* 

Lease to Outside Company, 347 

Equipment Needs— Show the Boss, 807+ 

Lighting Facilities, 212+ 

Music at Sacramento Shops; S. P., 490 

Old Machinery Limits Output, 307 + 

Paint Spraying. 724 + 

Piecework, Present Status of, 1373 + 

Planer Work. 1575 + 

Production, 506+ 

Railway Car, Handicaps cf, 529* 

Repair Work During 1921, 63* 

Relocating Machine Tools, 857 + 

Report of A. R. E. A. in, 678* 

Scheduling System, 1403+, 1412* 

Specialized vs. Wide-Range Machines, 999+ 

Tools, High Speed. 1205 + 

Wheel Lathe, The, 950+ 


al Meeting of Association. 1029 

"Deficit." I. C. C. Interpretation of, 741 

Wage Disputes. 174 
Shovel, Bucyrus Caterpillar, 1430* 
Shovel, Molybdenum Steel, 924* 
Show the Boss, 807 + 
Shriver, G. M.: 

Kale Testimony. l''_\ 23(1. 578 
Shutter, Reflex, Water Gage, 1623* 
Side Bearing Testing Machine, 1462* 
Side Frame, Symington Wr, Light Steel Truck, 

1 126 
Signal Appliance Association Officers, 17:>4 
Signal Department Employees, Wage R 

for. 1504, 1719 
Signal Section (See American Railway Issocia- 

li -ii i 
Signaling (See also Signal Section i : 

Automatic Stop (See Automatic) 

Average Service Life of Units. 649 

Block Systems. Different Kinds of. 1713+ 

Cab Signals in Europe. 926 

Construction Work in 1921, 137* 

Cost rf Delays to Trains. 1265 + 

Economics of, 623+, 646, 1733 

Federal Audible Signal: It. S A.. 517*, 558*. 

Frozen Signals Cause Collision. 10S6 

Hall Color-Light; Raritan River. 186 

Headlights. Effect of, 600 

Highway Crossing Protection. 595*. 604* 

Highway Crossings. Standard for. «49+, 
1206+. 1345. 1479 

Interlocking Units and \ allies. 6?.i 

Interlocking Work in 1921, 137" 

Lesson of Seven Collisions 1463T. 1483, 
1712 + 

Light Signals. British Report on, 450 

Maintenance, Rules for, 601* 

Report i f A. R E A on 636 

Saie Minutes Safely, 13191 

Single Tracks. 1 ' 

Signalmen, New Kuies for, 438 
Signs. Fences and Crossings, " 
Signs. Hopeful. 7 

Signs, "Stop" versus "Danger," 1269+ 
Silicon for Control of Segregate 

1323 + 

Silumite Paint, 1402 „„, 

Silvis 111 . Scran Dock: C. R. I. & P., 166s* 
Simmen, P. J., Before I. C. C, 973 

Rail Steel, 


January 1-June 30, 1922 

[Illustrated articles are indicated thus*; Editorials thusi; Letters to Editor tlu<s%.] 

Simplifi. r-ohlcm, A, 

II. & II. 

Single Tracks, Signaling, 

idental to 


Sleeping I e, 1143 

Sleeping ' 

in I iermany, 399* 

Sliding D.*>r Controller. 1462 
Slum|.. Greatest Traffic. 


- line Pro- 

retaries: Annual 

for Water Treatment. 41 21 


are, 1173*, 

Some of the Hopeful Signs. 7 
Some Thoughts on Valuation, 10501 
South Africa: 

Electi 1143 

Railways I' 111* 


Minns. 1552 
Rail.- 113* 

Tic Suppl) for United States. 74.1* 
Southern Freight Rates Investigation, 1750 
Southern Hardwood Lumber Case. 283 
Southern Hardwood Tr.,i m: Officers, 

Southern P 



F.ngir on, 936 

Type, 1553" 

Pullm; - Francisco, 

Radio on Shnncrs Train. 


'.icrs and 
idy tnadequati 

■ iv En- 


High* ",;, 1345, 


State Commissioners and I. C. <'. Confer, 751, 
State i , mmissions: 

Nt-» 5 i R itt-s Re- 

New \ ■ ■ aphs on Commutation 

Tickets, 939 
Kite Reduction 

! Rate ] ncuiiry, 296 

way-. 1308 

i Rate E 

in and 

New Fare i »)< $?<>'•'. 

States' Nights' Bill 

Chicat-n Union, Plans for, 323*. 513*. 554f, 

561- i i sts) 

Waterloo, 'Mi • 
Station Vgi ii'. \ 1'!. i for the, 10541 
Stationary Boile; Plants, 16 "':. 1641' 
Stationary Engine Empli deductions 


! 7. 1022; 
Expenses: also Operat- 
I i.iffic) : 
- of. An. 119* 
ISritish K.-iilv. 

Freight Tonn lj i 1 in 1921, 845 

Loconiiuuc < I '. 746 

Kail Pi- 
Report of I ' 

I reated in 1921, 10481 
Wag— in 191 

- ind I" 'I. 122 

. M-. nihil Sui 

1 197 i Man-Ill 

B \ 

ment, 39" 

! ' ■ i i I. 1568 

; >1* 
. 1396* 


operatii n with, 531 
Railro id I icts witHi 

is Hill ..ii. 981 





Substitute H 

Sunbeam Electric Manufacturing t ompany: Loco- 

motive Headlight, 1573* 
Superior S <. Chemical Toil. 

P . 1641* 

I 163t 
Supply Field (See Equipment) 
Support \ 
Supreme I 
Surcharge, Pullm 

- of (See 
Freight I - 
Sweden:! Elect- i 

Railwa) - 
Turl i 

Bill to Vtnend \ct, 1192, 

Switching. ( ...operative 
; land: 
Government Railways Running Tourist Busi- 
ness, 545 
Railways in ■) at I 
Railroad ' 

Butt Coupler. I 


a Draft Attachments. I 

Box P 
Frame Wrought Steel, 142o* 

' ' 5 1 7 

Syphon, Nicholson Tnei 

1621, 1053*. 1345 
Manufacturing 'lev-land 

Lo» ■ 
l.nk Cai late of, 981 

Tank Car Valves, 1429* 


Old i 
lap. Brubaker Spiral - 
Target at Which Railroads Should Aim, 

ih. Sir William M. on a Fair Return, 
:. Slit. 10511 

North Dakota Excis: las Held Invalid as 

to In' 

' and Telephone Scctii n Marcl! : . 14.t* 



Radio i D. L t W, I 

Tempi- - 


Kentuck) -\ 
Whit. . 



I •• In- 

1 Water 
"M \ 


January 1-Junc 30. 1922 



Thom, Alfred P iy, 734 

Thor Air Sejparati r. 1618 

Thor Rivet B 

Thorne, I 

Rate Testimony! 731 

Thornton, Sir Henry on Railway i onditions in 

Thrift Month; C. R. 1- S P 
Ticket Clerks, Advice to, 490 
Frauds Prohibited in New Y 
Portraits on: N. Y . i 
Pullman Checking Desk; S. P 
Tic Plates from Rail St. 
Tics and Tin 

Car I i ■ ed, 271 

Piling; C. B. S 
i restles on the Santa F< 
Cross Ties, Factors Affecting Cost of Treated, 

mining the Average Life of lies, 779* 
I',? Renewals. 270 

Mill Room Equipment, 108* 
Pole Lines. Permanency of. 951* 

, oi A. R. E. A. on Ties, 623f, 639* 
Tie Production Greatly Curtailed. 322 
Treated Ties, Increased Use of, 1048t 
Treating Plant at Minneapolis. [063 
Treating Ties ' Maintenance, Cost 

of, -111.. 1003* 

I mr Tie Supply. 743« 
United Kingdom as a Market, 1039 
Wood Preservation. A. R. E. A. Report on 

Wood Preservers' Annual Convention, 258t, 
Timber (See also Ties and Timber) 
Timber Treating Plant at Minneapolis. 1063* 
Timber Treatment on the Increase, 1048t 
Time f. r Filing Overcharge Claims Extended, 498 
Time-Limit for Damage Claims. 588. 724+ 
Time to Play Fair. 407t 
Time to Prepare for Business, 1024 
Time to Start Work. A Good. 596t 
Titanium-Treatment for Control of Segregation in 

Rail Steel, 1323* 
Toilets, Chemical, 665* 
Toledo, St. Louis & Western: Acquisition by Van 

Sweringen Interests, 725t 
Tollerton, \V. J.: 

Address Before A, R. A. Division V— Mech- 
anical. 14041, 1405f, 1408* 

Tonnage Rating. Checking, 358f 

Tool Post. Turret, 1567 


Buying on a Price Basis. 1266t 

High Speed. Pos-ih of, 1205f 

King. Pneumatic. 1542 

Recommended for Standard. 673* 
Top Vestibule Buffing Mechanism, 1459* 
Torch, Milburn Cut-Weld, 704* 
Toronto Electrification Disapproved, 286 
Tourist and Excursion Rates, 999t 
Tourist and Excursion Services in Great Britain. 

163*, 204, 1265f, 1308 

Maintenance, Contract for. Awarded to A. S. 
Hecker Co. by Erie, 215 

Report of A. R. E. A. Committee, 671* 

Stresses, A. R. E. A. Report on, 641 

Stresses, Photography Applied to Study of; 
St. L.-S. F„ 916* 
Trackage, Additional, Needed, 999* 
Track Capacity. Increasing, 1099* 
Track Circuit. Miniature D. C, 664* 
Track- Circuits. D. C, Report on, 650* 
Track Tack Base. 706* 

Track Material Exports (See Foreign Trade) 
Track Shovel, Molybdenum. 924* 
Ti activi Pi wet and ' ar Capacity. 50/ -,- 
Tractor (See Trucks) 

lii.l- \ at'.ons, Secretary Hoover on, 443 

Traffic (See also Freight Car Loading; also 
I . ight Traffic): 

Earnings and Traffic, HOlt 

Five Years of Freight Traffic Growth Is 
Lost, 15* 

French Railways, 82 

Greatest Slump in History. 3t. 12.! 

Light, an Aid to Construction. 949f, 12701: 

Rl port of I C. C. Bureau, 235 

Rerouting of Coal, 1711t 
Traffic Cluh of Chicago: Annual Dinner, 295 
Traffil < lob of Kansas City: Officers. 396 
Traffic Club of M nneapnlis Officers. 396 
Traffic Division A. R. A.. 585 . . 

Traffic Statistics (See also Operating Statistics): 

Monthly Summaries: January, 

Y.-.n 1921, 498 
Trailer Elwell— Parker Platform, 1401" 
Trailer. Mercury Freight House. 1400* 
Train I ontrol (See Automatic) 
Train Dispatchers, New Rules for, 483 
Train Dispatcher: Will Religion and Railroading 

Mix, 412J, 510*. 557* 
Train Dispatching: .... 

Form 19 vs. 31 Order. 408t, 417, 511* 

Locomotive Engineer Tells How to Improve 
Operation, A, 861*. 1104*, 1161*. 1323* 

Telephones; New York Central, 506t. 526* 
Train Lighting Equipment. 1432t, ,1450 . 1710 
Train Line Connector. Futrell 1536* 
Train of Thought. A. 511* 

- :. 511* 
Train Services Board (See R< 

vice Employees and Railway 

I Freight. 312* 
Tram Stop (See Automatic) 
Training -Men for Promotion, 507* 
Trainmen and the Eight-Hour Day, 461* 

Train-i irdi 

Transcontinental Travel* ' of a, 583 

Transportation Act : 

• tiding of, \ I .1 .hnson on. 1161* 
Amendment of Rate-Making Provisions Pro- 

i 1, 183, 516, 1192, 124 1 '. 1-0,4;, 


Amendment 1 >pi : ! 18, 1249 

"Fair Return." A, 
902t, 1051*. 1267y 
Parmelee, Dr. Julius H., on. 1172 
Provisions for Per Cent Return and Gov- 
ernment Loans Expire, 534 
Recapture, Col. W. A. Colston on, 1745 
■Recapture" Provision, Attacking the. 952t 
Return for the Railways (See Rate of Re- 
turn I 
Revision of, 1161* 
Robinson, Bird M., on. 1029 
War -field, S. Davies, Warns Against Attacks 
on, 776 

Transportation Club of Xew Y, rk ( its- 
Address of Elisha Lee, 1133 

Transportation Division (See American Railway 
Association ) 

Transportation Institution Proposed. 1346 

Transportation Problems (See Railroad Situation) 

Trans-Zambesia Railway, The, 1251 

Trap Door Spring Testing Device, 1710 

"TR" Automatic Induction Motors, 748* 

Traveler on Unsystematic Loading, 1004* 

Traveler, Transcontinental, Observations of a, 

Traveling Auditor. Recognition of the. 230. 1054* 

Traveling Engineers' Association: Operating and 
Maintaining Oil Burning Locomotives, 1187 

Treating Ties (See Ties and Timber) 

Treating Water (See Water Treatment) 

Trend of Freight Traffic, 226* 

Trend of Railway Construction, The, 213t 

Tribute to F. F. Gaines, 1580 

Tribute to Tohn F. Wallace, 668t. 670 

Tropics for Our Ties Supply, 743* 

Troubled Railroads Versus Troubled Grocers, 

Truck Bolster, Wrought Steel. 1565* 

Truck Column. Bradford Boltless, 1428 

Truck- Horse, A Plea for the, 246 

Truck Side Bearings, Machine for Determining 
Frictional Resistance of, 1462 

Truck Side Frame, Wrought Steel. 1426* 

Truck, Stafford Roller Bearine. 1460" 

Trucks (See also Car; also Motor Trucks): 
Baker Company's Types, 1394* 
Clark Gasoline Power-Lift, 1568 
Electric Crane. 1394* 
Elwell-Parker, Low Platform, 1182* 
Elwell-Parker Platform Trailer, 1401* 
Elwell-Parker with Crane. 980* 
Erie Freight Service at Xew York. 25.?-. 826 
Mercury Tractor and Trailer. 1400* 
N. Y., 'N. H. & H. in Freight Houses. 469 
Pennsylvania in Chicago Terminal, 225* 
Yale Electric Crane, 1573* 

Trying Out Xew Devices. 14311. 1685t 

Tube Shearing Machine, 1568 

Tube, Stoker Distributor. 1617* 

Tuley, Philip S.: Letter from Commissioner 
rutin .111 Rates and Wages, 221 

Tunnel Into an Open Cut; Converting Bessemer & 
Lake Erie, 1275* 

Tunnel, Xew York-Xew Tersey, 840 

Turbine Locomotives. 50, 1295* (Swedish State 
Railways), 1629+ 

Turbo-Electric Locomotive in England. 940 

Turntable Motors, Controller for. 1625* 

Turret Tool Post, 1567 

Twentieth Century Limited. Anniversary of, 1497 
Path Electric Heater. 1398* 

Type B Automatic Lubricator, 1619* 

Type D Radial Buffer. 1620 


U-C Brake, 1682 

Unaflow Locomotive, 1727* 

Uniform Gage Commission of Australia, 110* 

Uniform General ' ontract Forms, 687* 

Unified Terminals at Chicago. Plan for. 1179* 

Unifying Railway Gages of Australia. 107*. 450 

Union Citv. Ga.. Derailment at. 751 

Union of 'Skilled Railway Maintenance of Way 

Employees, 1082 
Union Pacific: 

Expenditures, Pronosed. 929 
Gray, C. R.. on Central Pacific. 1496 
Icing Facilities. 533* 
Locomotive. Mountain Type. 132? 
Lovett, R. S., Before Senate Committee. 1339 
Signalmen Sue for Back Pay. 1082 
Union (See Labot I m 

Union Station at Chicago. 323*. 513* 
Union Transportation Co.: White Rarl Car, 112? 
Unions (See Labor) 
Unit Containers, B. F. Fitch on, 468 

Unit C<. iperation, 796 

Unit Piling of Materials, 1673 

United States Chamber (See Cha 
United Stat B administration : 

Accounts, Status of, . 
Government I 
Liquidation Problems, 1169 
McAdoo, W. G., Defends. 

Reply), 925 (Julius Kruttschnitt Replies) 
Railn a. Is Not Returned Sclf-Sustaining, 

949*, 960 
Settlements of Clail S, ] ' . 
Settlements with. Accounting fi 

United States Shipping Board: 

Railroads Refuse to Cancel Contracts with 
Japanese Steamship Lines. 203, 3 f 'T. 532 
United States Trucking ' 

Erie Freight Service at New 1 ork. 233*. 826 
Universal Car and Hose ( oupler, 440* 

sal Hand Brake Attachment, 1461* 
1 i 1 ntal Boring Mai Bin :, 1568 

of Illinois: 
Research Graduate Assistantships, 293 
U. S. Light ,\ Heat Corporation: 
Direct Drive. 1451*, 154(1- 
Welding Set. 1574* 

Vacuum Brake Tests in England. 810+. 823* 
Valuation of Baggage Compulsory; S. P., 446 
Valuation of Railways: 

Amendment— Bill Signed, 520, 1336, 1497, 

Atlanta, Birmingham & Atlantic, 1189 

Boston & Maine, 974 

Chicago, Rock Island & Pacific, 367 

Data, Some Further, 172 

Development During 1920, 36* 

Expenditures for, 348 

I. C. C. Hearings, 195 

Officers, 172 

Report of A. R. A. Signal Section, 649* 

Reports, Use of, 904* 

Some Thoughts on, 1050t 

Tentative Valuations. 432, 1189, 1249, 1330 

Uses of, 337 
Valuation — Recapture — Depreciation, 1745 

Boiler Check, Annular Disc, 1616* 

Clark Air Brake Retaining, 1428 

King Sleeve-Type, 1542 

Packless End, 1399* 

Plug, for Tank Cars, 1565 

Tank Car, 1429* 

Vapor, 1541* 
Van Sweringen Group, The, 725t, 1047+ 
Vapor System for Passenger Cars, 1541* 
Variation of Operating Income, Seasonal, 273 
Vauclain, S. M-, en European Conditions, 911* 
Ventilating Set. Locomotive Cab, 1074* 
Veterans (See Employee) 
Violation of Hours of Service Law. Fines for; 

X. Y.. X. H. & H.. 1351 
Virginia, A 1 rossing Law in. 1047;, 1082 



Annual Report, 1077 

Bridge. Bascule, at Detroit, 4<)7t. 41 4 • 

Hulson Grates, Service of. 975* 

Water Treatment, 768t, 794 
Wabco Brake Cylinder Packing Cup, 1461* 
Wage Reductions (See Railroad Labor Board) 
Wages (See also Employee: also Railroad Labor 
Board): Supervisory Officers. 1302+. 1463* 
Wanner Electric Manufacturing Company: Poly- 

phase Motors. 584* 
"Waiting for Someone to Die." 1099t 
Wall.. -r T G.. Before Labor Board, 564, S20. 921 
Wallace.' I..I111 F.. Tribute to, 66Sf, 670 
Walworth-Bostong Pipe Wrench. 1570* 
Walsh Tie Company: Timber Treating Plant at 

Minneapolis. 1063* 
Warehouses and L. C. L. Freight Hon-. ■ 
War Finance Corporation: 

Loans to Railroads, 39*, 191 
. 191 

Meyer. Eugene. I n Work of. 543 

"'"'"^'■rnniin^ri:,;,. K ust.BUt 

Transportation Act and Wisconsin Case, 776 

Wa Te'slhnonv 'Before Labor Board. 884, 921 

Testimony Before I. C C . 119, 1067, Ills 
Wastes in Air Brake Service, 1604, 1 
Watei and Motor Transport. 12661. 12/1 
Waterloo Station Completed. 941* 
Wat rpnofing Bridge Slabs; P. & R.. 873 
Wat,. Alarm. Low, 1618*. 1621* 
Water Analysis. A. 1168 
Water Column. Edna. 1617* 
Waler Gage Shutter. Reflex. 1623* 
\\ ,,, Si rvice, )n Organization fpr, ; 651 
w ,t,i Service, Report of A. R. L. A. on, 667*. 

Water Transportation, Xeeds of, 1 I09| 
Water Treatment: . , 

Boiler Waters. Interior Treatment 
364*. 412*. 768t. 794. 907* 

Missout i Pacifii 51 ws .-savings, 11SS 

Soda Vsh, ' 

le Tank Method. 1619 


January 1-Junc 30, 1922 

[Illustrated articles arc indicated thus*; Editorials thusf; Letters to Editor thus%.] 

Waterways, President Harding I 

Link Water Treatment, 1619 

ind "Strung" Railn ads, I I 
Study of. 1206* 
Weather Stripping, Pr itecto, IS42 
Webb Automatic Train SI the Erie, 

1 T5* 

II.. Tribute to, 670 

Weekh i Freight Car Loading) 

Welded I 

Welder. Electric, with t las Engine Drive, 1430* 
Welding Men Met. 1557 
Welding, Miltuirn Torch for. 
Welding - 


W .-st Australian to Bu I . 499 

Western Electric Company: Annual Rc| 
Western Marylani sed, 347 

Western Railway Club: 

thj Aftermath of the 
Federal id, 1169 

Education. C. G. Juneau on. 223, 512$, 1270t 
Fact" B ng Locomotives, 

Loc-i l >76 

a inta Fe, 369' 
Eliminating Hand I 

Telephones it 

Maryland: Strike, 841 

Mr Brake 1 pany : 

Driven, 1682* 

rests Vmerican Braks and English Vacuum 

g Cup, 1461' 
... Electric S Manufacturing Com- 

Report, 12S3 

jer, 1617 
[roller for Turntable Motor, I 

Engine Drive. 


Pittsburgh & West 
nia for Control of, 3b4t. 443 
Wettling, 1. E.: Rate Testimony, 1"-', 230, 578 
What ths Association Can Do. 598* 
Wheel G - i 

Wheeled Platform Trailer. 14H1' 
Wheels. Record ol 1. 1462 

Wheels, Rolled Steel Trailer, 571' 

Wheeling & Lake Erie: Operating Study. 771*, 

T. K. & V 


Why th I 

. I. M : Reversi Gear, 1572 
Will Religion and Railroading Mix'' 412t, 510*. 
Testimony Before I I 

Testimony Before Senate I ot ttei 

Williams Receding Die Urol. 1569 
Winburn, W. A. (See ,i 

\ . I \ . I i : ■ '- 

Window Post, B 197* 

Wireli ■ (Sei i I idii 

\\ irele mmunii ation: X. C. & St. I... 257t 

Wireless Control, T. C. Clark's 

Fare Case, 519, 556t, 77i 
!' ania, 919*, 1 74S 

W 1 (See Til I u. I 

\\ I. Fr.d IF: Rate Testimony, 385, 573 

Prof. A 1 . Promoted, 1550 
W In. Bridges .....1 I 

\\ hoe. I'. I Bi foi I I 

173, .<57i. 
Mol I 924" 

W Is Brothers i 

I of Bignell Piles, 1281* 

M 1186" 

i 1 1 i . 

.if Machinery, N ed d M odern, 408f 

w Iwot king Mai in.. . I li » 

ir , 511} 


Work, Contracting of (See Contract l 
Work of the Labor Board. Jt. 1140 
Work of the Mechanical Division. 1545t, 

Working Conditions (See Railroad Labor Board— 

Worst Railway Year in History. If 
Wrench. 9 ng Pipe, 1570* 

w ronj Man \. tin, 1 b. 
Wrong Repaii I 1543, 

Wrought Steel Truck Bolster. 1S6S* 
Wrought Steel Truck Side Fran i 


Vale Truck and Chain ll ist, 

Yardmasters Disclaim Connection with C 

. 462* 
Yards and Tel n 

I :.r Movt Ml. 1: tS, ! ... 41 It 

Consolidation of Freight Terminals, 


Detroit. Pennsylvania at, 171K. 1717* 
Engine Terminal (St. Login .• Terminal) 
Mail Terrain 513' 

N. Y. X. II. & II at Providence, 1467* 

. lv.,.1 .. ..t South Kearney, N. J., 


Report of A. R. F 

Tractor Haulage m Pennsylvania's Polk 

Year of Struggle. Another. 4t 

Year, Railroad Developments During the. 9* 

Year, The Worst Rail.. 

~> . \I. ( A.. Railroad: Fiftieth Anniversary, 



Fprged S 

. K . < "ii.n ted I 

invention, 1431t. 
1547. 1592 

2!one Plan of £ tie, 1184 


Mill Building! 

ring, 906 


. 1103 

''.ook, 810 




. 77li 

I I I '.lake Rig- 

Princi] . 361 

Hon of tl Bridge 

and Building 1322 

•nig Procedure, 1^22 Edition, 
Railway S 
Story of the Rome. Watcrtown \ Ogdensburg 

Use of s 




[*/«./' ' ^Indicates sketch only.] 



r M „ ll 

r I 


11 H 





'. I 








,. II II 


1. \ 1 . 


i. Ralph, 



. w i 


w r 


. 1 . 

i . 




. l.'i ; 

January 1-June 30, 1922 


Burgess, A. C, 504 

, II. E., 5'i<> 
[■ |06 
i ii 
liiul :, G. I'.. 1369 

C ! 

I. J., 306 

Cadieur. A. 11.. 306 
( abill, M. II.. 1513 
Cairns. C. A.. 58? 

II, i l. \\ .. 4(15 
i ampbell, I I... rn.i- 
i ampbi II. I', i ... 405 
Campbell, S. A.. 17o2 
... I.. I'. 302 
i ampe, II. A.. 251 

; g, W. E., 855, 
Canova, W. R., 305 
Cantrell, I'. \\ ., 1 

e, I. T . 1317 
Carey, II. I... 255 
I arey, fames P.. 1514 
Carlton, Newcomb, HM1 
Carncr, C. E., 998 
Carrithers, C. P., 490 
Carroll. Waltei I . 160 
i larry, Edward I-.. 252* 
Carscadin, Charles A., 1311 
( arson, < . E.. 209, 1204, 1262' 
(arler. E. E., 306 
Carter, R. W., 251 
Charles, Howard J., 206 
Chisman, T. R.. 1369 
Chouinard, Arthur J., 255, 551 
i hown, A. 1!.. 305* 
I hudli igh, W. I., 210 
i laiborne, C. II., 551, 1 !04 
i lam ey, I. A.. 209 
Clapp, (.ec.rge II., 40(1 
(lark. George II.. 1089 
Clark, O. F., 209 
(lark. \V. R., 251 
Clarkin, P. W., 1154 
("lean. William I.. 302 
Cleland, A. M . 256, 305* 
Clemens, H. V., 1097 
I lose, I. L., 356 
i offin, Charles A., 1196 
Coffin. G. W. Floyd, 943 
Coleman, J. P., 306 
i oley, F. 'C. 209 
i .Hi.:-. G. Fred, 992 
Collister, C. C. 1262 
Colston, W. A., 897, 939, 1097 

1154, 1262, 1711 
Coman, Wilbur E., 305* 
Conley, 1. A.. 455 

lly, J. A., 206 
Connolly, N. I)., 1514 
Conover, J. S., 1154 
Cook, Howard, 943 
Coppethwaite, H., 1370 
Cotsworth, Albert, 209 
Cotter. Tohn J.. 1264 
Cotterefl, C. A.. 405 
Cotton, W. A., 547 
Councilman, H. J., 209 
Countryman, M. L., 551, 897, 898* 
i ovi rdale, W. II., 210, 306* 
Cowin, J. J., 1262 
Cox, C. R„ 893 
Cox, E. H., 504 
Cox. J. S., 455 
Cox. O. W., 1369 
Craft. Edward B-,, 849 
Crawford, David A.. 252, 302* 
( ran ford, I. B 
Creager. C. H., 210 
Cremean, \V. F.. 251 
Crocker, \V. G., 405 
(roll. B. M., 947 
Crouse, J. L., 251 
Crowder, \V. F., 1263 
Cudahy, Michael F., 352 
Cullen, T. P., 1514 
Curtis, G. \V., 1154 
Custer. T. F., 1262 

Dailey, C. C, 1263 
Dallman, O. H.. 1253 
Darneal, T. L., 899, 947 
Davidson, G. A., 806 
Davidson, M. C, 400 

Davis, Everett l>.. 899 
Davis, J. M„ 1379$ 
Davison, C. C, 1262 
Dawson. T. B.. 900 
Day. J. A., 1262 
Dayton, W. L., 306 
Dsabler, C. O., 206 
Deacon, W. II., 405 
Dearborn, R. I '.. 756, ■ 
De Camp, R. P.. 255 
lie Forest. Robert \\\. 355 

n. nney, C. E.. 1262 

Dennis, R. A.. 1506 
Depue, G. T., X55* 
Dewey, C. L., 501 
Dewey, Stewart I., 452, 455 
Dewson, E. PL, 301* 
Diet/. Carl F., 251 
Dike. H. Ii.. 1368*, 1762 
Dinkelman, Hans. 298 
Dtsb.i. II. II.. 948 
Dodd, Theodore I. . 992 
Donaldson, I. C, 251 

Donaldson, w L 

1).. ii. .hue. ran . - i 
Dorety, 1 G 
[ lot nbl iser, G I 
Dougherty, F. P 

I gh( rty, \\ ilb tm I 

I \ . 157 

Dresser, F. I. C. 591 
Hum. .11. II. "D.. 75o 
Dudley, L W.. 
Duffy, lame- Ii.. 306* 
Duncan, V S., 849 
Duncan. I. M.. 1196, 1311* 
Dunn, (. I . 1370 
Dupue, G. T . 806 
Durham. E. ' . 
• ill, 1). J., 350 

II. I . 1369 
Eh, .1. anil, 0. I.. 206 

Ehrke, John, 551 
Elliott, T. H.. 939 

I. 1).. 947 
Elsey, Charles. 209* 

Emerson, T. B.. 162 
Etter, W. K., 855, 897, 
Eva. C. H., 1262 
Evans, lolin. 1098 

\I. A.. 1506 
Evens. J. W . 405 

Fairlamb, T. F., 1154. 1204$ 

Farmer, C. !•'.. 1263 

Fay, Thornwell, 155 

Feeley, W. L., 947 

Feiker, I". M.. 292 

Feldes, R. A.. 1514 

I enley, W. \„ 993* 

F. rnstermaker, D. C, 406, 4561 

F. rstet, W. S., 356 

Finegan, Eugene B.. 947$ 

Finley, J. B.. 806, 897* 

Fish, I. L., 947 

Fisher, C. D., 947 

I n u. raid, R.. 1513 

Fitzsimmons, E. S . 760" 
Flanagan, Henrv. 25 5 
Fli ii, T. R., 551 
Flint, C. B.. 1146 
Flynn, P. T.. 1262 
Folsom, T. 'R.. 1097 
Forster, J. G., 352? 
Fowler. II 

Fox, F. C, S55, 89S 
Fox, John F.. 1262 
Frank. I W., 998 

Fraser, D V , 504 

Fraser, T. D., 209 
Frick, O. H„ 1046. 13691: 
Friend. Rohert 0., 1146 
Fritz. Lucius A.. 1146 
Frogner. T. A.. 356 
Fromm, A. I!.. 1514 
Furlong. L. \ . 1089 

Gaines. E. II Jr., 456, 552} 
Gardner, C W.. 1761 
Garrigues. II. H.. 998 
Gavin, F. T . 355 
Gehlert. S. R.. S97 
George, 7.. T., 405 
Gersbach, O. H., 1514 
Gidding, II. 998 
Gilbert. L. D . 209 
Giles. G. S.. 594 
Gilkey, H S., 1089 
Cillis: II. V.. 455 
Gilroy, P. J!.. 943 
Glai ii . r. Harry, 1311 
.,.,1,1-1. in, Dr. I. M 156 
G Irich, L. A.. 551 

Goodwin, Tames E.. 1204 

Graham, \V R.. 1204 

'■■ , di lulian. 156 

Graul, \V. II.. 206 
Gray, Archibald. 210. 305$ 
Gray, George. 302 
Gray, Wallace H., 452 
Green. George H.. 801* 
Green, IT D„ 147 
Griffin. M. T. 156 
Griffith, P.. W., 1370 
Griffith. G. E . 295 
Griffiths, E„ 16: 
Griffiths, E, S.. 1089 

I .'i.s, , lose. A M . 542 

Gru C. \\\. 1262 

i. hi. i. in . II. A I.. 455. 

Cum, 11. C. F.. 998 

Guy, II. lb. 1154 

Haas, Erwin M., 547 

Tl.olloM. II. R„ 501 

Frank E . 304 

i R T . 897 

II ... - \\ infield S., 1761 
M, ii, . W. T., 355 
Haley. R C. R93* 

Hall, Ebb.. I Byron, Ml... 109 
Hall, ll.ii.-v C, 247 
Hall. W. S.. 5S1 
Hallberg. David T.. 160* 
Halporn. A. D.. 1357 
Halsev, W. W., 992 
Hamilton, C. T. Jr.. 992 
Hammer, B. H., 209 

il D 1702 

.14, 551 
n, II. V. 1154 
ii V. S 

lb Mrs. H I. ii \l 

II ii i.l 

,. w u . 

Hannah, Mack, 501 
ii George, 1513 

il . ,. I B . 591 
i n i- ' 1262 
Harding, R. 1 . 

I.. A.. 1317, 
I-.. II., 455 
Harmison, Webster !•'... 356 
Harris, I 

Harshbarger, E. M.. 13 
Hart, W. M . 490 
Hart, i. i barles, 356 
Hartshorn, I . R„ 856 
Harvey, Alvin Chase, 16 ' 
II .-, .. ...i. \ I.. 1040 
Hasendahl. Walter, 206 
Hassett, W. H . 1311 
Hasson, X., 394 
Hastings.' Paul P.. 1203. 1762* 
Hatfield. II. P., 203 
Hawthorne, F. M., 504 
Hayden. I. R., 1263$ 
Hayes, E. F., 551 
Hayes, Ross F., 452, 547* 
Haynes, T. P., 1034 
Haynes, Winfield S., S06 

Hayvi I. William, 504 

Hebard, W. I-., 992 

lice, I, Thomas I)., 162, 209* 
Hegel, G. W., 1762 
Hemingway, A. I . 993 
Hendershot. B. L., 1145 
Henry, Robert S., 255* 
Herbert, T. C, 504, 594 
llerbbv. I. I.. 210 
Herrman, B. W., 1369 

II 1. Albert A., 555. 356$ 

Heusner. Rufus D.. 899 
Hewes, C. A.. 1370 
Hewes, J. Jr., 210 
Hickling, F. G., 894 
Hicks, R. ('.. 255 
Higginbottom, W. ('.. 305 
Hill, I. B., 998, 1046J 

iiiii, J, f., 900 

Hines, Walker D., 504 
Ilix, A. W„ 1046, 1204* 
Hoag, E. C, 162 
Hobbie, A. D., 1310* 
Holcomb, I. R . 947 
Holmes, G. W., 948 
Holt, C. W.. 452 
Holt, Leroy, 302 
Hooker, Fred, 1263 
Hooper, Ben W„ 1080 
Hoops. E. L., 900 
Hopkins, L. P., 947 
Horton. T. P., 764 
Houston, J. S., 455 
Houst, n, P. D., 355 
Howard, D. L.. 1262 
Howard, F. C, 900 
Howard, S. P.. 806 
Howley, T. F., 406 
Hoyles, N. C, 1357$ 
Hoyt, Elton. 1089 
Hudson, A. IT.. 1089 
Hughes. J. J.. 206 
Hughes, L. I., 12U4 
Hugb.-s. W. T., 1317. 1368* 
Hundley, J. R.. 764 
Huntington, C. C, 210 
Huntington. C. \\ '., 455 
Huntington. G. R., 1204, 1241* 
Huntsman. H. X., 1762 
Hurkett, S. C, Jin 
Huse, W. A., 1369 
Hutchings. F. W., 893 

Ingram. G. F., 899, 900* 
Irvine. R. Tate. 1262 
Irving, Elmer, 900. 948* 
Irving, T. J.. 806 
Isaacson, Frederick A., 356 
Israel, H. A., 1370 

rackson, A II.. 1507* 
"licks, .n, J. F., 1369 
Jackson, M. Roy, 1357 
Jackson, William I.. 162, 181* 

Charles. 547. 552. Ml.. 
'lanes. \. I... 897 

'larvis, II. E., 855, 898 
Jefferson, t I-:.. 162, 210, 405j 
I. wett, l>i . I 1'. . 8 r< 
I. .bus, „i. A. S., 405 
Johnson, C, W.. 302 
Johnson, R IX, 455 
Johnson. S. A.. "47 
Johnson, Win.. 12o2 

I. .,!..-. CM 

Jones. F. W.. 1369, 17,. 2 
iones, George W ,, 1262 
Ion, II. I... 849 
I. .in-. II. R., 1089 
loi.lan. C. A . 209 
Joy, P. W. S . 305 
I, ,„ ii Henry lb. 3061 
Tuel, c. I. . i< 
June, I. (.. 162 

Kihrs. II. 11., 504 

\l., 551 

Kellogg. F. L.. 352 
II.. I. I-. Ii.. 552 

I.. 1517. 1369. 

II I .S'M 

V, r 

ry, F. .1.. 251 
Kinney. I . I 
Kirk. E. G.. 1262 
Kirkland, 1). F., 1204 
Kirkpatrick, I I . 1089 
Kloetzner, Ottmar, It . 
Knobeloch, \\ I 
Krehbiel, P. (b, 1557 
Kreig, ( . W., 1089 
Kroeck, I . P. I.. 352 
Krohn, Frederick W . 162 
Kuhlman. Fred I., 1357 
Kuska, Vah. 998 
Kyle. C. C. 764 

S., 1368, 1513*, l7ol 
Lambert. I. II.. 806 
Lambert, M. Ii., 251 
Lamborn, Leslie (... 1041 
Lanilrctb. P.. 801* 
Langenbach. E. A., 1089 
Lanning, II. II . 256 
Lantry, T. H.. 898 
Laret. A. II. . 1514 
Large, Arthur W.. 1369 
Larmour, R. E.. 2111 
Lassiter, C. K., 1041 
Lavis, F.. 943 
Lawler, E. I.. 4115 
Lawrie, O. A., 943 
Leavitt, E. S. 106 
Lehde. Pendleton E.. 501 
I.eiiiine. A. W., 1379$ 
Lend, Richard B.. 1317 
Leonard, Albeit I . 106 
Leonard. A. I.. 17o2 
Leppla. I., 405 
Le Prea'u, F. J.. 625 
Lewis. E. I.. 44S 
Lewis, E. L., 899* 
Lewi-. I. W. 251 
Lid, lb. "Charles A., 252* 
Light. J. E., 899 
Lincoln, Robert T.. 252 
Lindley, E. C. 504. 551. 897 
Linheimer, S. W., 943 
Little, B. A.. 1514 
Lively, H. T., 405 
Long. C. H., 251. 501 
Long. L. IL, 806$ 
Lord, J. P., 1514 
Love. 1. I., 1262 
Lovejoy, J. R.. 1196 
Lovell. F.'Hallett. Jr., 1310 
Loweth, C. F.. 1747 
Loyall. G. R.. 455 
Loyd, F. R., 405 
Ludlow. A. R.. 1311 
Lund, George E., 504 
Lupton. G. W., S97, 1091 ■ 
Lydon, J. J., 1253 
Lyford. Will H.. 162. 255* 
Lynch. E. D., 251 

McBean. W. IL, 947 
McCabe, I. W., 1754 
McCartney, John D., 162 
McChord, I'll.. 1204 
McClellan, William, 591 

Met hue. I. C . 806 

McClymonds, I. W., 504 
McCo'nnell. John, 547. 1089 
McCoy, C lb. 502 
.McCoy, H. B., 356 
McCune, I. G., 301* 
McDonald, A.. 1154 
McDonald, I. A.. 856 

.McDowell. "Robert. 856 
McEvoy, Harry K., 947 
McGarry, I. T., 452 
McC, ... H. E.. 405 
Met, ill. I. A.. 594 
McGraw, M. I., 900 
McGregor, C. I.. 945 
McGrew, John A., 594$ 
Mcintosh, G. R„ 998 
Mi K i. . Col. Douglas I.. 1434 
McKay. E. W.. 75,. 
McKendrick. I.. 1154 
McKenzie, I..' 1263 
McKillop, R.. 504 
McKinley, T. W.. 1262 
McLeod. R. M.. 1262 
Mi Mastei . \\ .. 1762 
Mi Mil h.,. |, Al .: 
McNeill, I. A.. 1154. 126.U 
McPherson, T. C, 209, 304* 
Ml I'll, i -.,.,. V\ <b. 210 
McWilliams, C M., 209 
Machovec, E. E.. 856 
Mahaffie. Charles D., 939 
Mabel, X. lb. 455 

Mahi n. [nhn V.. 136') 
Malev, R. C. 591 
Mallette. W. B., 1145 
Mill...... 1. M.. 1369 

Mansfii Id, Frank I' . 206 


January 1-June 30, 1922 

[indicates photograph •mo' sketch. ^Indicates sketch only.] 


Marshall. \\ W 

Mart. n. 

... . 
Matthews. Edward .1 

:• r . 1154 

I. W., 1357 

B - 
Mcllo. A. 
Meredith, J A. 
Merrill. '■ - 
Merrill. B - 
Mcrritt. I 

• 551" 

I., mi 

Millard. William II . 

Miller, W II 

M lligan, II- K. 551 


Milner, B 1!.. 156. JS1. 15.15 

II. \ . 1317, 1370 
Mitchi 1046* 


M 1154 
\ . 1317, 1370 

Montgomery, II. M. 

C. 1>. 1357 


Owen A I 


Dr. rulius H 

!' 1,11 S., 1317 

I. H 
Paul, Dai 

I. I... 155 

: >y, 947 

w D., 12621 

Peck, I 

Peckett, Leonard, ''4.1 
E. I . 943 

W. M., 504* 
Pent. E 

Imund, 1241* 

II.. Jr.. 135J 
!.' , 551 
iud, M . 155 

Peterson, I ai 1 


Iter R.. 1310 
Phalen, I rank, 1357 
Phelan, I. B., 
Phenbc, P 
Phillips, Alb. 


Pierce, R 

G II . 1154 

Platten, (ohn V. 

I. 1... 1310 

. I . . 1513, W62 
Powell, M. W 

Pratt, Ufrcd E., 253« 
li W., 547 

\ W. 1041* 

William. 10ft. 


p i 




• 1711 


I-... 1513, 1761' 
Ryan, W. I 

Sackbauer, I. A.. 551 

Sampson, !■'. E 
Saunders, W. H.. 1145 
. Alice B.. 251 

17 552 

VV W., 162 
Schurch, l,.hn F., 1311*, 1375' 

! N06 # 

i I . 206 

Senile. N. R.. 1506 C, 1368 
\ M.. 998 
Sexton, I. R.. 856 
Seybold, R-. 251 

. . M . 1204 
1 1 262 
Shanks, A B 
Shaughnessy, I ' 

Shave. S. R . 894 


B„ 1 15-1" 


I, F. H.. 251 
Sherman. 1. K 
Sherwin, i ■ 

Shwab, George A.. .555 

Siefer. F. M.. 900, 11 = ' 

Simmon, K. \ 




I I 

Slawson, James II.. 1311 

: r 
Small. W. T., 5H5 
Smirii A. P., 455. 5ft4t 

Smith. A B 

V 11.. 1513 

Smith, D 
Smith, E - 
Smith. II. B., 
Smith, H 
Smith, M P 
Smith. II - 

I. \\ .. 1514 
Smith. "I. .hi. V 
Smith. ■ 
Smith. \\ • 



P \l . 1154 

■>. I 

' II 


w \ 

Taliaferro, R M 

Temple, Arthui 


n, Rali.h. 1557 
S. F., 1369 
V M , 209 
5, (hark- F.. 1154 
. E. P.. 1262 
s, J. P.. 899 

!,. Gardner, 306 

o, II B.. 894. 1754' 


Timmerman. II. P., 1154 

Titu^. Andrew P 
Titus, R. E 
Tobey, C. B., 210 

Tompkins, T. R 
Torkelson, M. W 



Manuel. 993 

Tyler, B. I 

Tyler. W. 1. 1089, 1145' 

Urbutt, C. F., 764 

Valleau, II G. 

Van Dyne, F... 1262 

Van Fleet. Herman. 1311 

i; k, W. A., "45 

Van Renselle. 

- reringen, M. .1 
Van S '' 1262 


Vauclain. I I... 1311 
n, 5. I... 551 

Vincent, 'at 
Vitt. 1. 1'.. 1762 

Herbert, 400 
1 trail F. 1196 

Wack. 1. H 
Wakely, I V\ 

Walker. O. C, 405 

Wall, T. G . 

Walsh. P R 



\\ :>- .1 W ' 


I, 1317" 



■ v. 

January 1-June 30, 1922 



illif [. 1 

Wiswell, G. T., 



1. . 760 

Withers, \V. P. 


it* II. 1 M . 

Wolfe, Charles 

P., 1141. 




■ s 


inchell, M. I... 093. 1368" 

Wood, Prol \ 

!.. 15501 


in. jr. G I. . 943 

Woodward, E . 

1 262 


nkler, Robert, 1038 

W |..\ .lib. Er 


\.. 54/1 
Zyder, M. I.. 1514 


Amsbary, D. H.. 401* 
Vngier. F. I.. 

\> i, W C, 1558 
Ashton, A. ('.. 452* 

Ball, Webb C, 761', 849 
Barlow, II. C, 1034 
Barnwell, Walter C, 552J 
Barstow, Will, run A.. 452J, 54.' 
Bayley, W. G., 456J. 551 
Beauprie, W. R., 504 
lilvc II. C, 552* 
Hoggs, George T., 256 
Bougbton, William, 802J 

Caldwell, George K„ 764 
Campbell, T. II.. 948 

5, m. Inhn. 998* 
Case, Charles Whipple. 8.06J 

I II., J10 
Cutler, Otis II.. 591, 761 


Edes, William C, 1370* 
Ehrke, John. 552 

Irankcl. Harry, 401 

Gibbs, Alfred W.. 1264% 14111 
Glynn, James II.. 256, 306 
i .I act . i tarvey !•-., 850 
(leaves, William A.. 1089 

1 1 a IT. F. !■:., Hi.' 
Hardin. A. T.. 504* 
Hardin, Tohn D.. 1264 

Hemingway, A. X., 594 
Howe, Harry C, 1318, 1514 
II. «c. Ilerhert 1).. 356, 456J. I 
In.l. m, T. J., 306 

Illingworth, Robert II.. 1042 
Ingram, James 1'.. 1762 

W. I.. 764. 597$, 806 

Lambert, Tohn, 591 
Lesh, I. B., 1357 

McCulloch. William T.. 
McNeil, I. E., 1318. 1514" 
Mackie, lames S., 764 
Harden, John Woodrow . 1434$ 
Maycock, loseph, 1754 

!•:. P., 1264. I !70 
Merrill. William F.. 406J 

Midgi ly, lohn W„ 900. 9 18 
M..1I. i, Charles I'".. 993 
Morris. Arthur F., 13181 


C. II.. 764, 948 


Joseph, I 

Reid, William S., 1089 
Rust. Albert F., 1264, 1318 

s.nenit. William C, 501}. 
Savage, I. bti I; . 552*. 8S5 
Schwab, foseph E., 50U 
-. irs, William B.. 1154 
Shaughnessy, E. II.. 362, 406* 
Smith, George W.. 1264 
Smith, lohn D.. 94R 
Stanton, Robert R.. 552 
Stilwell, Wendell II.. 856 
Sullivan, I.. M„ S56*. 1154 

I. Ml.... Grant W., 1046}, 
Taylor, Knox. 943* 
Torrey, C. P., 1762 
Turner. J. B.. 1264 

Walsh. I. R.. 210 
Warner. George K., 456J. 50 1 
Williams, Edward A.. 1264 
Wood. loseph. 594 
Woodruff, C. M.. 352 
Woulfe. Frank I.. 998* 
Wvnn. lohn. 764. 1046 


Alberta & Great Waterways 762 

Alaska Engineering Commission, 850 
American Railway Express, 502, 1358 
\rizona Eastern. 303 
Arkansas Short Line. 1248 
Uchison, Topeka & Santa Fe. 253. 303, 4111, 

453, 502. 54S, 592, 762, 802, 850 044. 993, 

1146. 1197, 1312, 1507, 1755 

Baltimore & Ohio, 044. 003, 1197, 1253, 1358 
Bangor & Aroostook, 1146 
Rastrop & Lake Pn vidence, 592 
Roston Si Albanv, 592. 1358 
Maim . 895 


895, 944. 

Canadian National, 762 
Canadian Pacific. 253, 401, 762, 

1090, 1358, 1755 
Central Building Company, 160 
Central of Georgia, 253 
Central of New Jersey, 850. 895 
Central Vermont. 1507 
Chattanooga-Crossville Project, 850 
Chesapeake & Ohio, 802, 993, 1043, 1358, 1755 
Chicago & Alton, 802, 1755 
Chicago & Eastern Illinois. 802 
Chicago & North Western. 944, 993. 1090. 1146, 

1197, 1507 
Chicago & Western Indiana, 548 
Chicago, Ilurlington & Quincy, 253, 3 53, 40 1, 

453. 54S, 802, S50, 944, 993, 1090, 1146. 

1197, 1312. 1358, 1755 
Chicago Great Western. 303. 353. 453. 548, 592 
rinY.TJi , Indianapolis & Louisville, 1755 
Chicaco, Milwaukee & Gary. 207 
Chicago. Milwaukee & St. Paul, 1090 
Chicago, Ottawa & Peoria, 762 
Chicago. Rock Island & Pacific. 355, 502, 592, 

762. 1043. 1146, 1755 
Chicago Union Station. 207. 253. 353. 453. 944. 

1197, 1253. 1358, 1507. 1755 
Cincinnati Northern, 1755 
'is,. 8. Northeastern. 1146 
Cleveland, Cincinnati, Chicago ,V St. Louis. 401, 

453. 802, 119/. 1507 
Colorado S Southern, 1558 

I l.ii ,1, I ..1 i'mi.iI ion, 401 

Delaware ,V Hudson. 1358 

Delaware, Lackawanna ^ Wester! 

Denver & Rio Grande Western, 101, 03, 1043 

Denver \ Salt Lake, 1255 

Dodge Citv & Cimarron Valley, 

Eldorado & Santa Fe. X95 
Elgin. Tohet & Eastern, 502. 993 
Erie. 401. 1253. 1312 
Esquimau & Nanaimo, 762 

Fort Worth & Denver City, 253, 


I rand Trunk. 1045 

Great Northern, 401. 453. 592. 762. 803, 850. 

993. 1197, 1558 
Gulf & Ship Island. 76?. 1090 
Gulf, Colorado & Santa Fe, 353. 1090 
Gulf Ports Terminal. 548. 1358 

II ni.i & Vermillion, 160 

Illinois Central, 160. 353, 453. 502, 548, 592 762 

895, 944. 993. 1090, 1140. 1312 
Illinois Central Terminal, 1558 1507, 1 7 : 5 
Illinois Terminal, 160, 253 
Illinois Traction, 1043 

Indianapolis & Cincinnati Tractiun, 403 
Industrial Terminal Railwav. ''"5 
Tntermountain Coal & Lumber Co., 207 
International & Great Northern, 502 
Interstate, 207 

& Eastern. 402 

Kansas & Oklahoma Southern, 502 
Kansas Citv Southern. 1755 
Kansas City Terminal, 993 
Kansas, Oklahoma & Gulf. 803 
Kettle Valley, 1090 

8 Northwestern, 1090 

I eavenworth \ Topeka. 805 
I ehigh & New England, 1090 
I ehigh Valley, 303, 993 

Los Angeles & Salt Lake. 355. 502. 805. I 

Louisiana Railwav & Navigatirn. 503, 502. 548 

Louisville Si Nashville. 555. 1255 

I cuisville, Henderson S St. Louis, 850 

Michigan Central, 805. 1043, 1 1507 

Mil luean Northern. 1755 

Midland Valley, 803 

Mm mis 8 West, rn, 101 I 3 

Mingo Valley, 54S 

Minneapi lis K St. Louis, 402 

Minneapolis, St. Paul 8 Saull Ste. Marie, 555. 

502, 803 
Missouri S North Arkansas, 1090 
Missouri, Kansas 8 I 1 tas, 160 . 555. 540. 

I 507 
Missouri Pacifii . 207, 253. 505, 555, 1,. \ 1 ■-, 1, 

549 | 59 [, 762, 850, " 1, 99 1090, 1755 
Mobile 8:0 

Montreal Wat I hi Using I . 11111. in, 

Nashville .Chattanooga S St. I ouis 

1090, 1358 
National Railway! ol Mexico, 555 

\ .. Hull,,., Mr.. 10 .11 ,\ \h V. , non, 453 
New York St Long Branch, 850 
New York Central, 255, 453, 502. 944. 1090, 
1197, 1253 

New ^ irk, Ne« Haven & Hartford, 502. 762 
\, rt, 11. S Western, 255. '-44 

North Shore I .11.01 .1110; k.uli, ad. 7o 
Northern Pacific. 255. 505. 805. 1090, 1'46. 1197 

Northern Pacific Terminal Co., 1146 

Oklahoma Northern, 1090 
Oklahoma-Southwestern, 763. 1197 
( Iklali. ma Valley, 402 
1 0, gor, Sho.t Line, 402. 895, 1146 
Osage. 592 

Pacific Fruit Express, 160, 402. 1146. 1312 
Pennsylvania, 549, 895, 1043, 1090, 1253, 1312 
P. re Marquette, 502, 895, 1312 
Philadelphia Si Garrettsford Street Railwaj 301 

Philadelphia & Reading, 505. 502. 592, 762 94 

Pittsburgh 8t Shawmut, 762 

Railways Ice Compt 


St. Louis-San Francisco. 402. 502, 592, 

St. Li his Southwestern, 592 

St. Paul Union Station. 1312 

Salt Lake & Denver. 762 

Salt Lake & Utah, 402. 502 

San Antonio & Aransas Pass. 502 

Santa Fe S Los Angeles Harbor, 1507 
Southern Pacific, 402, 944, 1090 
Southern Railway, 803 

Staten Island Rapid Transit. 503 

Tampa Southern, 160 

Tennessee Central, 505. 540 
Tennessee Eastman Corporation. 453 
I as 8 Pacific. 549 
Texas \ Panhandle. 1197 



Tole.l, ,, St. Louis 8 Wi 
Trinin & Braz. s Valley, iO 

, e St Southeastern, 044 

I 'in. n Pacific 160, 07, 40 '. 1043, 1755 

\ 10 1. 1, .ni \ w 1 .1, rn, S95 

Wabash, 160, 549, 803, 1755 

ton, Brandywine 8 Point Lookout. 803 

1 . Southern. 253, 402 
WesUm Maryland 

Western Pacific. 253, 895, 1090. 1755 
Wichita & North Western,* 402 
Wichita Falls & Oklahoma. 850, 1312 

Mississippi Valley, 762, 1043. 1358 


January 1-June 30, 1922 



Alabama Great Southen 

Arizona .\ New M 
Arkansas Central, 593 

Ashland, i Idanab ,\ M 
Atchison Tope* I 1043 

SI I.! 

•\tlanta Birmingham & Atlantic, 353, 

. 1147 
Atlant i I oasl Line, 119 

Baltimore A Ohio. 303, 353, 454, 59.!, 945, KM.!. 

Belt Railway of Chicago, 994 
Birmingham & Northwestern, 503, 593 

Buffalo, Rochester & Pittsburgh. 35.'. 593, 803, 

Cairo, Truman iv Southern, 207 
Cambria & Indiana. 1254. 1756 
Canadian National Railw 

Carolina ,\ Yadkin River. 1043 
Carolina. Clinch! 
Carrollton .\ Worthvilli 
Central of Georgia, 76 
Central 353, 1147. 1312. 

Central Pacini . 

1 enlr.,1 \ „„..,.-, ,-., 

14,. 1359, 

Chicago & Alton, 353. 803, 1091, 1508 
Chicago & Easiern Illin 

i Illinois Midlai 

! North Western, !07, 1147, 

, 1756 


l3S9 . -, 

,\ Omaha, 114,. 

1 1 >s 

161, 896, 

091. 1198, 


Easten 756 

nti Fe, 1147 

13, 80 
S I -ike Supi I 

Gainesville ,\ Northwesl i 

14, 1198, 

Northern. 1147 

Belt, 851 

,nnk. 161. 303 
Grand Trunk Railway of Canada, 1198 

Ba rn, 549 

Gulf & No 

.. l'i'M 

Hampden Railro 

Hawkinsvil Southern, 1147. 1254 

Hockini Valli 1756 

i JS1. 945, 

1H44. 1091, 1147. 1 112, 1359 
Internatioi ' 1 354, 1044. 119s. 


ille Terminal. 1 


. i Irient, 1756 

■ \ 
( in Southern. 1147 
. 454 

i \ r i, 1198 

l, 540 
Lehigh S Hudson River, 1147 

Live Oak. V 

i 1044, 1198, 1359 


Louisiana S Northwesl 


Maxton \lnia S - 

!, 1508 

Stl Marie. 763. 


; |, 1199, 1313, 

id, 1044 



New "i 

503. . 1H44. 

Ne» Vork, Onl 
Norfolk S ' 


6, 1 153, 1757 
Northern Pac fie, 161, ' 946, 1 153. 

1255. 1313 
Northern Railway (Frani I 
stern ' iklahoma. 

Miort Line, 208 

•' Railroad & N.ivi 


gation Com- 

titerranean, 805 
Paulista Railway (Bratil). 1044 

Pen \l irqui tte, '.11 53, 1 1"'' 

Ri i, 1313. 1512 

gh 8 Lake Erie. 1512 

finia, 505. 1153 
Pittsburgh, Bessemer S l.ik. 1 
Pittsburgh, Shawmut & Northern, 550 
Portland Terminal Company. 1313 

Rapid < ity, Black Hills & \\ 
■ i \ . 1513, 1757 
Richmond, Fredericksburg & Pol 

I ' ind Southern. 1255 
Rutland. 1513 

them. 1255 
s-San Francis 1153 

n, 161 
Salina Northern. 550, 

S Los Angeles Harbor, 1513 
I, 1"45. 1757 

Shreveport & North Eastern, 1153 

n Pacific, 1313, 1513 

S. uther.i R 

banna Rivei .\ Western. 161 

l i . Alabama .\ 

Tennessee Central. 161, 
md. lol 

Toledo. Si Louis .\ W cstern, 
ii ,\ Gbldfield, 




14, 1313 


The Table of Contents Will Be Found on Page 5 of the Advertising Sectii 

The Worst Railway Year in History 

There have been bad years in the history of the railways 
of the United States before. In most respects 1921 was 
much the worst of all. 

The declines of freight and passenger business were much 
the greatest ever known. The percentage of net return earned 
on the property investment shown by the companies' books 
was the smallest ever known except in 1919 and 1920, and 
of course in 1919 and most of 1920 their net returns were 
guaranteed by the government. For the twelve months end- 
ing with October 31, 1921, the net return earned on property 
investment was less than 2.75 per cent, and it is not probable 
the net return for the 12 months of the year 1921 will be 
found to have been any larger when the complete statistics 
are available. The smallest percentage of net return ever 
earned before in a year when net returns were not guaranteed 
was in 1894, when the largest slump in business previous 
to 1921 occurred, and when the net return earned on prop- 
erty investment was 3.2 per cent. 

It is no exaggeration to say that throughout the year a 
large part of the companies were struggling to keep out of 
bankruptcy. The Bureau of Railway Economics estimates 
the year's net operating income of the Class I roads at 
$616,000,000. This will not meet their fixed charges, which 
are: Interest, $477,000,000; rentals, $129,000,000; other 
charges, $34,000,000; total, $640,000,000. Many roads 
failed to earn enough to pay their interest. 

Under such conditions it was impossible for most railways 
adequately to maintain their properties, much less make addi- 
tions or improvements. The Railway Age's annual compila- 
tions of statistics, published elsewhere in this issue, show 
that the amount of new mileage built was the smallest in 
history since such records have been kept, except in 1920; 
that the mileage of railway lines abandoned was the largest 
in history, and that new low records were set for the acquisi- 
tion of new equipment. 

The number of new locomotives ordered for domestic serv- 
ice totaled only about 250, the number of freight cars ordered 
only slightly over 20,000, and the passenger car orders some- 
thing over 200. With one or two exceptions the equipment 
ordered and built figures for 1921 are the lowest on record. 

These statistics are very significant, but they acquire in- 
creased significance when compared with corresponding sta- 
tistics for past periods of years. Prior to the adoption of 
government control in 1918 the number of freight cars 
scrapped annually had for some years been about 100,000, 
or almost five times as great as the number ordered in 1920. 
In the five years ending with 1917 the number of freight 
cars ordered was regarded as small compared with former 
years, but it averaged 108,000 a year, or more than five times 

as great as it was in l u 21. The number of locomotives 

ordered in the five years ending with 1917 was regarded as 

comparatively small at the time, but it averaged almost 

■ 2,400, or ten times as much as the orders placed in 1921. 

One who judged entirely, or even mainly, by the foregoing 
facts would be obliged to conclude that railroad transpor- 
tation in the United States is a dying industry. Fortunately, 
however, this cloud, like most clouds, has a silver lining. 
The conditions in the business were relatively at their worst 
in the early part of the year, and grew better as the year 
advanced. In January and February the railways as a whole 
not only did not earn any net return, but incurred operating 
deficits. Drastic retrenchments and the reduction in wages 
granted by the Railroad Labor Board caused the net operat- 
ing income to improve, until in October it amounted to 
$108,500,000. The operating ratio declined from 95 per 
cent in February, to 74 per cent in October. There was a 
sharp decline of freight business in November and December 
and these months will make bad showings, but throughout 
the entire year the tendency of operating costs was down- 
ward. Wages were reduced, improvements were made in the 
rules and working conditions of employees, and the prices 
of fuel and materials declined. 

In consequence, the railways have entered the year 1922 
on a lower basis of operating costs. The reduction of costs 
has been inadequate, but it is reasonable to assume that they 
will continue to decline. Under the conditions existing it is 
impossible to believe that the Railroad Labor Board will 
hesitate to grant further reductions of wages. Furthermore, 
it seems reasonable to assume that in 1922 there will be a 
gradual recovery of business from its present low level, and 
this is what the railways need more than anything else. Of 
course, however, whether there will be an increase of business 
is purely speculative, and will be determined mainly by 
developments and conditions entirely outside the control of 
the managements of the railways. It is evident, therefore, 
that the only road to safety for the railways is to continue 
to make the greatest efforts to secure further reductions in 
their operating costs, and especially in their labor and fuel 

If the darkest hour of all the night is just before the 
morning light, then the railways should soon begin to see 
the morning light. Certainly they never passed through a 
darker night than the year 1921. 

While the year was marked by relatively the smallest 
amount of improvement work and the smallest volume of 
purchases ever known, there was a marked increase of orders 
for equipment and materials toward the close of the year, 
when the net earnings were becoming more favorable. This 


Vol. 72, No. 1 

showed that the managements were fully awake to the need 
for doing more improvement work and acquiring more equip- 
ment as rapidly as they became financially able. The country 
sorely need? a readjustment of conditions which will enable 

the farmers to ini rease their purchases. Next to that the 
principal requisite for a revival of prosperity which will be 
real and lasting is the restoration of the earning power of 
the railways and of their ability to make normal purchases. 

The Work of the Railroad Labor Board 

PK,» EEDINGS before the Railroad Labor Hoard were the 
of interest in the railway field a large part of the 
time during 1921. The board has had presented to it 
for solution some of the most highly controversial, compli- 
cated and difficult problems ever submitted to any government 
body. It received much criticism from numerous sources 
regarding the way it dealt with these problems. Many of the 
us made were directly contradictory to each other. 
In spite of the numerous criticisms passed on it, and even 
demands from influential interests for its abolition, it a 
that on the whole the board's prestige was higher at the end 
than at the beginning of 1921. 

It is onlv fair to recognize that the provision- of law under 
which the board acts, and the work of the board itself, must 
be appraised separately. The Transportation Act both speci- 
fies what the board must do and prescribes the conditions 
and fixes the limits of what it can do. The board should not 
be criticised for doing what the law requires it. or for refrain- 
ing from doing what the law doe- not authorize it to do. 

One of the most important controversies the board had to 
settle during the year was that over the national agreements. 
The board tried to act in accordance with the demands of 
the railways that rules and working conditions of employees 
should be made by direct negotiations between the individual 
railways ami their own employees. When, however, it re- 
manded the rules and working conditions to negotiation be- 
tween the individual railways and their employee- the head's 
of the labor unions made the negotiation- almost fruitless In- 
directing the general chairman of the unions on the indi- 
vidual lines to accept nothing less than the rules of the 
national agreements. The individual railway- and their 
employee- being unable tO agree, the Labor Hoard was prac- 

tically forced by the provisions of the Transportation Act 
to fix most of the rules and working conditions itself. It 

ua- impracticable for it to fix different rules and working 
conditions for every individual railway. As a practical mat- 
ter it had to make rnl<-^ of national application, In forum 

taring these rule- it seems on the whole to have done 

could in the circumstances. The rule- made by it are 

. .-•• those l out. lined in the national 


doubtful, however, if the board acted wisely, or even 

i I : management 

of the Pennsylvania and representatives of a majority ol its 

■• . i hed an agret menl l he 

board held this illegal on the ground thai the road had not 

mions i oncerned on 

ided in their mem 

11 the -hop employees ["he question 

jfivoh terpretation of the 

it to be hoped 

Another question of great importance upon which the 
board had to pass was that of a general reduction of wages. 
The railways, being in serious financial strait-, asked it in 
substance to wipe out the entire advance in wages granted 
by it on July 20, 1920, and which was made effective from 
May 1, 1920. The board granted a reduction effective on 
July 1, 1921, which, however, did not seem then, and does 
:n now, to have been as large as the conditions exist- 
ing demanded and the provisions of the Transportation Act 
warranted. The cost of living in the United State-, accord- 
ing to the best authorities, is now only about 52 per cent 
more than it was in 1916, while since the reduction in 
was mule the average hourly earnings of railway employees 
working on an hourly basis are 1 J 1 per cent more than 
in 1916. 

The failure of the board to make a larger reduction of 
wages has been harmful to almost everybody concerned, in- 
cluding man\ railway employees themselves. It has rendered 
it necessary for the railways to incur the odium of main- 
taining the present freight rates in spite of a general demand 
for reduction-; it has helped to render it impossible for the 
railway- adequately to increase their net income; it has 
helped to fon e them to continue a policy of the most drastic 
retrenchment- in maintenance; and it has rendered it neces- 
sary for them to refrain from taking back into service many 
thousands of employees who otherwise would have been used 
in maintenance work. The railway- intend to ask the board 
for further reductions in wages and it i- difficult to see how. 
under existing conditions, it can refuse to grant them. 

One of the most acute problem- presented to the board for 
solution arose when the train service employees issued their 
order for a strike in October. It i- difficult to say whether 
publii sentiment, the attitude of the Department of Justice 
or the activities of the Railroad labor Hoard contributed 
the most toward preventing the Strike, \t any rate, the board 
contributed largely. The board issued a statement at the 
time saying that the employees were crossing bridges long 
before the\ could get to them, since the board intended to 
dispose of all cases involving the rule- and working condi- 
tion- of any class of employees before it heard any case 
involving the wages of thai class Ihi- statement was gen- 
erally interpreted to mean that the board would postpone 
for months hearing anj caw for reductions of wages 1 be 
Fused it the time to put any interpretation 
on the statement, saying that was for the board itself 

Sub-, .in, nth member- of the board have announ, ed that all 

involving rule- and working conditions have been dis- 
posed -i ind i tiled attention to tin- fad that no ,a-e involv- 
ing wages on any large railway is before it. 

It i- almost two month- since the railwaj executives met 

in Chicago and announ, ed their intention to a-k for further 
reduction- of wages, It will take week-, or even month-, for 

January 7, 1922 


the evidence to be heard and a decision to be reached after 
the applications for reductions are in. Apparently develop- 
ments are vindicating the statement of the situation issued 
by the board to help avert the strike, in spite of all the 
criticisms of it that were made at the time. 

The board has shown an unfortunate tendency to try to 
make itself the labor manager of all the railways. An ex- 
treme example is afforded by its decision in the case of a 
locomotive engineer on the Northern Pacific who was dis- 
charged for entering a yard with a train of 80 empty cars 
;it a speed of 40 miles an hour. That he did this was testi- 
fied by the division superintendent who witnessed the inci- 
dent. On petition of the railway brotherhoods a majority of 
the Labor Board ordered that the engineer should be rein- 
stated "providing he shall give assurances to proper officials 
of the carrier of his willingness to abide by the rules." A 
dissenting opinion was filed by the chairman and all three 
railway members of the board, who said: "In deciding to 
change or mitigate the discipline administered by the carrier 
with its better knowledge of all the surrounding circum- 
stances, the Labor Board has assumed a responsibility not 
contemplated by the Transportation Act, and has taken a 
step which tends to the breaking down of proper and neces- 
sary discipline on all carriers." If the board in future cases 

follows the precedent established in this one, it will have to 
substitute itself for the railway managements in assuming 
responsibility for widespread violations by the employees of 
the rules adopted to insure efficient and safe operation. 

The public members of the board hold the balance of 
power. Their personnel was greatly strengthened when Presi- 
dent Harding appointed Ben W. Hooper, former governor of 
Tennessee, a member. Mr. Hooper has shown that he is a 
man of unusual ability, initiative and courage. Because of 
his energy and ability, because of his appointment by Presi- 
dent Harding, and of other circumstances which it is not 
necessary to mention, it is apparently no exaggeration to say 
that Mr. Hooper holds the balance of power on the board. 
This paper believes, and has said it believes, he has made 
some serious mistakes. These mistakes, however, apparently 
have been mainly due to Mr. Hooper's lack of knowledge of 
railroad affairs. This is not said in any spirit of depreciation 
of him, since his training and experience had given him no 
opportunity to get a broad knowledge of railway matters. He 
is eminently capable of acquiring the knowledge of railway 
matters that he needs, and in view of the developments of 
recent months, it is evident that in the year 1922 he is going' 
to have a very important part in determining for either good 
or evil the policy of the board. 

Greatest Traffic Slump in History 

The decline of both freight and passenger traffic in 1921 
was the greatest, absolutely and relatively, that ever 
occurred in this country. The net ton-miles of freight 
service rendered in the first ten months of the year were 23 
per cent less than in the first ten months of 1920. If returns 
for October and November show a decline of traffic in those 
months relatively as great, the total revenue ton-miles for the 
year will be only 344,000,000,000, compared with 446,000,- 
000,000 in 1920. The freight handled during the year was 
just about equal to that handled in the year ended June 30, 
1916, over five years ago. 

Since the statistics of the Interstate Commerce Commission 
have been compiled there have been four substantial declines 


Ton-Miles (Millions) by Months, January to October, Inclusive, 

1920 and 1921 

Per cent 

1920 1921 decrease 

January 34,964 29,817 15 

"F.-uruary 32,958 24.915 24 

March 37.865 26.831 29 

April 28,592 25,582 10.5 

Ma? S:-S9Z 2S.S21 ?.S 

Tune . .. 38,246 28,144 26.5 

TnW .... 40,232 28,414 29.5 

A.iiust ". . ' 42.656 30,387 29 

September 40,651 30,825 24 

October 42,252 36.506 16 

Total 376,308 289,642 23 

of freight business. The freight business handled in 1894 
was 14.50 per cent less than that of 1893. The freight 
business of 1908 was 7.7 per cent less than that of 1907. 
There was a small decline of business in 1910. In 1914 
the freight business declined 4.3 per cent, and it declined 
further in 1915, making the amount of business handled in 
1915 almost 9 per cent less than in 1913. The amount of 

freight business handled in 1919 was almost ten per cent 
less than in 1918. 

Thus it will be seen that the largest slump which ever 
occurred before was in 1894 and amounted to 14.50 per cent, 
as compared with about 23 per cent in 1921. Table I gives 
the statistics regarding revenue ton-miles in 1921 by months, 
January to October, inclusive. The comparatively small 
decline shown for April was due to the fact that in April, 
1920, the movement of business was seriously hindered by 
the switchmen's strike. It will be seen that,' as compared 
with corresponding months of the previous year, the slump 
proceeded with accelerating rapidity until July, when the 
business handled was 29.50 per cent less than in July, 1920. 

Revenue Passenger Miles (Millions) by Months, 1920 and 1921 

Per cent 

1920 1921 decrease 

January 3.501 3.358 4 

February 3.174 2.857 9.9 

March 3,530 3,056 13.5 

Aoril 3,552 2,833 20.2 

M'av 3,761 2,969 21 

Tune 4,149 3,215 22.5 

July 4,785 3,637 24 

August 4,988 3,623 27.3 

September 4,294 3,291 23.4 

Total 35,734 28,839 19.3 

The decline in passenger business was almost as great in 
were first compiled there have been four substantial declines 
months of the year was 19.3 per cent less than in the same 
months of 1920. The greatest slump in passenger business 
that ever occurred before was in 1895, when the passenger 
mileage was 14.50 per cent less than in 1894. There was a 
decline of eight per cent in passenger business in 1915. 


Vol. 72, No. 1 

the only important declines of passenger business 
that have occurred. In 1 C U9, when freight business fell off, 
passenger business substantially increased. 

The decline in passenger business by months in 1921 is 
shown in Table II rhe decline in passenger business 
line relatively greater, month by month, until 
and including August. 

There can be no question that the-:- unprecedented de- 
clines of freight and passenger business were due mainly to 
onditions. A relatively -mall part of them 
may also have been due to the fact that large advances in 
both freight and passenger rate- were made late in 1920, 
ju-t when the greatest decline of commodity prices ever 
known was beginning. It is probable that the advances in 
passenger rates had more effect on traffic than the advances 
in freight rates. People ship freight for purely business 
i- and the rates are relatively so small a part of the 
prices of practically all commodities that if a market can 
mnd for the commodities a comparatively small differ- 
ence in freight rates will not prevent them from moving. On 
the other hand, a great deal of traveling is done for pleasure, 
and the fa. t that passenger rates are regarded as high doubt- 
td a tendency in many cases to prevent people 

from making trip- which they otherwise would have made. 

How long will it take to recover from this slump? This 
i- a question which many are asking and which nobody can 
answer. Experience following past slumps may be interest- 
ing, however, even if it is not instructive. After the panic 
of 1893 the railways never handled a freight business equal 
to that year's until 1896. Each of the other declines of 
business w as followed by a quicker recovery. The freight 
business of both 1908 and 1909 was less than that of 1907, 
but that of I'M 1 1 exceeded that of 1907. The small decline 
in 1911 was followed by large increases in 1912 and 1913. 
The business handled in both 1914 and 1915 was less than 
in 1913, but that of 1916 again set a new high record. The 
slump in 1919 lasted only a year, the business of 1920 
being the largest up to the present time. 

If one judged entirely by past experience he would be 
justified in expecting the business handled by the railroads 
in 1922 to be considerably larger than in 1921, but to be 
smaller than in 1920, and perhaps even smaller than in 1918. 
However, since the decline of business has been so much 
larger, both absolutely and relatively, than ever was known 
before, it would be most hazardous to venture a prediction 
a- to how long it will take for a complete recovery to be made. 

Entering Another Year of Struggle 

Tut i i ak 1921 was one of constant, and even desperate, 
struggle in the railroad business. 

It was a year of struggle to reduce operating es , 

In tlie first ten months of the year total expenses were reduced 

'00,000 as compared with those of the same months of 

the pr. r. If the results for the entire year show 

a corresponding reduction it will amount to $1,100,000,000. 

Redui tions of maintenance expenses may be real or mi 
nominal. Reductions of transportation expenses are always 
While total operating expenses were reduced 19 per 
..nt m the first tm months of th.' year, transportation ex- 
reduced more than 23 per .cut. or relatively 
more than the decline of traffic The railway managements 
made real progress in their struggle with expenses. 
It v. of truggli to prevent a hostile and u 

sentiment regarding private management of rs 
from being formed. More misleading and downright false 
i the railvi emulated than in 

' i I esmen and or ;ans of 

labor unions who wen 

menl to promote the Plumb plan 
|y, this propaganda had some effect on public 
srntitu ' i 'hi- railways were undi i 

. ' ind profound 

■ ill- dii'ti. ulties of keep- 
l friendly. 
ll in 1921, it I.. I it 

illy hard in 1 

ontinued without n lai ition It will 


and tl ' Upon the attitude 

ii.-ral redui 
tiom • ntinued, and 

the greatest efforts will have to be made to prevent premature 
and excessive reductions. 

The year 1922 apparently will deal railway officers a bad 
hand. It is an old saying, however, that credit belongs not 
to the man who wins a game of cards, but to him who plays 
well the hand that is dealt him, whether good or bad. It 
l- not whether a man wins a tight, but how fairly and how 
well he tights that counts to his credit or discredit 

Railway officers made a splendid and successful tight in 

to move the largest tral'ti. ever offered. They made a 

splendid uul courageous fight in 1921 to reduce 

ing expenses and prevent reductions of rates that would 

have been ruinous. 

What the year 1922 will bring forth nobody can now fore- 
tell. Ihat will depend very largely upon .onditions beyond 
the control of railway officers. Hut railwa) officers can and 

will "carrj on" with the same energy, loyalty and courage 
a- in 1920 and 1 

l ii. v will be fighting this year large!) to determine the 
future of railway ownership and management in this country, 

The) should -pari- no effort to in ike the operation of the 

railwaj efficient and economical as possible. At the same 
time the) should meet the selfish, malicious and misleading 
[ainsl private management which i- coming 
from so mam sources with redoubled courage and energy. 
If private management is to be made successful and to be 

perpetuated railway officers apparently will have to imitate 
the American pioneer who worked with one hand upon the 
plow and the other upon his rifle. 

Ih. ■ an be made the most memorable in rail- 

wa\ history if rail will mightil) resolve to run the 

railways ai well a- the) can, and at the same time to return 

blow for bio'.' d) who unfftirl) attaiks them. 

Executives Review Railway Prospects for 1922 
The Background of Conditions During 1921 

By Thomas DeWitt Cuyler 
Chairman, Association of Railway Executives 

During the year 1920, the chief effort of railway man- 
agement was necessarily upon the improvement of the 
physical maintenance of the railroads and breaking up 
the congestion of traffic by intensive loading and movement. 
Hardly had the backbone of traffic congestion been broken, 
in October, before the general rate of business activity began 
to diminish and railroad traffic to decline. 

So rapid was this decline that in January and February 
of 1921, the railroads could not even earn their operating 
expenses, and it became obvious that the great task before 
management in 1921 was to reduce the operating expenses 
of the railroads, and to restore their earning power, at least 
sufficiently to keep them out of bankruptcy. 

This effort ran along two lines — one, to increase the pro- 
ductivity of employees by getting rid of the national agree- 
ments and other burdensome rules and working conditions, 
and the second consisted in a reduction of basic wages. 

Wage and Freight Rate Reductions 

The desire of railway management was to secure the first 
relief by an increase in the productivity of employees, post- 
poning a reduction in basic wages until a later date. The 
relief which they actually secured came in just the reverse 
order. A reduction in basic wages, amounting to approxi- 
mately 12 per cent, became effective on July 1, but it was 
late in 1921 before the railroads began to receive any relief 
from burdensome rules and working conditions. 

Between the reduction in wages, effective July 1, and a 
very severe cutting of maintenance expenditures, the rail- 
roads will probably make for 1921 a net operating income 
between $550,000,000 and $600,000,000. This will mean 
that interest on funded and unfunded debt can be met, but 
that normal dividends will not be earned. 

With the more or less rapid and unequal fall in commodity 
prices, the relation of freight rates to commodity values 
became of increasing importance as the year 1921 progressed, 
and led to widespread demands for reductions in rates. In 
meeting this situation the railroads, of course, had no war- 
time profits to fall back upon. They were at the same time 
operating under costs, nine-tenths of which had been set by 
governmental authority, directly or indirectly, and they had 
no ability to make rapid changes to meet changing economic 
conditions. It has been and is, however, the earnest intention 
of the railway executives to get railway transportation and 
railway rates as rapidly as possible back into a normal rela- 
tion to the industry and agriculture of the country. They 
can do this, however, only step by step. 

Some misunderstanding in the public mind may have been 
occasioned by the inability of the railroads to translate their 
wage reduction of July 1 into rate reductions. It must be 
remembered, however, that when the increase in rates was 

made in 1920 it was expected to give the railroads a fair 
chance at a 6 per cent return, on the basis of a flow of 
traffic such as the railroads experienced at the end of 1919 
and for the greater part of 1920. With the enormous decline 
in business activity, the rates established by the Interstate 
Commerce Commission did not produce the return contem- 
plated, and many railroads would not have been able to 
earn even their fixed charges during 1921 had it not been 
for the wage reduction of July 1. 

Under these circumstances it was, of course, impossible 
for the railroads to make general rate reductions predicated 
upon this wage reduction. As, however, their situation im- 
proved, during the second part of 1921, the railway execu- 
tives attempted to find a method whereby the desire of the 
country for lower rates could be gradually met. They feel 
that they have found this method in the action adopted at 
their meeting of October 14, when they decided to request 
another reduction in basic wages, and undertook to turn over 
to the public in the shape of reduced rates the full benefit 
of this reduction. This policy recognizes that the cause of 
high rates is high operating expense, and that the chief item 
in excessive operating expense is excessive labor cost. 

Earning Power Must Be Restored 

Of the threatened railroad strike in October, little need be 
said. The reaction of public opinion to this threat was one 
of the most hopeful indications that this country is going 
to work its way back to normal conditions in accordance 
with fundamental American principles. 

The chief danger in the present situation is that the great 
body of our people may overlook for the moment the impor- 
tance to them of allowing the railroads to get back on their 
feet financially. Yet this in itself would make a very sub- 
stantial contribution toward resumption of normal business. 
The railroads are the country's largest single industry; they 
consume about a third of the normal product of the coal 
and steel industries; and are large consumers in many other 
lines. There is a substantial deferred maintenance carried 
over from the period of federal control, and probably as 
much deferred maintenance accrued during the present year. 
In addition, by causes outside of the control of railway man- 
agement, the railroads have practically been in a condition 
of arrested development now for some years past. Without 
in the least denying the desirability and ultimate necessity 
of substantial reductions in railroad rates, it is sincerely to 
be hoped that shippers will not demand, and that the Inter- 
state Commerce Commission will not require, from the rail- 
roads rate reductions so great as to make it impossible for 
the railroads to restore their earning power during the coming 
year, and to assume their normal place as the greatest single 
consumer of the products of other industries. 



Vol. 72, No. 1 

How to Better Railroad Conditions 

By J. Kruttschnitt 
Chairman of the Southern Pacific Company 

YOU ASK: 1. What can and should be done by railroad 
managements to better existing railway conditions? 
Railroad managers will continue to exercise the close 
watch over expenses that in 30 years has resulted in handling 
four tinn .< the traffic units in 1920 that were handled in 1890, 
in two-thirds less train miles than 1890 operating conditions 
would have required. The annual savings each year com- 
pared with 1890 were large, the cost of handling the enormous 
traffic of L920 being $6,742,000,000 less than the cost of 
handling it by 1890 methods. This saving is $633,000,000 
more than the entire operating expense of the railroads in 
1920 notwithstanding high cost of wages and materials. 
Without adequate revenues and improved credit, which the 
Transportation Act was designed to produce, but which it has 
not been allowed to do, little can be done to reduce operating 
costs by elimination of curves and reduction of grades and 
distances, but managers must seek to improve technical de- 
tail- of manufacture of rails, castings and other materials; 
and of locomotive design, so as to reduce consumption of 
fuel, and to convert more of the heat energy in fuels into 
useful work by the free use 9f appliances of merit, with such 
little control over operations as remains in their hands. 

2. What can and should be done by railroad regulating 
authorities to better the railroad situation? 

(a) spoliation Act, 1920, passed after years of 

study and bitter experience, was designed to nourish and 
•In railroad- that had been starved well nigh to dis- 
solution by a generation of repressive and punitive regula- 
tion, and io enable them to provide adequate facilities for the 
publii by constructing new and improving existing lines. 
I >f the long period of punitive regulation i- re 

in the construction of only .^ 1 4 mile- of new line in 
red with 717 miles in 1841, eighty yeai 
and the effeel of preventing the I ion Vcl from 

functio own in the authority granted by the ''"in 

rap 764 miles of railroad in 19 !0, 
ome returns on thi 



4 1 

in thi red it to 

\ |] 
i urn. 

'wm between 

Commerce Commission and the Labor Board, in order to 
insure tin statutory net income of 6 per cent; but we have 
these igencies reduce freight rates regardless 
of labor costs fixed by the government and of material costs 
aomic conditions, and another fix fictitious scales 
of wages, violating economic laws and regardless of the 
ability to pay them. The framers of the Transportation Act 
meant well, but their intentions are defeated by faulty ad- 
ministration. To insure perfect co-ordination it is impera- 
tive that the same agency that controls revenues should also 
control expenses. 

(d) There should be an immutable rate-making policy. 
For many years when prosperity was rampant and all in- 
dustries were making large profits, those of railroads alone 
were restricted by law; increases of rates were denied, while 
iin reasing costs were steadily reducing the margin between 
income and expense. Financial starvation was to lie checked 
by the Transportation Act. hut before it- influence could be 
felt the depression in business had set in and the rate in- 
creases allowed September 1, 1920, at the end of the guar- 
antee period, were offset, first, by many reductions made 
voluntarily by the i.irricr- to inrrcit inequalities in the hori- 
zontal in< rc.i>e of rates, and thereafter by others made by the 
Interstate Commerce Commission, notwithstanding the statu- 
tory return on the value of the railroads had never been en- 
joyed and they were physically and financially unable to 
stand the reductions. Durint: the years when business could 
easily have stood them, the applications of the railroads for 
higher rate- were repeatedly denied, and now when business 
can ill afford to pay existing rate- .mil the railroads can still 
less afford to reduce them they nevertheless arc reduced, and 
tin owners of railroads are required to relieve those who 
feasted while thej fasted. The enumeration of the troubles 
nf the railroads indicates the remedies; 

1. Place the regulation of wages and the regulation of 
income under the same ag< in 

\'ln|>t a fixed poh. king. 

3. I'rote, t the first and only constructive 
lation the Congress has ever passed; save it from being de- 
1 by amendment-. 

i In their own interest the people should not permit the 
light traffic enjoyed by the railroad- under stagnant b 
conditions to be further redu 1 and 

nourished b] • red from all the people, as is being 

done by government owned ships using tin Panama canal on 
ridiculous!) inadequate tolls; bj government-owned and oper- 
ated towboats nnd barm- on the Mississippi and Warrior 
river- qUOtin percent below railroad rates; and 

by motor trucks on free highways paralleling the ra:' 
and provided by State and federal Ti \ I] h 

introduced authorizing the government to lend 

orporations in organizing high- 
way motor transportation to compete with existing transpor- 
tation lines, the obvious purpose being to destroy the value 
tments, as the loan i« to be contingent on 

January 7, 1922 


the business of the proposed corporations offering "reasonable 
hope of success." In 1920 the people through their represen- 
tatives pronounced overwhelmingly against government own- 

ership; unless their policy towards the railroads is radically 
changed the people will defeat their own will and make 
private ownership and operation impossible. 

Some of the Hopeful Signs 

By A. H. Smith 

President, New York Central Lines 

The present railway situation represents progress under 
the Cummins Act toward the restoration of the char- 
acter and cost of service and railway credit formerly 
enjoyed, with the ultimate hope that the former record shall 
some day be surpassed and thus truly serve the general 

If each factor — investor, official, employee, patron and 
regulator — will do tomorrow better than he has done today 
within the field of duty, it will be a splendid groundwork on 
which to expect fruition. 

Why should the railway situation get worse when such 
a policy can be? Are there not many now imbued and 
working with this aim? Is not the burden of taxation and 

public spending curtailed? Do we lack the normal yield 
of the earth's increase? Are there not hopeful signs to be 
read in current trend of international relations? 

If these are grounds for faith — and I think they are — it is 
a good sign. 

However, the country has been on a level of spending 
which it cannot long sustain. It is shaping its descent from 
these flights to return to a sound sense of normal value. 
Conditions, including rates, inherent to the evolution from 
the war state of affairs, will no doubt retard the rate at 
which we approach the aim. 

It may well be so, because there is much to do that must 
be done well in order to be right and endure. 

The Railroads' Hope Lies with the Public 

By C. H. Markham 

President, Illinois Central 

I believe we should not be discouraged over the railway 
outlook for 1922. Some aspects of the situation are dis- 
heartening, but I have an impelling faith in the soundness 
of American business and the fairness of the American 
public, and that faith will not allow me to lose heart over 
the gloomy phases of the situation. 

The railroads of the country, in common with all other 
business institutions, have had a most eventful year. The 
demands made upon the railroads by changing economic con- 
ditions have contributed to an unusual extent in making it 
impossible for the railroads to follow out carefully developed 
plans. More than ever before, the railroads have been forced 
to live from month to month, hoping, oftentimes in vain, for 
the clouds to clear away and disclose a brighter prospect. 
Many plans for development have had to be postponed; even 
the normal demands for maintenance of properties have had 
to be deferred by many roads. More than three years have 
elapsed since the signing of the armistice, and the railroads 
have not yet been freed from the incumbrances which the war 
placed upon them. 

We should recognize frankly that the changes which have 
come in public opinion during the year have, in many cases, 
not been for the best. A year ago the public had accepted a 
great increase in railway rates and public sentiment was ar- 
rayed solidly behind the railroads in their efforts for a re- 
habilitation of their organizations and their plants, which 
had been devastated by the war. There are gaps in that 
array of public sentiment now. In many quarters active sup- 
port has lapsed into indifference. The lessons taught by the 
transportation shortage of the latter part of 1920 seem to 
have been forgotten. The public has not actively concerned 

itself with the news that railway earnings throughout the year 
have been insufficient. Economic changes have lent them- 
selves to a widespread agitation for a lowering of rates in the 
face of insufficient earnings ' and the lack of an adequate 
return has not permitted the roads to fortify themselves for 
the business revival which is certain to come. 

A year ago government control of the railroads had lost 
almost its entire following. It has not regained many of its 
lost adherents during the past year, but its followers are 
awaiting the first sign of the railroads' inability to handle all 
the business offered to press their demands. Government 
ownership will not come as a carefully thought out and 
rationally adopted plan of action, but we should be on our 
guard lest it come as a possible way out of a situation into 
which we are fast drifting. 

I said that I have an impelling faith in the fairness of the 
American public, and I believe that our hope lies with the 
public. We have a situation before us with which we should 
be acquainting the public. The railroads must be assured of 
earning a fair and reasonable return upon their valuation, not 
alone as a matter of simple justice to the millions who have 
directly and indirectly invested their savings in and made 
the railroads possible, but in protection of future railway de- 
velopment and progress. The public must be brought to 
realize its great stake in the railroads, and it lies with us to 
give the public that vision. 

We are facing many pressing problems as we enter upon 
another year, but there is none more pressing than this duty to 
guide public thought into channels which will make possible 
a rail transportation system capable of serving the public 
efficiently and adequately. 


Vol. 72. No. 1 

General Review Section 

General Railroad Development During the Year. By 
Harold F. Lane. 

Five Years of Freight Traffic Growth Is Lost. By 
Harold F. Lane. 



The Regulation of Securities Under Section 20a. By 
Roberts Walker. 

The I. C. C. Regulation of Security Issues. By Harold 
F. Lane. 


Normalcy in the Labor Situation Still Far Away. By 
Holcombe Parkes. 

The Federal Valuation Is Entering New Stages. By 
E. T. Howson. 


Status of Railroad Accounts with the Government. By 
Harold F. Lane. 

Railroads Profit from Lower Material Costs. By W. S. 
Lacher and C. B. Peck. 

Improved Service and Morale Features of 1921. By 
Charles W. Foss. 

Recent Tendencies in Locomotive Development. By 
R. C. Augur. 

Many Special Types of Cars Introduced in 1921. By 
A. F. Stuebing. 

Maintenance-of-Way Is Now on the Upgrade. By W. S. 

Cutting Freight Loss and Damage Claims in Half. By 
K. H. Koach. 

Mandatory Rules Feature 1921 Accounting Progress. 
By Charles W. Foss. 

Equipment Conditions Show Dangerous Tendency. By 
A. F. Stuebing. 

Electrical Developments for the Year 1921. By A. G. 

Repair Shop and Engine House Development. By E. L. 

Chronological Review of the Year's Activities. By J. E. 

Railway Etc 
Rea, R. 

White House— Left to Right, Front Row: S. M. Fclton. Howard Elliott, T. De Witt Cuyler, A. P. Thorn, C. H. Markham, Samuel 
•tt. Back Row: J. Kruttschnitt, Ivy Lee, A. H. Smith, Hah Holdcn. W. B. Storey, Secretary of Labor Davis, IV. W. Atterbury. 

General Railroad Developments During the Year 

The Principal Events Center Around the Efforts to Reduce the 
Cost of Transportation 

By Harold F. Lane 


A review of the developments of 1920. published in 
the Railway Age of a year ago, began by saying that 
it consisted largely of an account of the measures 
that had been necessary "to enable the roads to recover from 
the effects of the war and 26 months of unified operation by 
the government and of the process of readjustment to "the 
new conditions created by the Transportation Act." A similar 
review for 1021 can only report further 

progress, as the process of readjustment 

is taking longer than was generally ^^^ = ^^^^^ = 
considered would be necessary, and is 
still far from complete. 

In the case of the railroad industry, 
this readjustment has been complicated 
by the fact that its adjustment to the 
war period conditions had been de- 
layed to the last and had hardly been 
completed when the period of deflation 
for other industries set in. As a result 
the railroads have been subjected to a 
tremendous pressure and much criti- 
cism because of their inability to re- 
spond promptly to the forced deflation 
in many other lines. The principal 
events of the year have centered around 
the manifestations of this pressure and 
the efforts of the railroads to meet it. 

Throughout the greater part of the ^^ = ^^^^^^ = 
year, the railroads, under high rates 
and with a volume of traffic which, al- 
though much below that of the last three years, would have 
seemed big before the war, and with large sums still owing 
them from the government, were engaged in a desperate 
struggle to keep out of bankruptcy. As their condition has 
gradually improved during the year, the struggle has been 
almost as desperate to retain that position until they could 
work out the readjustment of their operating expenses neces- 
sary to comply with the universal demand for rate reductions. 

Rate Advance Too Long Delayed 

One of the reasons for the commandeering of the railroads 
by the government was to prevent the inflation in the trans- 
portation industry which had manifested itself in other lines. 


face of falling traffic, were 
in no position to come to the 
assistance of other industries by 
reducing rates until their own 
costs could be adjusted. Only the 
most rigid economies enabled 
them to avert bankruptcy. 

Plans for a new wage cut are 
under way and the Interstate 
Commerce Commission has be- 
gun an investigation as to what, 
if any, further rate reductions may 
be ordered. 

Instead of allowing the railroads to increase their rates in 
proportion to the increase in cost caused by the inflation of 
prices and wages in the unregulated industries, an element 
in the administration aHowed itself to be persuaded that in 
the case of the railroads it could arrest this tendency by 
operating the railroads itself much more cheaply, as well as 
more efficiently, under a unified management than they could 

be operated by their owners. 
^^^^^^^^^^^ The experiment failed, but as the 

Railroad Administration was not under 

the necessity for keeping itself on a 
self-sustaining basis, since any defic- 
iency in the amount necessary to meet 
its guaranty to the roads could be met 
from Congressional appropriations, it 
failed to adjust the rates to the level of 
expenses that it found imposed upon it. 
After it had been decided that the 
experiment was to continue no longer, 
even the wage adjustment was post- 
poned and passed along with the rate 
problem to the private managements. 
The cycle of wage increases was, there- 
fore, not completed until July, 1920, 
although the wages then awarded were 
made retroactive to May 1 and the ad- 
justment of the rates was not made 
- until August 26. Even then there was 
little complaint of the high cost of 
transportation, because it was not high 
in proportion to the levels that had been reached by prices 
generally. The most representative shippers of the country 
had even urged a generous increase in the hope that it would 
give them the service they needed. 

By the time the force of the post-war boom had spent 
itself, however — and it is now clear that this had begun 
to occur even before the date of the rate increase — the infla- 
tion of railroad costs and rates took on another aspect and 
many business men who had felt they could afford to be 
"generous" to the railroads in the summer of 1920, wanted 
to take it back by January, 1921. Although the high tide 
of traffic, to some extent retarded early in the year 1920 by 
the switchmen's strike and the car shortage, continued during 



Vol. 72, No. 1 

the last four months of 1920, the first weeks of 1921 showed 
that a period of depression had set in and the railroads were 
at once faced with a demand for readjustment at a time when 
their own condition least justified such a course and within 
only four months of the time when their rates had been 
placed on a sustaining basis. 

For eight months of 1920 the railroads had been guar- 
anteed, but the actual payment of much of the guaranty 
had been delayed. They had actually earned practically no 
net operating income for the entire year in which they had 
broken all records for the volume of freight and passenger 

3S handled. Although they had a net of some $225,- 
000,000 for the four months after the rate increase, and 
after their guaranty had expired, the new rates had been 
in force such a short time as to afford the roads no elasticity 
to help meet the new conditions of low traffic and high wages. 
The earnings for the last four months were needed to offset 
the deficits of the earlier eight months for which they had 
not yet collected the guaranty and also, as it soon became 
apparent, the new deficits that they were to face in January 
and February, 1921. 

The drop in the level of general business and in the whole- 
sale prices of commodities came so rapidly that the high level 
of railroad rates stood out as a prominent target for those 
in search of a quick remedy for the general situation. The 
government having regulated freight rates for many years, 
but not having made much progress in other directions in 
repealing the fundamental laws of supply and demand, and 
Other economii laws, it was exceedingly natural for many 
tribute the effect of the business depression, which 
they did not know how to relieve in any other way, to the 
cause of high freight rates which they could ask the govern- 
ment to n . m. It having become the custom to 

te rates more in accordance with the needs or wishes 
of the shippers than of the railroads, a demand for a reduc- 
tion proportionate to the change in the condition of other 
industries seemed only natural and Congress and the com- 
i began to be flooded with demands for action to 
reduce rates in order to revive business. 

I or • me the commission under the leadership of Chair- 
man (lark stood firm against this onslaught and Mr. Clark 

numerous letters to members of Congress and others 

ng out that the railroad-, far from having been guar- 
return, were in mosl cases not even earning 
I that the causes for the depression 
lay far deeper than 

Agitation for Repeal of Rate Law 

The idea that the railroads had been guaranteed 6 per 
iread, both b) delib 
and by tin tements of those who I 

lal a repeal of the rate-making 

lllty, and it appealed with par- 
ti only way in 
Otnply with the demands 

I ■■ 

• • by law 
now called the 

II . d, parti, u 

even the 

■ itnmission in 


tment In 

Attempts of Railroads to Reduce Labor Cost 
Meanwhile the railroads were being driven to the most 
drastic economies merely to meet their current running ex- 
penses, to say nothing of lowering rati-. Acquiescing in the 
award of the Railroad Labor Board increasing wages in 
1920, they had first turned their attention to the abrogation 
of the standard rules and working conditions — imposed by 
the national agreements entered into by the Railroad Admin- 
istration shortly before it relinquished the railroads — before 
giving any consideration to the question of wage reductions. 
The Labor Board was proceeding in a somewhat leisurely 
fashion to hear the voluminous evidence in tin- case when 
General Atterbury of the Pennsylvania, on behalf of the 
labor committee of the Association of Railway Executives, 
appeared before the board on January 31 and a-ked that 
the national agreements, which he estimated were i 
the roads jviOOaOOO.OOO a year in increased expenses, be 
abrogated at once to save the roads from bankruptcy. He 
also a-ked that the board make a reduction in the wages of 
unskilled labor, promising that if these requests were com- 
plied with, his committee would recommend to the roads that 
tiny withhold for at least 90 days any action looking to a 
reduction in basic wages. The board declined to grant the 
request, and the railroads thereupon began to take the neces- 
sary step- toward a wage reduction. 

Partial Payment of Guaranty Provided For 

The roads had also taken up witli Congress and secured 
an amendment to the Transportation Act to provide for par- 
tial payments on account of their six months guaranty which 
the comptroller of the treasury had held could not be made 
! the advances specifically provided for on applica- 
tions filed prior to September 1. 1920, until the commission 
was in a position to certify the final adjustment of the total 
amounts due in each case. Congress was willing to extend 
this assistance to the railroad- because it had been generally 
understood that the law a- originally passed provided for 
partial payments. 

Labor Charges Managements With Extravagance 

passage of the bill, however, brought out a good deal 

of discussion of the railroad rati- situation and also of 

- made by the railroad labor organizations that the 

railroads bad been extravagant at government expense dur- 
ing the six-months guaranty perio I lie charge- 
were based particularly on the ( made by certain 
live repair- in out-ide shops for 
the] pud some high i the work done 
quickly, although the law specifically limited the amount of 
maintenance expenditures for which they should be guar- 
anteed, l'h' Interstate Comma Commission in January 

ordered a general investigation of these .barge- and held 

hearings upon them besid if infor- 

mation on the subject through questionnaires and the work 

I \aminer-. No report, how. \ 

President Harding Tries to Bring 

About Rate Reductions 

r i,i, ni Harding bid joined in the demand for rate 

reductions in hi- address to Congress on April 12, in which 

a must 
be reduced," although he did not recommend any additional 

mplish that result and he did not fall into 
the en lining the rates without recognition of the 

While be -aid that "freight-carrying charges have 

mounted higher and higher until commerce i< halted and 

produi anil that no improvement in the 

i be permanent "until the r.iil- 

8l within that which the 

., the situation in a way 

January 7, 1922 



to indicate that the low tide of business was a cause rather 
than entirely the effect of the difficult transportation situation. 
Following this the President held a conference with Chair- 
man Clark of the Interstate Commerce Commission and 
Chairman Barton of the Labor Board, after which he called 
in one at a time various representatives of the railroads, the 
labor organizations, the shippers and the security owners' 
association for the purpose of informing himself. It became 
evident after these conferences that the President had been 
brought to a realization that it would require more time 
to straighten things out than he had perhaps at first appre- 
ciated and that the railroads could do little to assist business 
generally through the period of readjustment without some 
assistance for themselves. 

General Public Misunderstanding 

The railroads have been confronted throughout the year 
not only by the practical problem of reducing their expenses, 
but also by an important psychological problem which made 
the practical one even more difficult. The American people, 
having been led to believe that private management of the 
railroads would be more economical than government man- 
agement, had reached the conclusion that results in this direc- 
tion should be shown at once. When it appeared, therefore, 
that the operating expenses of the railroads for the year 
1920 were some $1,400,000,000 greater than they were in 
1919, the situation called for an explanation that was diffi- 
cult to make to those who were not sufficiently and directly 
interested in the problem to keep the figures in their heads. 
They had had their attention called to a wage advance of 
$600,000,000 to $700,000,000 in 1920 but not to the total 
of the various wage advances made in the latter part of 
1919, which had their effect in 1920, and hardly at all to 
the effect of the national agreements made by the Railroad 
Administration in the latter part of 1919 and the earlv part 
of 1920, which the railroads estimated added $300,000,000 
a year to their cost of operation. Moreover, the effect on 
expenses of the handling of a greater volume of traffic in 
1920 than had ever been known was not generally appre- 
ciated except among those whose direct business it was to 
notice it. 

When added to all this was the fact that the railroads 
had been guaranteed for the first six months after the end 
of federal control — although a highly technical provision 
of the law carefully restricted this guaranty so as not to 
protect the railroads on any increase in maintenance — and 
the popular belief that the 6 per cent rate-making rule con- 
stituted a real guaranty, only a little demagoguery and 
a little propaganda were necessary to create a state of public 
opinion which caused a most difficult position for the 

Neither the demagoguery nor the propaganda, however, 
were confined to "a little" and aside from the selfish propa- 
ganda, high authorities in the government were obtaining 
wide publicity for their opinions that rates were too high 
and must be reduced. Close and continued attention to the 
public utterances made on these subjects by President Hard- 
ing and Secretary Hoover leaves no reason to believe that 
they ever had any particular idea of insisting upon large 
rate reductions until the foundation could first be laid by 
a reduction of operating costs, although at first they were 
apparently impressed with the popular idea that high rates 
were defeating their purpose and lower ones might produce 
more revenue, but any qualifications with which they ex- 
pressed their opinions were not always emphasized and were 
soon lost sight of. Thus some very influential voices were 
raised to swell the volume of protest and as these gentlemen 
progressed in their understanding of the situation they were 
not always able to bring about a corresponding transition 
in the minds of the newspaper men who interpreted their 
views to the public. 

President Harding discussed his views of the rate ques- 
tion on many occasions with the Washington correspondents 
but, as the President is not quoted, the main idea of his re- 
marks, to the effect that rates must come down, was the 
feature that was made public. Even after he had personally 
visited the Interstate Commerce Commission and had caused 
a statement to be issued from the White House that he was 
surprised and gratified at the progress being made in the 
way of readjustment and voluntary reductions in rates, and 
after he had stated that he was not in favor of a general 
percentage reduction, the effect of the development of his 
idea: failed to "get across." This is not to deny the fact 
that the influence of both President Harding and Secretary 
Hoover has been on the side of a rate reduction, but it is 
also true that for several months they have also recognized 
that no extensive reduction in rates was practicable until 
there had been more of a reduction in the cost of performing 
the service and that the efforts of the roads to lower wages 
have had their moral support. 

Senate Orders General Railroad Inquiry 

The demand for lower rates and the charges against the 
railroads led to the introduction by Senator Cummins and 
the passage by the Senate on April 12 of a resolution au- 
thorizing the Interstate Commerce committee to conduct a 
general investigation of the railroad situation, to inquire 
among other things into "the reasons which led to the extraor- 
dinary cost of maintenance and operation from March 1, 
1920, to March 1, 1921, the reasons which induced the 
diminished volume of traffic including the influence of the 
increased rates, the efficiency or inefficiency of railroad man- 
agement and of labor," and "the best means of bringing 
about a condition that will warrant the Interstate Commerce 
Commission in reducing freight and passenger rates." 

Before introducing the resolution Senator Cummins had 
made some investigation of his own and it is believed that 
one of the purposes was to head off some of the various 
amendments to the Transportation Act that were being 

The Senate committee began its hearings on May 10 and 
the railway executives and their statisticians put before it a 
comprehensive explanation of the condition of the carriers, 
showing that it was an inheritance from the period of fed- 
eral control which they must overcome before they could 
again demonstrate the economy of private management as 
compared with governmental operation. They were also able 
to show conclusively that the general business depression 
had numerous perfectly good causes entirely independent 
of freight rates. 

Following the railroad testimony, witnesses were heard on 
behalf of the National Association of Owners of Railroad 
Securities, who were somewhat critical of the railroad man- 
agements but at least sustained their statements as to the 
principal elements in the situation. At any rate the railroads 
succeeded in making at least a prima facie case before the 
committee to demonstrate the main causes for the increase 
in expenses without leaving much room for faith in the 
charges of deliberate extravagance that had been made 
against them, and sufficient also to demonstrate to almost 
anyone who was willing to give attention to the subject that 
the Transportation Act was not at the root of the difficulty. 

Comparatively few representatives of the shippers had 
asked to be heard by the committee and while the labor 
organizations had asked to be heard, they had postponed the 
date for their appearance so when hot weather came and 
Chairman Cummins' health demanded a rest, the hearings 
were adjourned and not resumed until fall. 

The railroads had at least succeeded in convincing the 
committee that no change in the rate-making provisions in 
the law could help the rate situation and that little could 
be done by anyone pending a determination of the wage 



Vol. 72, No. 1 

question then before the Labor Board. The committee ap- 
parently came to the conclusion that there was practically 
nothing that Congress could do to remedy the situation of 
which the public was complaining. About the time the hear- 
ings were adjourned, the Labor Board made its 12 per cent 
reduction in wages and traffic was beginning to pick up and 
the adjournment gave an opportunity for time to demon- 
strate the results. Moreover, the railroads had shown that 
some very considerable rate reductions were being made by 
way of readjustment. 

Efforts to Expedite Settlements 

With Railroad Administration 

One result of the Senate committee hearings, however, was 
to bring to the attention of Senator Cummins and other 
leading members of the committee the difficult position the 
railroads were in with relation to their accounts with the 
Railroad Administration. President Rea of the Pennsylvania 
stressed this point particularly, saying that the greatest im- 
mediate relief that could be given the roads was some way 
of expediting the payment of the large sums still owing to 
the roads for the period of federal control, and also the 
balance still due for the six months guaranty period. He 
showed that while the Railroad Administration owed the 
roads several hundred million dollars, it was attempting to 
offset against it the amounts due from the railroads to the 
government for capital improvements which the roads should 
finance by long term securities, and, moreover, that the pay- 
ment of the sums due the roads was delayed by the compli- 
cated nature of the settlements and the undecided controversy 
over the basis of the maintenance claims. 

While the committee itself took no action. Senator Cum- 
mins bestirred himself and assisted the roads in enlisting the 
interest of the President. Many conferences were held, which 
took in the director general of railroad-, the Interstate Com- 
merce Commission, Secretaries Hoover and Mellon, and the 
managing director of the War Finance Corporation. The 
result was that the administration took up the matter as a 
plan for improving general business conditions by assisting 
the railroads to obtain the cash with which to pay outstand- 
ing bills and undertake maintenance work which would put 
money into circulation and give employment to many men. 
\- i condition, however, to the funding of the railroad 
indebtedness, it was insisted that the railroads agree to waive 
their claims for reimbursement for undermaintenance based 
on the so-called "inefficiency of labor" factor, as far as set- 
tlements with the Railroad Administration were concerned, 
although the) were to retain their right to go to the courts. 
When they bad done this, thus relieving tin governmi 

•ingent liability estimated as high as $800,000,000 

ould not allow, the 

nt in July urged upon Congress th of a bill 

thorize the Wai I lano Corporation t<> purchase rail- 

i urities taken by the United States Railroad Adminis- 

m payment for tin- addition- ami betterments, tl 

giving the Railroad Administration funds with which to 

indebtedness to the railroad- without an appro- 


I. nt under the Transportation Ai t had the power 

l the capita] expenditures but the Railroad Adminis- 

iffil lent to pay the road- what 

them witho expenditures. 

Fhe ..eminent to 

hI taken from the rail- 
ind would ii with the funding, by 

■ f tin railroads from tli 
■it to the inve ting publi 
' linn t . 

until market conditions 
improved go that it could -.11 them 

11 ii.ilich 

with a provision that would bar any road, even one that 
declined to settle with the Railroad Administration, from 
pursuing a claim for inefficiency of labor in the courts, but 
it struck a snag in the Senate in the agricultural bloc that 
was unwilling to do anything for the railroads without first 
obtaining a reduction in rates. Careless newspaper report- 
ing, muddle-headed demagoguery and deliberate propaganda 
largely instigated by the labor organizations soon created a 
general impression that the sole plan was to give or at least 
loan tlie railroad- 5500,000.000 of new money and when 
the Senate committee finally reported the Winslow bill in a 
modified form it was promptly assailed with so many amend- 
ments designed to emasculate the Transportation Act that 
the efforts of its supporters to pass the bill were relaxed 
before the close of the extra session. 

Meanwhile the War Finance Corporation in September, 
acting unofficially for the director general of railroads, made 
an offering of some of the car trust certificates which it had 
taken from the railroads in payment for the cars and loco- 
motives bought during federal control and found it possible 
to sell some of the best of them at par and accrued interest. 
More sales were then made, which gave the Railroad Ad- 
ministration additional funds with which to make settle- 
ments with the railroads without tin need of an additional 
appropriation and considerable progress has been made in 
settling with the roads that were either so needy as to desire 
a quick settlement without funding or could afford to allow 
their indebtedness on capital account to Ik- subtracted from 
the sums due them on open account. When the regular ses- 
sion of Congress began on December : no effort! were made 
to push the passage of the bill. 

Bills to Amend Transportation Act 

All through the year various bill- were introduced in 
ress to repeal the provisions of the Transportation Act 
which dire, t the commission to trv to make rate> that would 
produce a- nearly a- may In- an annual return of 5J£ or 6 
per cent and those under which the Interstate Commerce 
Commission bad ordered increase^ in intrastate rates in those 
-tate- which refused to increase rati- by tin- amount which 
tin commission bad found necessan in its decision in Ex 
Parte 74 to enable the roads to earn the fair return pre- 
scribed by the act. Some of these bill- wen- so drawn as to 
nullify everj order ever issued by the Interstate Commerce 
i:-sion to com < t -tate discrimination against interstate 
lerce, including those that bad been sustained by the 
Supreme Court under the old law. These bills reposed 
quietly in committee during most of tl" session and while 
tin Senate committee was conducting it- general investiga- 
tion, but after some of the we s t er n Congressmen bad cone 
back homi during tin- summer the pressun wed and 

the Senati committee on October - 4 began ., series of hear- 
ings on the Capper and \i.liol-on bill- instead of resuming 

eral investigation. 

I out two week- the committee listened to th< 

mom it -tate railroad commissioners and such 

tne- of the shippers a- Clifford ["horn* and S H. Cowan. 

m such a warped and bia-sed view of what the com- 
mission had done to the rate- that tl mmitt.e -eemed to 

ut to report a bill An effort »j- made to hurry up 
the testimony on behalf of thi' railroad- but they ii 
on their right to present their case and with t 
of -i \ieil witnesses representing the N I \ ciation oi 

Owner- of kailnud Securities, includin • l l < lark, appar- 
ently led in counteracting much of the efl 
the previous testimony. Walker D Bines, formerly director 

1 of railroad-, al-o appeared before the committee and 

•ion- provisions of the 

ort.itn.n \.t. as did representatives of the Railway 

Busini ■ \ - on and the Chamber of Commerce of the 

January 7, 1922 



Attitude of the I. C. C. 

The demand for reduced rates was met by the Interstate 
Commerce Commission during the early part of the year by 
having its traffic bureau arrange various informal confer- 
ences between representatives of the railroads and the ship- 
pers for the purpose of seeing whether reductions could be 
agreed upon. In many cases where it was shown that a 
peculiar hardship was being caused by the rates, or that 
lower rates would make possible the movement of certain 
classes of traffic, these conferences resulted in reductions, 
but in several important cases the roads felt unable to grant 
the requests. 

There was a general readjustment of grain rates made 
necessary in the first instance to restore relationships dis- 
rupted by the percentage advance, but before it was com- 
pleted competition with the Canadian roads and between 
the roads serving Atlantic and Gulf ports led to some very- 
extensive reductions, particularly in export rates. Before 
the end of the year it was estimated that reductions amount- 
ing to $200,000,000 a year had been made. 

The first formal case heard by the commission involving 
a request for extensive reductions in rates was the western 
live stock case, in which the commission did not issue an 
order. It did, however, issue a report on August 1 S recom- 
mending a reduction to 80 per cent of the rates in effect in 
western territory which were higher than 50 cents as justi- 
fied not by transportation conditions but by the economic 
condition of the industry. The railroads complied with this 

Then the commission, acting on petitions filed by the 
western state commissions and the American Farm Bureau 
Federation ordered an investigation of the rates on grain, 
hay and grain products in the western districts and after an 
expedited hearing issued a report saying it expected the 
roads to make reductions but did not issue an order until 
the railroads had failed to observe its recommendations. 

The Threatened Strike 

The question of rate reductions has been complicated by 
its dependence upon the wage question. During the early 
part of the year the roads were asking that wages be reduced 
and the rules of the national agreement be modified in order 
to save them from bankruptcy, as for several months a large 
proportion of the roads were not earning operating expenses. 
During this time many of the shippers were refraining from 
pressing for rate reductions, realizing that the high rates 
were largely due to the wage increases that had been made. 

The National Industrial Traffic League went on record as 
deprecating the agitation for general rate reductions and it 
tried to intervene in the rate case with evidence on behalf 
of the shipping public but was denied a hearing by the board. 
As the condition of the railroads gradually improved, as a 
result of their drastic curtailment of maintenance and other 
expenses, including the laying off of several hundred thou- 
sand employees, and as a result of the gradual increase in 
traffic, the agitation for rate decreases became stronger, par- 
ticularly after the Labor Board had made a reduction in 
wages estimated at $300,000,000 to $400,000,000 a year. 
The roads showed, however, that this was not sufficient to 
justify general rate reductions, and even when their net in- 
come began to approach the statutory rate of return, reach- 
ing S per cent in August, they pointed out that this had been 
done largely at the expense of maintenance and that it was 
necessary to make up for the deficits of the early part of the 
year to be able to pay fixed charges for the year. 

Some of the more conservative elements among the ship- 
pers began to complain that the railroads were hiding behind 
the Labor Board and there was more or less agitation for 
the abolition of the board or its co-ordination with the Inter- 
state Commerce Commission. After the decision of the com- 

mission in the western Livestock case, in which it became 
evident that the commission was not inclined to wait too 
long for a further reduction in wages, and after some corre- 
spondence with Chairman McChord of the Interstate Com- 
merce Commission, who had urged the roads to make some 
voluntary reductions in rate?, the Association of Railway 
Executives tried to adopt a general rate policy and its execu- 
tive committee went to Washington where it held conferences 
with President Harding, Mr. McChord, Secretary Hoover 
and Chairmen Cummins and Winslow of the two Con- 
gressional committees on interstate commerce. All of these 
men told the railroad executives that they considered it 
highly important from a policy standpoint that the roads 
make some voluntary reductions. 

The committee went to a general meeting of the member 
roads of the association at Chicago on October 14 with a 
recommendation that the roads make an immediate reduction 
of 10 per cent in the rates on agricultural products and then 
take steps to ask for another wage reduction with the under- 
standing that it should be translated at once into rate reduc- 
tions. At the meeting, however, a number of the roads, par- 
ticularly those in the West, declared that they could not 
afford to make the 10 per cent cut proposed and only the 
latter part of the plan was adopted. 

On the same day a committee representing the railroad 
brotherhoods asked for a conference to present a demand that 
the 12 per cent wage cut of July 1 be rescinded and that the 
roads make no further reductions for a year. This demand 
was backed up by a strike vote and when the roads met it 
by handing the brotherhood committee a copy of the resolu- 
tions adopted proposing a new wage cut, the strike orders 
were issued. The strike vote had been taken in protest against 
the wage reduction ordered by the board effective July 1, 
but it was commonly accepted as being intended merely to 
head off a new move in the direction of further reductions. 
The railroads had called the bluff, however, and the labor 
organizations were thus placed in the position of threatening 
to strike against the order of an impartial public tribunal. 

When it was made clear that such a strike would have 
no support in public sentiment and that the government was 
proposing to put some teeth in the labor provisions of the 
law by seeking injunctions against a violation of the Labor 
Board's orders, the brotherhoods were given an opportunity 
to call off the strike without too much appearance of sur- 
render by an announcement of the Labor Board that it could 
not take up a new- wage case for any class of employees 
until it had cleared its docket of cases involving rules and 
working conditions for that class. 

The settlement of the strike was made without any prom- 
ises or concessions of any kind from the railroads. They 
had made it clear that they were proposing wage reductions 
as the only way of complying with the public demand for 
rate reductions and they began to proceed at once with the 
steps necessary to get a wage dispute before the Labor Board 
with a view to showing that if there w r as anv delav the 
responsibility for it was not theirs. 

This required the service of notice of a proposed reduction 
upon the employees of various classes and an effort to reach 
an agreement with them before application could be made to 
the board. 

Meanwhile the Interstate Commerce Commission issued its 
report in the western grain case directing the roads to make 
on or before November 20 reductions by one-half of the 35 
per cent and 25 per cent increases made in the Western and 
Mountain Pacific districts. The commission made no order, 
however, but said that one would be issued if necessary. In 
this decision the commission made little attempt to show that 
the reductions were justified from a transportation stand- 
point. The reduction was based on the economic condition 
of the agricultural industry and reconciled with Section 15a 
(Continued on page 26) 



Vol. 72, No. 1 


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Central Yard on Lake Front, Chi 

-Photo by Underwood & Underwood 

Five Years of Freight Traffic Growth Is Lost 

Railways in 1921 Carry Less Freight Than in Any Year Since 1915 
— Passenger Traffic Exceeds 1916 

By Harold F. Lane 


The volume of railroad freight and passenger traffic 
throughout 1921, with the important exception of 
grain, has naturally reflected the general business de- 
pression; the effect of the decreased traffic has also shown 
itself in many of the statistics which 

are commonly used to measure railway ^^^^^^^^^^^ 

So far as freight traffic is concerned 
the railroads in 1921 lost five years 
of growth, the volume of freight busi- 
ness for the year having fallen below 
that for 1920, 1919, 1918, 1917 and 
1916. In the case of passenger traffic 
1921 was somewhat ahead of 1916. 
While the ton-mile statistics are avail- 
able only for the ten months ending 
with October — except as it is possible 
to make estimates for November based 
on incomplete returns — a current 
index of the amount of freight busi- 
ness handled by the railroads is 
afforded by the weekly report compiled 
by the Car Service Division of the 
American Railway Association show- 
ing the number of cars loaded with ~ 
revenue freight during the week sub- 
divided into groups of the principal 
commodities.- These reports are available in about 10 or 12 
days from the close of the week, whereas ton-mile figures 
are not available for some weeks after the close of the month. 
Moreover, the weekly reports show fluctuations which are 
not shown in the monthly reports and the car loading figures 
give the division by commodities which is not otherwise 
available except in quarterly reports. 

The car loading figures are, however, less exact than the 
tonnage and ton-mile statistics because the average carload 

TRAFFIC fell about 23 per 
cent below. that of the rec- 
ord year 1920; and was less than 
for any year since 1915. 

Passenger traffic less than for 
any year since 1916; about 20 per 
cent less than in 1920. 

Effect of reduced traffic is 
shown in reduced miles per car 
per day, car load and train load. 
Car surplus existed throughout 
year, reaching record-breaking 
figure of 507,000 cars on April 8. 

Washington, D. C. 
is subject to variations; during 1921 it has averaged be- 
tween one and two tons less than in 1920. Measured by the 
number of cars loaded, freight traffic in 1921 has been only 
about 13 per cent less than in 1920, the record year. How- 
ever, the ton-miles for the first ten 
months of the year show a decrease of 
; 2i per cent as compared with 1920. 
Passenger traffic shows a reduction of 
about 20 per cent. 

Car Loading and 

Ton-Mile Statistics 

Up to December 17 the number of 
cars loaded with revenue freight was 
38,716,335, as compared with 44,613,- 
864 for the corresponding period of 
1920. The total for the year, 
therefore, may be estimated at approxi- 
mated 40,000,000 as compared with 
45,237,941 in 1920, 42,180,328 in 
1919 and 44,655,041 in 1918. The 
car loading figures for the railroads as 
a whole were not compiled before 
1918. The net ton-miles, which are 
— shown in the accompanying charts and 
tables compiled by the Bureau of Rail- 
way Economics, show a greater de- 
crease as compared with 1920 than is shown by the car 
loading figures. For the ten months, January to October, 
inclusive, the total net ton-miles for the current year were 
289,634,000,000, as compared with 376.760,000,000 in the 
corresponding ten months of 1920, a decrease of 23 per 
cent. The reduction in traffic has been greater than that 
indicated by the car loading due to the fact that for vary- 
ing reasons the average car load was less in 1921 than 



Vol. 72, No. 1 

The revenue ton-miles and passenger miles bj months for 
recent years have been as given in the following table: 

The ear loading by month.-, by the principal groups of 
commodities, is shown in the second table compiled b) the 

Car Service Division: 

Trend of Freight Traffic 

On the chart showing the trend of the ton-mile figures 
the line for 1921 has been below that for each of the Lasl 
five years throughout the war, and it crossed the l'U6 line 
only at two points, representing May and October. Thi 

for the year was in the week of October 22. when the total 
was 962,292 cars, or about 5 per cent less than the 1920 
peak of 1,011,666 cars. Since that time there has been a 
rapid decrease. Coal production per week, which heretofore 
has reached as high as 12,000,000 and 13,000.000 tons in 
the latter part of the year fell bad to a little over 7.000,000 
tons, which is about the average for April. For the week 
ending December 17 the total car loading had fallen to 
727,332, which was 75,268 less than for the corresponding 
week of 1920 and 79,731 ear- less than for 1919 

The deeper "valleys" shown in the car loading chart gen- 


Class I Railways — United Stats* 

Month 1916 




April ; ii,l(..!,818,000 

May 27.6" 


'luly 30,40! 

August 34,231,761,000 

September 33,131,238.000 

October 36,164.923,000 

November 34,929,276,000 

December 32.680.284.000 

January . . 
March . . . 




October . . 

32, 652. 616,000 

37,706 I 




39,842. 2"7.< 




,4 "3.000 

40.: 49.232, POO 


Class I Railways — United States 


3.443,85 i,< 


! '1,000 
4,1 SO. 526,000 
3.872,391. MO 
3.802. 165.000 



37. 'I'M. 269.000 


"30. 000 





4.294.1 18.000 










•Nol available by 

loading chart shows, however, the 1921 line above that for 
1919 at several points and during the week of October 22 
it approached very closel) to the 1920 line. 

Traffii was considerably stimulated during October by 
the anticipation of i possible railroad strike which led to 
some stocking up, particularly of coal. The peak car loading 

erall) represent weeks which include holidays, although the 
one for April 16, 1920, indicate- the low point of loading 
at the time of the switchmen's strike and the August 13, 
1919, depression represent- the 1"-- of loading at the time 
of the -Imp .raft- Strike. The -harp falling off in the latter 

pari of 1919 also represents to some extent the coal strike 



MONTHS. 1921-1920-1919 

Grain and grain pr" t 
1921 1920 1919 

Live stock 



Forest products 

1921 1920 




1921 1920 191 



1 1920 


Tan. . . 




139,455 151,684 




34,068 42,859 Tnc. in 

O ■] 

200,070 244.430 







r . 70.496 









28,167 53.491 In" in 



119,240 111.314 


20.076 44.876 Tnc. in 





• 1 Inc. in 





136.94 7 



21.065 51. 

300 Inc. in 

-|) 268.1105 


109. 731 



275 Inc. in 




13 5.762 







136.589 151,204 





57.238 1.732.8S2 20.114.739 3.829,883 6 ; \ 


i ineoui 


1921 1920 




In . in mi.. 



Inc. in mi* 

M 1.441.010 

764 1,549,670 

777 1,429.446 



tog 1 .403.882 


'"i 1. 434.034 



i 11- 




' ■ 



•■ wrrklr 

■ nriing 

n different 

m . nth« 

January 7, 1922 



of that' year, although the demand for transportation at that 
time was >u>h that the shortage of coal tonnage gave an 
opportunity for an increased traffic of other kinds of freight. 

The Car Sen-ice Division has recently, been publishing a 
weekly information bulletin containing each week a number 
of charts and diagrams accompanied by text illustrating 
some phase of the transportation situation. 

The series of charts showing the trend of the classified 

the harvesting of the new crop began in July, and the regu- 
larly heavier loading of l.< .1. merchandise. The former is 
generally attributed to the rapid marketing of this year's 
crop by the farmers, and the latter to the tendency in 1921 
to do business in smaller units than in the previous year. 
The other outstanding feature of these charts is the marked 
decline in 1921 of the loading of coal, coke and ore, none 
of which have at any time approached the totals reached 



J 20 

1919 \9Z0 1921 
c_oCC3>c— :cbd_^ J ioc-d L:c 3'c • cr> ri. +: > o c ji t^ C 3> c _: g> d. +: V o 

15 1 15 1 15 1 15 1 15 1 15 MS MS 115 1 15 115 1 IS MS 1 IS 1 15 115 1 15 1 15 1 15 1 IS 1 15 115 1 15 1 15 1 15 t 15 1 IS I 15 1 IS 1 IS 1 15 1 IS 1 IS 115 115 1 1 

















12 „, 

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8 < 






















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commodities in 1920 and 1921 displays, with the exception 
of the switchmen's strike period in April, 1920, a remarkable 
degree of uniformity in respect to the extent to which the 
total loading of all commodities in 1^21 is below the figure 
for the same period of 1920. That uniformity of trend as to 
the total revenue freight loading does not obtain with respect 
to each classification, however. 

Concerning these charts, the outstanding features are the 
heavier grain loading in the present year, particularly since 

in the previous year. It will be noted that the grain loading 
has been above that for 1920 ever since the first of April 
and the loading for the year has broken previous records. 
The live stock movement follows closely that of 1920. 

The maximum and minimum records of agricultural com- 
modities reflect the usual seasonal variations. Extraordinary 
conditions have frequently contributed to these high and low 
records of other commodities. Thus, the records on coal 
loading reflect the periods of greatest demand in anticipation 



Vol. 72, No. 1 

of. and greatest loss of production during, the bituminous 
coal miners' strike of November and December, 1919. The 
maximum records of coke and ore, basic commodities in 
iron and steel manufacture, were reached when the industrial 
boom of 192 ill at its climax; the minima of these 

commodities is in the period of great depression in the iron 
and steel industry during 1921. The heaviest loading of 

1915-1921 (ending November) inclusive, shows in a very 
emphatic way the comparative stabilization of production in 
the anthracite industry and the lack of stabilization of pro- 
duction in the bituminous industry. The marked valley in 
bituminous production usually reached in April, or there- 
abouts, reflects the gradual discontinuance nf winter demand, 
the termination of the coal contract year on March 31, and 


Revenue Passenger- 


Miles — United Stat 

es — Class I Rajlvva-vs 

G. GER " r«v. 



























■ ■ 






. N. 






)**..■ — 



HOTE. Retvrns b 

/ months net on 

liable prior to I 


forest products was early in 1920 before the dislocation of the termination of the labor contract period on the same 

transportation which resulted from the switchmen's strike date with labor disturbances in consequence, at times, 
of that year; the low figure occurred at the very beginning 

of 1921 before the rehabilitation of the building industries Coal Production 

had fairly begun. The marked depression in the bituminous production in 

hart showing monthly production of anthracite and late 1919 was the result of the bituminous miners' strike 

bituminous call and of beehive coke for the calendar years beginning November 1 that year, while the marked depres- 

Net Ton-Miles — United 


S|M|S — 

Class I Railways 




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y . . . ■ 

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— — 

January 7, 1922 



sion in anthracite production in August to October, 1920, 
was the result of the anthracite miners' strike during that 
period. The post-armistice depression of 1918-1919 accounts 
for the great falling off in bituminous production at that- 
time and the existing industrial depression accounts for the 
low figure since December, 1920, which persisted throughout 
the year except when in October an increase resulted because 
of apprehension of labor disturbances on the railroads. 
The outstanding feature of beehive coke production, as 

of the current year, but the great loss of export coal trade 
is also a factor. 

The relative increase of business in the southern district 
is accounted for by the fact that lumber loading in that 
territory has not suffered to as great an extent as in other 
districts, while contemporaneously certain of the non-union 
coal producing sections of the southern district have been 
working very regularly and in some weeks making record 
production, while in other districts coal loading has been 


1915 1916 1917 1918 J9I9 1920 . 1921 
c C -i *: c U—--4-' c !-:_:.«-: c H _i +: c u _:-*-' c lJ _: +: c c — +: 
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NOTE- Use Scale No.l for reading production of Anthracite and Bituminous \ p . 
Use Scale No.Z for reading production of Beehive Coke J * 

ares from "Geological Survey" 

shown on the chart, is the gradual decline from 1916. This 
is, of course, most marked in the two periods of depression 
already noted, but the general trend results from the gradual 
displacement of the beehive coke by by-product coke which 
began during the war period and is quite naturally more 
pronounced during periods of industrial depression. 

The circular diagrams show at a glance the extent of 
participation by the railroads in each of the seven specified 
districts in the revenue freight business of 1921 as compared 
with 1920. In a general way these statements reflect the 

very severely depressed. The figures for the three western 
districts reflect the increased grain loading since mid-summer 
1921, but the beneficial effects thereof have been consid- 
erably overcome in the northwestern district by the great 
decline in ore loading. These diagrams cover the year to 
November 19. 

Ratios of Operation 

The effect of the light traffic during 1921 is reflected in 
the various ratios of operation as shown in the table com- 


Percentage of Percent Percentage of 

Tens per car unserviceable loaded to total unserviceable 

Car-miles per day (revenue and non-revenue) freight cars car-miles locomotives 

Month 1917 1918 1919 1920 1921 1917 L918 1919 1920 1921 1417 1913 1919 1920 1921 1917 1918 1919 1920 1921 1919 1920* 1921^ 

January 25.3 18.3 21.4 22.8 23.2 26.4 29.6 29.0 28.3 30.2 5.6 S.l 6.0 6.6 8.7 70.1 70.0 66.2 70.9 S7.5 25 8 25 7 24 8 

February 23.9 22.0 20.3 22.3 21.3 26.1 28.4 27.7 28.3 28.4 5.5 5.2 5.6 6.5 9.7 71.5 70.9 67.5 72.0 61.1 26.7 26 1 24'8 

March 25.6 24.9 20.4 23.8 20.9 26.4 28.1 27.6 28.3 27.2 5.4 5.0 5.6 7.0 10.8 70.8 71.4 68.1 72.3 63.3 27.5 25 9 23'6 

April J7.4 25.9 21.0 19.4 20.6 25.6 29.4 27.3 28.6 26.9 5.8 5.1 6.4 6.5 12.3 71.6 68.0 68.1 68.3 63.9 27.5 26 2 23'9 

May 29.0 26.4 22.8 24.2 21.3 26.7 27.7 27.7 28.3 27.8 5.6 5.4 7.3 6.6 13.6 70.1 66.8 67.4 71.2 63.5 27 245 ?3'8 

Jure 28 4 26.8 23.0 25.0 22.0 27.8 28.3 27.5 29.0 27.7 5.6 5.9 8.1 7.0 14.4 68.7 66.8 67.9 69.5 63.3 26.9 23 8 23'3 

July 28.3 26.5 24.1 26.1 21.6 27.1 30.1 27.8 29.6 27.5 6.0 6.9 8.7 7.2 15.4 67.9 64.7 68.0 67.8 63.3 26 8 23 9 23'5 

August 27.1 26.0 24.2 27.4 22.7 27.9 30.1 28.0 29.8 27.4 6.0 6.6 9.2 7.1 15.4 68.7 67.6 70.4 68.2 64.3 27 2 23 3 23 5 

September 26.6 26.8 26.5 28.1 23.8 27.0 29.7 28.3 30.0 27.1 5.8 6.2 S.5 7.2 15.4 70.0 66.9 69.6 67.0 65.2 26 3 23 3 23'3 

October 26.3. 26.2 27.3 28.5 26.8 27.7 29.7 28.0 29.9 27.2 5.6 6.0 7.4 7.3 14.8 71.5 67.9 68.4 66.0 66.2 26.5 23 2 23'l 

November 26.2 24.6 23.3 26.8 .... 27.2 29.5 26.2 30.5 .... 5.2 5.6 6.3 7.5 .... 71.0 67.1 71.3 63.2 .... 27.0 23.2 .... 

December 21.3 22.8 22.3 24,8 .... 29.2 29.8 27.7 31.2 .... 5.2 5.8 6.2 79 .... 70.9 65.9 71.1 60.3 .... 27.1 23.5 .... 

Total 26.1 24.9 23.1 24.9 .... 27.0 29.1 27.8 29.3 .... 5.6 5.7 7.1 7.0 .... 70.2 67.7 68.7 67.9 .... 26.9 .... .... 

•Data for November to December, 1920, subject to change. 

existence of conditions peculiar to the several districts. Thus, 
for instance, in the eastern district, merchandise, l.c.l., forms 
a very considerable portion of the total loading and the 
increase in the proportion of business handled in that dis- 
trict in 1921 results largely from this fact. In the Allegheny 
and Pocahontas districts the decline is accounted for by the 
depression in the coal and iron and steel trades, both of 
which have suffered considerably in the business depression 

piled by the Bureau of Railway Economics. During 1920, 
when the railroad facilities were taxed to handle the business 
offered them, a campaign was made to increase the miles 
per car per day and the tons per car. The railway executives 
set as a mark to try to attain 30 miles per car day and 30 
tons per car and intensive efforts were made among the 
railroad forces and among shippers to try to reach those 
figures. The mark set for car mileage was not attained, 



Vol. 72. No. 1 

although an average of 28.5 was reached in October, but 
with the falling off in traffic these figures were naturally 
reduced, not only because of the lessening of the pressure 
,but also because the number of idle cars tends to decrease 
the average. 

The mark of 30 tons per car was attained in 1920 in 
September and again in November, 1920, and January. 1921, 
but since February the average has been less each month 
than it was in the corresponding month of 1920 and has 
remained between 27 and 2,s most of the time. The great 
decrease in the coal traffic, which loads heavily, and the 

Revenue Freight Loaded — Cumulative. January 1 to Novem 
ber 19, Inclusive 

increase in the volume of l.c.l. freight this year have tended 
to reduce the average, although the unusually large volume 
of grain traffic would tend to increase it. The reduction in 
the average car load must be attributed primarily to the re- 
duced pressure as the available supply of cars has increased. 
For the ten months for which tin Interstate Commerce 
Commission reports are available, the car miles per day aver- 
aged 22.4 as compared with 24. 9 in 1920; the net tons per 
loaded car averaged 27.7 as compared with 29; the net ton 
miles per car day 393 a- compared with -199 and the net tons 
per trim 656 .i- compared with 715. The net ton mile- per 
mil.- of road per day averaged 4,086 a- compared with 5,320. 
With the lighter train loading the train speed has increased 
from 10.3 to 11.5 miles per hour, The average haul of 
freight has shown no appreciable change. This figure is 
available only for nine month-. The average miles l" r 
revenue ton per road averaged 186.67 a- compared with 
- in 1920. 

Car Surplus 

freight CM surplus throughout thi 
I cai hortage of 1 to give waj to a surplus 

about tin' lir-t of the year an B the SUTpluS 

had reached a new high record at 507,000 From that time 

on the surplus "a- rapidly reduced, however, and 1" \ 

r i had f . 1 1 !»■ 1 1 t.. Since then the surplus 

I and for the week 

i> mber 15 wa j, including 138,214 box 

md irtage of frei ;ht 
■ 1919 1920 and \^2\ 
r i ) iik lu G illy speaking, an) 

IT! duritiL; this 

rs, but not. however, 

in tin imum short 

■ut 30 per icnt of the 
irphi 1 - of ill care, iii tin -ame period, th 
it ion in tli. iboul t" pei 

and i: ''t In 

other hand 

mum surpll ' inter 

than wa- the case in an\ other ila^s of freight equip- 
ment. The -to. k and refrigerator shortage- have seldom 
been sufficiently pronounced to produ. . an) considerable net 
shortage of these rs. while the surplus in both 

cases has been particularly marked. 

The temporar) surplus of all ear- in the fall of I'M') and 
early 1920 is for the most part a reflection of the decreased 
demand for oj>cn top and refrigerator cars at that particular 
time. The decreased demand for open top car.- was the result 
of the bituminous coal miner-' strike. With respect to re- 
frigerator i ar- it was tin normal seasonal decline in 

The traffii of 1 ( '21 has been handled not only with less 
tars in existence th. m in previous years hut also with a large 

tag< of the .ar- out of service awaiting repair-. \ 
cording to the latest report of tin Interstate Commerce 
Commission the number of freight cars owned was 2,341,757 
as compared with 2,365,122 in 1920, and the percent 
bad order .ar- has reached a- high a- 16, although there 
has recently been some reduction 

Passenger Traffic 

The passenger traffic in 1921 has been about 20 per cent 
less than in 1920 and has been less than in the four pre- 
vious years for which the monthly figures are available. 
since about February 1. when the passenger miles fell below 
that for 1918. While many people have attributed the de- 
. rease in travel to the increase in passenger fares, railroad 
officers insist that it has merely been a natural accompani- 
ment of the general business depression] since so large a 

of railroad passenger traffic is for business 

I he average journey per passenger, during the nine months 
of 1921 for which tin ire available, averaged 

36.45 miles per road as compared with ,vV2 ( > in 1920. The 
number of revenue passengers per car fell from 
to 16.84. 

Tin Louisville & Nashvilli in tin u.n 1920 and the first 

nine months of 1921 — twenty-one months altogether — killed _on 

its tracks enough live stock to supph a city of 25.IXX) population 

with meat tor almost two years m about 

These facts an I circular which has been 

issii,<l I 

On the 

Peking Kalgan. China— Great Chinese Wall 

The Regulation of Securities Under Section 20a 

An Analysis of the Decisions in a Wide Variety of Cases — I. C. C. 
to Be Commended 

By Roberts Walker 

Two billion dollars is the approximate principal The staff of necessity includes accountants and other 

amount of securities passed upon by the Interstate experts in various lines. No small part of the consideration 
Commerce Commission to the present time. The com- of each case seems to be, judging from statements in the 
mission's power to regulate securities began on June 28, commission's reports and requirements in its orders, an ex- 
1920. At the time of writing, there has been less than 18 animation of the commission's own files and accounting 
months of regulation. Thus the com- 
mission has dealt with an average of 
over $100,000,000 of bonds and stocks 
per month. These figures alone indi- 
cate the magnitude of the commission's 

But it is only when these aggregates 
have been subdivided among the va- 
rious applicant carriers and among the 
infinite diversity of their applications 
that the staggering complexity of the 
commission's responsibilities becomes 
apparent. Nearly every carrier in the 
country, constructed, under construction 
or hoping to construct, has already been 
before the commission. Almost every 
phase of financing has been considered. 


Division 4 

These matters are dealt with in the 
first instance by Division 4 of the com- 
mission, comprising Commissioners 
Meyer, Daniels, Eastman and Potter. 
Their staff, which in June, 1920, em- 
braced some five or six persons, has 

'HE Interstate Commerce 
Commission in 18 months 
has passed on securities ap- 
proximating two billion dollars. 
It has responded well to the 
heavy demands upon it. 

Experience has shown that fed- 
eral regulation of securities has 
not proven as dreadful as many 
feared it might. Commission 
regulation has cleared away the 
atmosphere of suspicion and dis- 
trust that has hung over railroad 

Relations with the states are 
still an uncompleted chapter. 

records, to see whether the applicant 
carrier has any matters, pending or 
decided, that might bear upon the 
application for securities. Besides this 
research, the commission has before it 
all the application papers called for by 
its regulations, and often calls for other 
data and, presumably, makes some sep- 
arate examination of the authorities — 
legal, financial, market, or what not — 
pertinent to the application. Oral 
hearings before examiners of Division 4 
itself swell the mass of material to be 
sifted. In view of all this study of 
each case, the commission's record for 
celerity in securities applications is 
wholly praiseworthy. Rate cases are 
not, perhaps, fairly comparable; there 
are usually pleadings to be filed and 
one or more hearings, on a crowded 
docket, to be held; and yet it may not 
be unfair to remark that the reports of 
rate cases show intervals of from two 
months to two years or more between 
submission and decision, while the 

The Methods of Procedure 

perforce grown to about 125. The ranking members of this average securities case has been decided within one month 

force are: Col. William A. Colston, Director; J. F. Gray, from its submission. 
office assistant; C. V. Burnside, legal assistant; G. J. Bunt- 
ing, accounting assistant; and S. S. Roberts, engineering 
assistant. It is the commission's usual practice to render a "report'' 

Securities Section: A. Stuard Young, chief, and the fol- and docket an "order" in each case acted upon. These 

lowing examiners: Pace Oberlin, George H. Gardner, Charles reports vary from formal perfunctory findings to long, care- 

E. Boles, R. H. Jewell, Thos. F. Sullivan, A. Van Meter, fully stated reasons for the order to be entered. In ex- 

A. C. De Voe, J. E. Snider, and Paul E. Loidy. amining hundreds of these reports, one is struck by the 




Vol. 72, No. 1 

lack of stereotyped phrases and by the individual character 
of each report. These are indications of one excellent policy 
early adopted by the commission, viz.: to deal with each 
case by itself and on its own merits. This practice is not 
novel to bankers; but its prompt recognition by the com- 
mission as a rule in acting upon security issues is matter 
for congratulation. In the reports, however, one phrase is 
"standard," the substance of which is: 

"Wc t-nd that the proposed issue of bonds (or notes, or stock) is (a) for 
lawful objects within the corporate purposes of the Overland Railway and 
compatible with the public interest, which is necessary or appropriate for or 
consistent with the proper performance by the applicant of service to the 
public as a common carrier, and which will not impair its ability to perform 
that service: and <h> reasonably necessary and appropriate for such purpose." 

This is the fundamental rinding required by clause (2) of 
Section 20a. Two or three provisions are also common to 
practically all permissive orders, such as 

'N'othing herein shall be c< nstrued to imply any guaranty or obligation 
as to said bonds, or interest thereon, on the part of the United States." 

This reflects the substance of clause (8) of Section 20a (Sec. 
439, Transportation Act, 1920). 

(b) "except as herein authorized to be pledged, said bends shall not be 
sold, pledged, repledged or otherwise disposed 01 by the applicant, unless and 
until so authorized by our future order." 

This phraseology suitably adapted, occurs in authorities to 
pledge bonds under note issues or to take bonds into the 
corporate treasury. The obvious intent is to retain control 
of all securities up to the moment when the sale thereof to 
the public is finally authorized. Then, of course, they will 
become like umbrellas in Roswell Field's famous burlesque 
of Lord Ellenborough's opinion on property rights in same, 
and "join the world's great common store of securities, 
whither the Law will not attempt to pursue them." 

(c) "The applicant shall, within ten days, report to us all pertinent facts 
relating to the issue and sale of saiil securities and the disposition of the 
proceeds thereof, etc., such report to be signed by applicant's designated 
officers and verified by their oaths." 

We have not used the precise language of any particular 
order. The phraseology varies with the needs of the case. 
Sometimes periodical reports during the sale or exchange of 
securities are ordered. As may well be imagined, these 
requirements neces.-itate that the commission keep an elabor- 
ate diary and "tickler" system, so that reports may be called 
for if they do not come punctually to hand and that the 
commfc rsight may continue till each authority is 

application papers in the various ease- will probably 
never be printed in published volumes. It is a pity that 
not even the reports and orders thus far made have been 
printed JO as to be available to railroad people, bankers and 
student-, but evidently this division of the commission has 
been too much engrossed in doing it- job to see a book 
through the pre--. It i tood a volume will be- 

fore li d ■>- pari of I. t '. C. reports, i ont 

mam if not all of the reports and order- in decided 

Relations with the States an Unfinished Chapter 

kel ■ mi an unfinished i hapter No 

lash with state regulation oi 

1] end A case from Texas is in the ' S 

' i hi ill soon be on its 

ive thus far 

l he language of the statute is 

upon th mmission 

hall b< i may 

' othrr 

de for 

proval by state authorities be shown or that its absence be 
explained. Railroads betrayed a strange reluctance to go 
near their state commissions in the face of the words "exclu- 
sive and plenary," and railroad counsel disclosed an equally 
odd unwillingness to "opine" on that subject So the defini- 
tive regulations (cir. let., revised), issued under date of 
September 22, 1920, but in actual practice prior thereto, 
omitted the troublesome reference to state control. Ever 
since, the commission has gone to the mat on this point with 
commendable spunk. For instance: 

(a) In the New York Central $25,000,000 10-yr. collat. 
bond case (Finance Docket Xo. 39), decided September 13, 
1920, the commission's report noted that notice had been 
sent to the governors of all the states in which applicant 
operates. "Xo objection to the granting of the authority 
desired was offered on behalf of any of these states except 
the state of Michigan. Because of an understanding reai bed 
between authorities of that state and the applicant, this 
objection was not pressed before us." In other words, the 
"differences were accommodated," as President Wilson would 
say, md the matter was left for court action. 

The Big Four Note Case 

(b) In the Big Four note case (F. D. 1086; Dec. 22, 
1920), the report shows that Ohio and Michigan asked for 
dismissal of the application, on the grounds that the 
mission has no jurisdiction because applicant is a creature 
of Ohio and Indiana, that the issue of securities does not 
involve a federal question, that the applicant, not being 
a federal corporation, is not amenable to the federal govern- 
ment as to its securities issues, and that (in Michigan) the 
state is financially interested because of fees payable to it 
on securities authorizations. Whereupon the commission 
dryly remarks: 

"It is well settled that . . . carriers ... in interstate commerce, 
although organized ... as state corporations, are nevertheless subject 
to our jurisdiction. Section 20a . . . confers exclusive and plenary juris- 
diction upon us to authorize the issue of securities. ... A carrier may. 
under our authority, issue securities and assume obligations or liabilities 
without securing other appr 

"... Section 20a provides that it shall be unlawful for a carrier 
. tc issue securities, even though permitted by the authority creating 
if. unless and until, ?nd then only to the extent that, we authorize such issue. 
Any security for the issue of which our authority is required, is void if 
issued without said authority having been first obtained. Upon consideration 
of the answers of the public utilities commissions of Ohio and M 
we arc of the opinion that we have jurisdior 

Then follows a statement, common in other reports, that 
no objection has been offered by the authorities of the other 
i "in erned. 

(c) The Chicago & North Western Equipment Trust 
report is an instance where a state seems not to have 

the o mmission's general power, but to have wished 
to manage a particular detail, to wit: 

"The Nebraaka Stale Railway Commission luggeated that the tut 
for the issue of these securities be conditioned uj*.-«i the payment of the 
trust th* silo of Ml 

ting revenues. I • is intimatrlv 

■ Which we n- 
investigatl I ■ " in that cent. 

:- familiar with the Struggles of the Comin 

I to express rules ,m depreciation, will lie 

forgiven if they smile at the thought that the si N 

brasks dded to those who are watchfully waiting 

for the determination of the depreciation policy of the com 
mission ) 

Other instances could be cited, all establishing that the 
commi liction, 

in sup ; state commi dlroad securities, 

just discussed doubtless has sound legal foun- 
dation, Where the federal i;< <\< rnnicnt lia- moved into 
an area which, -titution. it has a right to 

Control, it will usually be held to have taken entire aul 

hat Kt an element of the power "to regulate 

January 7, 1922 



commerce," this assumption of control of railroad securities 
should and probably will be held to have ousted the states 
from such control as they have previously exercised. 

The Charter Powers of State Corporations 

But there is another cognate matter that is not so clear, 
viz., whether the charter power of state corporation- may 
be deemed to have been enlarged by Section 20a. The 
present regulations require that an attested copy of its 
charter be filed by each applicant carrier, and that carrier's 
counsel's opinion shall show that the issue "is or will be 
legally authorized and valid if approved by the commission. 
In such opinion specific reference should be made to any 
provisions of the charter .... upon which special reliance 
is placed." 

The carrier's fundamental law ma) provide that bonds 
may not be issued in excess of two-thirds of the outstanding 
stock, or may not bear more than a stated rate of interest; 
or may prohibit the issue of convertible bonds; or may 
otherwise restrict certain financial expedients. Can the 
commission in effect supplement the charter granted by the 
state, by permitting the carrier to do that which the state 
restricts or prohibits? The question has not been settled. 
From the commission's requirements just quoted, it can be 
deciphered that the authority granted and limited by the 
states is deemed of grave consequence (except only as to the 
exclusive and plenary power to authorize securities issues). 
But might not "plenary" power include the right to authorize 
financial programs not countenanced by a carrier's state? 
The question must some day be answered. 

It was dealt with, in a negative way, in the Lackawanna's 
stock dividend case (where no state authority interposed 
objection). The commission went comprehensively into the 
Lackawanna's statutory power. "Whether or not applicant 
is prohibited from issuing stock dividends by its charters 
is not clear. Counsel stated that he knew of no provision 
which would permit such dividends." Relying upon Section 
20a, the commission authorized the capitalization of part of 
the surplus through the declaration of a stock dividend. 
That is to say, the commission authorized the exercise of 
a power not expressly granted by state law. But whether. 
in an equally persuasive case, the commission would go 
rounter to state law, seems not to haw been conclusively 

The Matter of Valuation 

One other general question is in an unsettled state: the 
matter of valuation. What part is it to play in the regula- 
tion of securities? Many have held the theory that valua- 
tion would disclose and limit the amount of securities that 
a carrier could sustain; and that such limitation would 
hold down rate increases, by minimizing the interest and 
dividends to earn which rates are, presumably, fixed. But 
here we are, with scarcely any valuations established, and 
the commission busily authorizing securities issues. Their 
reports disclose hardly any cases where valuation is a deter- 
mining factor. On the other hand, it is plain from their 
reports that value of property is often taken into account. 
The lack of basic evidence of value must lie a considerable 
handicap. Book value is sometimes taken into consideration : 
the Detroit & Toledo Shore Line application, to issue addi- 
tional stock, was denied on the ground that the evidence 
did not show that the value of the road and equipment. 
plus working capital, materials and supplies, exceeded tin- 
then existing capital. 

In the Lackawanna stock dividend case, the report con- 
tains much discussion of expenditures made from surplus. 
The prevailing opinion (for the case seems to have been 
heard before the whole commission) contains an express 

finding that "the evidence establishes that the 

present capitalization is below the actual investment or fair 

value of the property." The >urplus on tile books was about 
$90,000,000, but the commission allowed a stock dividend 
of only $45,000,000. Commissioners Daniels and Potter 
wrote opinions to the effect that, on the commission's own 
theory, a larger stock dividend and a smaller remaining 
surplus would have been permissible. (Commissioner East- 
man's dissent was on the same ground as in the Burlington 
that capitalization of surplus ought not to be permitted). 
Thus the commission affirmatively found ample values for 
the stock dividend permitted or even for a larger dividend; 
value was conceded, and the real point was how much 
surplus ought to be left. 

In a small application from Pennsylvania, the Williams- 
port & North Branch, the report recited that the investment of 
the foreclosed company, as shown by its books, was $2,000,- 
000, while the proposed securities aggregated $900,000; and 
the purchasing committee was allowed to receive these $900,- 
(1(10 new securities in exchange for the railroad bought by 
them at foreclosure sale. In the Chicago & Eastern Illinois 
reorganization (F. D. 1146), the commission virtually al- 
lowed the securities because they improved the financial set- 
up, their report stating: 

"Under the plan of reorganization, the total capitalization will be 
$91,321,150. The valuation of the property which will be taken over by 
applicant has net yet Ken completed, so that it is not practicable to compare 
this capitalization with underlying value. It is clear, however, that the 
proposed new capitalization will be relatively lower, even whrn allowance 
its made for the properties which are not to be taken over, than the out- 
standing capitalization of the old company, and that the fixed charges will 
very materially be reduced, with a subsequent improvement in credit. The 
evidence also indicates that the new capitalization will not be disproportionate 
to the earning power of applicant. Under those circumstances, in view of 
the manifest desirability of ending the long period of receivership, we think- 
that approval ought not to be withheld because of lack of complete informa- 
tion as to the value of the property to be taken over by applicant." 

The report in the Kansas, Oklahoma & Gulf reorganiza- 
tion matter states that no evidence was offered as to the 
value of the property and that it is not now practicable to 
determine such value, but that in this instance the commission 
was asked only to give effect to the reorganization plan de- 
vised by the late U. S. District Judge William C. Hook. 
Valuation and its corollary, earning power, have figured in 
one or two denials of applications for loans under Section 
210 of the Transportation Act, 1920. A loan of $42,250 
to a short line railroad was refused because of deficits in net 
income and of the doubtful earning power and security of the 
carrier. In another such refusal, the same ground was 
stated, and the commission seems also to have taken judicial 
notice of the fact that a railroad built in 1913 would be 
confronted in 1920 with the period of its heaviest operating 

Generally speaking, however, the commission refrains from 
mentioning valuation. Whether it will make more of the 
matter when valuations have more generally been determined, 
renin ins for the future to disclose. 


In considering valuation, the subject of reorganization 
naturally comes to mind. It is elementary, on the theory 

underlying Section 20a, that a new company should 
not embark upon business with securities in excess of 
demonstrable valuation; it is also clear that the effec- 
tiveness of the commission's control over railroad secur- 
ities would be lessened if upon a reorganization securities 
should be authorized grossly in excess of fair valuation. 
The commission has had so few reorganization cases before 
it, that it is unsafe to generalize. The cases of the Williams- 
port & North Branch and the Kansas, Oklahoma & Gulf, 
above referred to, contain nothing of special interest, as 
neither had anything to do with priorities and liens. Those 
two and the Chicago & Eastern Illinois case, however, do 
indicate one practice that is of considerable comfort, viz . 
the focussing of the commission's attention upon the new 
company and its securities, and limiting its report and order 



Vol. 72, No. 1 

to the new company's issues. The foreclosed or reorganized 
company and its securities are left, where they belong, to 
the court in which die receivership or other proceeding is 
pending. Hence the commission passes upon the classes 
and aggregate of the new company's securities, and any 
special terms, if there be any, connected with the new issues; 
but has not thus far concerned itself with the basis upon 
which an old security-holder is to receive new securities 
under the reorganization plan. 

In the Chicago & Eastern Illinois, the commission's report 
stated that "holders of small blocks of bonds have protested 
against the plan of exchanging bonds for stock. This is a 
matter properly to be brought before the court having juris- 
diction in Uie premises, which have expressly reserved the 
determination of the equities in the receivership proceeding." 
In the same case, no other mention appears in the report of 
the basis on which the new securities are to issue. The 
questions of reorganization expenses, underwriting, etc., seem 
not to have been raised. The new securities and the assump- 
tion of certain old issues are the consideration for the pur- 
chase by the new company of most of the mileage of the 
old company. The commission finds that the aggregate 
irities and the annual fixed charges will be less under 
the plan than they were with the old company's securities. 
The order requires the new company to file full reports of the 
issuance of securities, specimens of each type of security, 
copies of each indenture, etc. A time limit to the authority 
was fixed, which has been once or twice extended. The 
details of certain of the securities have been authorized to 
be changed. These matters are mentioned as indicating that 
the commission quite properly does not give authorities run- 
ning too far into the future, but is flexible and reasonable 
about extensions and changes. 

As to the other pending reorganizations of receivership 

properties, it is understood that the Missouri, Kansas & 

authority has not yet been formally requested. The 

„v Rio Or. a (purchaser at the D. & R. G. 

i authority to issue shares without par value, 

but appears to have received no authority as to bonds, nor 

as to assuming the bonds subject to which it took over the 

1. The report of the commission refers with con- 

ble detail to the court proceedings, objections by stock- 

-. etc., and finds the Western Pacific holding company 

not within its jurisdiction under Par. 2 of Section 5 of the 

Interstate Commi amended. 

Voluntary Refinancing of Roads Not in Receivership 

ing of 

1 Corn- 
without pa; 

of the 

Securities for New Enterprises 

the commis- 

n with- 

tli will be th keen inl 

that ! 

difficulties in liberalizing new issues so as to make the pro- 
gram inviting to capital. Texas created a state of affairs where 
practically all railroad building had to be done by foreign 
corporations — the very thing the statute sought to prevent — 
because no reward was in sight for local capital. The old 
problem of a suitable amount of bonus securities to represent 
earning power, promoter's profit, or whatever one may call 
it, seems to remain to be considered by the commission. 

Discretion Exercised Upon 

Strictly Business Questions 
Some hopeful augury may, perhaps, be spelled out from 
the wide range of authority granted, and of discretion ex- 
ercised upon strictly business questions. One of the early 
cases before the commission was the New York Central 
$25,000,000 10-yr. 7 per cent bond issue (F. D. 39; Sept. 13, 
1920). The Association of Railway Executives was repres- 
ented by its counsel, and the banker also had such counsel. 
The commission in a way served notice that consummated 
trades should not be brought before it for mere ratification, 
by stating: 

"It developed at the hearing that the propi scot collateral trust bends had 
.<tst 20, 1920. subject to our authorization. While the law 
does not prohibit such a conditional sale in advance of approval of an issue 
of securities, carrir-s should realize that we shall not be controlled in our 
actirn by representations that failure to accord approval of issues con- 
ditionally sold will result in disturbance or disarrangement of plans based 
upon anticipated approval." 

But this attitude does not seem to have meant that the 
commission desires to do any of the trading. It has been 
interpreted and acted upon as meaning that parties should 
trade subject to the commission's order, or after the author- 
ization has been granted. Vet the commision is by no means 
unwilling to keep an eve on the market. In one or two 
reports, the authorized price is higher than the price stated 
in the application. This must mean that somebody made a 
better offer or that the commission ascertained that the price 
was too low and insisted on raising it. Tn tin- New York 
Central ease above cited, the commission's remarks on price, 
underwriting, commissions, etc.. are well worth citing tn toto: 

"The to the sale are briefly thes, 

competition. Applicant dealt only with J. njr and 

accepted that firm's acreement to 'endca\or to form a Sjrndii 
from ourselves and associates ll 
for public subscription at par and accrued interest.' Tf this 

TOCCessful, .'. P. Morcan & C l^nds at 

i or cent of par and accrued interes upon a 

cent basis. The 'associates' mentioned in the agreement were 

eventually the National City Company and the First National rtank of New 

ire nnd letter, invited -. ' in investment securities 

ng them 

The sub- 





The dis- 



January 7. 1922 



"It ap| were ap 

itions arising out of the war have t 1 the character 

of the investment market. Evidence effect that owing to 

the heavy income la.v the tendency of lure individual buyers is to purchase 
taxfree securities. High returns promised in i vestment 

deter some investors from investing freely in railroad securities. Higher 
margins on the placement ■ f certain competing investments 
tributors to prefer the placement of the latter. The banks, moreover. End 
it necessary to use their funds chiefly for commercial purposes. To a 
reater extent than heretofore railroad securities must, therefore, be 
sold to small buyers, and tin's makes necessary more comprehensive and 
expensive machinery of distribution. testified thai it had no 

of effecting such distribution upon its own account, and that it 
resorted to J. P. Morgan & Compan] t firm's prestige and ex- 

perience, and established connections with investment houses all over the 
country- In ether won Company acted as middleman between 

the corporation and the distribution machinery necessary to place so large 
an issue of securities, and in the opinion of applicant the issue cculd not 
have been effected in any other way. Evidence was also offered b] 
sentatives of investment houses as to the greatly enhanced cost at the present 
time of distributing securities, because of increased salaries, higher rents, 
the necessity of appealing to a wider field of investors, and other factors 
entering into the c r nduct of the business. 

"We have thought it necessary t<> sel forth in detail the circumstances 
and cost attending the marketing of the proposed issue, because the assur- 
ance of reasonable terms afforded by competitive bids was not present. In 
savins this we reali7e that, tinder the conditio ns prevailing in the financial 
world, applicant probably could not have obtained the advantage of open 
competition; hut 'his tact merely emphasizes the necessity of our 
ering in this and all similar cases the terms of sale which, we are asked 
to approve. In the present instance, in view of the small financial risk and 
the apparent ease with which the subscriptions were obtained, we think the 
discount at which the bonds were sold was liberal. The evidence, however, 
is not sufficient to justify a c< nclusion that the cost of floating the issue was 
such that we ought, under all the circumstances, to withhold approval of 
the term; and conditions set forth in applicant's petition. 

"The subject matter is plainly one deserving of attention, and it is d< 
sirable that carriers intending to presi ns for the approval of 

security issues should appreciate that the proposed terms and conditions will 
be the subject of rur careful consideration." 

As specimens of prices actually authorized, there may be 
mentioned: Equipment notes, average maturity 7 ! 4 years, 
at 8 per cent basis; mortgage bonds on a 7.75 per cent 
basis; 6 per cent bonds with 2 years to run at 90. 

The Scope of Authority 

As to the scope of its authority, the commission seems 

to act on the sound theory that if it doesn't assert juris- 
diction over everything, it may miss something. This posi- 
tion has brought before the commission quite an assortment 
of oddments. For instance, the matter of dollar bonds in 
conversion of sterling bonds tinder a mortgage and bond 
issue preexisting federal control of securities. In an Oregon- 
YYushington Railroad & Navigation application, the report 

"While it is iv t our intent io find the proposed conversion in substance 
accompli : more than a changi in term liabilities, 

we are of opinion that the delivery of dollar bonds in exchai 
bonds . . . involves an issue of securities with and 

purpose of Sectii n 20a of the Interstate Commerce 

The same ruling was made in a Union Pacific case and 
in an Atchison, Topeka & Santa Fe case, the latter involving 
the feature that the fixed rate of exchange provided in the 
mortgage resulted, upon conversion, in an increase of obliga- 
tion of 526.70 per $1,000 bond. Even bonds issued into 
the carrier's treasury, not sold or pledged, must obtain author- 
ization (B. & O. Refunding & General Mortgage bonds, for 
example. A carrier that had issued, subsequent to June 28, 
1920; without commission authority, $50,000 of promissory 
notes was given authority to retrai eel the 

guilty notes and issue innocenl ones. Refusal to issue ; 
to finance a purchase of another railroad has been denied 
where the purchase had first been made without obtaining 
the commission's approval. A subordinate refunding o] 
tion, the issuance of Rock Island General Mortgage bond.-, 
which can be used only for pledge under and refund into 
the First and Refunding bonds, receives the commission's 

A more burdensome income tax provision was authorized 
to be inserted into some O-W R. R. & N. bonds; this was 
another instance of increase of obligation. The issue of stock 
upon conversion privileges has been permitted to the Southern 

it Company, the Atchison, the Norfolk & Western, the 
Wabash, the Delaware & Hudson and the Chesapeake & Ohio. 
Fractional bond scrip in such also received for- 

mal sanction. The issuance of further preferred stock under 
a consolidation of corporations made in 1906 was withheld 
by the carrier until commission authorization had been 

& Alton). The New Orleans, I 
Mexico case may be taken to indicate that the commission 
tloes not deem the provisions of a mortgage beyond the scope 
of its authority. There the mortgage permitted bonds for 
betterments to be drawn down on the basis or price of not 
less than $950 per $1,000 bond. The commission, how- 
ever, refused to allow a principal of bonds in excess of the 
i ash actually expended, and cut the application from $561,- 
800 in S^v.,700. 

Pledge of Bonds for Short-Term Notes 

Railroads with treasury bonds often wish to pledge them 
for short-term loans. The loans (if they do not overrun 
the two year and 5 per cent limitation of paragraph 9 of 
Section 20a) do not require commission authority. But the 
pledge does. The commision has granted a number of per- 
missions of this sort, and has changed some of them from 
time to time to fit bond market conditions. In a Rock 
Island case, the authority first granted was to pledge not 
over a stated par amount of bonds per each $100 of loan. 
Later this was changed to permit not over $125 of bonds 
at market value to be pledged per $100 of loan. This, as 
will be observed, is the wholly familiar rule for maintaining 

With the ntent improvement in the bond market, sensible 
provisions like these have resulted in lessening the amount 
of bonds to be pledged per $100 of loan, but of course would 
operate the other way if the bond market were getting weaker. 
General permissions to pledge bonds have been given to the 
B. & O., the Frisco, the Illinois Central, the I.. & N. and a 
number of other carriers, not to mention specific authorities 
to many carriers of issues of collateral notes. 

We have seen the commission's attitude on stock dividends 
in the Lackawanna case where, roughly, half of the dividend 
asked for was allowed. The Burlington application for 
leave to declare a bond dividend had even harder sledding. 
Sis opinions were written by as many commissioners, and 
the prevailing opinion was careful to limit the scope of the 
refusal of permission, in these words: 

"No oi os made 

in foregoing dividends The denial in this casi ■ to the issuance 

of a bond dividend by a railroad wdiich has no reed for the bonds, and 
which can advantageously i-sue alt the stock reasonably required for its. 

ige which the applicant desires 
can be provided bond dividend." 

There is an echo here of the argument that the rule should 
wer bonds and more shares." Commissioner Eastman, 
in both the Lackawanna and Burlington matters vigorously 
dissented. He believes that "undercapitalized railroad corp- 
orations are a source of strength to I md they are 
all too few." 

Stock Issued at Less Than Par 

It is an interesting thing that Section 20a puts thi i mphasis 
on value, rather th ti due. I lure is nothing in the 

section to indicate that stock may not be issued, in a persua- 
sive case, at less than par. No square instance has been 
found, but the commission has the right to consider the i r- 
rier's charter and, if it interpose no difficulties, to authorize 
stock to be sold below par. The treatment of an issuance of 
investment' preferred stock, should such be brought before 
the commission, would demonstrate the commission's attitude, 
in case, as often happens, there were a sale price below 
par or a banker's commission that brought the net proceeds 
below par. . _ 



Vcl. 72. No. 1 

Other Activities 

The scope of this article does not embrace the other 
activities of Division 4. Among such are the consideration 
of proposed abandonment of lines of railroad, applications 
for loans from the United States, applications for certi- 
ficates of convenience and necessity to construct new lines, 
and leave to hold directorships on more than one board. 
ncing the efforts of the commission to be helpful, how- 
ever, attention is called to 1 1> 2, decided Nov. 22, \<>20, 
as to loans to carriers by the United States. The comn 
there held that inability to procure funds elsewhere, within 
the meaning of Sec. 210 an an absolute inability, 

but a practical inability within the sound business discretion 
of the commission with a view to the public interests involved, 
and to determine on the facts of each case. 

Two good illustrations of permission to trunk line- to 
acquire shorter lines are afforded by the Minneapolis, St 
Paul & Sault Ste. Marie application to buy. with its bonds 
and -ome cash, the Wisconsin & Northern (F. D. 1288) and 
by the application of the Chicago, Milwaukee & St. Paul 
for leave to acquire control of the Chicago, Terre Haute & 
Southeastern by lease and purchase of capital stock i 1 I • 


The conclusion of the survey must be that on the whole. 
federal regulation of securities is not so dreadful as man} 
feared that it might be. It is fortunate that the power began 
lercised at a time when difficult financial conditions 
were not peculiar to this or that carrier, but were conceded!} 
almost universal. The commission lias responded well to the 
demands upon it. and has done its best to facilitate financing. 

In no carping spirit, we may be permitted to remark that 
some of the commission's past pronouncements gave no 

promise of any such breadth of vision. Its earlier reports 
on investigations of the financial conditions of carriers might 
have been written by doctrinaire professors or by prosecuting 
attorneys, so little some of them contained of judicial poise 
and of appreciation of the other fellow's problems. Only 
those who have worked years endeavoring to carry along a 
handicapped enterprise can realize how nearly all the financ- 
ing was done under stress of dire financial conditions and how 
little of it. if any. was done with any pur[>ose to deceive in- 
vestors or injure the public Yet the latter theory was usu- 
ally the underlying thought of the commission's old reports. 
In the Frisco investigation, for instance, there was criticism 
tse bonds were -old in the face of known insolvency. 
Recently, mi the other hand, the commission authorized the 
Central Vermont to renew obligations for the purpose of 
averting receivership. There may have been differences 
between the two cases, but their spirit i- identical. Each 
r was seeking to patch a rent. Verily, responsibility 
does sober public men. 

To cite the Frisco report again, it maintains throughout 
an attitude toward bond discounts that would lead any 
student to lxdieve that the commission deemed them some- 
how heinous. Yet. since Section 20a went into effect, the 
commission has unblinkingly authorized many bond dis- 
counts, and prices of 90 and even 80 have not been unheard 
of. All these point to a great improvement in the public 
attitude toward railroad securities. The commission's regu- 
lation of them and of other carrier activities, may not make 
the securities intrinsically worth any more, but at least it 
has eleareel awav the atmosphere of suspicion and distrust 
that had hung over railroad securities, arising, no doubt, in 
some degree from the commission's own public attitude in 
securities matters passed upon by it. Let us hope the new 
attitude will work well for carrier fin 

General Railroad Developments During the Year 

m page 13) 

of the Transportation Act by a prediction that the condition 
of the railroads would be improved in the future. 

Roads Propose Cut on Agricultural Products 

and Ask General Investigation 

- tiled t" nle the new urain tariffs and the 
\ -o. iation of Railroad I 

.• ith the 1 tnmerce Com 

mber l '. the nature of which was not dis- 

ult, however, the nuds at a meeting in New 

ini ed their intention of asking 

:.. allow them 

tion for six months 

tii | ' mil. and to 

Further reduc- 
-> 1 1 « 1 lawful! of the 

Commission Orders Kate Investigation 

on i- 
formal order in til nS 1" 


m, I ti, what extent, if 

lawfully he 

ion did 

ring to various petitions that had been filed by various inter- 
ests asking the institution of investigations more oi 
general in scope, with a view to effecting reductions in rates 
mi various descriptions of traffic, and also to the pi 
i tin carriers For a In per cenl reduction mi agricultural 
products. It was also stated that tin- order was along lines 
under consideration l>\ the commission for some tin 
t was modified to include the quest 
will constitute a fair return aftei March 

1. when the 5 ' .■ per cent figure provided in the law expires. 

bier 3 the commission responded to the i 
fi.r permission to tile the 10 per cent tariffs and on D 
ber 9 it announced that the petition for a rehearing in the 
grain case would he set for oral argument I 
at the opening of the hearing on the general 

iiC the railroad- asked that tic -ram order he 

• ii -ix month-, but on December 16 the commis- 
-ion denied the petition for a rehearing winch put it up to 

the road- to make- both the 10 per cent general reduction and 

the -till greater reduction <>n hay. grain and grain product! 

jippi river. 

ccmber It. the tir-t wick bring given over to the testimony 
mi behalf of the railroad-, after which an adjournment was 
taken to fanuary 1 1 The prospects of the railroads for the 
|j dependent upon the conclu- 
vhich will 
of it- investigation 

Union Statu n. 

-Photr by Ewing Galloway 

The I. C. C. Regulation of Security Issues 

All Issues Since June 27, 1920, Have Been Subject to 
Approval by the Commission 

By Harold F. Lane 

One of the numerous new conditions created for the of view and in its report submitted in 1911 it recommended 
railroads by the passage of the Transportation Act against a system of regulation by the commission as not 
of 1920, under which they were returned to private warranted at that time It expressed a belief that accurate 
management, was that authority had been given to the knowledge of the facts concerning issues of securities and 
Interstate Commerce Commission to regulate their issues the expenditures of the proceeds is of the most importance 
of securities. and recommended that railroads should be required by law 

There had been much agitation for many years for some to file detailed reports on these points with the commission, 
such regulation, arising mainly from These recommendations were hardly 

the disclosures of some of the methods .^^^^^_^_^^_^^^^^^^^^^_ drastic enough to suit those who had 
of high finance which were made in ~~~ been agitating for the regulation of 

various investigations of financial * I *HE Interstate Commerce financial transactions of the carriers 
scandals. In many cases these inves- Commission during the year ;in d there was also much controversy 

tigations merely resulted in additional ending October 31, 1921 au- over tlie c l uest ' on as to whether federal 

publicity and an official location of . . , .. , '. . ' regulation should be made exclusive or 

the responsibility for transactions that tnorized railroad security issues merdv superim p OSe d up0 n that of the 
had been carried on quite openly and - m the following aggregate states . 
without much criticism until they amounts: The House of Representative.^ in 

turned out badly. The demand for ^ . „,„.„ ,-„ cnn nn 1914, and again in 1916, passed the 

, , , • • Stocks $242,657,500.00 ,, , , ,, , . .. , , 

laws to make their recurrence impos- ' Rayburn bill, but it was not passed by 

sible in the future led to the appoint- Bonds 1,276,761,616.39 t i u . Senate. There was a good deal of 

ment of the Railroad Securities Com- Notes 98,402,194.79 discussion on the subject during the 

mission in 1910 to make recommen- Miscellaneous.... 97,780,313.24 hearings before the Newlands joint 

dations. At hearings before this Congressional committee in 1916, in 

commission, many representatives of Total 1,715,601,624.42 which the railroads went so far as to 

the railroads welcomed the idea of advocate federal supervision of secur- 

federal regulation on the subject as a """ "~~~ ~" ^™ ^~ "^ ™~ ity issues to escape from the vagaries 

substitute for the regulation by various of state regulation, but some doubts 

states which had attempted to deal with the subject with were expressed in Congress as to whether the federal govem- 

varying degrees of intelligence and a total absence of uni- ment could constitutionally assume exclusive jurisdiction over 

formity. The railroad officers, however, urged that the the security issues of state-chartered companies. 

regulation or supervision to be undertaken should not at- The discussion was dropped when the Newlands commit- 

tempt to go farther than necessary and pointed out how their tee's investigation was interrupted by the war. After it had 

financial operations would be hampered if opportunity for been decided that the roads were to be returned and a new 

taking advantage of a favorable market were to lie delayed law was being formulated in an effort to bring aliout some 

by prolonged deliberation by a commission. improvements over the pre-war system of railroad regulation, 

The Railroad Securities Commission accepted this point the provisions relating to security issues were adopted with 




Vol. 72, No. 1 

comparatively little new discussion, the Rayburn bill being 
taken as the basis, although many change;, were made. No 
one was objecting to the regulation of security issues and 
there b ndals to cause any particular 

affirroative demand fur action. There was a rather strong 
sentiment at the time, however, tor concentrating the regu- 
luthority more closely in the hands of the Interstate 
Commerce Commission and for treating the transportation 
tl e United Si national system. While 

bitterly the idea of curtailing 
their authority over rate- in any way, most of them were 
willing to give the Interstate Commerce Commission a juris- 
diction which many of them had nevi 1 to exercise. 

The commission'? jurisdiction was made, therefore, "ex- 
• lusive and plenary." 

Ih, Hadle) securiti ton had said that if 

securities were to In issued only after specific authorization 
by the commission it was difficult to see how the government 
could escape the moral, if not the legal, obligation to recog- 
nize them in regulating freight rates, but this objection was 
ted bj ih.' provisions of the Transportation 
Act which based rate regulation cm the value of the property 
r.ither than upon securities. The provisions of the act relat- 
ing to security issues, which are included in Section 20-a, 
n June 27. 1920. 

Provisions of the Law 

after it- effective date it shall be 

unlawful for any carrier to issue securities or assume obli- 
gation or liability in respect of the securities of any other 
person, even though permitted by the authority creating the 
carrier corporation, unless and until, and then only to the 
extent that, upon application by the carrier and after investi- 
gation by tin- commission of the purposes ami u-es of the 
propos d the pro<ee<h thereof or of the proposed 

assumption of obligation or liability, the commission by 
. h issue or assumption. The commission 
n order only if it find- that such issue or 
-.mie lawful object, within it 
mpatible with the public in 
which " r appropriate for or consistent with the 

i rvice to the public 
id which will not impair its ability 
ud (b) is reasonably necessary and 

or deny the appli- 
witli -in h modifii ations and 


maturing in not 
■ with othi 

itiea then out- 


Bur. mce 

of the 


During the fir.-t months of its existence it- time was largely 
occupied with matters pertaining to the loan fund and the 
guaranty. During the past year, however, its functions with 
relation to the authorizing of security issues have assumed 
a greater importance. On June 26, 1920, an order was is- 
sued by the commission which was revised on September 
22, 1920, prescribing the form of application to be filed by 
a carrier for authority to issue securities and stating the char- 
acter of supporting papers required to be filed therewith. It 
also prescribed the form of notification, when -hurt term 
notes have been is-ued which do not require the authority 
of the commission. On 5 J, 1920, an order was 

also issued prescribing "Special Report Serie.- Circular No. 
i use by carriers in reporting securities issued or as- 
sumed at the close of June 27, 1920. 

In its annual re]Kjrt for the year ending Octol>er 31, 1920, 
the commission stated that 61 applications for authority to 
issue securities had been received, 28 bad been granted. 1 
had been withdrawn and 32 were pending. Forty-three cer- 
tificates of notification bad been tiled under paragraph 9 
tion 20 a. representing tin- issuance of notes maturing 
in two years or less of an aggregate amount of $28,542,764. 

Securities Authorized 

The annual report for the year ended October 31, 1921, 
showed that 2,sS additional applications had been received 
the previous report, making a total of .^44. and the 
irities totaling $1,715,601,624, largely for re- 
funding purposes, has been authorized. ("ertitic.' 
notification of the issuance of short-term notes to the amount 

50 were filed. 

Most Applications Approved 

tbl< to estimate how many financial crimes 
may have been prevented by the fact that the railroads have 
been required to obtain an official O. K. upon their plans 
with. them, it would be difficult to esti- 
mate 1 plished by the commis- 
sion's supervision thus far. In mosl cases the comn 

I the application-, ilthough in one or two con- 

spicuous cases it has >":t. \- to the instances in which the 

substituted it- own judgment for that of 

tilroad managements and their financial advisers there 

are probabh to wlli.h wa- the more 

the situation thai attracts attention i- the 
: ih. amount of paper work required to obtain 
authoi ' simple transai tii n- Undou 

i r, much of the dela) tl d dur- 

the fact that both the 
and it- finance bureau have 
whelmed with work and have had to go through the usual 

rising from difference- of in:, ol the 



i nurabei 


at among thi 

January 7, 1922 



The Burlington Case 

picuous example in which the commission 

declined to grant the application made by a railroad was 
that involving the refinancing by the Great Northern and 
Northern Pacific of their purchase of most of the stock 
of the Chicago, Burlington & Quincy, made by James J. 
Hill 20 years ago. The two companies had outstanding 
some $215,000,000 of joint 4 per cent collateral trust bonds 
Secured by the deposit of 97 per cent of the Burlington stock, 
which, paying an 8 per cent dividend, carried itself for the 
two roads. The bonds came due, however, on July 1 and 
it would obviously require a higher interest rate to refund 
them, while the two northern companies had no way of pay- 
ing them off, except by selling or forfeiting the Burlington 
collateral and giving up their control. 

After a great deal of planning and consultation with 
bankers, a plan was evolved by which the Burlington was 
to be made to pay in part for itself by the use of part of the 
large surplus it had built up by making extensions and im- 
provements out of earnings without capitalizing them. The 
commission was asked to approve an issue of $60,000,000 of 
Burlington stocky to be used as a stock dividend, most of 
which would go to the two northern lines, and a new mort- 
gage, which the Burlington needed anyway, and under which 
the commission was asked to authorize an issue of $80,000,- 
000 of bonds, against expenditures made out of income, to be 
also used as a dividend. 

Both issues were designed to bring the Burlington capi- 
talization nearer to its value and the proceeds of the bond 
issue were to be used to reduce the amount of bonds to be 
issued against the Burlington to approximately $140,000,- 
000. It was argued that this would result in a saving of 
interest charges for the three roads considered together as 
compared with the cost of refunding the entire issue of joint 
bonds, although it would increase the fixed charges. of the 
Burlington. The application was filed with the commission 
about November 1, 1920. Extensive hearings were held, at 
whii h the plan was opposed vigorously by the state of Ne- 

After long consideration within the commission's organi- 
zation, during which several reports of various kinds were 
written by subordinates, the commission on February 28 
issued its decision in which a majority approved the 
560,000,000 stock issue, which was of no particular value 
since it was not desired to sell the stock, but disapproved 
the bond issue for dividend purposes, which was the most 
important feature of the plan. The commission was much 
divided in opinion. Eight members approved the stock is- 
sue, but only four approved the bond issue, and there were 
several dissenting and partially concurring opinions. 

This made it necessary for the railroads to work out a new 
plan and get it approved in time to meet the maturity of the 
bonds by July 1. On March 25 a new plan was proposed 
which the commission later approved, providing for a new 
joint bond issue of $2.50,000,000 at 6'j per cent to refund 
the entire amount of the joint 4's, secured by both the 
Burlington collateral and in addition by $33,000,000 of 
mortgage bonds of each of the two northern companies, but 
with provision for conversion of the joint bonds into the in- 
dividual issues of the two companies. This was approved 
by the commission on April 21 and the exchange and sale 
new joint issue was successfully made, although at a 
con iderable increase in interest charges as compared with 
the earlier plan. 

Later on when the two northern companies needed addi- 
tional funds with which to maintain their usual dividend 
disbursements, the Burlington went to their assistance with 
an increased cash dividend, which it was able to declare 
without obtaining the approval of the commission, and the 
Burlington is now before the commission with an applica- 

tion for a bond issue to meet Its own capital requirements. 
This entire transaction illustrates in an exaggerated degree 
the possibilities fur delay which are inherent in a system 
of commission regulation of security issues, although on 
the other hand, no comparison is available as to the time 
that would have been required if it had been necessary to 
obtain approval for so complicated a plan from the various 
state authorities. The same observation applies to many 
other cases in which a i onsiderable length of time has been 
taken by the commission to pass upon the carriers' appli- 

For a transaction involving one of the largest corporate 
issues ever made the Burlington financing attracted very 
little public attention. The newspapers devoted little space 
to it and the public hearings were not reported in the daily 
press. As the commission was so closely divided as to the 
lawfulness and propriety of the original plan which was 
disapproved, its majority opinion presumably carried little, 
if any, more weight than did the opinion of the minority 
and there is probably as much room for argument now as 
existed before as to whether the Burlington should have been 
allowed to issue a bond dividend. 

No public criticism of the commission's decision was made 
by representatives of the interested railroads and apparently 
they attached more importance to finding a feasible plan to 
which the commission would give its official approval than 
to any particular plan in detail. 

The commission in the Burlington and one or two other 
cases did establish one principle as to which there has been 
much argument in the past, in authorizing the issue of stock 
for the purpose of capitalizing improvements made out of 
surplus earnings. This question was made an issue in the 
Burlington case both by the representatives of Nebraska, who 
opposed it, and in the opinion by Commissioner Eastman, 
the argument against the plan being that the surplus was 
rather held in trust for the public than the property of the 

The Lackawanna Case 

The same point was involved in the application of the 
Delaware, Lackawanna & Western for authority to issue 
approximately $90,000,000 of additional stock, representing 
the amount of its surplus, as a stock dividend. In the case 
of both the Lackawanna ami Burlington, it had been com- 
mon knowledge that the capitalization had been kept at a 
very low point, as compared with the value of the properties, 
which had been gradually built up out of earnings and in 
the Lackawanna case there was no real opposition to the 
application. The commission did not allow the full amount 
of the issue applied for but after having the case under con- 
sideration for about seven months, it finallv on April 18 
authorized an issue of $45,000,000. 

Louisville & Nashville 

The Louisville & Nashville applied to the commission in 
August for authority to issue $53,000,000 of stock as a 
stock dividend and al^o to issue some bonds. On December 
17 the commission issued an order authorizing the bond 
issue but consideration of the stock issue was held in abey- 

Three applications requesting authority to issue shares of 
capital stock without nominal or par value have been filed 
with the Commission. One of them, filed by the El I'aso 
& Southwestern Company, involved the exchange of stock 
without par value for stock having a par value; authority 
upon this application was granted. The other two applica- 
tions involved the issue of stock without par value under 
reorganization plans for railroads previously in receivership. 
Authority upon one of these, filed by the Denver & Rio 
Grande Western Railroad Company, was granted. 


Vol. 72, No. 1 

Bonds Sold Subject to Commission's Approval 

In the discussions of the subject of security regulation 
the law was passed railroad men have laid much stress 

upon the import. h d promptly to take 

advantage of a favorable market in placing securitii 
upon the s of the delay required by the necessity 

for obtaining governmental approval. In nun 
however, dui isl year, they have got around this 

difficulty by making arrangements for the sale of bonds in 
advani to the commission's approval. In many 

large bond issues advertised in the news 

papers before the formal applications were filed with the 
commission and several weeks in advance of the issuai 
the order of authorization. Undoubtedly in such cases the 
financial officers ot the roads have been confident that their 
plans contained no objectionable features and in somi 
they may have consulted informally with members of the 
commission's organization in advani i the commis 

-ion in administering the provisions of the law relating to 
security issues has adopted a policy of working in more 

operation with the carrier- than has been the Usual 
practice in r 

However, the commiss took occasion to i,-.-uc a warning 

in the first case of this kind that came to its attention that 
"while the law doe- not prohibit such a conditional sale in 
advance of an approval of an issue of securities, carriers 
should realize that we shall not be controlled in our action 
by representations thai failure to accord approval of issues 
conditionally sold will resull in disturbance or disan 
ments of plans based up ■ d approval." 

rhe first application involving a large security issue to 
come to the was that of the New York Central 

for authority to issue $25,000,000 of 7 per cenl collateral 
tru-t bonds, and also $25,000,000 of refunding and im] 
ment mortgage bonds to be pledged as part of the security. 
The application was dated August 19, the day before thi 
bonds had been conditionally sold, but it was not made pub- 
lic at the commissi tntil the next day following the 
l nission's decision was issued on September 

ntaining the warning above quoted. 

Some States Object to Commission's Jurisdiction 

York Central case served to bring forward the 
rights. The railroad, iii filing it- appli- 
cation with tin- federal commission, had ignored thi 
-ion- ,ind tin Michigan Publii Utilities I 

• tie- power of th 

rVimn: planl the state authorities. The commis- 

sion nut thi- by simply stating in it- opinion that "v 

nion that we 1 1 . i ■- n" and thi- remark has 

in win. li state commis 
■ hi jurisdii tii 


■ mmission referred to the 
impoTtani e of pub I urity 

■ tii ularly of the > 
; - pertainin 



the publii 

or I'- 
mi the 

wanna cases were given little attention and the issues upon 
which tin- commission decided them required more space to 
explain than the newspapers were willing to give to the -ob- 

Probi aeral impression that has been created by 

what publicit) has been given the subject has been that the 
railroads cure issuing a very large- amount of bonds and 
that therefore the market conditions must have been favor- 
able for the absorption of railroad securities, because al- 
though most of the- bonds have been issued for refunding 
purposes an op tii n of them for purposes of 

- items have usually made no distinction 
between those that were to In -old and those which were 
merely to be exchanged for maturing issues bearing lower 
interest rate-.-, or \> be deposited with the Secretary of the 
Treasury as security for a loan from the government or 
with a trustee as collateral for another bond issue. 

In man\ cases, where a railroad prepc.-ed to is.-ue- a 

of beanis bearing a rate of interest at which they could 

marketed under favorable conditions as collateral 

for an issue bearing a higher rate, the news items have added 

the two amounts together. For example, when the New York 

! applied for authority to issue S-5«000,000 of : 

and another $25,000,000 is collateral for the first issue, it 

Qi rail) reported that the New York Central was going 

■ i ■■ and presumably sell $50,000,000 of bonds. In this 

way a very exaggerated idea has been conveyed of the extent 

of railroad financing during the past year. 

In many of the applications the railroads have explained 
the- arrangements made in advance- for the sale of securities 
and the commission's order in stating the conditions on which 
authority i- granted has usually referred to the price named 
as a minimum. In many cases the application explains that 
no arrangements have yet been made ami none will be made 
until tin commission has issued it- decision. 

Mi, commission ha- scrutinized very closely the rate of 
interest proposed to lie paid in connection with bond issues 
and lias mack many efforts to hold down the rate. In mak- 
ing loan- from the revolving fund it lias attempted to pre- 
vent tin- payment or tin- execution of what it considered 
an unduly high rate by making a. condition that the Company 

shi ul<' meet a certain proportion of it- requirements by pri- 
vate financing and often has prescribed a maximum rate of 
interest. In other cases where it ha- appeared that tl 
rate which the railroad was able- to obtain was above what 
the commission considered reasonable, it has met the situ- 
ation b\ allowing the road a loan fn m the revolving fund 

and die application to issue guaranties has 
withdraw n 

The K I .-. r Richmond Terminal 



3% " E' 

r ^ ^ ^ 

Opening Session of the Labor Board's Investigation of Threatened Strihe of Train Service Employees, C. A. Cook. Secretary of the Board's Bureau No. 3. 
(Standing Behind the Board',, Is Reading the Call to the Meeting. Railway Executives and Brotherhood Leaders Are Grouped on the Left. 

Progress Towards Normalcy In Railway Labor Field 

Year 1921 One of Many Controversies Between Railways and 
Employees, But Situation Has Been Improved 

By Holcombe Parkes 


Slow kit substantial progress toward normalcy in the 
railroad labor situation can be recorded for the past 
year. Contributions to post-war readjustment have 
been made both by the railroads and by railroad employees. 
The railroads have made some progress in their fight to 
bring about lower labor costs but in 

many respects the)' have lost their fight 

for principles. The employees have 

lost in actual wages and many working 
conditions which they valued, but they 
have won recognition of principles for 
which they contended. Both sides ex- 
press dissatisfaction as a result. 

This outcome is largely the result of 
the existence of a regulatory body, the 
Railroad Labor Board, the three public 
members of which, in whose hands is 
the balance of power, are flanked by 
six partisan members whose opposing 
influences tend to cause compromise 
decisions. It may be, however, that the 
very slowness of the progress which has = ^ = ^ = ^^^^^ = 
been made will be recognized some day 
as having helped the nation to pass 

safely through a precarious reconstruction period. At any 
rate, real progress has been made and the serious industrial 
strife which many predicted has been avoided. 

Three outstanding developments of major significance 
marked the past year. They were : 

(1) The controversy over national agreements and the 
settlement of a large part of this dispute. 

(2) The reduction of labor costs through wage reductions, 
the elimination of employees and the curtailment of overtime 
of the forces remaining on duty. 

(3) The threat of a general strike of the train service 

HE PAST YEAR witnessed 

a continual struggle between 

railroads and labor leaders 

over national agreements and the 

- readjustment of labor costs. 

Slow but substantial progress 
has been made, however, in im- 
proving the labor situation. 

The year 1922 will see a further 
struggle to reduce labor costs. 

employees, which was averted by a strong public sentiment 

and the activities of the Labor Board and other government 


To appraise properly the labor developments of the last 

12 months it is necessary to keep in mind that the year 
opened with widespread bankruptcy 
apparently threatening the railroads as 
the result of a maladjustment between 
revenues and expenses. In a period of 
less than four months the traffic of the 
railroads had fallen from the heaviest 
ever recorded to the lightest in some 
years. Earnings had declined corre- 
spondingly, and the higher freight and 
passenger rates, placed in effect August 
26, 1920, had failed by ever increasing 
amounts to produce the net return fixed 
by Congress and the Interstate Com- 
merce C ommission as just and 

Labor Board Begins Consideration 
of National Agreements 

When the Labor Board handed down 
its wage increase award in July, 1920, it continued the na- 
tional agreements in effect pending further hearings. These 
hearings began on January 10, 1921, when E. T. Whiter, 
chairman of the Conference Committee of Managers of the 
Association of Railway Executives, and B. M. Jewell, presi- 
dent of the Railway Employees Department of the American 
Federation of Labor, fired the opening guns in a four 
months' pitched battle. For 19 days Mr. Whiter attacked 
the rules in the various national agreements, showing in detail 
the inefficiency and waste caused by the universal applica- 
tion of rules regardless of widely varying local conditions 




Vol. 72, No. 1 

Mr. Jewel] retaliated at intervals by "statements" aimed, 
not at the rules under discussion or at the board, but at the 
public in an attempt to influence public opinion, and divert 
attention from the real issues. Charges that the railroads 
were mismanaged, that they had broken faith with the public, 
1 the Transportation Act and defrauded the public 
out of millions of dollars were spread broadcast by Mr. 

ttime the financial condition of the carriers became 
more precarious. The seriousness of the situation brought 
General \Y. W. Atterbury, vice-president of the Pennsylvania 
and chairman of the labor committee of the Association of 
Railway Executives, before the board on January 31 with 
requests for immediate abrogation of all national agreements, 
a return to the rules and working conditions of December 51, 
1917, and the right to pay unskilled labor prevailing local 
rates. Assurances that the carriers would refrain from ask- 
ing for wage revisions for 90 days if these requests were 
granted were made. A bitter battle of "statements" to the 
public and the board and telegrams to President Wilson 
ensued. The President declined to interfere, but the public 
was awakened to the seriousness of the situation. 

Mr. Jewell, reinforced by Frank P. Walsh, counsel. W. 
Jett Lauck. "consulting economist." and a batten- of pub- 
li< ity nidi, reopened the battle on February 10 after widely 
advertising that he intended to sidestep the national agree- 
ments issue temporarily to bring charges of a "huge con- 
spiracy" on the part of Wall street banking interests and 
railway executives to "crush organized labor." The board, 
realizing that such testimony was irrelevent, ruled it out. 
At the same time the board denied General Atterbury's re- 
quests. The decks were cleared for consideration of the real 
issues involved. 

Employees' Spokesmen Delay Hearings 

The testimony on behalf of the carriers was completed on 
February 3. The opportunity to delay the hearings, thus 
continuing the national agreements in effect, was not over- 
looked by the labor leaders. Petitions for additional time 
in which to prepare replies to the carriers' testimony, offers 
nvolving the recognition of the principle 
of collective bargaining as defined by the labor leaders — ■ 
on a national basis — and requests for the 
nd railway executives who were members of the labor 
committee of that organization were utilized by M 
! .' rings. 

I by the board. 
I ir the callitiLi of railw o 

■ n days in which 

ir na- 

March 18 

■ prolong the 

\pril 4 
i force 


Mr. Jewell Pn Bill of Rights" 

mum in 

I iv. punitive 

Blent of 


of reasonable living arrangements," (2) the safety of em- 
ployees, (3) the definition of the work to be performed by 
each craft, (4) apprentices, (5) the requirements for employ- 
ment, (6) the right of the majority of the employees of any 
craft to elect an organization to represent them, (7) the 
right of the majority to elect committees to handle grievances 
for all employees of the craft, (8) seniority, and (9) the 
right to organize and the protection of employees against 

On March 24. almost eight weeks after the carriers had 
their case. Mr. I n his real reply. After 

another delay for the cross examination of more executives, 
r in the national agreements controversy gradually 
dwindled. The hearings, however, did serve as an agency 
through which voluminous exhibits prepared by Mr. Lauck 
could be given wide circulation bearing the stamp of authen- 
tic testimony before a government body. Sometimes these 
exhibits dealt with national agreements For the most part 
they consisted of alleged evidence of the "conspiracy" and 
mismanagement charges and loose allegations made by repre- 
sentatives of the employees. 

Labor Board Abrogates, Then 

Continues, National Agreements 

The first of a series of decisions in this dispute was 
handed down by the Board on April 14. It abrogated na- 
tional agreements on July 1, remanded the negotiation of 
new agreements to the individual carriers and their own 
employees and upheld the railroad's interpretation of collec- 
tive bargaining and their contention that varying local con- 
ditions should govern in fixing rules and working conditions. 
It also outlined 16 principles with which the new agree- 
ments should be consistent, thus awarding the employees one 
of the major points for which they had been contending. 

The subsequent negotiations between the individual rail- 
ways and their own employees were almost fruitless, mainly 
because the leaders of the national labor unions instructed 
their followers to accept nothing less than the rules in the 
nation. d agreements. On June 28, therefore, the Board issued 
an order continuing all national agreement? until such time 
as the board could pass on the rules and ending until further 
notice time-and-one-half for overtime. 

Overtime and Piecework Disputes Decided by Board 

The Board handed down the first of its final decisions in 

r the shopri \ ist 1 1, 

ignizing and 

continuing the principle of punitive pa) for overtime work, 

were promulgated. The new n\\c< sanctioned the principle 

hour day, the poli ;e-half 

t that 
which - ration, and 

tile pi 

' required to work. On the other h rule? 

lie overtimi 
tional ridicu- 

rOUght to tile attention of the 1 

n the new 

rules removed the ban ■ '•. and of the 

by the application of rules in the national 

of the 

Labor Board Announces New "National Agreement" 

The I I'll down its final mlii as the 


plete i N ; w rules ap- 

■ ments had the points 

•iv particular rule of the national agreement In 

January 7, 1922 



other words, a new "national agreement" for the shops crafts 
was promulgated. Instead of having the rules incorporated 
in one agreement applicable to all carriers and shop em- 
ployees, identical rules will, in the future, be incorporated in 
all the agreements between the carriers and their shopmen. 
ill be that against which the carriers have prin- 
directed their whole fight — the universal application 
of rules regardless of varying local conditions. To this ex- 
tent tin- final decision represents defeat for the railroai 

On the other hand, the revised rules will relieve the rail- 
roads of much of the waste caused by similar rules of the 
national agreement. These new rules made by the Board do 
not apply where agreements on rules regarding the same mat- 
n reached by the individual carriers and their 
shopmen. It is likely, however, that as opportunities pre- 
sent themselves either the employees or the carriers will ask 
for the establishment of the rules that are the most favorable 
to themselves. If disagreements ensue and cases come before 
the Labor Board, it is logical to assume that the Board, 
having already determined what it considers a just and rea- 
sonable rule upon the point in question, will simply order the 
application of its own rule. Thus, so long as the Labor 
Board regulates the working conditions of any class of em- 
3, there will be a strong tendency for the working con- 
ditions of that class of employees to be made uniform 
throughout the country. 

Financial Situation Forces Roads to Cut 

Forces, Overtime and Finally Wages 

The extremely serious situation in which the carriers found 
themselves at the beginning of the year, together with the 
refusal of the Labor Board to grant immediate relief by 
authorizing the changes suggested by General Atterbury, 
forced the railways to ask reductions in the wages of all 
employees. The laying off of 655,000 employees between 
August, 1920, and April, 1921, and cutting the working time 
and the overtime of the employees remaining in service so 
that the average earnings dropped from $162.25 a month in 
the third quarter of 1920 to $149 a month in the second 
quarter of 1921, despite the fact that the wage rates in these 
two quarters were exactly the same, failed to solve the prob- 
lem. So in March, while the national agreements controversy 
was still holding the spotlight, each railway, acting in ac- 
cordance with a general policy of decentralization, brought 
disputes over proposed wage reductions to the Board. 

The carriers' testimony was based entirely on (1) the de- 
cline in the i ost of living and (2) the wage reductions in 
other industries. 'The employees replied with amplifications 
of the old charges of mismanagement, etc., their only relevant 
defense being predicated upon ( 1 ) the fact that there had 
been no decrease in the wages of workers in the coal and 
steel industries and (2) a denial that the decrease in the cost 
of living justified wage reductions. The Board's decision, 
announced on June 1, provided for ,i wage cut on July 1 
averaging about 12 per tent. The average reduction repre- 
sented almost exactly the halving of the opposing demands 
of the carriers and the employees. 

Labor Leaders Try to Use Wage Cut to 

Ward Off Further Readjustments 

The labor leaders immediately made preparations to use 
this moderate reduction as a means of warding off further 
readjustments of labor costs. United action by the various 
unions was desired, but factional differences made this im- 
possible. The train service organizations finally agreed upon 
a plan of action which involved a referendum vote, and the 
association of the wage cut issue with protests against further 
wage reductions and the proposed abolition of punitive over- 
time. Subsequently, representatives of the brotherhoods 
asked the carriers to (1) wipe out the wage cut of July 1, 
(2) withdraw all demands for further wage reductions and 

(S) withdraw all demands for the abolition of punitive over- 
time for a stated period. The demands were rejected by the 
carriers and the question of a strike was submitted to the 
men. Meantime, the other organizations had been taking 
strike votes against the wage cut, and talk of a general strike 
began to be widespread. 

Brotherhoods Call Strike for October 30 
The controversy came to a head on October 14. The union 
leaders had already completed the count of their strike ballots 
and found a large majority in favor of a walkout. A meet- 
ing of the Association of Railway Executives was being held 
in Chicago and the heads of the train service brotherhoods 
sought a conference and received a final rejection of their 
demands. At the same time the railway executives an- 
nounced that further wage reductions were to be sought 
immediately as a means of meeting the insistent demand 
for reduced rates. As a result of this combination of cir- 
cumstances the leaders of the train service organizations 
called a strike for October 30 to become effective on groups 
of carriers on succeeding days. 

The heads of the other railway labor organizations mean- 
while had had little to say. It developed later that the so- 
called "associated standard recognized railroad labor organ- 
izations" had broken into two groups, the train service 
organizations comprising one and the remaining unions the 
other. The cause of the break, which was expected for some 
time, was given as the inability of the two groups to agree 
upon the terms on which the impending strike would be 

Labor Board as a Peace Maker 

Here the Labor Board, gathering courage from the attitude 
of the government and the President, made its first energetic 
attempt to bring peace. The leaders of the brotherhoods were 
called into conference by it, but the meeting was a complete 
failure. The Board, realizing its existence probably depended 
upon averting the threatened tieup, immediately arranged 
for an investigation of the whole situation and called the 
chiefs, executive committees and general chairmen of the 
train service organizations and the chief executives of prac- 
tically all of the larger railways together in Chicago. This 
investigation was the dramatic event of the year. B. W. 
Hooper, vice-chairman of the Board, developed the fact 
clearly through examination of the labor leaders, that the 
strike was called, technically as a protest against the wage 
reduction, but in reality as a "bluff" to ward off further 
wage reductions and changes in the working rules of the men 
involved. Nevertheless the brotherhood leaders stoutly main- 
tained that nothing could stop the strike but a "satisfactory 

Just previous to this investigation the Board had issued a 
memorandum in which it stated among other things, that 
further requests for reductions in wages of any class of 
employees would not be considered until all pending dis- 
putes regarding the rules and working conditions of that 
class were disposed of. This memorandum, however, was 
not presented to the brotherhood chiefs until later, when 
Mr. Hooper read and explained its provisions before a meet- 
ing of brotherhood leaders. The provisions of this memoran- 
dum, together with Mr. Hooper's explanation of its intent, 
constituted a "satisfactory settlement." The strike was 
called off on October 27. There followed a period of com- 
parative calm. 

Labor Board Fails to Bring "Peace" 

In creating the Labor Board,. Congress obviously had in 
mind the establishment of machinery which would make for 
peace between the carriers and their organized employees 
Throughout the year, however, there has been constant dis- 
sension and several small strikes culminating in the threat 



Vol. 72, No. 1 

of a general strike. Real peace was not achieved, but at the 
same time nation-wide strikes were avoided. 

The Atlanta, Birmingham & Atlantic Case 

At the same time General Atterbury went before the Board 
with his request for immediate relief, there developed a 
situation on two small roads which later resulted in serious 
strikes. The Atlanta. Birmingham & Atlantic was losing 
$100,000 a month and its financial position, therefore, be- 
came so precarious that it finally ordered wage reductions 
for February 1, and later petitioned the Hoard to sanction 
the cuts. Alter hi i January 25. the Board 

ordered the carrier to rescind its wage reduction order and 
later, on February 21, ordered the dispute remanded to fur- 
ther negotiation, in accordance with the terms of the Trans- 
portation Act. On March 5, about 1,500 employees of the 
A B. & A. went out on an "unauthorized" strike which 
completely tied up the road for some time. In the meantime, 
however, a receiver for the road had been appointed by the 
United States District Court and thi duction orders 

were re-issued to become effective on March 26. This raised 
an interesting issue as to superior jurisdiction as between 
th<- District Court and the Labor Hoard. The Hoard called 
res ni the A.. B. & \ for it on March 21, to 
determine whether or not the carrier, in reducing wages in 
iccordance with a court order, had violated the Hoard's 
previous wage rulings. 

The action of the carrier in reducing wages in compliance 
with the ruling of the District Court was adjudged a viola- 
tion of the Transportation Act by the Labor Hoard in a 
ruling handed down on April 21. This ruling at the same 
time avoided demanding the recall of the wage cut order and 
5ted further conferences between the management and 
the employees. The controvcr the court and the 

Labor Board was never definitely decided, but the fact re- 
mains that the dispute resulted in a strike which was for 
some time a source of much trouble and inconvenience in 
the territory served by this road 

The Missouri & Nor'h Arkansas Controversy 

■ similar to this and resulting in an even 
more serious situation first came before the Board oi 

man ' ige reduction put into effect mi 

:ry 1, on the Missouri & Norl ■- 1>\ order of 

Bef fore the 

involved went on strike and their 

were taken by new employees a- rapidly as the) could 

■ lined. At hearings before th 

lispute was also remanded to negotiations in 
the Transportation Vcl ll 
ii] l 
the r. |i r protest mating 

cinun made to maintain 

of the strikers finall) resulted 
mpl was made to resume 
■ • - to the prop- 
Jul) it became evident that 
!• r ih. . onditions were useless 
mill operation. 
\ I rthern 

triki if train 

I although the interrup- 

i ■ 

Controversy Between Labor Board and Pennsylvania 

l.| It 

i I abor Board remanded the dispute over national agree- 
ments to negotiation between individual carriers and their 
own employees, the Pennsylvania immediately set out to de- 
termine who the majority of its em - red to have 
represent them. It sought this information by means of a 
allot, providing for the election of employees of the 
company and not organizations or men who were not in the 
employ of the company at the time. As a result of these 
elections, committees were appointed and negotiations con- 
resulting in the formation of a new set of rules 
ing the working conditions of shopmen at the Altoona 
shops and later at Other | i 

I protests of the system organization of the Federated 
Shop Crafts brought the Pennsylvania before the Board on 
July 14 and 15. when it defended the elections and the 
subsequent negotiations, on the grounds that (1) the board 
led its authority in extending the national agreements, 
I _' ) the rulings of the Hoard on this controversy will have 
the effect of perpetuating tin- national agreement, thus pro 
riding for the "closed >hop," and (.i) the Pennsylvania has 
i anied out its understanding of the Board's purpose in 
remanding the dispute over national agreements. 

The employee's arguments were based largely on the re- 
quest for a ruling on (1) the right of the majority to deter- 
mine what organization shall represent them. (2) the right 
of the organization to negotiate for all employees of a craft. 
through representatives of their own choosing,, regardless of 
whether these representatives are employees of the carrier or 
not. and (5) the right of the organization to elect represen- 
in accord with its own law-. These three points, they 
claimed, wire settled in favor of the unions by the 16 prin- 
which the Labor Board -aid -hould govern in the 
ttion of new agreements and were violated by the 
Pennsylvania in this case. 

< in August 1. the Labor Hoard ordered a new election on 
the Pennsylvania, finding both the carrier and the em; 
guilty of "illegal and unfair" actions. The Pennsylvania 
; on August 24 by asserting that the new agreements 
already made were in full foi 

vacate i t> ruling calling fur a new election. The Labor 
Hoard in turn defended it- position in the case in a lengthy 
order, calling for further hearings. When these further bear- 
ings were- scheduled, September 26, the Pennsylvania declined 
the Board I ecause of restrictions on the 
testimony to be presented which automatically prohibited the 
Pennsylvania from clearly outlining it- position. 

lb October 20, the Pennsylvania again came 

before the Board and outlined it- previous stand. No further 
developments came, however, until December °. when the 
rivania obtained a temporary injunction from the 
1 Court at Chicago, restraining the l ! from 

publishing a decision which it had promulgated as a result 
nf tin Bearings on the carrier's plea to make 

this injunction permanent were subsequent!) set for D 

6, leaving another important [ 'he railroad 

labor problem a- a legacy for the new - 

•>nal Boards of Adjustment Formed 

The question of the formation of boards of adjustment, 

ter li ft tn agreements ! riers and their 

employees I>n the terms of tin I -' Act. b 

Mil during the past Mar through the I 
of tin ds on whii h iitril the four 

imh r of the lar" 
! I) after the p I station 

Vt l! lidl) for national 

However, the tt brotherhoods later 

: i this position and -;. 

hment of a 
IjuMment in September to handle disputi 

- and th. 

January 7, 1922 



tucrii the Baltimore &: Ohio and the New VTork Central and 
the four train service organizations. This board is composed 
of eight members; four representing the two railroads and 
one representing each of the organizations involved. In 
r a similar hoard to handle disputes between the 
train service organizations and eight of the larger western 

carriers was created. Still another, to handle disputes be- 
tween the train service Organizations and 17 southeastern 
roads, was created in November. In the southwest, negotia 

tions are still in progress looking to the creation of a hoard 
for that territory. The purpose and jurisdiction of all of 
these hoards are substantially the same. 

The Pennsylvania and its employees went even further, 
in the establishment in September of system and regional 
boards of adjustment for the following groups of its em- 
ployee-: (1) train and engine service; (2) maintenance- 
of-way and structures; (3) signal department; (4) me- 
chanical helpers and apprentices, maintenance of equipment 
and telegraph and telephone, eastern region; (5) clerical 
eastern region; and (6) miscellaneous station forces, 
eastern region. These hoards, or "reviewing committees" as 
the\- are called, for the first three groups cover the entire 
system; for the last three the regions indicated. 

Being created, as all of these boards were, during the last 
four months of the year, they did not materially change the 
course of events or affect the work of the Labor Board. 
They will tend, however, to relieve the Board of a number 
of disputes which that body has had to handle through the 
sub-division of its members into three bureaus and through 
examiners, leaving it more time in which to take up and 
consider more important controversies. 

The Outlook for 1922 

A year of constant wrangling has brought a decided im- 
provement in the railroad labor situation, but the year 1922 
promises to be another year of wrangling and struggle. The 
year opened with the vital question of national agreements 
undecided, with readjustments of wage scales in prospect 
and with the future of the Labor Board dependent upon its 
accomplishments. The year has passed and the national 
agreements are still ''among those present'' although in 
greatly modified form, a further readjustment of wage scales 
is imminent and the future of the Labor Board is still 

Three developments of significance brought the year to a 
close On December 20 the Labor Board announced its 

decision m the several controversies resulting from the nego- 
tiation between individual carriers and their maintenance- 
of-way employees of new rules to supersede the national 

agreement. This decision contains spei itic rules to be applied 
m all cases where dispute had arisen on the points covered 
b) these rules. In other word.-, the form and application of 
the decision are the same as those of the shop crafts decision. 
In this case, however, part of the old national agreement 
was not passed upon, namely the seniority and the promo- 
tii n i lauses, inasmuch as practically all of the carriers and 
their employees had agreed upon rules to cover these sub- 
jects. Other rules in the national agreement were written 
to eliminate the objectionable features of their counterpart 
in the national agreement. For instance, the overtime rules 
were changed so that punitive overtime for all workers in 
the maintenance-of-way department would start after the 
tenth hour, instead of the eighth hour as had been the case 
under provisions of the maintenance-of-way national agree- 
ment. In addition, many points covered specifically in the 
national agreement were expressly left open for local 

Year Closes With Three Significant Developments 

On December 9 another chapter was added to the juris- 
dictional dispute between the Pennsylvania and the Board, 
when a temporary injunction restraining the Board from 
publishing a decision which was believed to be detrimental 
to the interests of the carrier, was issued by the Federal 
("curt at Chicago, on the plea of representatives of the car- 
i ier. Arguments on a plea for a permanent restraining order 
were first scheduled for the following day, then postponed 
to December 21, and finally to January 3 of the present 
year, by mutual agreement. 

The third development of significance was a ruling mac'" 
by the Labor Board in which, for the first time, the "abilite 
of the carrier to pay" was recognized by the Board as an 
element of "secondary consideration" in the fixing of just 
and reasonable wage scales. The decision came in a dispute 
between the New Orleans Great Northern and its train and 
engine service and maintenance-of-equipment employees, 
station agents, assistant station agents, and telegraph oper- 
ators. This decision is interpreted as a recession from its 
former position in that it not only specifically states that 
testimony of this character is worthy of "secondary consid- 
eration" but it reduced the rates of pay of the employees 
involved, in compliance with the request of the carrier. 

Photo by Keysto 

The Bush Terminal, Brooklyn, N. Y. 

^MCff- jjpt " 

<fc iMii^MBBBfcT^fc Bl LttfcH 


MRB^ '. "-5 

~? '#.''■ 

The Federal Valuation Is Entering New Stages 

Tentative Reports Being Served on Carriers — Hearings on Protests 
Scheduled — Forces Reduced 

By E .T. Howson 

R 1 

Timportani development in the work of 
valuing the properties of the railways during tl. 
which has just closed has been the completion and 
g on the roa Interstate Commerce Commis- 

sion of a large number of tentative 
valuation-, with figures for the first ^^___ ____ 

stimate of 

tentative "final value." While 55 ten- 

I on the 

ear, they did nol contain 

any figure purporting to show this 

rhi decision of the 

United States Supreme < '<>urt in the 

(ion brought by the Kan- 

ithern, handed down on 

iry for 

ion to prepare supple- 

ol which 

Vpril S of this 

ive been 

with the 

1 of 177 I 

\lr Prourj had 

In hi- passing tl more than its 

Mr. 1 • member of 

ad was 

•iitn •■ tain with the 

valuation of the railws \ 

EPORTS containing tenta- 
tive "final value" were 
served on 177 carriers dur- 
ing the years. Carriers' book rec- 
ords of investment in road and 
equipment are being sustained as 
more valuations are being re- 
ported. Valuation work suffered 
severe loss in death of C. A. 
Prouty, director of the division 
since its organization. 

All district offices were closed 
and forces were cut in half late 
in the year. Future of the work 
is being regarded with increasing 

the confidence of the carrier- and the public to a degree 
] by few in similar positions. In that capacity he 

had long advocated the making of a valuation tor use in 

regulating the railways and, following the passage of the 
Valuation Acl in 1913, he resigned 

_^^_^_^_____ from the I d to organize and 

direct this newly created activity. In 
this capacity his sense of fairness and 
the confidence which he inspired did 
much to launch this work successfully 

•l\ days when there v. 
many possible point- of conn 
between the Division of Valuation and 
i thl one hand, and the 
D the other hand. 
Another development which came 
tedly late in 1921, was the 
i losing of the five district offices of the 
Bureau of Valuation and the i 
tration of all work in Washington. 

Incident to this move, thl 

cut practically in half, the cut being 
imong the higher 

i -. the 

large ra m levered their 

a with the work 

- solidatii n ind reduction in 

ighi about by the prtv 

im< m instituted by the 

administration, It has resulted in considerable temp orary 

ion which i- necessarily incident to a transfer 

this magnitude, Uit will probably not dela) 

the ultimab mpletion of the work. 

valuation work is divided into three major groups, 
the engineering, the land, and the accounting departments 

January 7, 1922 



Shortly after the inauguration of this work in 1914, Director 
Prouty estimated that the inventory work of all of the rail- 
ways of the United States would be completed as of the 
average date of January 1, 1920. While the war interfered 
somewhat with that schedule, it was finished and the field 
parties disbanded during 1920 in all of the districts except 
the eastern where, because of the greater complications, this 
work was not finished until early in June. Since that time 
the engineering department has concentrated its attention on 
the completion of the engineering reports and on June 30, 
1921, reports covering 111,682 miles, representing the prop- 
erties of some 425 carriers, had been submitted to the director 
of the division. A total of 244 engineering reports had been 
tendered to the roads informally prior to November 30, 1921, 
in addition to those incorporated in the tentative valuations 
which had been served on the carriers by the Commission. 

Present Status of the Work 

The work of the land department has lagged somewhat 
Ixiiind that of the engineering section. Additional duties 
were also thrown upon this branch by the Kansas City 
Southern decision, which required the Commission to ascer- 
tain and report "the present cost of condemnation and dam- 
ages or of purchase in excess of present value" of common 
carrier lands. However, this department is now making 
greater progress and the field work is practically complete, 
except for terminals in all except the eastern districts, where 
owing to the extreme density of the larger lines, work will 
continue for some time. The field forces in the land depart- 
ment were reduced to 25 per cent of their former personnel 
on July 1. Up to November 30 of this year, 199 land re- 
ports had been tendered to the railroads in addition to those 
included in the tentative valuations. 

The work of the accounting department has progressed 
less rapidly. This branch was greatly handicapped by the 
impossibility of retaining adequate efficient forces during 
the war. resulting in a high turn-over and an almost constant 
shortage of employees. However, the increased salaries 
which were put into effect in 1920 and the change in em- 
ployment conditions throughout the country, have resulted 
in alleviating this condition so that better progress is now 
being made, and it is expected that the field work will all be 
completed shortly after the first of the year and the field 
forces disbanded. On November 30, 1921, 109 accounting 
reports had been tendered to the carriers, beyond those in- 
corporated in the tentative valuations which have been served 
to date. 

The progress which has been made during the past year 
can best be stated in the words of the Commission itself, as 
contained in its annual report for the year ending October 
31, 1921, as follows: 

"Prior to November 1, 1920, 55 tentative valuation re- 
ports, representing the properties of 70 carriers, had been 
issued. The decision of the Supreme Court of the United 
States handed down March 8, 1920, required the Commis- 
sion to investigate and report 'the present cost of condemna- 
tion and damages, or of purchase, in excess of present value' 
of common carrier lands. Having determined the excess 
cost of acquisition figures for the properties covered by the 
55 tentative valuation reports, a supplemental tentative valu- 
ation has been issued and served, in each case, showing 
excess cost of acquisition of the lands and final value 

"In addition to the above mentioned, 96 tentative valua- 
tion reports upon the properties of 123 carriers have been 
completed and served on interested parties during this 
period, bringing to 193 the number of properties upon which 
tentative valuations have been issued to October 31, 1921. 
Every energy is now being directed to the work of completing 
tentative valuation reports. 

"The work of the bureau of valuation divides itself, in 

all sections, into two broad classifications, field and office. 
In the engineering section, which required a larger and more 
expensive organization than either the land or accounting 
sections, all field work has been completed and the parties 
have been disbanded. In the accounting section approxi- 
mately 98 per cent of the field work has been completed 
and the balance will be finished in the current year. The 
work yet remaining to be done is largely on carriers of less 
than 500 miles, that is, below the importance of major 
properties. In the land section, on a basis of mileage, the 
field work is 98 per cent completed and the personnel re- 
duced to about one- fifth of its quota at the beginning of the 
year. The force developed by the land section to comply 
with the Supreme Court decision above referred to, has 
covered a large part of the studies upon which its findings 
are based. It has completed reports on all properties upon 
which tentative valuations had already been issued and is 
keeping abreast of the other sections in covering current 

"The completion of the field inventory will mark an im- 
portant step in the progress of the valuation work. There 
will then follow the analytical work of assembling the 
data accumulated through the inventory and compiling there- 
from the underlying reports which form the bases for the 
tentative valuations, 193 of which have been issued as before 
stated. There will remain the work of hearing the carriers 
on their protests against the tentative valuations, which may 
result in modifications of the tentative valuations, and after 
this the publishing in final form of our reports on the prop- 
erties of the individual carriers." 

Since the termination of the year covered by this report, 
namely, October 31, 1921, 24 additional reports have been 
issued on 27 properties up to December 9, making a total 
of 177 reports on 220 properties which have been issued to 
that date. 

The largest road on which a report fixing a tentative 
final value has yet been issued is the Chicago, Rock Island 
& Pacific which, with its subsidiaries which were also re- 
ported on, included 7,685 miles of line. Other large roads 
on which reports have been issued during the past year 
include the Atlanta, Birmingham & Atlantic; the Kansas 
City Southern; the Elgin, Joliet & Eastern; the Los Angeles 
S: Salt Lake ; the Norfolk Southern ; the Central of Georgia ; 
the Western Pacific; the St. Louis Southwestern; the Mobile 
& Ohio; the Florida East Coast and the Monon. 

The roads are filing their protests on these valuations as 
fast as they can be prepared. The Commission has an- 
nounced the first of the hearings on these protests on Janu- 
ary 6, when the Los Angeles & Salt Lake will come before 
it; the Elgin, Joliet & Eastern and the Atlanta, Birmingham 
& Atlantic are scheduled to appear on January 9, the Evans- 
ville & Indianapolis on January 16, and the Central of 
Georgia and the Florida East Coast on January 23. Fol- 
lowing the hearings on these and other protests, the 
Commission will revise or sustain its tentative valuations 
and issue them in final form. When this is done, the con- 
clusion appears to be gaining ground that the roads have no 
recourse until this valuation is used, when, if not satisfac- 
tory, they can attack it in the courts. It would appear that 
the use of the figure of "final value" as a basis for the fixing 
of the rate of return and the division of earnings as provided 
for in the Transportation Act would constitute such a use. 

As these valuations have been served on the roads, they 
have been scanned intently to ascertain wherein they have 
differed from the contentions of the carriers. In general 
there have been less discrepancies in quantities than might 
have been expected originally. It is to be expected that 
there would be wide disagreement as to many of the prices, 
but there has probably been less dissatisfaction as a whole 
than might be expected on so vital a point, the principal 
cause for complaint being the use of 1914 prices throughout. 


Vol. 72, No. 1 

1 In • r. making - 

failure of the Commission to include allowun 
tiriLri-:; minan and location surveys, 

for the removal of buildings or other si m the 

right-of-way, and Tor trestles and other temporan con 
tion actual]}' used bul al for new 

■ments for | i m< nis, apj 

tion, going value, etc. There has also been considerable 
g the period of construction which has 
been assumed for the computation of the allowance of in- 

;truction. Likewise, no allowance has 
made tor thi arrier lands over the . 

f adjoining lands. 

What the Valuations Show 

The principal interest in the valu 
course, in the relation which these n to the capi- 

talization of the corresj Unfortunately It 

is not possible to make any accurate comparison o." the 
valuations which have been issued to date with the capital- 
ization of the ci properties of the 
difficult} of eliminating ation. The 
valuation placed on the "total owned" properties of the 77 
carriers reported on to date aggregates $1,091,986,543, while 
tlu corresponding the carriers' investment in mad 
and equipment aggregates $1,445,758,800. These are 1914, 
1915 and 1916 figures which include the Atlanta, Birming- 
ham & Atlantic, tin- Kansas City Southern, the \\ 

and the Los Vng I - & Salt Lake properties; the 
difference between whos - and book, reconi 

this discrepancy. In making 
omparison at thi- time, it she uld also be borne in mind 
that the first road- for which the government undertook it- 
valuation work were cithe r small lines -elected for the pur- 

ids thai were 
in the hand- I en subject to reoi gan 

ization. They have in general been the weak road- or those 
which will afford the iea-t favorable compai 

Furthermore it should lie bo ne in mind that these com- 

i the date oi valuation, which in tli 

-t of the larger roads reported on to date i- June 30, 

l f ']4 or 1915. v mie a number of these roads. 

such i- the Western Pacific, the Atlanta. Birmingham & 

Atlantic and the Chi a ■• K- 1 1 Island & Pai ifii . have been 

id their capitalization reduced. 

- the carrier-' record- of road and equipment 

ncemed, it i- rd-o instructive to note that the Commis 

-i n has examined the n rriers with a book record 

of inveslra al s $j.649, 181,721 ni has certified 

to the >i $3,401,670,282 or 92.7 per cent of this 

amount. Furthermore, a large part of the deduction is for 

unties and discounts in the -ale of these securi- 
ties, the exclusion of which is at least debatable. 

ore becoming increasingly evident that the rail- 
wax- I from tile valuation. As report.- are- 
made upon tin- -;rc ingi -r and more conservatively financed 

vident that the values of the properties found by 
mmission v. ill equal and in many cases exceed their 
lization by a considerable margin. 

Future of Valuation 

As the year can i me apparent that 

there is ; uncertainty regarding the ultimate com- 

pletion of the valuation work This feeling is attributable 
to numerous influences. The failure of the Commission to 
Director Trout}', although the vacancy 
has now existed for six months, indicate- a lack of decision 
on it- part. In tin meantime various candidate-. U>th within 
and without the Division of Valuation, have been offered 
more- - ly icy their friends, which has not 

i -tic cut 

in force- during the fall as a measure of retrenchment in 
the enforcement of the Dawes program has added to this 
feeling of uncertainty. 

More pronounced, however, is the fact that this work is 
rapidly losing its supporters in Congress, if indeed it has 
not already lost them. When the Valuation .V I 
in 1913, it was sponsored by those legislators who had been 
hostile to the railroads and who hoped by this measure to 
bolster up their claim- that the roads wen- grossly over-cap- 
italized. Nov. that sufficient valuations have been issued to 
prove the fallac J of this ontention, they are no longer 
interested in it and some in fact are now believed to be 
opposed to it. This lack of support ai counts even more than 
the nominal reduction in forces incident to the completion of 
certain portions of the work, for the reduction in the appro- 
priation for the year ending June 30, 1923. This 
appropriation, which has ju<t been recommended to Con- 

j President Harding, has been cut to $1,500/ 
only slightly more- than half of the appropriation of $2,750,- 
000 for the fiscal war which ended an June 30, 1921. ha 
a matter of fact, the pressure for the completion of this 
valu tion work is now coming from the railroads rather than 
in m the regulators bodies. 

Unkn Station, Senate Offices, Cafitol, Congr 

al Library and House OfRc 

D. C. — Photo by Ewing Galloway 

Status of Railroad Accounts With the Government 

Large Amounts Still Due Carriers While Latter Owe for Additions 
and Betterments and Loans 

By Harold F. Lane 

ALTHOUGH it is now nearly two years since the rail- 
roads were relinquished from federal control, much 
remains yet to be done in the way of settling the 
accounts between the companies and the government covering 
the 26 months of federal operation 

and the six months' period following _^^^_^^_^_ 
it, during which the guaranteed com- 
pensation was continued to allow time 
for the necessary readjustment of the 

the Railroad Administration negotiable 

Accounts with the Railroad 

Of the 241,194 miles of road that 
were taken over by the government, 
roads operating 107,063 miles have ef- 
fected final settlements with the Rail- 
road Administration, and according 
to the latest estimate made by the Rail- 
road Administration (as of December 
1 ) it still owes the remaining roads 
$750,670,588 on account of compensa- 
tion money taken over, maintenance, 
materials and supplies, depreciation 
and all other accounts, exclusive of 
additions and betterments. On the 
other hand the roads also owe the Rail- 
road Administration a balance of 
$507,628,508 as yet unadjusted on ac- 
count of additions and betterments 
chargeable to capital account made by 

the government while it was operating the properties. This 
does not mean that all of the rest of the $1,144,000,000 of 
additions and betterments has been' actually paid for but it 
has been taken care of in some way, part having been paid 
in cash, part by 15-year equipment trust certificates and part 

Administration to the railroads 

is estimated at $750,670,588, 
while the unadjusted balance due 
the Railroad Administration for 
additions and betterments is 
placed at $507,628,508, making a 
net balance of $243,042,080. 

Claims of 215 companies for 
$436,145,307 have been settled for 

I.C.C. estimates the six-months 
guaranty to railroads at $536,- 
000,000, of which $105,000,000 has 
not yet been paid. 

Railroads have received $263,- 
000,000 in loans from revolving 
fund and have repaid $21,000,000. 

funded by giving 
promissory notes. 

If the unadjusted indebtedness of the roads on capital 
account be offset against the indebtedness of the Railroad 
Administration to them on open ac- 
_____^_^__ count, according to the estimate of the 
director general of railroads, it still 
owes the roads $243,042,080. This 
estimate is made on the assumption 
that the remaining settlements will be 
made on the Railroad Administration's 
construction of the contracts between it 
and the roads. The claims of the rail- 
roads call for a larger sum. 

Roads operating 208,721 miles have 
filed claims for $940,587,256 in final 
settlement and on this basis the total 
claims for all the roads are estimated 
at about $1,100,000,000. Claims to 
the amount of $436,145,307, repre- 
senting 215 roads and 107,063 miles, 
have been settled for $132,221,839, 
which means that the carriers still have 
claims to the amount of approximately 
$664,000,000 against the Railroad 
Administration's estimate of $243,- 
000,000. However, the roads are ex- 
pected to waive a large part of these 
claims that is based on the so-called 
""~ — ^~ ^^^^~ "inefficiency of labor" in accordance 
with an informal understanding 
reached with the President in July in return for an agree- 
ment on his part to fund a part of the indebtedness of the 

In the settlements that have been made $179,710,117 of 
additions and betterments (exclusive of equipment) were 




Vol. 72, No. 1 

charged to tin. carriers and 53. > ,443,000 was funded, while 
$42,250,000 had been funded prior to final settlement. All 
of the $.381,000,000 of standard equipment was financed by 
the roads, while .Mr. II -nil director general of 

railroads, $311,000,000 of the amount having been taken 
care of by equipment trust certificates. 

Six-Months Guaranty 

The [nterstate Commerce Commission has also made an 
estimate as of November 30 that there is still payable to 
the carriers on account of the six-months guaranty about 
$105,000,000. Its estimate of the total amount payable 
under the guaranty is about $536,000,000, of which 
$264,000,000 has been paid in the form of advances under 
section 209 of the law, $166,000,000 as partial payments 
under section 212, and $721,658 in final settlement with live 
companies. These are the Alabama & Mississippi, Ann 
Arbor, Electric Short Line, Electric Short Line Terminal 
Company and Norfolk Southern. The railroads had filed 
returns showing an aggregate amount due them under the 
guaranty provisions of the act of $818,400,184 but the 
amount to be paid has been considerably reduced by differ- 
ences between the interpretation placed on the provision of 
the law l>v the roads and by the commission. 

Loan Fund 
On the other hand, the roads also owe the government 
some $240,000,000 on acocunt of loans made from the re- 
volving fund provided for by section 210 of the law on 
certificates of the Interstate Commerce Commission. As 
security for the loans and for the indebtedness of the roads 
to the Railroad Administration which has been funded in 
one form or another, the government holds over half a bil- 
lion dollars of railroad securities, while it has sold to the 
investing public over $1 $5,000,000 of railroad equipment 
trust certificates. The Treasury, at the end of its fiscal 
year, according to its annual report to Congress, held rail- 
road securities amounting to This consisted 
of obligations acquired by the director general of railroads, 
including equipment trust certificates to the amount ol 

tions of the earners held 
as security for loans from the revolving fund. The holdings 
of railroad 10,000 during Hk 

fiscal year, principally on account of the loan fund, but 
1 by the sale of equipment tni 
authorized by the commission up to 
ber 30, the date of the latest public report of the 
..f the revolving fund 17,717, 

which went to 70 Of this. $21,466,067 has ai- 

med interest 
to the fund, whi ',000 of 

the fui 1 for claims, judgments, 

Vlmini ii ttii n arising oul of fed- 
an uncertified balance at the 
tentative approvals and 

to the amount 

i unencumbered balance of 

a in busin - during the 


and (0 ilhdr.iwn. < >ther 

i authorise them | 

finally m ide 
I this policy and 

<trnd the Unrfits of the revolving 
fund to otil ,norr urgently in nerd of fij 

help, particularly in res;- inr; indrht. 

National Railway Service Corporation 

The amendment to section 210 effected by section 5 of 
the sundry civil appropriations act, approved June 5, 1920, 
authorized the commission to make loans for equipment to 
or through such organization, car trust or other agency as 
it might determine upon, approve or organize for the pur- 
pose "as most appropriate in the public interest," subject 
to the provisions of the act. The National Railway Service 
Corporation, organized under the auspices of the National 
Association of Owners of Railroad Securities, was approved 
as an agency for this purpose, and the commission certified 
to this corporation the following loans for the benefit of 
carriers named: 

Baltimore & Ohio $5,200,000 

New Orleans, Texas & Mexico 926,006 

■ >k 53,100 

8 Pacific 1,568,540 

Minneapolis & Si I nig 386,190 

Wheeling & Lake Eric 3,304,000 

Total Jl 1.437.830 

As a condition of the certification of these loans the 
National Railway Service Corporation and the carriers them- 
selves were required to finance from outside sources 

The law providing for the loan fund limits the time with- 
in which application for loans may be filed with the 
commission to two years from February 28, 1920. The 
commission in its annual report to Congress suggested that 
this period be extended, pointing out that in prescribing 
this limitation Congress apparently anticipated that the 
"transition period" would be of relatively short duration, 
hut that "the progress of readjustment throughout the coun- 
try has been slower than was generally anticipated." The 
commission estimated that repayments of principal of loans 
already made, which by their terms require early or serial 
repayments, and accretions to the fund from semi-annual 
t payments during the two years, would aggregate 
$93,000,000, making an'approximat'e total of $103,000,000 
available for additional loans if the period for filing appli- 
cation should be extended. 

A table on the following page shows the loans to the 
carriers which the Commission has certified from this fund. 

The repayments have been: Ann Arbor, $60,000; Atlan- 
irmingham & Atlantic, $20,000; Hanger & Aroostook, 
0; Carolina. Clinchfield & Ohio, $1,000,000; Chicago, 
Indianapolis &; Louisville, $45,000; Chicago & Western In- 
diana, $S<),000; Great Northern. $15,134,000; Illinois 
Central, $296,000; Missouri Pacific, $4,362,000; National 
R.iilwav Sen-ire Corporation, 
Utah, $15. 7(H) : Waterloo. Cedar Falls & Northern, $60,000. 

Railroad Administration Settlements 

The Railroad Administration hail effected some 20 final 
settlements with the smaller ro.nls up to the end of 1920, but 
most of the larger roads had not tiled their complete claims 

them have not vet done so. The settlement of 

implicated process at best, hut it was made 

even more complicated by the between the roads 

and ti Administration over the claims for under- 

maintenance into which entered the question of the so-called 

While the Railroad Administration 

admitted -"me undermaintenance, the railroads claimed that 

c and hours of labor had been estimated 

in proper n Imilar expenditures in the i ■■■ 

i the "inefficiency of labor," from one i iuse or another 
Mill leit .i wide differen 1 upkeep and the 

expenditures made during federal control, while the Rad- 
ii took the position thai on had 
been fulfilled if it had expended the pro>>rr amount of 


The Railroad Administration had Consistently refused to 
■-ettle except on its own intrqiretation of the contract unless 

January 7, 1922 



its position were reversed by the highest court. The same 
question, however, had been put up to the Interstate Com- 
merce Commission by a provision in the law which made 
the maintenance provision of the standard contract its cri- 
terion in determining the amount of maintenance expendi- 
tures to be allowed the carriers in computing the six-months 
•guaranty and there were some hopes that a decision on its 





Name of carrier certified 

Akron, Canton & Youngstown $212,000 

Alabama & Vicksburg 1,394,000 

Alabama, Tennessee St Northern 90,000 

Ann Arbor 650,000 

Aransas Harbor Terminal 50,000 

Atlanta, Birmingham & Atlantic 200.000 

Baltimore & Ohio 8,200,000 

Bangor & Aroostook 253,100 

Boston & Maine 14,705,479 

Buffalo, Rochester & Pittsburgh 1,000,000 

Cambria & Indiana 250,000 

Carolina, Clinchfield & Ohio 3.000,000 

Central New England 300,000 

Central of Get rgia 237,900 

Central Vermont 65,000 

Charles City Western 140.000 

Chesapeake's Ohio 9,079.000 

Chicago & Western Indiana 8,000,000 

Chicago Great Western 2,445,373 

Chicaco, Indianapclis & Louisville 315.000 

Chicago, Milwaukee & St. Paul ,.... 35,340.000 

Chicago, Rock Island & Pacific 11,430,000 

Cumberland & Manchester -375,000 

Erie 11,574,450 

Evansville, Indianapolis & Terre Haute 400.000 

Fermvord, Columbia & Oulf 33,000 

Fleminesburg & Northern 7,250 

Frrt Podve, Des Moines & Southern 200,000 

Fort Smith & Western 156,000 

Georgia St FIrrida 800,000 

Great Northern 33,496,000 

Greene County 60.000 

Gulf, Mobile & Northern 515,000 

Hocking Valley 1,665,000 

Illinois Central 4,440,000 

Indiana Harbor Belt 579,000 

Inter-Urban 633.500 

International & Great Northern 194.300 

Kansas Citv, Mexico St Orient 2,500.000 

Kansas Citv Terminal 580,000 

Lake Erie, 'Franklin & Clarion 25.000 

Lone Island 719.000 

sville & Teffersonville Bridge & R. R. Co.. 162,000 

Maine Central 2,373,000 

Minneapolis & St. Louis 1.768,190 

Missouri, Kansas & Texas of Texas 450.000 

Missouri Pacific 10,071.860 

New Orleans. Texas & Mexico 1.160 000 

New Yrrk Central 26,775.000 

New York, New Haven & Hartford 17,630.000 

Norfolk Southern 311 ,000 

Northern Pacific 6,000,000 

Pennsylvania Railroad 12. -'SO, 000 

Perria & Pekin Union 1,799,000 

Rutland 61,000 

Salt Lake & Utah 1,008,000 

Seaboard Air Line 8,698,000 

Shearwood 29 000 

Tampa Northern 100.000 

Terminal R. R. Association rf St. Louis 896,925 

Toledo. St. Louis & Western 692,000 

Trans-Mississippi Terminal 1,000,000 

Virginia Blue Ridcc 106.000 

Virginia Southern " 38,000 

Virginian 2,000.000 

Waterho, Cedar Falls & Northern 1.358.000 

Western Maryland 3,422.800 

Wheeling St Lake Erie 6,264, COO 

Wichita Northwestern 381.750 

Wilmington, Brunswick & Southern 90,000 

Total loans certified $263,407,717 

part in favor of the contention of the carriers would have 
some effect on the Railroad Administration. The Bureau of 
Finance of the Interstate Commerce Commission at one time 
took a position in favor of the roads on this point and it was 
reported that the commission had tentatively decided in the 
same wav by a vote of 6 to 5 but if this were true it reversed 
itself before issuing its decision and sustained the contention 
of the Railroad Administration. 

Legislation to Provide Funds for 

Railroad Administration Fails 

Before this, however, the entire question became involved 
in a series of negotiations between the railroads and the ad- 
ministration, m which the President expressed a willingness 

to exercise the discretion allowed him by the Transportation 
Act to fund indebtedness of the railroads, while the railroads 
agreed to waive their claims based on the inefficiency of 
labor in their negotiations with the Railroad Administration, 
in order to hasten complete and final settlements, without 
surrender of any rights in court in case of a failure to 

To fund the carriers' indebtedness, however, would in- 
crease the amount that would be needed by the Railroad 
Administration to make its settlements. The President on 
July 26 sent a message to Congress urging the passage of a 
bill to extend the authority of the War Finance Corporation 
so that it might purchase the railroad securities accepted by 
the director general. "No added expense, no added invest- 
ment is required on the part of the government," he said; 
"there is no added liability, no added tax burden. It is 
merely the grant of authority necessary to enable a most 
useful and efficient government agency to use its available 
funds to purchase securities for which Congress has already 
authorized the issue, and turn them into the channels of 
finance ready to float them." The bill was passed by the 
House on August 22 but it was delayed in the Senate by 
the opposition of the agricultural bloc and finally, toward 
the close of the extra session, efforts to put it through were 
practically abandoned. 

On August 6, the Interstate Commerce Commission issued 
its decision in which it held that differences in the "cost of 
labor," as those words are used in the upkeep section of the 
contract, do not include changes in the quality or effective- 
ness of labor but only changes in wages, and that in fixing 
the maximum amount to be included in operating expenses 
for maintenance, under the guaranty, the commission will 
use as the basic measure the expenditure during an average 
six months of the test period, adjusted to differences in the 
cost of labor and materials and in the amount and use of the 

The cash derived from the sale of equipment trust cer- 
tificates is made available to the Railroad Administration 
for payment in final settlements and to that extent obviates 
the need of an appropriation. It had cash on hand on De- 
cember 1 to the amount of $152,000,000. Without the 
authority proposed by the Winslow bill to the War Finance 
Corporation to purchase railroad securities taken by the gov- 
ernment in funding operations, the President is still at 
liberty to sell them direct if he can, but if market conditions 
improve so that he can do so on favorable terms it is probable 
that many of the railroads can market securities with which 
to settle their indebtedness to the Railroad Administration. 
A list of the roads and other transportation companies which 
have made final settlements with the Railroad Administra- 
tion and the amounts they received is as follows: 

Abilene & Southern $1 ?5K 

Akron Union Passenger Depot Company ,i n '92x 

Alabama Great Southern 1 ' 5j 9?^ 

Alhany Passenger Terminal 5,679 

Alton & Southern . n ™nnn 

Ann Arbor '6U0.0UU 

Arkansas & Memphis Railway Bridge St Terminal Company 9 2'95°, 

Asheville & Craggy Mountain ..J™ 

Atlantic Coast Line 5 52°-222 

Baltimore Steam Packet Company 820.000 

Rangor & Aroostook "2 

Belt Railway Companv of Chicago MS'?™ 

Bennettsville & Cheraw oc^'onr, 

Bessemer & Lake Erie 3 '°, nS 

Birmingham & Northwestern I9'29? 

Boston Terminal Company JHxi 

Buffalo, Rochester & Pittsburgh 1>00 H°,?. 

Bullfrog Goldfield 12.000 

Cambria & Indiana 70 000 

Carolina & Northeastern 15,000 

Carolina & Tennessee „ S '™ 

Carolina, Clinchfield & Ohio "2222 

Charleston Terminal Company 90,000 

Chattanooga Station Company }?'?„, 

Chesapeake Rteamshin Company . Jlllli 

Chicago & Eastern Illinois ?'2 2'^ 

Chicago & North Western 6,500.000 

Chicago & Western Indiana „ i 5 2 222 

Chicago, Burlington & Quincy 8 '?2 n r - n 2° 

Chicago Junction 2?2'°22 

Chicago, Milwaukee St Gary 200,000 



Vol. 72, No. 1 

Milwaukee ^ S;. I'aul , 

. lloslon Kcirigerator Company. 

Chicago River & Inai 

Chicago, St. Paul, aiinneapolia \ Omaha 

Cincinnati, Intuanapolis ^ Western 

• '• .-urn 

SI Mattory Steamship Company 

- .aiua 

. Jgo 


.\ Western 

dcnison -It i'ucinc Saouroan 

Denver & Kio Grande 

Denver Lnion leiminal 

De3 Moines Terminal company 

Des Moines Union 

Detroit & Mackinac 


Dulutu "cr Company 

Durham L muii bullion Company 

Eastern Steanu 

Elgin, ] ii 

El Paso \ Soutnwestcrn 

El Pas get Depot 


Farmer Shipping Company 

Eort Duilgc, Des Monies it Southern 

Fort Worth Belt 

Fort \\ assenger Station 

Fourchc River Valle) & Indian Territory 

:i w barf Company 

Golusboro L nion Station Company 

Great Northern 

Ureen B 

i .in.i 

Gull Coast Linc= 

Cult, Mobile fit Northern { 

Meridian & Memphis ) 

Gulf 'terminal 

Gulf, Texas A: Western 


High Point, Randleman, Asheooro St Southern 

Hudson St Manhattan 


Iowa Transfer 

Jay Street terminal 

Juliet Union Depot Company 

Kansas City, Mexico & Urient 

Lackawanna it Montrose 

Lake Superior &; Ishpcnung 

Leavenworth Depot & Kailroad Company 

Lehigh & Hudson River 


Los Angeles & Salt Lake 


Louisiai ..i Kailroad Transfer Company 


Louisville it Wadley 

Luf kin, Hemphill St Gulf 

Macon 1 ■ l 

Manistuiuc S: Lake Superior 

Marquette & Bessemer Dock & Navigation Company. 

Marsh Refrigera 

Merchants \ Miners' transportation Company 



Midland \ alley 

Minneapolis Eastern 

ta &^ International 

ppi Central 

Missoun & Illinois Bridge St Belt 

Missouri Pacific 

Mobile St Ohio 

Mumsing, Marquette .v Southeastern 

Nashville, Chattanooga & Si. Louis 

New Mexico Cel 

New Orleans Great Northern 

New Vorl I 

New York Connecting 



ramship Company 


Mills & V 



































SOU, 000 































Virginian 2,100,000 

Waupaca Green Bay 6,383 

lord, Mineral Wells & Northwestern 36,000 

Pacific 4.200,000 

ie Belt 1,080,000 

impany . No cash pavment 

Woodstock & lilocton 19,000 

Wrighlsville St Tcnnille 22,500 

"Paid to Raili 

The general method employed in making settlements was 
described in a report submitted by Director General Davis 
to th< Sena! on D cember 10, which was abstracted in the 
r 19. 

Partial Payments on Account of Guaranty 

When the year began the railroads had received only 
aliout $260,000,000 on account of their six-months guaranty. 
ihi- having been advanced in accordance with the provisions 
i In- law. on application filed by the rail- 
roads up to September 1. 1920. After September 1, when 
the commission found that a long delay must necessarily 
ensue before final adjustment of the accounts could be made, 
it attempted to give the roads additional sums on account, 
in its opinion would he clearly within the amount 
which would finally be payable. I he certificates of the 
commission were, however, held up by a decision of the 
comptroller of the treasury and the efforts of the railroads 
n changed by a court order failed. 
In its annual rejwrt for 1" r, the commi.--ion 

recommended to Congress an amendment to the law, and 
effective en February 26 section 212 was added, which au- 
thorizes partial payments and permits the commission, in 
ij deferred di edits to railway operating in- 

which cannot he definitel) deterrnined, to make a rea- 
I estimate, and when agreed to by the carrier, to u<e 
that estimate in certifying the amount due in final settlement 
n\ tin- guaranty. A total of 547 road.- had filed return- with 
the commission asking for the guaranty and after $Jo 
s74 had been advanced under section 209, there were 447 
requests Bled for partial payments under section 21 J. After 
making certain adjustments in the amounts as claimed by the 
carriers, the commission ha- certified partial payments to the 
amount of $165,862,775. 

Recently the commission issued an order that the guaranty 
accounts should be closed as of Decerning SI. and all claims 
filed by March 1 

Reimbursement for Short Lines 

Ihe commission i- also administering the provisions of 

section 204 of the act. providing for the reimbursement of 
short lines which were taken under federal control and then 
relinquished. A dispute ha- arisen between the roads and 
the commission as to the interpretation of this law, the com 
mission taking the position thai the reimbursement is limited 
to those roads which after the relinquishment earned actual 
operating deficits, while the short lines claim that the Word 
"deficit" a- used means or falling off in railway 

operating income for the federal control period as ion 

with that of the ti'-t |>eriod. 

(if 279 claims for reimbursements filed with the commis 

i no I' tu al deficits, but the 

..I* these which arc entitled to reimbursement under 

mmission's interpr The 

duced this to ^i i ,n7')." 

tam n 1 inal settlements under this 

been made with ' payment of 

mil other indebtedness to the R Vdministratii • 

parti certified for a net amount of 

the net tot il 
I I he W 



Profit From 

Lower Material 


Marked Reductions Have Been Made in the Price of Practically 
All Important Commodities 

By W. S. Lacher and C. B. Peck 

The railroads are now a preferred customer in a buyer's 
market. This is a most remarkable transition from the 
status in the summer of 1920, when a seller's market 
gave first consideration to the devotees of the buy-at-any- 
price hysteria which was then sweeping the country. Prices 
in nearly all lines have been greatly reduced, as is evident 
from the charts showing the range of manufacturers' quota- 
tions appearing throughout this article. 

The decline has also been fairly steady 

throughout the year with considerable 
evidences of an upturn in the later 
months following a more general re- 
sumption of railroad purchases. While 
reductions in the prices of finished 
products have lagged considerably be- 
hind those of raw materials, the read- 
justment as regards these has also been 
of a substantial nature. 

Marked Readjustment in the 
Steel Industry 

The story of the iron and steel 
market for 1921 is one of exceeding 
interest and insofar as the buyer is 
concerned one of satisfaction as well. 
This year saw the disappearance of the 
last vestige of priorities, established 
prices and other distasteful features 
that aade up the market conditions 
with which the purchaser became all 
too well acquainted during the war pe- ^^^^^^^^^^~ 
riod. What established prices there 

are today outside of those for rail and one or two other items 
have little bearing on the actual sales. 

The story of a declining market is always a difficult one 
to tell accurately because the real prices are not disclosed. 
It is only when concessions become general that they are 
recognized in published quotations. For this reason the trend 
of prices over the past year or more has been given in several 
charts showing the general tendencies rather than tables i)f 
specific quotations. 

To get a proper perspective of the decline in the market, 
it is necessary to go back to the fall of 1920, when the price 
schedule of the United States Steel Corporation was clearly 
below the ruling market. Thus, the corporation's price for 
open-hearth rail was $47 per ton while the independents 

seen remarkable changes. 
July, 1920, saw a seller's 
market. Buyers scrambled to 
buy where and when they 
could at any price and for 
any date for delivery. To- 
day we have a buyer's market. 
Sellers are making every possible 
concession as to both price and 
delivery in an effort to get a share 
of the business offered. Some 
prices have fallen more than 
others. In many lines the read- 
justment seems well-nigh com- 

were holding out for $57 or even more and there was a great 
deal of uncertainty as to just what the price would be for 
rails delivered in 1921. All indications pointed to a read- 
justment upward of the United States Steel Corporation's 
schedules, including the rail price. 

However, the softening influence of the incipient business 
depression was at work, and on November 19, 1920, Judge 
Gary announced that the established 
^^^____^^^ prices of the Corporation, with a few 
minor modifications, would remain ef- 
fective in 1921. This served also to 
fix the price of rail at $47, and al- 
though the independents clung to the 
higher figure for some time, they were 
eventually forced to recognize the 
lower price. In the meantime, the inde- 
pendent prices for other commodities 
came tumbling down and by February 
prices were pretty well established at 
the Corporation level. 

The early months of 1921 witnessed 
an interesting reversal in market con- 
ditions. Whereas in the autumn of 
1920 the Corporation's prices were 
below the current market, the drop of 
prices in the spring of 1921 saw the 
United States Steel quotations left on 
a level considerably above the actual 
selling prices. As this condition became 

more apparent rumor gained current 

"^ "~ — " ™~ that the United States Steel Corpora- 
tion would announce a reduction in its 
schedule of prices and this finally took place on April 13. 
This reduction received publicity in the newspapers as a 
definite measure in the direction of readjustment, but those 
familiar with conditions in the market recognized at once 
that the new prices were still well above the active market 
quotations at the time and with further softening of the 
market the schedule quickly became a dead-letter. 

On July 4 the Bethlehem Steel Company announced a 
new schedule of prices which was followed shortly by corre- 
sponding announcement from the United States Steel head- 
quarters, but these schedules also fell short of the market. 
Since that time but limited attention has been given to estab- 
lished schedules, the market becoming more and more a 
matter of actual agreement between buver and seller. 




Vol. 72, No. 1 

The Unil Steel Corporation's price for open- 

hearth : 1 rei. mined the basis tor deliveries during 

1921. but many railroads failed to make requisitions to cover 
their full orders so that a considerable tonnage on old orders 
remained on the books. This no doubt was one influence 
which led to a reduction to $40 announced on October 25, 
with a provision that it would apply alike to new contracts 
and unfilled tonnages on old orders. This change apparently 
proviii' stimulant to the rail market, for at 

least tons of rails have been ordered subsequent to 

Sept Oct Nov Dec Jan Feb Mar Apr. May June July Aug. Sept. Oct. Nov Dec 
1320 Ml 

General Tendency of Structural Steel Prices 

this announcement witli inquiries current for an even larger 

The decline in structural steel has been more steady and 
with the fall in the price of the plain material, an even 
greater decline has taken place in the pound prices for fabri- 
cated structural steel. In an effort to keep their shop organ- 
izations together the fabricators have cut the spread between 
the plain material and the finished product to a minimum. 
As a consequence, the railways have been able to buy steel 

General Tendencies of Track Material Prices 


Lumber Market on a New ! 

upturn in 

The railroads, unlike small consumers, buy wholesale and 
in many cases f.o.b. mill. Therefore, they are realizing the 
full benefit of the price decline to a much greater extent 
than the small purchaser who must buy through a retailer 
or jobber. 

Cars and Locomotives 

Last year in an article on locomotive and car prices 
nuary 7, 1921, page 87), data were pre- 



\ \ 

V \ 



-.■ ■- 




\ \ 

. \ 




''. \ 

- \ 



V \ 











Sept Oct Nov. Dec Jon. Feb 

The Range of Scrap Prices in the Last Fifteen Months 

sented showing the trend of prices of the various classes of 
equipment since 1910. Using the average price of 1910 to 
1914 as 100 per cent, the prices of freight cars were found 
to have increased at a comparatively uniform rate from 1915, 

; *.v 

«£ *IS 

'Nlfi - 

»- — 




— • — -^, 



Trend of Prices for Pig Iron and Iron and Steel Castings 

ill steel 
nd 313 m t action. 

of the 

January 7, 1922 



1910 io 1914 average, increased with like uniformity to 218 
in 1920. In the case of locomotives the same uniformity in 
the rate of price increase was not observed. Starting at 100 

of business done during the first six months, attention was 
called to the fact that very few equipment orders were placed 
during the last half of the year. What was true of the last 



Apr. fun ' 

8 by 16, \o. 1, common $33.00 $36.00 $35.00 $31.00 $27.00 $27 

33.00 30.00 

35.10 40.00 35.00 33.00 31 

45.00 40 00 3 

' . common . 

Car framing, select, common 

Car sills. 41-45 fl 

Car siding, No. 2, clear and better 75.00 85.00 85.00 70.66 45.00 44 

Car ltnmK. select common. D. & M 46.50 56.00 45.00 38.00 30.00 27 

Car decking, finished select common, 1>. 

* M 38.CO 45.00 35.00 35.00 

Switch ties 32.PO 33.00 30 00 27.00 

00 $26.00 
00 22.00 
00 27.00 
00 32.00 

00 44.00 

00 27.00 

I ,1 


Crossing plank 32.00 33.00 30.00 27.00 25.00 25 

30.00 30.00 30.00 
5.00 25. ( 

00 22.00 22.00 18.00 15.00 


ne July 

$15.00 $15.00 $15.00 
14.00 14.00 13.00 
20 no 16. no u no 
24.00 17.00 16.00 
30.00 26.00 25.00 
18.00 18.00 17.00 

1700 17.00 13.50 

"O 13 00 

14.00 14.00 12.00 

Aug. Sept. Oct. 

$15.00 $15.00 $15.00 

13.00 13 00 13.00 

14.00 1400 

16.00 16.00 

28.00 30 00 

17.00 17.00 


17.00 17.00 19.00 
13.00 13.00 13.00 
13.00 13.00 13.00 




7 by 16—28 ft. 
Bridge Material 46.00 


Car Sills 52.00 

10 ft. 

Car Lining 57.00 

Car Dcckine 45. 00 

Crossing Plank 

Jan. Feb. 

$59.00 $59.00 



54.00 54.00 



Jrne July Aug. Sept 

$60.00 $59.00 $60.00 $59.00 $55.00 



$47.00 $47.00 



. 48.00 

March April 
Straingers $38.00 $37.00 

May June July 


16 38 fl 

Bridge Material 31.00 

12 by 12 
Car Sills 

36 40 ft. 

Car Lining 

Car Decline 

Crossing Plank 

30.50 27.00 25.00 


















in 1915, the average price reached 210 in 1917 and after 
dropping back to 206 during the next year, recovered to 212 


1 *0M 


,i i 

fS ° 



- Ch 


r rj 

?'■ I 

• /VV 








r Dn 

U i \ 



iqht car brake she 



Sept. Oct. No* . - Apr. tlauJuneJalu Auq. Sept. Oct. Nof.Sec. 

I9Z0 192 f 

Price Tendencies of Finished Materials Used in Maintenance 
of Equipment 

in 1919. Then came an increase to 251 during the first 
half of 1920. 

In establishing these index numbers for 1920 on the basis 

six months of 1920 was also true of the first ten months of 
1921. Since November 1 there has been considerably more 
activity in cars and index prices for 1921 must be based on 
November and December conditions. Such data as are avail- 
able clearly indicate a marked drop in the prices from the 
high levels of last year, varying from 30 to 35 per cent. 

In the case of all-steel freight cars the average of this 
reduction has been from the 300 index number of 1920 to 
about 213. 

Similarly, composite steel and wood equipment has 
dropped from 313 in 1920 to about 215. 

What has been said with respect to cars applies with even 
greater force to the locomotive market. Indeed, it may be 
truthfully said that there has been no locomotive market 
during 1921. It is true that several sizeable orders have 
been placed during recent weeks, but the number of these 
orders has been entirely too limited to average out the effect 
of special provisions in the specifications even if complete 
data were available for use in calculating an index number 
for the year. Quotations on comparable specifications have 
been made in 1921, ranging from 25 to 50 per cent less than 
those of 1920, but it is doubtful whether these comparisons 
are at all indicative of the trend of the conditions which 
would fix prices if a reasonably steady volume of business 
were to be established. 

Miscellaneous Car and Locomotive Material 

Supplementing the diagram showing the trend of prices 
of several basic iron and steel commodities, which in a gen- 
eral way may be taken as an index of the trend of prices of 
finished materials into the manufacture of which they enter 
extensively, the trend of the prices of a number of finished 
products which are used extensively, not only in the con- 
struction of new equipment but in every-day running repairs 
and maintenance, are shown in one of the diagrams. Some 
of these materials are purchased under contract and are not 
quoted at uniform prices. In such cases the curves present 
averages of a number of quotations, and are sufficiently accu- 
rate to indicate the trend of the market. 


Vol. 72. No. 1 

Cost of Ties Greatly Reduced 

cross tie industry has undergone a process of - 
readjustment. Prices haw been greatly reduced, but owing 
to the wide range of conditions, variety of grades and, still 
more important, character of inspection, it is not practicable 
to present tabular data that would be representative of the 
entire country. The following statements are indicative of 
tendencies. Tie hackers in southeast Texas are now making 
8-in. yellow pine ties for 25 cents and hard- 

wood ties for 35 cents. In the north Atlantic states pine 

livered, now cost only about 35 cents more than they 
did before the war; oaks in the same territory are about 25 
per cent higher than before the war. The price of yellow 
presents about the same advance over pre- 
war prices and is equal to about two-thirds of the price of 
a year ago. 

One road in the middle west reports that prices for ties 
produced locally are now about 55 cents lower than last year 
and very close to the pre-war basis. The following table is 
also indicative of changes in the prices of cross ties although 
it is carried only to April whereas prices have decreased 
appreciably since that time: 


Season of 193} A| 

White oak-7 t>v 9 $1.85 $1.50 

Chestnut— 7 by 9 1.50 0.95 

Red Oak— 7 by 9 1.75 1:5 

Hard maple and gum— 7 bv 9 

Elms, soft maple, etc.— 7 by 9 1.50 

Southern yellow heart pine 

Southern yellow sap pine 2.00 

Yellow pine ties, l $0.4 ' 

The present low prices are the results of one of the most 
remarkable gluts the tie market has ever known. As in the 
■ u k to 1020 when the transition 
from government to corporate purchases in March, 1920, 
caused a number of tin- roads to delay getting into the tie 
market. As a consequence the railrc leaking, 

not only scrambled for their requirements but probably over- 
purchased, in man) cases, to a considerable amount. Freight 
went up. labor was high, pi increased in 

it the ties purchased in 1920 cost the railroads 
than tluy have ever paid for ties before. When the 
lumber market broke in the fall of 1920, the situation was 
juickly reversed, Saw mill> turned t<> the manufacture 
- and the n offered a large supply at 

favorable pi I condition was also infli 

by the change in the labor market and the decreased demand 
itton and other agricultural products, resulting in a 
mpetus in tie production for right-of-way delivery, 

once and for 
nt nl produi tinii until they suddenly 
helmed with the delivery of a much 

- quantity of ties than they had expected to pur 

irl) ill of the stronger road-, which 
into the tie market in the 

were com 

thdraw from the market early in 1921 and. not- 
I them aci umulated 

! all of 

nlted in a very 
I up with ii i much 

in tlie low 

number of j i 

I ue report of the American Wood-Preservers' Association 
-hows that 1920 was a banner year for timber treatment, the 
number of tie.- treated. 44,987,532, being larger than in any' 
previous year, and indicating a complete recover)- from the 
decline in treatment prevailing during the war period. There 
is every indication that the record for timber treatment in 
1921 will also be very good, one inducement in this direction 

i plentiful supply of creosote and other preservatives 

it much more favorable price- than have prevailed for a long 

time. The most important influence in this direction has 

the resumption of creosote imports on a large scale from 

I ngland and Germany. 

-[leaking, the cost of railroad coal has shown a 
steady though not large decline during the first three-quarters 
of 1921. Data compiled by the Interstate Commerce Com- 

ii show a decline in the average cost of the coal used in 

r\ -ii e by a large percentage of the Class I railroads of 
the United State- from $4.61 in January to $3.80 in Septem- 
ber, or about 17.5 per cent. The cost given by the Interstate 
( ommerce Commission includes the invoice price plus freight 

- and is a weighted average. A comparison of the 
cost by months for 1920 and 1921 for the United States as a 
whole and for each region is shown in Table III. 

The greatest reduction within the year from a dollars 
and ent- basis, took place in the Xew England region. 
From SS.72 in February the price declined to $6.57 in Sep- 
tember, or 24.5 per cent. Although less in amount, reductions 




Jon. Feb t-lor. Apr Hay June July Aug. Stpt Ocf No* Ike 
Trend of Average Cost of Railroad Fuel— 1921 and 1920 

3 per cent and 24 per cent occurred in the Ohio-Indi- 
. legheny region and the IVcahonta- region respectively, 

tin- (Ire a Lake- region following with a decline of 20 jht 
.ent. I he reductions in the western regions have been much 
less marked, particularly in the Northwestern region where 
the average cosl in September was but live |>er cent below the 
beginning of the year In the Northwestern and 
r, it Should he noted that the trend 
ormly downward throughout the year In the 
North' sed gradually from 

) until April, at which time a maximum of $4.96 a 
ton wa- re. ii lied. Siiue that time tin decline ha- been unin- 
terrupted. In the case of the Central Western KgiO 

though the maximum average for 1921 i- shown for the 
month of fanuary, with a will marked decline in February, 
this was followed bj increases in March and April, the 

' "it month bei: 

n January, 
mi f.nt brought out by the graphical pr 

New York Central Yards, East Buffalo, N. Y. 

Improved Service and Morale Features of 1921 

Considerable Progress Made but Pre-War 
Standards Not Yet Restored 

By Charles W. Foss 

Primarily because of the aching void that the absence 
of it left in railway operation during the larger part 
of the period of federal control and a few months suc- 
ceeding, railway officers and students of railway affairs were 
given an entirely new appreciation of that factor in railway 
operation known as morale. During 
1921 there was much in the way of _______ 

labor difficulties: on the whole, how- 
ever, perhaps not as much as might 
haw- been expected under the trying 
conditions. He would be a true pessi- 
mi-t who would not admit that the 
railways have succeeded in taking a 
long step in the direction of restoring 
that old time loyalty on the part of 
officers and men alike. The change in 
that respect as compared with 1920 
and 1919 is one of the outstanding 
features of 1921. It is not necessary 
to produce facts to prove that the rail- 
re km !> have again restored, in large 
measure, the morale of their men. The 
fai t lias been noticed by travelers and 
shippers. There is no fair-minded 
railroad man who will not admit it. 

It is interesting to observe in what — 

manner the improvement in railway 
morale has accompanied or has been 
accompanied by a similar improvement in railway service. 

Reasons for Improved Service 

Tin railways today are moving freight over the road in 
much better shape than was the case either during the war 
or after the armistice. Thev are for/the most part not pro- 
ducing quite the same sort of ser/ce, however, that they 
produced prior to the war. There are some who declare that 
the fact that the freight is being moved faster this year is 
due to the smaller amount of business that is being carried. 
While there can be no question that the lack of that conges- 
tion which resulted when the railroads were being worked 
practically beyond their capacity, is an important factor, 

EVIDENCE of the past three 
or four years seems to indi- 

morale and 
are interre- 

cate that good 
high grade service 
lated factors. 

During the war neither service 
nor morale were as good as prior 
to the war. After the armistice 
both were exceedingly poor. At 
present both show much progress 
towards pre-war standards. 

Competition of the right kind 
is one of the best assets the rail- 
roads can have. 

there is still room for belief that the improved morale has 
been the determining feature. This would seem to be borne 
out by the conditions of 1919. That year was not a pecu- 
liarly busv one. It represented, however, the low point 
insofar as railroad service to the shippers and the traveling 
public was concerned. 

^^^=^^^^^ Train Speed — Miles Per Hour 

A factor that is of interest in con- 
nection with the speed with which the 
movement of freight is conducted may 
be gleaned from the operating statis- 
tics. The particular figure in mind is 
that of "train speed — miles per hour." 
The latest available figures are those 
for October issued recentiy by the In- 
terstate Commerce Commission Bureau 
of Statistics. Taking the averages for 
the ten months ending October 31, we 
find that in the first ten months of 
1921 the railroads of the United States 
moved their freight trains at an aver- 
age speed of 11.4 miles an hour as 
.iL'ainst 10.3 miles an hour shown as 
the average for the first ten months of 
-^^^^^^^^^— 1920. This indicates an improvement 
but for the fact that the net tons per 
train were but 702 in the first ten 
months of 1921, as against 737 in the same period of 1920. 
The increase in train speed does not therefore necessarily 
represent an improvement; it means rather that with lighter 
loads the trains can be moved faster, or that with less con- 
gestion on the division the trains are given a better opportu- 
nity to keep moving instead of being laid up frequently on 
sidings. We cannot, therefore, take the figure of "train 
speed — miles per hour" as our criterion. 

Readers of the Railway Age have been hearing from time 
to time of rather spectacular fast movements of manifest or 
other freight made by different roads. Such performances 
as these are a somewhat better indication of improved freight 
train service. They point out at least that the railways 




Vol. 72, No. 1 

arc again in a position to meet the unexpected. We can, 
. r. hardly give too much importance to such runs. 
We may presume that the roads will be able to continue 
even with traffic back to more nearly 
normal figures; but we can not so easily prove it to those 
who declare that improved freight service has been due to 
the fact that then to handle and therefore 

Fast Freight Schedules Furnish Real Proof 

proof, we believe, will be found in tin 
freight schedules. These, as the name states, are "sched- 
d ud lived up to. During times 
of congestion, the difficulty may arise, and frequently does, 
of keeping them on time. They are lengthened, however, 
only as a last resort in times of grave difficulty. For the 
purpose of showing what has been happening in this direc- 
tion, we reproduce in tabular form the details of the fast 
freight services from various important centers. There are 
shown the details of the services at New York, eastbound 
and westbound; from Boston, westbound; from New Or- 
leans, northbound and westbound; from California to east- 
ern points; certain details will also be given concerning the 
service applying on perishables from the south to the north. 

Service from New York One Day Behind Pre-War 

1 he table showing the detail- for New York indicates that 
prior to the war the carriers gave a third-morning delivery 
at Chicago During the war, this was made fourth-morning. 
After tin a uring that period when the railroads 

were in the doldrums — the service deteriorated so that fifth 
hth-morning delivery was the best the carriers could 
do. At present, the service is partly restored to its old time 
standard. On westbound traffic, fourth-morning delivery 

pre-war third morning. < >n 
bound traffic, however, a third morning delivery is available 
for live-stock and peri-hables. 

Froi i- City similar conditions ap- 

bound delivery was fifth-morning; 



cures indicate 

morning dcliV' 





live-stock and 



3rd to Itlih 




7th to 12th 

61 h 





venth, if th i ould 

from ninth 

! to Pre-W 

There arc many interesting features in connection with 
this fast freight service out of New York and in general 
from Atlantic seaboard points. One of them is Baltimore 
& Ohio Train 97. This train is making fourth-morning 
delivery at Chicago from New York, Philadelphia, and by 



From B 

Live-stcck and 















New \ork, cither 


1 st morning 

means of a connection with Train 96, from Baltimore. We 
an- advised that it is keeping to its schedule. Prior to the 
war I'r.iin 97 was scheduled to make third-morning delivery 
at Chicago from Baltimore and Philadelphia. 

Service North and West from New Orleans 

The congestion during the war period was mo>t severe on 
the lines serving the Atlantic ports, which explains in great 
measure the reason for the lengthening of the schedules dur- 
ing the war period, although not during the period following 
the armistice when such congi -ted was due less 

vy traffic than to other factors. The lines serving 
New Orleans were not as seriously congested as those serving 
New York, Philadelphia or Baltimore. Xeverthe- 
the schedules out of New Orleans were a trifle 
slower than pre-war standards. In some cases, the pre-war 
schedules have been restored, i. e.. as to Los Angeles and 
S '< Francisco. In still other cases there has been a partial 
improvement without getting back to the pre-war standard, 
i. e.. as to I Paul, etc. 

In tlii- connection it might be noted that some of the 
Southern lines work their schedules differently from the 
Whereas the eastern lines operate symbol 
train-- with I arrival, the prac- 

tice on some of the southern lines i- to offer a preferred 
, whereby extras ire started out when the train is 
ready and allowed a certain time to destination. 'I'he service 
stinguished in som im th>. 

regular fast freight service and is given provided the shipper 
supplies a certain minimum number of car-. ?. 7, 10, 15, 

: in this wav were 
given before the war 58 hours to Chicago. During tin war, 
this v. ned to 72 hr. ; it has now been n 

67 hr 30 min St. Louis was given a time of 45 hr. before 




During war 

- 30 min. 
■ to min. 

■ d up iliirim_' the 

war, where impnr ' ;it In which 

Schedules from California 

•i per- 
| the : 
lo I Califoi 

During the 

war t] r) davs 

^'-o- ^wr^fe • =- i/sitm 


ore .'- Ohio Wallet Z-8-8-Q Freight Li 

Recent Tendencies in Locomotive Development 

Demands for Efficiency Forcing Changes in Design — Capacity 
and Reliability Alone Not Sufficient 

By R. C. Augur 

I j in wise occasionally to stop and look back over the road 
that has been traveled before looking forward to see where 
the road is leading. If a comparison is made between 
typical freight, passenger or switch locomotives of the present 
day and those which were considered modern 20 or 30 years 
ago the differences are striking. The 
progress of the years has been marked _^^^^^^____ 
by a steady increase in size, weight, 
power and efficiency. Every such in- 
crease has either been brought about 
by, or has been accompanied by, an 
advance in car weight and capacity 
and in average train tonnage. These 
changes have necessitated the intro- 
duction of such strong couplers, draft 
and car frames that there are 
serious dangers in an attempt to handle 
small old cars mixed in trains of 
heavier high-capacity cars. There are 
consequently many cars still in ex- 
istence that are not safe to use in gen- 
eral traffic. 

The increase in weights of rolling 
stock have also made necessary the re- 
building of bridges and the laying of 
heavier rails, followed by steadily 
greater outlays for track maintenance. 
These investments have unquestion- ■ 

ably been well warranted and have 
proved profitable in places where there 

was a heavy traffic in ore, coal and low grade freight. It is 
possible, however, that the efforts to obtain an increase in 
train tonnage have caused the movement to go farther than 
was economically wise on some roads where the bulk of the 
traffic consists of general freight or which handle a large 
amount of such short seasonal freight as grain. Taking 
every item into consideration the price paid for the increase 
in train tonnage has been a large one. Would it not be advis- 
able for the American Railway Association to undertake an 
investigation of the effect of the various factors which enter 
into the over- all cost of moving the traffic to determine 
definitely what are the most economical practices under 
different conditions? 

is being given to points of de- 
sign that affect the efficiency of 
boiler or engine. Such radical in- 
novations as steam turbines and 
Diesel engine locomotives are be- 
ing tested. 

Locomotives have been ren- 
dered obsolete in the past because 
they did not have the power to 
haul heavy trains necessary for 
the economical movement of traf- 
fic. Many existing locomotives 
must be retired unless rendered 
more economical in fuel and main- 
tenance costs. 

Turning to passenger trains we note a tremendous increase 

in the weight of passenger cars; where an American type 

locomotive formerly hauled an express train, a Pacific type 

is now found to be unable to make the time and a Mountain 

type is being substituted. The amount of dead weight per 

passenger would seem to be greater 

^_____^^^^_ than necessary and it is hoped that the 

future will see an improvement in this 


What of the Future? 

The evolution of the locomotive has 
been slow, but steady, as is true of 
the evolution of any piece of ma- 
chinery It is a case of the survival 
of the fittest, every modification having 
to meet the acid test of time. The de- 
velopment in the past has been notice- 
able mostly for the growth in size and 
capacity. Increase in capacity, how- 
ever, has not been due entirely to 
changes in size and weight since the 
general adoption of improved designs 
and the introduction of desirable ap- 
pliances has resulted in a marked gain 
in efficiency as well as capacity. 

The trend of development in the im- 
- mediate future will probably not be so 
much in the direction of size as along 
the lines of greater thermal efficiency 
together with an increase in the durability and reliability 
of the machinery. This will reduce the expenditures for 
maintenance, decrease the time required at terminals, make 
much longer runs practical and lengthen the mileage be- 
tween shoppings for heavy repairs. Much more attention 
will unquestionably, and with advantage, be given to im- 
provements in details of design, points which it has not 
been necessary seriously to consider when fuel was abundant 
and labor less expensive. 

The Locomotive Boiler 

The locomotive boiler in its present form is the result of 
the efforts of years to reach the maximum capacity with the 



Vol. 72. No. 1 

minimi of weight and size. Efforts in the future 

will be directed toward obtaining a steadily increasing 
amount of steam for each pound of fuel consumed, without 

ing any of the capacity that has been acquired by 

rtions With this object in view every detail of 

design will be subjected to a more critical scrutiny than has 

istomary hitherto. 
The size and relative proportion of urate area, firebox 
volume, combustion chamber, length of tubes, distribution of 
heating and superheating surfaces, air openings through 
ir inlets to ash pan and circulation within the boiler, 
together with the purification and heating of feed-water by 
exhaust steam or waste gases, are some of the point- that 
will be given greater consideration. At present far too much 
energ) is lost in waste gases and in exhaust steam, losses 
which will probably be considered as ! > at no very 

distant date and characteristic of an extravagant past. Al- 
though efficienq will be given prime consideration, the 
question of a minimum maintenance expenditure and a 
minimum amount of attention and loss of time while in the 
shop will not be lost sight of. 

The present arrangement of the front end and the means 
by which the necessary draft is secured is extremely simple 
and highly effective but no one would dream of calling it 
efficient. The defect has long been recognized and although 
it is not apparent that any other arrangement could be sub- 
stituted without too much complication, the future will 
probabh see a serious attempt to improve this method. 

The Locomotive Engine 
It i.- tlu filiation of the engine to produce the desired 
drawbar pull and furthermore, it -hould produce this draw- 
bar [Hill with a minimum consumption of steam. The future 
will probably witness some marked developments in the 
direction of Sciency. Lower cylinder clearances, 

improved -team distribution, a reduction in exhaust pres- 
sure, and a better adjustment of the cut-off in relation to 
-peed will demand increasing attention 

The use ol proposed, but the added 

complication, the additional space required and the increase 
in cylinder size which would tend to exceed the clearance 
limits makes its adoption highly improbable utiles- other 
radical changes are made. 

The day of the compound, at least in this country, ended 
with the advent of the superheater. It never was popular 
mi American railroad- but has been extensively used in 
Europe. It i- interesting to note that even in those countries 
where it ha- I) employed tlu- tendency 

j it- abandonment 1m- ben strongly marked, 
dally during the ; \-ide from M 

mpounds haw- been brought out in the United 
pmparatively few new designs are b in any 

I I irope, where axles and multiple cylindei 
.- unwarranted complications, the p 
in the direction of four ■ \ -Under or three- ■cylinder 
tendenc] toward > 
latter, although the counterbalancing is not as perfect 
I his prac ; ■ more 

th.m two cylindei restrii tion in 

I >■ ite the 
ling prejudii ' that 

..ill in the in .1 r future- 

tor of 
ind the 
r all width will be favorabl) ; I ■■'inter 


[ether with a 

treating, it i- probable that there will be a considerable 
on of their use in locomotive construction. 
During the last few years marked advancements have been 
made in the development of light non-ferrous alloys of high 
tensile strength. Some of these alloys may prove to be suit- 
able- for pi-tons or other reciprocating parts where a reduc- 
tion in weight would be highly desirable. 

Turbine Locomotives 

llu -team turbine- years ago won recognition as the stand 
ard prime mover in large stationary power plants and also 
has been extensively used in the marine field. Its high effi- 
. it n. v, simplicity and lar^i power for limited space and 
weight have I ters to consider seriously 

the problem of its application to the locomotive. Thus far 
the pioneer work has been done in Europe, where the fuel 
ire greater than in this country. In Switzerland, the 
Winterthur Locomotive Work- has fitted up a locomotive 
with a Zoelly turbine-. At Stockholm a Swedish State Rail- 
way locomotive has been equipped with apparatus furnished 
by the Ljungstroms Steam Turbine Company. Both of these 
locomotives are now being tested and according to reports 
are showing satisfactory results. 

In general appearance the locomotives closely resemble 
old familiar designs. A high-speed turbine is coupled to 
the driving wheels through a reduction gear, the exhaust 
carried to a condenser and a fan provided for creating the 
draft. In England a turbine locomotive with electric trans- 
mission is being built by Sir W. G. Armstrong. Whitworth 
and Company. In Ital] a -mall switching locomotive driven 
by a Belluzo turbine has been in service for a number of 
vcars. As a result of this experience- a large Pacific type 
road locomotive is now being fitted up. A number of other 
turbine locomotives have been designed, or are under con- 
struction, although but little information i- yet available in 
regard to them. 

Diesel and Other Internal Combustion Locomotives 

Internal combustion engines designed to us.- gasoline or 
a similar fuel have been employed to a considerable extent 
for driving small locomotives of the type required for mines, 
industrial plants and light switching purposes. Common 
sizes have varied from SO hp. to 75 hp.; in same cases they 

have been made of 150 hp. The field for the use ol 
engines ap|» to be limited to -mall, special lex-omotives 
and to motor rail-cars hauling not more than one trailer. 

The Diesel or heavy oil engine ha- been developed to a 

high degree of efficiency and reliability. It has not only 

-- for submarines, but is now l>eing used for 

men leant ships in all part- of the world. These engine- arc 

far more efficient than an) type of steam apparatus, but 
unfortunately have been bulky, heavy, complicated and ex- 
pensive to build. The efficienq ha- been so attractive, how- 
ever, that several Die-el lo. omotivc- have been brought out 
in Europe, Some of these were of the Diesel electric type 
111. 1 ithers had the engines direct connected. 

It is possible that the recent development of the coni|¥>und 
Diesel engine in this country will •.;.. a long way toward 
solving the problem of the Diesel lo.. motive and that it will 
find a definite field in railroad work. At the present time 
it would appear that it- greatest usefulness would be in those 

localities where fu ind the traffii not suffi- 

to warrant the heavy expense of electrification. 

It ma] Mirk to perfect and brine into exte-n- 

Diesel locomotive, but a number of such ma- 
undoubtedl) will U- constructed in the near future 
and the results obtained will be watched with lie 

\ tion unit, the- present steam locomotive is 

■ I mat bine. Still it is probabl) 

only in it- inlaii.N and the future- ma\ -e-e man. 

if not r idii il developm 

of Seventy 100-Ton Cars on the Norfolk & Wester 

Many Special Types of Cars Introduced in 1921 

High Capacity Equipment Most Notable Development; 
Concrete Cars in Europe 

By A. F. Stuebing 


Di'kim. recent years the design of cars has tended 
gradually toward the adoption of a few major types. 
Few new methods of construction have been adopted 
and the principal variations were those dictated by local 
conditions. During the year just past, 
tendency has manifested itself. New 
types have been developed, some to 
meet special operating conditions, and 
others to handle special classes of traf- 
fic more efficiently. The resourceful- 
ness of railroad officers and equipment 
builders is exemplified in several nota- 
ble developments, the most important 
of which are the high capacity gondola 
cars, container cars and self-propelled 
motor cars. 

High Capacity Coal Cars 

Unquestionably the most important 
step in the development of freight car 
equipment during the year was the ex- 
tensive introduction of cars of extremely 
high capacity for handling coal between 
the mines and the car dumpers at tide- 
water and at the lakes. The three roads 
handling export coal at Hampton 
Roads all adopted new and heavier car 
equipment during the year. The Vir- _ 

ginian, after prolonged trials of four 
different designs, placed in service 
1,000 cars of 120 tons capacity, the largest units in general 
service on any road. These cars have made it possible for 
the Virginian to increase the trainload to a point never before 
attained, the maximum train consisting of 110 cars weighing 
17,250 tons. 

Shortly after the 120-ton cars were placed in service on 
the Virginian, the Norfolk & Western received 500 cars of 
100 tons capacity, which were likewise designed for hauling 
coal from the mines to the car dumpers at tidewater. The 
notable features of this equipment are the new design of six- 

THREE outstanding devel- 
opments in car design. High 
capacity gondola cars have en- 
abled coal carrying roads to in- 
crease the tonnage per train and 
reduce operating costs. Container 
cars have facilitated the handling 
of mail, express and less than car- 
load freight. Self-propelled cars 
have practically solved the prob- 
lem of passenger service on 
branch lines. 

Concrete freight cars, container 
cars and a novel five-car dining 
unit have been built in Europe. 

wheel truck which carries the load on side bearings instead 

of on the center plate and the high ratio of load to total 

weight — 78.9 per cent. 

The high capacity cars of the Chesapeake & Ohio, like 

those of the Norfolk & Western, are of 100 tons capacity. 
They differ from either of the other de- 

_^_^__^_ signs in having drop doors, which 
adapt the cars for general service where 
dumpers are not available. 

The three cars mentioned are all 
equipped with six-wheel trucks. Al- 
though the additional pair of wheels 
has been considered necessary on these 
high capacity cars to keep the load on 
the axle, journals and wheels within 
proper limits, the six-wheel truck has 
certain disadvantages. Trials are now 
being conducted to determine whether 
it is feasible to operate cars of 100 tons 
capacity with four-wheel trucks. This 
type of car would impose a load of 
about 65,000 lb. on each axle. There 
is a question whether the metal in the 
wheels and in the rails can bear such a 
heavy load without flowing and with- 
out rapid failures. If no difficulty is 
experienced due to the concentrated 
load, the four-wheel truck will prob- 

^~ — ~ """' "~~ — ~ ably become the prevailing type for 
cars up to 100 tons capacity. The 

ratio of load to total weight could probably be made higher in 

such a car than in one with six-wheel trucks and the ease of 

maintaining the four-wheel truck would be a decided 


The Container Car 

Another important development of the past year was the 
container car. This type of equipment has been used by the 
New York Central for express, mail and less than carload 
freight service, and the Boston &: Maine is planning to 




Vol. 72. No. 1 

introduce a slightly different design of car in local freight 
. The general advantages of the container system were 
brought out in an article in the Railway Age of December 10 
and further comment is unnecessary. There appears to be 
a wide field for container cars and as soon as the details of 
design are worked out and difficulties of handling at ter- 
minals are overcome, an extensive development is to be 

Self-Propelled Cars 

The need for reliable and economical self-propelled cars 
for service on branch lines has resulted in the construction 
of many types of equipment in the past, few of which have 
remained in service for any considerable time. The problem 
of designing a satisfactory car for tins service now seems 
well toward solution; in fact, three types having as the 
source of power steam engines, gasoline engines, and electric 
motors receiving current from storage batteries have now 
passed the experimental stage. At least one of these types 
should be suitable under almost any local conditions. The 
motor car, like the container car, gives promise of reducing 
the cost of handling a class of service which in the past has 
been a liability, rather than an asset, on many roads. 

Car Construction in Foreign Countries 

Economic, industrial and political conditions in European 
countries have all influenced the recent design of cars. For 
example, Poland is experimenting with a modified type of 
container car in which the bodies are interchangeable on 
several types of running gear in order to overcome the handi- 
cap of the three gages, the Russian 5 ft., the German stand- 
ard gage and the narrow gage. In France, Germany and 
Austria concrete cars have been built and have apparently 
met with a fair degree of success. Only one concrete car has 
been built in this country but it is probably fair to say that 
under American conditions concrete is not satisfactory as a 
material for freight cars. In Germany, on the other hand, 
it is stated that concrete cars are technically and economically 

feasible and the use of this material does not increase the 
weight of tin- equipment as compared with steel construction. 
There arc numerous reasons why concrete may be ap- 
plicable abroad but not in this country. The European cars 
are smaller, trains are lighter and the screw coupling elim- 
inates the severe shocks in road service due to slack between 
cars. It is still too early to judge the relative merits of wood, 
steel and concrete. The elimination of decay and corrosion 
would be an important advantage for the concrete car if not 
offset by abrasion and disintegration. At the present stage 
the concrete cars are of interest chiefly because of the possi- 
bilities of future development. 

Articulated Dining Train 
One of the interesting developments in Great Britain is 
the construction of a dining unit of five cars on the articu- 
lated principle. The passenger train cars on British roads 
an 1 much lighter than in this country. Whereas six-wheel 
trucks are necessary in America, the cars in Fngland do not 
even tax the capacity of four-wheel trucks. In certain classes 
of service where the cars can be kept together, the Great 
Northern Railway of England has joined several cars per- 
manently and instead of placing two trucks under each car, 
has located a single truck under the abutting ends of two 
coaches. Thi - 1 1. timed for this arrangement are 

improved riding qualities, due to a reduction of oscillation, 
and reduced weight. The articulated dining unit of the Great 
Northern consists of one first-class and one third-class cor- 
ridor coach, first and third-class dining cars and a kitchen 
car. The five cars measure 246 ft. over buffers and are car- 
ried on six four-wheel trucks. In making up a train cars 
can be added at either end, but the five-car unit cannot be 
separated. The weight per passenger of this equipment is 
27 per cent less than the ordinary cars formerly used. It is 
interesting to note that the kitchen in this car is fitted with 
electric ranees, the current being obtained from two axle 
generators under the car. So far as known this is the first 
application of electric cooking in dining car service. 

Railroads Profit From Lower Material Costs 

(Continued from page 46"> 

tion in dy upward trend of prices dur- 

W\v England region, as com- 
downward tendency during the past 

i to the 
ost to the railroads as a whole 

durinjc ■ en no 

marked change in the trend of spol from Febru- 

ary to the end of the same period, either upward or down- 
ward from the a\ inent price of 1°1S. During 
months of October and November, ho I prices 
i marked downward tendency, which, it mav be 
said, lias probably had little influence on the trend of rail- 




4 u 





J. 65 






J 40 




4. JO 





4 M 



Now on the Upgrade 

Railroads Are Slowly Restoring Tracks to Normal Condition 
— Renewals Still in Arrears 

By W. S. Lacher 

Judging from relative expenditures and rates of pay in 
1920 and 1921, one would gain the impression that the 
year just past was one of greatly restricted performance. 
This would be the case without doubt if it were not for the 
fact that certain influences have served to compensate for 
the seeming disparity in outlays. Because of this it is 
conceded that most of the tracks are now in better condition 
than they have been for some time insofar as the line, sur- 
face and riding qualities are concerned, and that in con- 
sequence the roads have entered the winter season in a 
more favorable, though not entirely 
satisfactory condition. 

Expenditures for maintenance-of- 

way work for the first ten months end- 
ing October 31, 1921, were $651,551,- 
597 as compared with $878,074,290 
and $647,326,552 for the correspond- 
ing periods of 1920 and 1919, respec- 
tively. These figures are not subject to 
exact comparison because of the influ- 
ence of the wage increase effective 
May 1, 1920, and the wage reduction 
of July 1, 1921, but in general the ef- 
fect was to make the work more expen- 
sive as regards the rate per hour during 
1921 than in either of the preceding 

In the early months of the past year 
when the roads were confronted with 
operating deficits, maintenance-of-way 
work was restricted to bare necessities 
and the opening of the season for the 
active prosecution of the work was de- 
layed until later than usual, much work being held up until 
July. However, active work during that month and the three 
months following was effective in accomplishing an appreci- 
able improvement in conditions. 

Other factors must also be taken into consideration. The 
winter of 1920 and 1921 was exceedingly mild so that the 
tracks came out of the frozen period in much better condi- 
tion than usual. Following this the country generally had 
one of the longest and most satisfactory summer seasons that 
has been experienced for many years. Furthermore, the 
limited volume of traffic proved of considerable advantage, 
both in the reduced wear and tear on the fixed property and 
in the decreased interference with maintenance-of-way op- 
erations. However, the largest single factor which was fav- 
orable to the accomplishment of a good season's work was 
the increased efficiency of the men. This was by far the 
most encouraging phase of the maintenance-of-way situation 

tenance-of-way during 1921 
will probably total only 
three-fourths as much as in 1920. 
Concentration on essentials, de- 
creased cost of materials and in- 
creased efficiency of labor have 
enabled the roads to put the tracks 
in reasonably good condition. 

Marked improvement has been 
made in the spirit and industry of 
the forces but little progress has 
been made in reducing the ac- 
cumulation of deferred renewals. 

which has occurred on the railroads during the past year. 
To accomplish the favorable showing in spite of the 
limited expenditure, attention was concentrated on necessary 
items of upkeep. Renewals received less attention, although 
lack of specific statistics makes it impossible to present any 
definite facts. Rail consumption in 1920 in the sections 
used in standard gage track averaged well up to the previous 
years. During 1921, however, production in the mills was 
somewhat slow because the roads did not specify fully on 
their orders. Although no statistics as to quantities are 
available there is no question but that 

little progress was made in taking up 

^^^^^^^ = ^ = the large accumulation of rail renew- 
als which have been deferred from 
year to year since almost the beginning 
of the war period. 

Evidence of further activity in the 
direction of corrective measures is 
noted in recent large orders and in- 
quiries for rail by roads in both the 
United States and Canada. A plan 
for the purchase of 1,000 miles of 100 
lb. rail by one large system is particu- 
larly emphatic on this point. 

The condition also is not favorable 
in the case of cross ties. Renewals in 
1920 were restricted because of inade- 
quate supplies of ties. This situation 
as to supply was improved during 1921, 
but renewals were restricted because of 
. a failure of the roads to prosecute the 
renewal program to the fullest extent. 
Therefore, with ties, also, the bulk of 
the deferred renewals still remains to be made. 

One item which has been largely neglected is painting. 
Many roads dispensed with their painting forces entirely. 
This means that enlarged programs must be undertaken 
eventually to make up the deficiency. Such items as weed 
cutting and general policing were also given less than normal 

Labor Efficiency Improved 

The thought behind maintenance-of-way operations during 
the working season of 1921 was to improve the efficiency 
of labor by taking every advantage of the favorable condi- 
tion of the labor market. In the early months of the season 
many of the subordinate officers were inclined toward the 
opinion that the growing differential in wages paid by the 
railroads and those generally prevailing outside were pri- 
marily responsible for the greater industry observed in the 




Vol. 72, No. 1 

railwa) foi officers were, therefore, somewhat 

ted when they learned of the reduction in wages 
authorized by the Labor Hoard on June I. 1921. However, 
it did not take them long to discover what others had 
realized all along, namely, that the rate of wage is a minor 
factor at times when the number of jobs is smaller than the 
demand — that men will exert themselves to hold a job when- 
ever they know that another is not to be had. 

The campaign for increased production was directed pri- 
marily at the supervisor and the forman in impressing on 
them the fact that performance rei orris of the past five years 
are in no sense a measure of the reasonable volume of work to 
pected from the men; in other words, this was an abnor- 
mal period in which the average performance of men was far 
from satisfactory. This situation was also improved to an 
extent in industrial centers b) enlisting the services of old 
foremen who had entered more profitable employment during 
the war period. With the current depression many of these 
men have been glad to get back into track work. The same 
is true in a large measure of the laborers. For example, 
manv high-grade Italian trackmen who had obtained employ- 
ment in more remunerative line- during the war period were 
reenlisted in railway work during the past >eason. 

On the other hand, men of certain nationalities from south- 
i-tern Europe who have been found generally unfit for 
railway work have been ver) largely eliminated. 1 he--. 
various measures have all -e-r\e-d to raise the general tone 
of the forces; the men take more interesl in the work and a 
larger output is accomplished Some raaintenance-of-wa) 
officers have gone so far as to say that tin efficiency now 
i- as high as at any time- in the past. 

But the notable improvement in the perform- 

ance of the men. the road- have felt deeply the restrictions 
which pnv.nt them from taking at least partial advantage 
of the prevailing low rate' for common labor. Not only is 
then- a great differential in favor of the railway employee 
but the -tandardization of wages is pe 
ubarlv unjust to the road-. The rate for trackmen, which 

- in some loc alities now 
nearly double the- rate- at which men could readih be obtained 
m adequate numbers. 

Roads Turning to Contract Work 

I number of the roael- 

the major items of main 

SUCh a- rail and tic- renewal- ami 

■ plu- and fi I agreements have 

..plied in part to this work but growing favor is being 

for the- contract form under which the work is 

unit bids for the various items 

be put into effect when 

,,,,| the- conl • possession of suffii ienl 

ir i be-, k on the ri 

ableness of the bids offered and taken. 1 he railroads which 
have tried l>oth systems are now inclined to favor the unit 
price arrangement as being most equitable and as offering 
ist opportunity for criticism 
An idea of the extent to which general interest has been 
manifested in the contracting of maintenance-of-way work 
is indicated by the fact that the Committee on Economics of 
Railw i tin- American Railway Engineering Asso- 

i has been at work during the past year on the devel- 
opmenl suitable for use in such contracts. 

The general interest in this subject is in no sense to be 
measured by tin- number of roads which have followed the 
practice (luring the past season and it i- certain that unless 
some means are- devised by which the railroads are enabled 
to secure tra< k labor at a rate considerably below that pre- 
vailing at present, nearly all work other than routine policing 
by section force- will Ik" conducted uneler some contract 

Tendencies of the Times 

Certain influences and tendencies which have been mani- 
r a Longer period than a -ingle year have t>een given 
an added impetus during the past 12 months. Further 
progress ha- been made in the adoption of heavier sections 
of rail, Fifteen out of 25 of tin- larger roads are now buying 
rail weighing more than 100 lb. per yd. and at leas 
introduced these heavier sections in 1921. Similarly many 
road- using rail e>f less than 100 lb. section have the 
adoption of heavier sections under advisement. Some heavy 
designs of joint bar- represent an accompanying development. 
The- use of heat -treated, high carbon or other special 
tor in- plates, joint-, bolt- and -pike- has been given further 
impetus, a more receptive attitude of manufacturers lveing 
i- of import. 
( me of the noteworthy tendenc ic- during the past year has 
I. expression of a general need for improved methods 
of accounting in maintenance-of-way work. This is prompted 
b) tin- tee ling that the records made to Satisfy the require- 
■ i tin Interstate Commerce Commission do not pro- 
vide the maintenance-of-way officer with the information 
which he should have a- a measure of the work done by the 
various folic- under his direction and for the fixing of 
budgets for tin- monthly distribution of annual appropria- 
Thus far only a very limited amount has been done 
in the actual development of such systems of performance 
Is but various associations and individuals have em- 
ill) advocated this plan I he fact that the need of 
better records has been expressed by railway men in ini|«>r- 
tant official positions gives promise that this movement will 
be given a general impetus. When it has Ixx-n accomplished 
the- in. t'tie ie-ne y will be more Dearly of tin same 

n a- that now obtained in industrial plant- conducted 

III ' • ' -■!-': -■ ■■ 

New York Central Shop. BMt Buff.iln 

Cutting Freight Loss 
and Damage in Half 

Freight Claim Division of A. R. A. Has 
Developed Successful Campaign 

By K. H. Koach 

With the slogan "Cut Loss and Damage in Half — 
It Can Be Done," the freight claim division of the 
American Railway Association has conducted a vig- 
orous campaign during the past year to reduce by at least 
SO per cent the amount paid out in the settlement of freight 
claims. Figures relative to the work of this organiza- 
tion are now available for the year September 1, 1920, 
to September 1. 1921, to which period this article is 
confined except for a few of the more 
important matters handled by the divi- ^^^^^^^^^^ 

sion during the last four months of 


The present operations of the divi- 
sion may be divided into three general 
phases. The first has for its object 
the minimizing of controversies in 
connection with freight claims, and 
the corresponding expenses incident to 
litigation brought against the carriers 
by the shipping public. This has been 
accomplished by conferences with the 
representatives of commercial organi- 
zations, and also by keeping current 
and effective the freight claim rules 
and rulings, which, in their operation, 
facilitate the investigation of freight 
claims and the adjustment with claim- 

The second objective is to make 
the freight claim rules and rulings 

more effective in order to maintain , 

the least expensive methods of claim 
investigation and accounting by the 
carriers. Particular attention has been given to the claims 
filed in connection with freight moving over several lines 
in order to avoid the necessity of litigation and prolonged 
disputes between carriers; likewise controlling the expense of 
lawsuits for claims filed by one carrier for loss or damage 
which may have occurred on a connecting line. 

The third phase of the work is that promoted by the claim 
prevention committee. This committee inaugurated an edu- 
cational campaign through personal conferences with repre- 
sentatives of the various brancnes of transportation service, 

ll'hat Happens to Freight Improperly Prepared for Shipment 


J such as the freight claim, claim prevention, and operating 
; departments, and followed it with a large amount of corre- 
spondence, supplemented by bulletin service, all of which 
outlined methods and suggestions for improved service. 
. Much has also been gained by the co-ordination of the activi- 
ties of sectional claim conferences, which conferences in turn 
co-ordinate the activities of the various carriers in each 
of the various sections of the country. 

Claim prevention representatives 
^^^^^^^^^^^ have concentrated their efforts during 

the past year upon the following 

causes, which contributed approxi- 
mately 80 per cent to the loss and 
damage account in 1920, namely: (1) 
robberies, (2) rough handling, (3) 
loss of entire packages, (4) defective 
equipment, and (5) delay. 

Loss due to robberies averaged 
nearly $2,000,000 per month in 1920, 
and was confined mainly to such com- 
modities as clothing, dry goods, no- 
tions, boots and shoes, tobacco, cigar- 
ettes and cigars. "Rough handling" 
totaled almost $1,000,000 per month, 
and was largely chargeable to im- 
proper switching in yards. "Loss of 
entire packages" was responsible for 
claims amounting to more than $1,- 
250,000 per month, and was due ap- 
parently to certain definite causes, the 
_ correction of which calls for uniform 
action in the handling of astray pack- 
ages. "Defective equipment" cost nearly 
$1,000,000 a month and was confined largely to grain, flour, 
mill products and coal. "Delay" caused payments of $500,- 
000 per month, affecting mainly fresh fruits, vegetables and 
live stock. The total freight loss and damage expenditure 
for the first six months of 1921, as compiled from the re- 
ports of 227 carriers, representing 90.4 per cent of the rail- 
road mileage in this country, was $55,707,753. 

Largely through the efforts of the Freight Claim Division 
of the American Railway Association, a curtailment of this 
drain on freight earnings has been effected during the past 

of A. R. A. has conducted a 
vigorous campaign to cut in 
half the freight claim payments, 
which exceeded $120,000,000 in 
1920. The number of claims filed 
has been reduced from 335,540 in 
November, 1920, to 208,404 in 
August, 1921. 

The collection of statistics, dis- 
semination of information, co- 
ordination of freight claim work 
on the various railroads, perfect 
package campaign and freight 
claim prevention congress are 
other activities of the division. 


year. Realization of this fact has resulted in the rapidly 
growing interest which the carriers have shown in claim pre- 
vention work. The old method whereby each road handled 
its own claim problems has now become practically obsolete. 
In September, 1920, the number of carriers reporting to the 
Freight Claim Division was 165, while in July, 1921, the 
number had increased to 230. With last year's growing 
interv.-t in the Freight Claim Division and its claim preven- 
tion work, the results so far have shown that the number of 
claims is gradually being lessened each month, and that the 
carriers are giving closer supervision to the problem than 
ever before. The total number of claims received by the 
carriers from claimants in November, 1920, was 335,540, 
which number was reduced to 208,404 by August, 1921. The 
number of claims paid to claimants in January, 1921, was 
314.178. which number was reduced to 206,684 by the end of 
August The number of unadjusted claims at the close of 
November, 1920. was 548,097, this number being reduced by 
August, 1921, to 290,275. 

The outstanding feature of last year's work was the em- 
ployment of three experienced men as special representatives 
to devote their entire time to claim prevention problems. 
Prior to this action, which was effective the first of last year, 
the most noteworthy feature of claim prevention work was the 
freight claim prevention congress which was held at Chicago, 
111., November 15-16, 1920, with an attendance of 309 rep- 
resentatives of the various member carriers. As the imme- 
diate result of this congress the usefulness of the claim pre- 
vention organizations on many of the lines was extended, 
while on others where no such organization had existed, one 
was established and its course of operation directed advan- 
tageouslv by the Freight Claim Division. It is expected that 
a similar congress will be held at Chicago during the t'ir~t 
part of this year 

Statistics of Freight Claim Payments 
With the need of complete statistics of claim payments 
upon which to base its investigations, the subject of "uniform 


■ . 




'• . " . ' \ 

Nails Pulled from Floors and Sides of Freight Cars Set for 

Loading at the Union Pacific-Oregon Short Line 

Freight House at Salt Lake City, Utah, from 

May 1 to September 30, 1921 

the Freight 

n. m el the 



a form 

separated n* ad commodi- 

In ndard 

Form No. 1 came into existence and was made effective with 
the claim payments for the month of September, 1920, since 
which time the reports have been made monthly, and sum- 
maries thereof have been prepared and issued through the 
organization of the Committee on Cause and Prevention. 

Prior to the inauguration of these reports the only compila- 
tion of claim statistics by causes and commodities was that 
prepared by the Interstate Commerce Commission on figures 
received from Class I railroads for 1914. With the exception 
of that period of one year, the carriers have not heretofore 
recorded their claim payments on any regular and uniform 
basis. The promptness, accuracy, and completeness with 
which these reports are now being rendered by the members 
are of the utmost assistance to the committee in directing its 

Distribution of Freight Claim Payments According to Causes 

work intelligently. Summaries of these reports, accompanied 
by brief analytical statements pointing out the causes and 
commodities chiefly involved, with suggestions for preventive 





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prepared monthly and distributed to railway 

i uracy, and completeness with 

ticin committees, weighing and 

January 7, 1922 



inspection bureaus, and to interested divisions of the Ameri- 
can Railway Association. 

A claim prevention bulletin service was placed in opera- 
tion the first of last year, the bulletins being sent to freight 
claim, freight claim prevention, transportation and traffic offi- 
cers, chief special agents, freight agents, and others concerned 
in this work. 

These bulletins serve to convey suggestions covering all 
phases of claim causes, and the methods for prevention as 
determined by existing practices developed through investi- 
gations of the Freight Claim Division. In addition to 
the bulletin service, separate action has been taken on a large 
number of important subjects which came up for immediate 
attention during the current year; circulars were issued to the 
membership covering such matters. 

Public Not Neglected 

The public has not been neglected in this claim reduction 
campaign. Those concerned in this work have been reached 
by conferences with commercial clubs, through special articles 
prepared for trade journals, associations and conventions, 
and by circulars to chambers of commerce and similar 
organizations. Definite ideas are presented to each indi- 
vidual group as to the best means of securing co-operation in 
the correct handling of freight. 

The Freight Claim Division, in conjunction with the 
American Railway Express Company, inaugurated a "perfect 
package" campaign during the month of November, 1921. 
This was the first attempt for national co-operation between 
railroads, shippers, receivers and express people, for the pur- 
pose of studying the best ways of handling freight safely. 
The good spirit with which all concerned entered into this 
work, and the beneficial results which emanated from the 
campaign are considered by the division as a fair indication 
of the excellent outlook for co-operative claim prevention 

work with respect to the various other organizations 

The Lost Package Evil 

Among the most recent activities of the Freight Claim Di- 
vision is the national plan for controlling the lost package 
evil which was placed in operation the early part of last 
month. An eight-page circular was sent to the member car- 
riers under the title "Uniform Method of Handling Over 
and Astray Freight and Matching Against Shorts at Destina- 
tion Points." The committee on Freight Claim Prevention 
stated in this circular that for the first six months ending 
June 30, 1921, the unlocated loss of entire packages cost the 
carriers $8,039,572, or 14.4 per cent of the total claim pay- 
ments. This sum added to the $2,285,601, charged during 
this period to robbery of entire packages, entails a total ex- 
penditure of more than $20,000,000 per year. The com- 
mittee outlined in the bulletin detailed methods of making 
effective and uniform the present rules and practices, which 
to be successful, it believed, needed only the support of those 
in charge of supervision.- 

It is felt that the good results coming from the activity of 
the Freight Claim Division's prevention work are represented, 
not only by the increased number of committees formed on 
individual roads for the study of the causes of transportation 
failures, but also by the recent formation of a committee on 
freight claim prevention by the National Industrial Traffic 
League, which will be one of the means of bringing the 
organized shippers into an intensive study of the problem. 

A plan to co-ordinate the activities of carriers to prevent 
damage to perishable freight, will also be placed in effect 
during 1922 with the co-operation of the National Perishable 
Freight Committee. Cut loss and damage in half — it can be 
done if the present enthusiasm and efforts may be taken as 
the indication of the future. 

Improved Service and Morale Features of 1921 

(Continued from page 48) 

and to New York, 13 days. At present the schedule to 
Chicago is 8 days and to New York, 1 1 days. 

Southern Lines 

The Southern lines during the war were given consider- 
ably more traffic than previously because of the many train- 
ing camps situated in the southern states. The southern 
lines, however, with few exceptions, made no changes in 
their fast freight schedules to northern points, although in 
many cases more time was taken to move the cars beyond 
the connecting points by connecting carriers in the north and 

Morale and Service Interrelated 

It is believed that this resume of the changes that have 
taken place in connection with fast freight service show on 
the whole: (1) that service during the war was not up to 
pre-war standards; (2) that service after the armistice and 
during the latter part of the federal control period was ex- 
ceedingly poor; (3) that the railroads in 1921 have made 
great strides towards returning to their former excellence and 
(4) that there is still some ground left to cover. 

Somewhat the same thing has happened to morale. We 
will presume for the sake of argument that morale on the 
railways was good before the war. Following the same com- 
parison as given for fast freight service, we may say: (1) 
that it was fair during the war, but not up to pre-war 
standard; (2) that after the armistice and during the second 

year of federal control it was exceedingly poor; (3) that the 
railroads in 1921 have made great strides towards restoring 
their pre-war excellent morale and (4) that there is still 
some ground left to cover. 

Morale and excellence of service go together. The excel- 
lence of service creates morale and excellent service can only 
be secured through morale. A thing which brings us back 
to that old argument : Is competition really worth while on 
the railways? While it is recognized that exceedingly fast 
schedules will do more harm than good, there can be no 
question that competitive service of the proper kind is one of 
the best assets the railroads can have. The experiences of 
the past three or four years apparently emphasize this fact. 

The Railroad Problem is still confused. Messrs. Krutt' 
schnitt and Hines give conflicting impressions. They agree, 
however, upon this one thing : criticism, whether directed against 
the railroads or in behalf of the railroads, is far from being 
what it ought to be. Mr. Kruttschnitt, for the railroad managers,, 
welcomes criticism — "preferably fair criticism, if it shows a 
reasonable respect for the facts." Mr. Hines, by his reference 
to the national agreements, shows what he thinks of a good 
many "facts" that come from the other side. The public finds 
itself lost in this dizzy play of billions of dollars. It, too, 
would welcome facts from an unquestionably authoritative and 
impartial source. It is a problem for somebody at Washington. — 
New York Evening Post. 

Mandatory Rules Feature 1921 Accounting Progress 

Effective January 1, 1922, New Rules for Interline Work 
Mark Taking of Important Step 

By Charles W. Foss 

THE LETTERS K. A. O. A. bear to railwaj .mounting 
the same relationship that the letters M. C. B. bear 
to the railway mechanical department. In the past, 
this has been due to the position that has been held in the 
accounting field by the Railway Accounting Officers Asso- 
ciation. Effective January 1, 1<>22, K. A. O. A. took on an 
additional meaning because on that date there went into 
effect the R. A. V Mandatory Interline Accounting 
Rules and Fi 

I I -e rules and forms are mandatory and binding upon all 
< arrirr.- operating in North America. The step to make 
them mandatory was taken at the annual meeting of the 
Railway Accounting Officers Association at Atlantic City 
last June. The recommendation- that are made mandatory 
naturally include but a portion of all the recommendations 
or standard practices that have been formulated by the 
tion since its organization. Speaking generally, they 
include onh rules or recommendations that have been estab- 
lished for some time, and have been tested out by several 
i tiles not made mandatory still 

stand as recommendations only. 

Prior to the action taken in June, or rather prior to the 
effective date of this action, namely, January 1, the rules 
of the Railway Accounting Officers Association relating to 
interline accounting — that i-. accounting transactions affect- 
ing two or more carrier- — were purely recommendatory. 
The) . therefore, had no binding effect beyond the merit of 
the recommendations and the facility they gave to the trans- 
. t,, which the] related Nevertheless, they had been 
ind had been generally in effect on all, 
or substantially all. carriers 

Provision for Arbitration 

\ feature of thi mandatory rules is the provision for 
arbitration I .,,,.., j part of the 

mandatory idea, but it has an additional importance in that 
the arbitration provisions fill a long felt want by establish- 
ing for the settlement of disputes, a procedure that is of a nature. 

The k \ M \ \|- mting Rules and Forms, 

ti .|. do not ■ ent the final 

word The rules take cognizance of the latitude essential 

f or pn r tin- development 

of in: tinting, In other word.-, they havi 

permitting further 

ous of the pres 

mendatory onh- will be added 

to till in. if." • ieS On, an r. 

inglj \ i i \ rules ami forms 

n of many peopl rmed on the 

■ i. mentous advance 
i the history of railway accounting ["hi 

■■ the impor- 

ps that in the p - taken 

nt pre- 

rmm I 

the mandatory rules 

a uni- 

form manner. Such uniformity promotes fairness and im- 
partiality and is a necessity insofar as concerns efficient and 
economical accounting among the carriers. It is a natural 
3tep to say, then, that uniform standard rules, impartially 
istitute an integral part of inter-road accounting. 
It is further evident that conditions should not be allowed 
inue which may make it possible for a carrier to 
deviate from an interline accounting rule according to the 
whim of the moment, or according to its interests in an indi- 
vidual case, while, under other circumstances, the same car- 
rier may in-i-t on making a literal application of the same 
rule when its interests lie in that direction. 

Carriers Should Render Interline 

Accounts in Uniform Manner 

Carrying the idea further, it hardly seems proper that a 
earner is warranted in sending to other carriers statements 
or r t port- of a size and arrangement that do not conform 
to a generally accepted standard. Report-, statements, or 
other interline form: — if lacking uniformity of size and 
standardization of arrangement — are the source of addi- 
tional labor and inconvenience in filing and using such re- 
port-, statements, or other interline forms by carriers re- 
ig them. Some idea of the significance of this can be 
gleaned from the fact that the accounting department of a 
large carrier receives — from all other carriers — in the neigh- 
borhood of a million such form- each month. 

Standardization, a- used in thi- connection, is synony- 

mous with simplification. The saving of clerical work 

through standardization or simplification of forms will be 

is, to say nothing of the economy in printing usually 

attained by the use of standardized forms. 

Relations With I. C. C. 

The Interstate Commerce Commission has the power to 
prescribe railroad accounting in the most minute detail. 
II Commission has confined its accounting regulations 
pally to the accounting classifications, and the Com- 
ii ha- had the restraint, foresight and wisdom not to 
exercise it- power in prescribing minute detail- of account- 
ing, for tin reason that action to that effect would bring 
to the railway industry by destroying 
'he profession of railway accounting through reducing it to 
matter of following minutely prescribed rides. 
I anting officer will probable express the opinion 

that the Commission is to be commended for having believed 

that i.irrier-. individually and i ollcetiveh, would voluntar- 
i.e adequate and tion in respect to such 

matters, thus eliminating any necessity for action by the 
Commission, Whether it i- the ( i | that is to be 

commended or the Railway Accounting officers Association, 
or both, is. of course, not the question I In- fact i- that the 
manner in which the two bodies have worked together and 
the excellent -pirn ration which ha- been shown on 

both sides are noteworthy. 

peration between the .arrier- i- an equally important 
matter To bring about uniformitv in a matter such as these 

rule- for interline accounting mean in individual 

oid it hould be -aid to the credit of the carriers — 
that they are making those sacrifices whole heartedlv and in 



1920 1921 

Jon. 1 Wl 1 (far. 1 A D r ! Mou Jun. 1 Jul. Ana. 1 Seo 1 Oct. i Nov. ' Dec. 1 Jan. 1 Feb. Mar. 1 Aor. 1 Mau Jun. 1 Jul. i Aua. i Sen 1 Oct. 1 Nov. 1 Dec. 1 ! 


IS 1 IS 1 IS 1 IS" 1 15 1 15 1 IS 1 IS 1 15 1 15 1 IS 1 15 1 IS 1 15 1 15 1 15 1 15 1 15 1 15 1 15 1 IS 1 15 1 IS 

1 | 








= !60 

5 HO 

J 140 
•" 120 









240 5 
220 O 
200 T) 
IM 3 
140 X 
120 *~ 











V 14 

u 10 













14 + 
10 . 














: ^ 


* 8 











Bad Order Cars — Number and Per Cent 

Equipment Conditions Show Dangerous Tendency 

Low Earnings and High Prices Have Led to Small Purchases and 
Perpetuation of Old Rolling Stock 

By A. F. Stuebing ., 

IN axv analysis of the equipment situation, there are two 
factors that at once command attention. The first is the 
large proportion of unserviceable equipment; the second, 
the small amount built. Both are unhealthy signs. In fact, 
the equipment record in 1921 is notable only as a horrible 

Causes of the Bad Order Situation 

So much has already teen written concerning the abnor- 
mal number of bad order freight cars existing during the 
past vear, that further comments might seem quite uncalled 
for. 'Nevertheless, it may be worth while to analyze trie 
situation not as it concerns present problems, but rather with 
a view to its bearing on future conditions. 

The year opened with bad order freight cars amounting 
to over 'eight per cent of the total. This was the greatest 
percentage ever recorded with the sole exception of the au- 
tumn of 1919 when it was over nine per cent. But these 
figures seem reasonable when compared with the record 
established during 1921 which was 16.6 per cent on August 
IS, as reported by the Car Service Section of the American 
Railway Association. Barring a recurrence of government 
control,' it is doubtful whether this maximum will ever be 
exceeded, for the combination of circumstances that brought 
it about could hardly be duplicated. The majority of the 
bad order cars were a heritage from the policy of under- 
maintenance adopted bv the Railroad Administration. At 
the beginning of last year the percentage of cars on the home 
lines was exceptionally small and as cars were returned to 
their owners many were found to be in defective condition 
and were set aside. 

Even if the maximum repair forces had been employed, 
it would have been impossible to prevent a large increase in 
the bad orders under these circumstances. The condition 

was aggravated by several other factors. Many roads were 
not meeting operating expenses and drastic retrenchment was 
imperative. The number of car repairers decreased almost 
50 per cent from October, 1920, to June, 1921. A consider- 
able amount of work was deferred in expectation of reduced 
expenses for wages through reductions in hourly rates and 
abrogation of the national agreement and also for materials, 
the prices of which were constantly falling. 

It is probable, too, that the bad order statements were, and 
still are, inflated by a very considerable number of cars 
which the railroads' hope can be retired but which under 
present conditions must be set on side tracks and kept on 
the books because their retirement would involve a con- 
siderable charge *o operating expenses which the railroads 
are not able to take care of at present. The statement of 
the Car Service Division of the American Railway Associa- 
tion for six months of the year shows that only 27,087 
freight cars were retired in that period, the retirement being 
at the rate of only 54,000 cars annually. This is a smaller 
number than has been retired in any year recorded with the 
exception of 1919 when the Railroad Administration had 
adopted its policy of perpetuating weak equipment. 

Few Freight Cars Replaced in Recent Years 

An analvsis of the equipment acquired and retired shows 
that in recent years the railroads have been following a 
policy of expediency in this regard which will bring disas- 
trous consequences if it is not soon checked. During the 
years 1910 to 1914, inclusive, the Class I roads added an 
average of 134,316 freight cars to their equipment annually; 
from 1915 to 1920 the average annual acquirement was 
only 82,900 cars. The number of cars retired annually in 
the' former period was 81,474; in the latter period, 72,399. 



Vol. 72, No. 1 

- have shown that hs normal average life of freight 
- approximately 20 ;■• its ["went} yi its ago the rail- 
roads were adding to their stock about 120,000 cars each 
50 at the rate of retirement that prevailed from 1915 
to 1919 there remained each year about 50,000 more cars 
that had exceeded the normal expectancy of life. Looking 
at it from another standpoint, the average number of cars 
in the period, 1915-1920, was about 2,300,000. At the 
annual rate of retirement of 72.000 the average life of the 
equipment would be 31.8 years. 

While the small number of retirements shows the tendency 
with respect to the replacement of freight equipment very 
plainly this is brought out in a more striking manner by the 
net change in the number of cars. From 1910 to 1914 there 
was an average annual net increase of 62,842 cars; from 1915 
to 1920, the average annual increase was only 10,501. From 
these figures it is apparent that even though the capacity 
of the cars installed exceeded that of the ears retired, the 
net increase was by no means adequate to take care of the 
normal growth of business. The figures for last year, while 
incomplete, indicate that there has been an actual decrease 
in the number of cars, the retirements for six months ex- 
ceeding the number installed by 71'). The showing will be 
even worse when complete figures for the year are avail 
The acquirements are certain to be -mall for the report of 
September 30 showed only 2,142 freight cars on order. 
There would be nothing alarming in the slight de 
in the number of cars thai occurred last year if it were an 
i-olated case. There have been periods of depression in the 
past when freight car equipment decreased, notably in 1909 
when retirements exceeded acquirements by 15,298. How- 
ever, in the years 1 ( >07 and 1908 the net increase in the 
number of freight '3,355 and 100,580, resp. 

ly, and 1910 again brought an increase of 60,000 cars. The 
fibres for 1921 have an untoward significance because they 
indicate the continuance of the unfavorable tendency of the 
preceding five years. 

has shown that whenever traffr reo 
i period of depression, the volume of business exceeds 
all previous is been practically 

Wth in the freight equipment of the railroad- Popu 
and commerce has not received 
hei k. I hen- i- reason to question 
ill not i ause serious em 
ismenl to the railroads because of lack of cars, 
some who i ontend that the railroi 

n traffii by improved utilizati 

amount of equipment 

ing their equipment moi 
ranting for the 
litional equipment 

men! of equipment 

New Equipment Would Effect Economies 

I "ninii" 

The majority of railroad officers apparently believe it is 
advisable to purchase additional freight cars as promptly as 
possible. The reason for the small orders and few retire- 
ment- during the past year is to be found in the unfavorable 
finani ial condition. Retirement of cars generally involves a 
considerable charge to operating expenses; therefore, when 
earnings are low cars are set aside but kept on the books. 
During the time the cars are standing idle the depreciation 
reserve accumulates and the charge that must be made to 
the retirement account when the car is scrapped is gradually 
reduced. » >n the other hand as time goes on more cars are 
tlv coming due for retirement and the situation be- 
.vorse. Failure to retire cars at the end of their normal 
life nit r tes the day of reckoning. 

Are Higher Depreciation Rates Needed? 

If depreciation rates were sufficiently high to make the 
ve at the end of the normal life equal to 
the cost of the car minus salvage, there would be no charge 
to tlie retirement account. This might seem the ideal ar- 
rangement, but in practice most roads find it desirable to 
lower rite because it enables them to adjust expendi- 
more nearly in proportion to the revenues. If low 
ire used one fact must not be overlooked. Insofar as 
the depreciation reserve is less than is actually required to 
retire the cars when due. and if retirements are less than 
normal, operating charges are reduced and earnings are 
inflated thereby. The last six or seven years furnish an 
illustration of how retirement- may be deferred almost in- 
definitely. The inevitable result of such a policy will be 
deterioration of equipment. Roads that carry low deprecia- 
tion rate> are always tempted to postpone retirement- in 
- of low net earnings During recent years expenses 
have no doubt been decreased in this way to the detriment 
' the equipment. 

Locomotive Situation Continues Unsatisfactory 
motive power situation has been similar to the freight 
car situation, although conditions have not been as bad. 
ml- acquirements and retirement- of equipment, the 
figure- are also similar. From 1<M0 to 1"14 the 
number of locomotives installed was 3,451. From 1915 to 
1920 it averaged onh 1,939 Ibis year the total Dumber 
built was onh 1,121. The net annual increase from L910 
t,, 1914 and from 1915 to 1020 only 488. For six 

month- of 1921 tlie number of U omotives increased only 105. 

Little Progress in Retiring 

Wooden Passenger Equipment 

I he addition- to passenger equipment have likewise shown 
a remarkabli Hie Dumber of 

passenger cars installed from 1910 ■■■• 1914 averaged 3.455 

m 1915 tO 19 83 1 be net annual 

. in tin former |n-riod was 1,713; in the latter period 

I Interstate Cod I lommiasioo'a report 


I vision 

18 months the num- 

the number with steel 

•. tie remaining wooden 

i oiw equip 

mint il 

• ward 

od equipment has bees 

I of the rail- 
ut the equipment 
i he solution cannot 
,,ff „,,. . the limit Improvement 

rted without delay. 

Electrical Developments 
for the Year 1921 

Definite Progress Has Been Made in Trac- 
tion, Welding, Material Handling, 
Power and Lighting 

By Alfred G. Oehler 

Developments in the electrical field made during the 
year have not been in the form of large installations Electric Operation Is Most Suitable Where Grades Are Heavy and Traffic 
of electrical machinery, but existing equipment has Is Congested 
been made to perform new services and many new devices 
were brought out to meet new and changing demands. Elec- 
trical apparatus has been used to effect large economies and In Europe many large electrification programs are under- 
it would appear that some of the new devices will revolu- way. The scarcity of coal and the abundance of water 
tionize existing practices. The electrical departments of the power in these countries has materially hastened the adop- 
lailroads and the manufacturers have responded effectively tion of electric operation. The programs for the various 
to the demand for economy and increased efficiency. countries, which will be put into effect as rapidly as possible, 

A lively interest has been maintained throughout the year are outlined in the table: 

in the subject of heavy electric traction, „ , „ _ ... „ 

' x , , . .J . ., , , ' Rait road Electrification in Europe (Route 

in spite of the fact that there has been _________________________ Mllls) 

no new application in this country. In under 

The reasons for the interest and for T N SPITE OF the business de- operation construction Proposed 

the lack of new applications are quite I pression, more than the usual Xorway :..:.;: 3 fo 'so ''soo 

simple. Railroad expansion has be- _. . ___ „ , :____„_j Germany 400 100 1,500 

^ , , * » . . amount of new and improved Austria 200 1,000 

come largely a matter of intensive, . . r Switzerland ... 250 275 1000 

rather than extensive, development. electrical equipment has been luiy^ 600 3.000 

The number of new lines built has de- placed on the market. England ".'.'.'.'.' 200 1,000 
creased steadily since 1906, and the It exemplifies the old adage Belgium '.'.'.'.'.'. ...? .'.'.'. 500 
present tendency in construction is to so ahont neressitv When devices ™ , 
^rnnirp trick « to get most efficient necessity. wnen aevices TwQ lm ortant electrification con- 
arrange track as to get most efficient inadequate or uneconom- tracts were given to American com- 
operation and greatest capacity. Elec- f n lI<l \ la , ert i o 1Ne " iu rtineriLjn com 
trie operation affords an excellent lcal > new ones are promptly de- panies during the past year. One of 
means for increasing track capacity and sloped to meet the new or in- these, amounting to $7^00,000, was 
for relieving congestion. creased demands. A return to let t0 ^ e Westinghouse Electric Inter- 
Many roads have electrification pro- normal condi ti ns should permit ^'l ™ 1 ^Pf* ^ the chllea * 
.„ m . : n v :_ w Pnrtinllv anv pier- v.« iu u ^ State R ai i wavs to cover equipment for 
grams m view. Practically any elec h rai , roads t take advantag e of 116 miles f main i ine and 144 miles 
tnfication program must be considered . ~ ^ u ""^ °' ; nain , e anu 1 . mueb 
as a major improvement involving the the improvements that have been of track. The other, amounting to 
expenditure of large sums of money; devised, with resulting increased more than $1,000,000, was let to the 
that is probably the only reason why economy. International General Electric Corn- 
some of the contemplated work was not __^ __ P an y h Y the Spanish Northern Railway 

started. Twice during the year the ;ind include about 40 miles of line. 

Lackawanna has asked for bids on Du^g the year both of these manu- 

electrification apparatus. The program for the Illinois Cen- facturers have supplied equipment to the Central Railway of 
tral is of course, definitely launched and that road recently Paulista and a section of that road is now operated elec- 
purchased 20 new steel suburban coaches for use in steam trically. The same two companies have also supplied large 
service, but so designed that they can be equipped with motors amounts of electric railway material to Japan and to some of 
and multiple-unit control apparatus. the European countries during the year. 

Plans for electric operation have been made tor railroads 
Electric Traction in Foreign Countries in t ] le Philippines, Jamaica and Madagascar and it is 

Electric operation for 11 eastern railroads was proposed expected that contracts will soon be awarded involving the 
in the report of the Superpower Survey (Railway Age, No- electrification of about 90 miles of line in South Africa. - 
vember 5, 1921, page 881) and it is highly probable that Notable development work has been done which has 

some of the roads mentioned in the report will electrify cer- greatly improved the operation of automatic substations, and 
tain sections at some time in the near future. a number of such installations have been made during the 




Vol. 72, No. 1 

year. These have all been made for power and strut rail- 
way companies. but it is highly probable that such substa- 
tions will soon find a place in trunk line railroad sen-ice. 

Electric Welding 

Electric arc welding during the past year has been used 
successfully in repairing a considerably greater variety of 
parts than ever before. Some of the more recent applications 
are listed in the table: 


1. Cast Steel Wheel Centers, 
t Iron Wheel Centers. 
3. Application of Hub Liners. 

Hiding up Tires on Wheels. 

5. Couplers. 

6. Coupler Knuckles. 

7. Truck Sides and Bolters. 

8. Draft Castings and Car - 

9. Side Plates and End Plates. 

10. Buildin- Frogs and Switches. 

11. Erectiny; Iron and Steel Structures, Including Tanks. 

The table lists only a small part of recent applications and 
is presented to show the trend in the use of arc welding. 
Few roads use all of the practices listed, but it will probably 
be only a matter of time before they will be used generally. 

Large savings can It made by the use of autogenous 
welding, both electric and gas, and that will, of course, cause 
its use ti. b< extended as rapidly as the users can learn how- 
to obtain dependable welds. It has been shown that an 
investment til' $150,000 in welding equipment on the Rock 
Island has in a few years saved three times its cost. After 
the practice ot welding locomotive tires was established, no 
new tires weri pun based for a period of three years, and the 
numl>er now bought is only about one-third of the former 

welding will probably come into much 
greater use than at present for safe-ending boiler tubes. The 
committee of the Master Boiler Makers' Association on 
Methods of Welding Safe Ends on Locomotive Boiler Tubes 
made the following statement in its last report: "Welding 
safe ends by tin- electrical welding machine, in the opinion 
of the committee, will eventually supersede the present 

Rivet heating cannot ed as welding, but as a 

closely allied work 't should lie said that electric rivet heat- 
ers have proved their economy and usefulness and are 
rapidly finding favor in boiler, tank and car shops. 

tically all cii" tin- manufacturers of welding machinery 
have made improvements in their equipment Among the 
riding developments is tin- so-called semi-automatic 
welding lead which has been applied to the General 1 
automatic welder. It consists I length of Bl 

i nd with an adapt 

il ill.- other end with a 
nozzle to dired th \ ir>- to th< I 

ines tin .i'l' idy supply of wire 

anil Of the automatic welder with 

! b) allow tor in dire< t tin- arc manually, 

iri, power i- unavail 

,1,1,. , • t or costly to bring it t'> the 

I-,, be< n made in pen ussive weld- 
ihown i" be the 
-I method. 

Hj by the i li i trie 


Devices for Handling Material 

i li will pn 

boom long 

h tn bti an air pump or front end into position ou a 
locomotive. The) are designed for use in enginehouses and 
similar places where an overhead crane is not available and 
have the added advantage of being able to carry material 
from one building to another, as from the storage platform 
to the repair shop. 

They are being used by the Western Maryland and the 
New York Central. In describing their usefulness, M. E. 
neral purchasing agent. Western Maryland, 
u rites : 

"Electric crane trucks are Icing in-tailed on a regular 
tour of duties, including routing through shops, with load- 
in,' and unloading stations marked where material is 
unloaded or assembled. Air pumps are taken from the side 
"i a locomotive; and in one instance the operation of taking 
down an air pump, delivering to repair point and bringing 
back an extra pump, consumed 21 minutes, as against one 
ae-half hours for the operation by former methods. 
Another operation was the handling of side rods and equally 
heavy material in .^> minute- as against previous four hours' 
operation. This tour of duties includes from a one-day 
ahead program to a 30-day ahead program in conjunction 
with the shop heavy repair program." 

The successful operation of tractors and trailers in freight 
transfer service was particularly well demonstrated by an 
installation on the New Haven at the Cedar Hill transfer. 
where 14 tractors arc used. One hundred and thirty-one 
distinct classifications arc made daily ami as many - 
cars have been worked in one day, a normal daily perform- 
ers. The ability of the 
transfer to work this number of cars, with tractors and trail- 
is resulted in the closing of the transfers at Westchester 
and Maybrook permanently. Furthermore, approximately 
■ cent of the transfers at Bridgeport and Hartford and 
. ; " per cent of the transfers at Waterbury, Danbury and 
Poughkeepsie, have been eliminated through the concentra- 
tion of the transfer business on the west end of the line. 

Motors and Control Devices 

\ remarkably large number of switches and switch con- 
trol- have ben developed during the year. Most of these 
wen- designed principally for the sake of safety and conve- 
rhe old open type switches arc being rapidly dis- 
placed which are fully enclosed. Automatic 
starters have been developed for synchronous motors. 

In the application of electric motors to shop machines, 
there have been two developments of note. One is the 
application of "built in" high speed induction motors to 
various wood-working machines, grinders and other ma- 
chine? which require high uni ! -: and the other 
« form of direct-connected, reversing motor drive for 
planers I he new planer drive was developed to overcome 

ed by planers over traveling from am one of 


I hi most notable development- m lighting for railroad 
in yard and enginehouse lighting, I' 
methods have been worked out by the Lighting Service 

I' tment of the Edison lamp Work- of the Cieneral 

11,. t r i, Company for using flood light- for night illumina- 
rds, scale houses and turntables, and 
these methods have ben ipplied with excellent results, 

I ire now lighted on the I:. -;, :i \ Albany, 

the Lehigh & Hudson and < 'hi, ago & Northwestern by mount- 
ing two floodlights with in- on the outer circle 

w ill between cub -till ["his method does not solve all of 
the wiring •' ■ nginehouse lighting, bul it simpli- 

fies them and Buppl lighting. It represents 

-lep in the ri"lit dirci tion 

Repair Shop and Enginehouse Developments 

Few Additional Facilities — Contracted Work and Leased 
Shops — Future Possibilities 

By E. L. Woodward 

Relatively tew additional facilities either in new rail- 
road shops and enginehouses, or more modern equip- 
ment for those already built, were provided dur- 
ing the vear 1921. Repair work was let out on contract, 
some shops were leased and others 
closed, and yet there is reason to be- __^^^__^^^^ 
lieve that railroad shops will come into 
their old position of importance again 
in 1922. The Labor Board has already 
abrogated most of the efficiency-destroy- 
ing rules promulgated during the Rail- 
road Administration and has removed 
the inhibition against piecework. Wages 
are being considered and will un- 
doubtedly in the long run be adjusted 
to the level of those paid for similar 
work in adjoining territory, thus plac- 
ing railroad shops on a more even basis 
with the contractors. 

Difficulty in obtaining capital was 
one of the factors that retarded shop 
improvements in 1921. Now money is 
easier, net earnings are on the increase, 
and many railroads have already de- 
veloped ambitious improvement pro- 
grams. Eighty replies to a question- 
naire recently sent out to Class I rail- 
roads showed that many individual 
shop and terminal projects, costing 
anywhere from $200,000 to $3,550,000, are contemplated. 
These projects each call for machine tools and shop equip- 
ment costing from $20,000 to $948,000, so it is plain that the 
majority of railroad men are awake to future needs, and im- 
provement programs will be carried out in 1922 to an extent 
depending upon financial considerations and the rapidity 
with which business and traffic pick up. 

cently sent to the Class I 
railroads ; 80 replies received 
show that many individual shop 
and engine-house improvement 
projects, costing from $200,000 to 
$3,550,000, are contemplated. 

Extensive lists of shop ma- 
chinery and equipment are in the 
respective budgets and in some 
cases orders have already been 
placed against these lists. 

The extent to which improve- 
ment programs are carried out in 
1922 will depend upon how 
quickly business picks up. 

No big shop construction programs were undertaken in 
1921 and the general condition of the railroads as regards 
ability to maintain locomotives and cars in good repair and 
running condition is not better than it was a year ago. In 
fact, at many points the facilities for 
_^^__^____ handling general and running repair 
work are naturally less effective than 
before because of depreciation and be- 
cause the railroads have been unable, 
for financial reasons, to make needed 
replacements or additions and better- 

It is true that there was little agita- 
tion for greater shop capacity during 
the past war I scause oi the fact that 
the railroads were able to handle the 
reduced traffic with little or no diffi- 
culty. This does not prove that shop 
facilities are in any way adequate or up 
to the point which would be necessary 
to furnish power for even a normal 
traffic. One has but to visit any aver- 
age shop and see the old, worn-out 
machinery and equipment which rail- 
roads are compelled to use through 
lack of funds, to be convinced of the 
imperative need not only of additional 
shops, but of more modem, productive 
machinery in those already built. 
No modern business would be able to meet a competitor's 
prices if it depended for production on machinery which 
had long since outlived its usefulness. Fifty years ago, 
for example, it was quite common to ornament the cross 
rail or housings of a planer with acorns or other artistic 
designs and yet these "acorn" planers are found all too 
frequently in railroad shops at the present time. The cost- 




Vol. 72, No. 1 

linfss of using antiquated machines bas been pointed out 
times without number. No one acquainted with the facts 
will deny that many railroad shops were badly under- 
equipped ,b to modern machinery at the beginning of 1921 
and that comparatively little was done during the year to 
relieve the situation. 

Replies to the questionnaires indicated that in 
1921 programs, not fully carried out, will be completed in 
1''22. Certain railroads, for example, were unable to pur- 
sary new boilers and air compressors for power 
houses and these will now be secured. It is also planned 
to install automatic stokers with a view to increasing power 
plant capacity and efficiency. Other roads reported that 
- ve programs of improvement are under way but not 
settled as to details. The questionnaires showed that rail- 
roads realize the necessity for greater shop and enginehouse 
facilities as a means of getting the maximum service from 
equipment and keeping the proper relation between rolling 
stock and shop capacity. The need for modernizing existing 
power was also strongly emphasized and it developed that 
modernizing programs are now being delayed for lack of 
shop facilities to carry them out. In view of the need for 
improvements in railroad shops and enginehouse.- and the 
ground for belief that at least some of these 
improvements are on the way, it will Ik' interesting to note 
what is actually accomplished along this line in 1922. 

Much Repair Work Done on Contract 

One of the most noticeable developments in the past year 
was the increasing tendency to let out repair work to con- 
tractor^ and lease both shops and terminals to contractors 
or local companies organized for the purpose In view of 
the importance of this step, it may be well to analyze the 
reasons for it and some of its advantages and disadvan 

contracting of repair work is by no mean- new and 
ha- been common to a greater or less extent on railroad- 
tor many years. It is only recently that objection- to this 
practice have been taken by national laI>or leaders in an 
effort to discredit the managements in the eyes of the publii 
by claiming that the real pur; to disrupt labor or 

ganizal ire graft, The railroad- refused to be put 

on the defensive as to either of these two charges of which 
they must justly be considered innocent until proved guilty. 
two sound reasons whj it has been necessar) 

for the railroad- to have a COnsiderabl* proportion of repair 
work, particularly on car-, done by outside contractors. The 
first i lai k of shop facilities to handle 

normal repair work and the second is the possibility of 
reduction in cost up to 25 per cent after allowing a reason 
able profit for the contractor. Railroad men anticipated 
difficulty in handling traffic in tin- early month- of 1921 due 
\ inter which did not develop and an inert 
■ i h did not material] I insure that traffic 


ondition and 

not able to handle 

,,U tin i ontrai tor.-. 

U mild winter ami rapid de- 

'■•rk WOUld 

in manv other cases, hind- 
Had ' 



i work, pay 


in ful- 

filling this duty repair work must be done in a way which 
involves the least cost consistent with good quality of work. 
In line with this policy the railroads had no alternative 
but to give the work to outside contractors and this explains 
why so much car and locomotive maintenance work was 
contracted out in 1921. 

The railroads were able to let contracts for car repair 
work to outside companies Ijecause there are many plants 
in the country equipped for the handling of this particular 
kind of work. These plants specialize in the building and 
repair of equipment and have both the facilities and organ- 
ization to handle it efficiently. In maintaining locomotives 
on the contrary, except for the big locomotive builders, tew 
shops are equipped with cranes and machinery for handling 
strictly locomotive repair work and the builders themselves, 
while physically equipped to handle the work, are more or 
less unfamiliar with the proce:-s of stripping and distributing 
locomotive parts to the various departments for repairs. In 
a test case, three or four locomotiv to each of 

three locomotive builders and it was maintained that they 
were repaired at a loss as contracted. There are a few small 
industrial locomotive repair shops in the country, but these 
ire entirel) inadequati in numlier and equipment to handle 
ordinary repair work. 

Essential Reasons for Leased Shops 

There are many reason- justifying the leasing of repair 

shops. In the first place, it i- a question of relative costs. 

the advantage being in favor of tin- contractor or lessee who 

is not hampered by outside interfer - local griev- 

quickly, pays prevailing rates of wages and in< 
production by installing piecework or some other method of 
paying men in proportion to output. Another fact to be 
considered i- thai an idle plant always deteriorates faster 
than one in operation which i< properly cared for. It is 
therefore an advantage to have shops operated, even by 
outside parties, rather than to have them idle. In addition, 
the operation of these plant- will keep repairmen of ability 
in the locality available for use when the shops are again 
operated by die railroad-. It is estimated that 60 per tent 
of the men will thus be available for re-employment. In 
most i sed under contracts terminable 

on comparatively -hort notice and the idea is that when the 
.1 removes the handicaps formerly placed on 
-hop managements and adjust the level paid in 

other industries the railroads will auain be able to tak 
their own plant- ami -..ure economical operation. 

Piecework and Shop Production 

I here must Ik- an entire reversal of attitude on the part 
of many railroad -hop employees regarding production and 
what constitutes > Fair day's work if this tendency !<• 

trait repair work and 1. It i< 

obvious that where COStl) rule- and di.-p' wages 

iponsible for turning repair work over to contractors 

the rules must be changed a" usted. Otherwise 

repair work will never In- brought bade to the railroad shops 
where it belongs Under recent rulings of the Labor Board 
mosl of tlie objectionable rule- have been ch 
adjustments i it is therefore up to the 

. ide whether or QOl tbev will increase their 
a point equal to or greater than that of workers 
for pi 

an unfortunate fa. t that everv industrial ore 
Hon li few men who ire determined to do 

as lip!, the individual or company employ- 

ing tl il\ method to handle these men is to pay 

their output bv the installation of 

m based on 

- . n used in 
hop work and have lyen 

January 7, 1922 



satisfactory to the majority of workers by affording increased 
pay, and to the railroads by increasing shop output. Many 
of the contractors have used the old piecework rates devel- 
oped on the railroads and in certain cases railroad shops 
haw reopened because of the piecework method of payment 
being adopted by a majority of the men. It seems probable 
that one answer to the present railroad shop problem to be 
worked out during 1922 will be the further and more gen- 
eral use of piecework systems. 

A Good Time to Install Shop Schedules 

I'lii' reasons why the expression "shop schedule" is 
synonymous with orderly work and good production have 
been explained many times in these columns and are well- 
known to railroad men. During the year, labor problems 
received almost the exclusive attention of mechanical de- 
partment officers and the use of shop schedules or routing 
systems was not extended to any considerable number of 
shops. In fact, owing to the decreased need of maximum 
shop output, scheduling as a means to this end was not as 
accessary as formerly. It is safe to say that the time will 
come, however, when shops will again be taxed to their 
capacity and this time may be sooner than some expect. 
The present affords a splendid opportunity to develop shop 
scheduling systems in those shops not already benefiting by 
their operation. The result will be that work will be ar- 
ranged in the order of its importance, detail repair parts kept 
moving and finished in time for assembly, material ordered 
in advance to \>e on hand when necessary, and locomotives 
and cars turned out in a minimum length of time with a 
resultant desirable effect on railroad earnings, 

Engine Terminal Developments and Needs 

Owing to reduced traffic during 1921, there was not the 
usual incentive to provide greater terminal facilities and 
increase the efficiency of terminal operations. Additions and 
improvements to existing terminals were made, in many- 
cases, however, and several new terminals, built by the con- 
tractors, are now ready to be turned over to the railroads 
for operation. 

It is interesting to note the greater attention being given 
to the machine tool equipment of enginehouses, and in spite 
of the difficulty in getting appropriations many antiquated 
machines have been replaced by new ones. This practice 
is in line with sound business policy because any expenditure 
which will speed up the handling of locomotives at termi- 
nals will show immediately in increased revenue tonnage 
movement per locomotive. 

The old idea that any machine that will run is good 
enough for a roundhouse has long since been out of date and 
railroad men are coming to see that not only should round- 
houses be equipped with modern productive tools, but these 
tools should be of sufficient number and capacity to handle 
heavy running repairs. With a roundhouse under-equipped, 
this work must be handled at the back shop where its 
injection into general repair work always results in a dis- 
organized schedule and decreased production. 

Cranes and Material Handling Devices 

The range of work handled at big terminals varies almost 
as much in kind and quantity as that handled at back shops 
and many mechanical hoists have been installed for the 
handling of heavy locomotive parts. The modern tendency 
in every industry is to reduce the manual labor involved 
in handling either finished parts or raw material and in line 
with this policy is the growing feeling that terminals and 
large roundhouses should be equipped with traveling cranes, 
of probably not less than 15 tons capacity, to handle any 
locomotive part except the boiler. These cranes have al- 
ready been installed at some terminals with good results. 

Existing roundhouses could not he equipped with travel- 

ing cranes without being practically redesigned, including 
in most cases strengthening the walls, and the result is that 
the cost probably would not warrant the installation of 
traveling cranes except in new, large roundhouses where 
much heavy running repair work is to be handled. The 
proper location of jib cranes, however, will do much to 
facilitate the handling of heavy parts and these cranes can 
be installed at a nominal cost. 

Power-operated trucks are coming into much more com- 
mon use not only in shops but roundhouses and there are 
many ways in which these trucks prove of value. They are 
used not only for the transportation of material either di- 
rectly or on trailers, and with a great saving in labor, but 
often they can be jockeyed into position and used to push 
or pull heavy wheels and other parts which would require 
the efforts of several laborers to move. The power-operated 
truck, equipped with a swinging crane is particularly valu- 
able in shops or roundhouses and saves many hard lifts. 
Ash Pits and Coaling Stations 

The problem of coaling locomotives and handling ashes 
is ever present at terminals where coal-burning locomotives 
are turned. While many of the smaller terminals especially 
are required to handle ashes, either in part or in whole by 
hand shoveling, this costly work is being eliminated as 
fast as appropriations can be obtained to finance improve- 
ments. Gantry cranes and grab buckets have demonstrated 
their superiority for performing this work and no modern; 
terminal, turning any considerable number of locomotives,, 
can be operated without these facilities. At many small 
terminals the installation of mono-rail pneumatic hoists and 
buckets has helped to relieve the situation. • 

It is essential that all coal and ash handling equipment be 
periodically inspected and kept in good repair so that loco- 
motive delays due to break-downs may be avoided. The 
result, for example, when the hoisting machinery in a coaling 
plant goes out of commission, can well be imagined. Coal 
cars are brought up, either a crane or hand shovelers hunted 
up and, in spite of the most strenuous efforts, locomotives 
are usually delayed and trains tied up. 

Enginehouse Personnel Most Important 

As with other departments of railroading and all branches 
of industry, the human element is most important. Even 
with a modern plant and the best machinery and equipment 
that money can buy, no terminal can be operated efficiently 
or satisfactorily with incapable or discontented men. This 
attitude of the men is so largely dependent upon the char- 
acter and ability of their immediate supervisory officers thai 
the utmost care should be taken to develop and select able 
men for these positions. To their great credit be it said 
that many roundhouse foremen, while modestly and effective- 
ly performing daily duties during the past year were able to 
inspire their men with respect and confidence and never ex- 
perienced difficulty in getting workmen to undertake tasks 
which they could legally have refused to do owing to techni- 
cal rules. It was a case of leading and not driving, coupled 
with fairness in all relations between foremen and men. 

One reason why certain terminals are more efficiently 
operated than others is because their foremen and supervis- 
ing officers have recognized the need of trained forces, each 
workman being instructed in his particular task until he 
fully understands what should be done and knows how to 
do it. Responsibility for inspection and repair is fixed and 
this insures that locomotives have the proper, careful atten- 
tion each time they come to the terminals. Defects are thus 
discovered in time before serious wear or accident has oc- 
curred. It is not maintained that all terminals, or even 25 
per cent of them, are operated in this manner, but the few 
that are demonstrate the possibilities and present an example 
which can well he followed hv others. 

Chronological Review 

A Resume of the Outstanding Events of the Twelve Months. 
Arranged for Ready Reference 

By J. E. Cole 


Tin pasi year has been marked b) a constant effort for 
readjustment of railroad condition? by railway officers. 
the state and national commissions, the shippers and 
the general public. The railroad problem has. as never be- 
fore! become the people's problem. But despite the wide- 
spread publicity given to railway conditions, the progress 
toward readjustment has been slow. The roads have experi- 
enced a year of decreased business, with the costs of materials 
and wages decreasing relatively little, while they have been 
fettered by prolonged investigations and hearings on rates 
and wages. However, the roads have 
demonstrated the economic advantages 
of private operation by the increased :^^^^^^^^ 
efficiency of operation and economy of 
■ mem which they have been able 
t and they have come forward 
with a number of voluntary rate reduc- 
tions which are in effect as the year 
\\ ith these conditions in mind, 
the following list of the outstanding 
developments and decision- of the year 
has been compiled : 


January 1, 1921. — Section 10 of the 
Clayton act regulating dealings 
»n railroad securities and sup- 
plies between companies having 

"interlocking relationship" be- ___—____— 
came effective. 

January 5. — Hearings on the 

Frelinghuysen bill offered as a substitute for Section 
10 of the Clayton act began before a sub-committee 
of the Senate Committee on Interstate Commerce. 

January 6. — Winslow bill introduced in Congress to 
provide for partial payments to railroads for deficits 
incurred during the guarantee period. 

January 6. — Interstate Commerce Commission an- 
nounced that a formal investigation would be made 
of the charges made by representatives of railroad 
labor organizations that certain railroads were pay- 
ing excessive prices for the repair of cars and loco- 

January 10. — Hearings on national agreements and 
workirn, conditions began before Labor Board. 

January 28. — Interstate Commerce Commission ten- 
der, making interstate rates effective in 
Illinois for intra 

January 28. — Atlanta. Birmingham & Atlantic peti 
tioned Labor Board to, authority to reduce W 

January 31. — Labor committer of tl ion of 

l-.vay Exen rsted to Labor Board that 

it set aside at once all rules and working conditions 

imposed since December 31, 1917. 
January fl Winslow bill reported favorably to the 

Senate by the Senate Committee on Interstate Com- 


ABOR BOARD in almost 
continuous session on ad- 
justment of wages and 
working conditions. 

Congress gave much attention 
to railway problem. 

Numerous reductions in rates 
put into effect late in year. 

Labor difficulties culminated in 
threatened strike which was 
called off at the last minute. 


February 6. — President Wilson declined railroad em- 
ployees' request that he interfere in the controversy 
over the abrogation of the national agreements. 

February 8. — Winslow bill passed by House. 

February 14. — Labor Board directed Erie to rescind 
wage cut and ruled that no change in wages or work- 
ing conditions was to be made except by agreement 
between the parties, until the dispute was heard 
and opportunity given for the Board to pass 
upon it. 

^^____^___ February 17. — Labor Board ren- 
dered decision setting forth pro- 
cedure to be followed in handling 
matters over which it has juris- 

February 21. — Labor Board re- 
manded wage reduction disputes 
of the Atlanta, Birmingham & 
Atlantic and the Missouri & 
North Arkansas to parties in- 

February 22. — Winslow bill passed 
by Senate. 

February 22.— Milton H. Smith 
president of the Louisville & 
^^^^^^^^^— Nashville, died at Louisville, Ky. 

February 25. — Atlanta, Birming- 
ham & Atlantic thrown into re- 
ceivership and B. L. Bugg, president of the road, ap- 
pointed receiver. 

February 26. — President Wilson signed Winslow bill. 

February 27. — Missouri & North Arkansas employees 
struck following a reduction of wages by the re- 
ceiver of the road. 

February 27. — New York Central-Michigan Central 
wreck at Porter, Ind. — 37 killed. 

February 28. — Forty-two state commissions filed briefs 
with Supreme Court denying power of the Inter- 
state Commerce Commission to fix intrastate rates. 

March 3. — Treasury department made first payments 

under Winslow bill 

■ committee of tli ion of Rail- 

way Executives abolished, following decision that 
ividual roads would henceforth handle labor ques- 
tions directly with the employees. 

March 4. — John Barton Payne retired as Secretary of 
the Interior and Director General of Railroads. 

March 5. — Atlanta. Birmingham & Atlantic employees 
stuick following wage reductions. Road came be- 
fore Labor Board to instify reduction in wages. 

January 7, 1922 



March 14. — Railway executives summoned by Labor 
Board as witnesses in hearing on abrogation of 
national agreements. 

March 15. — National Industrial Traffic League filed 
petition with Labor Board for a hearing in national 
agreements controversy. 

March 15. — Hearings of the New England governors' 
committee started inquiring into the railroad situ- 

March 17. — Wible L. Mapother elected president of the 
Louisville & Nashville. 

March 19. — Chicago & North Western grain elevator 
at Chicago destroyed by dust explosion. Six people 
killed and loss estimated at $4,000,000. 

March 24. — President called conference with the chair- 
man of the Interstate Commerce Commission and 
the chairman of the Labor Board on the wage and 
rate situation. 

March 25. — Missouri & North Arkansas suspended 

March 25. — John J. Esch appointed recess member of 
the Interstate Commerce Commission. 

March 25. — S. Davies Warfield filed a plan of railroad 
administration with Senate Committee on Interstate 
Commerce in behalf of the National Association of 
Owners of Railroad Securities. 

March 26. — President Harding appointed James C 
Davis director general of railroads. 

March 29. — Labor Board denied petition of the Na- 
tional Industrial Traffic League for hearing in 
national agreements controversy. 


April 4. — National Association of Owners of Railroad 
Securities met with representatives of "Big Four" 
brotherhoods to discuss railroad situation. 

April 4. — Final valuations served on the Kansas City 
Southern, the Los Angeles & Salt Lake, the Atlanta, 
Birmingham & Atlantic and the Winston-Salem 

April 12. — President Harding, before Congress, de- 
clared railway rates and the cost of operation must 
be reduced. 

April 12. — Senator Cummins introduced resolution in 
Senate providing for investigation of railroad situ- 

April 14. — Labor Board ruled national agreements 
were to end on July 1. 

April 19. — Senate ordered investigation of railroad 
situation by the Senate Committee on Interstate 

April 19. — Joseph H. Young elected president of the 
Denver & Rio Grande Western. 

April 21. — Labor Board ruled Atlanta, Birmingham & 
Atlantic wage cut was illegal. 

April 25. — Senate confirmed appointment of B. W. 
Hooper, S. Higgins and W. L. McMenimen, as mem- 
bers of the Railroad Labor Board to succeed H. W. 
Hunt, W. L. Park and J. J. Forrester, respectively. 

April 28.— Railroad employees began fight against the 
wage reductions asked for by the railroads. 

April 29. — Governor's committee opposed rate raise in 
New England. 


May 3. — Senate confirmed appointments of E. I. Lewis 
and J. B. Campbell to Interstate Commerce Com- 

May 7. — Railroads completed plea for first wage re- 
duction before Labor Board. 

May 10. — Senate committee began investigation of 
railroad situation. 

May 12. — George R. Loyall elected president of the 
Norfolk Southern. 

May 16. — Seasonal coal rate bill reported favorably by 
Senate committee on Interstate Commerce. 

May 18. — Franklin K. Lane, former member of the 
Interstate Commerce Commission, died at Roches- 
ter, Minn. 

May 22. — Edward L. Brown, formerly president of the 
Minneapolis & St. Louis, and the Denver & Rio 
Grande, died at St. Paul, Minn. 

May 25. — Union Pacific acquired full control of Los 
Angeles & Salt Lake by purchase of holdings of 
Senator W. A. Clark and friends. 

May 25. — Henry B. Ledyard, chairman of the board 
of directors and former president of the Michigan 
Central, died at Detroit, Mich. 


June 1. — Labor Board ordered wage reduction ap- 
proximating 12 per cent, effective on July 1, in order 
No. 147. 

June 3. — Pueblo, Colo., flood caused $5,000,000 damage 
to railroads. 

June 6. — National Association of Owners of Railroad 
Securities appointed committee to study railroad 

June 6. — Carriers asked Labor Board to reduce wages 
to the rates existing prior to Decision No. 2 of the 
Labor Board. 

June 17. — Labor Board decided against Pullman Com- 
pany which sought to bring a plea for wage reduc- 
tions before Board. Ordered to go to employees 
and then to Board. 

June 18. — Edgar E. Clark, re-elected chairman of the 
Interstate Commerce Commission. 

June 27. — Labor Board extended scope of wage reduc- 
tions, adding 92 carriers and one labor organization 
as parties to wage reduction order Decision No. 147. 

June 28. — Labor Board continued national agreements 
until such time as rules are considered and decided 
by the Labor Board. 


July 1. — Wage reductions totaling 12 per cent of pay 
roll became effective. 

July 1. — Numerous changes in car service rules became 

July 1. — New classifications of railroad employees were 
made effective. 

July 3. — John Findley Wallace, consulting engineer 
and chairman of the Chicago Railway Terminal 
Commission, died at Washington, D. C. 

July 8. — Charles A. Prouty, director of valuation and 
former member of the Interstate Commerce Com- 
mission, died at Newport, Vt. 

July 14. — Representatives of Pennsylvania Railroad 
appeared before Labor Board defending employee 
representation plan of the company. 

July 16. — Charles F. Staples appointed acting director 
of valuation of the Interstate Commerce Commis- 

July 22. — Railroad settlement plan providing for the 



Vol. 72, No. 1 

funding of the debt of the railroads to the Railroad 
Administration, announced by the President. 

July 22. — Edgar E. Clark resigned as a member and 
chairman of the Interstate Commerce Commission. 
Frederick I. Cox succeeded Mr. Clark as a member 
of the commission. 

July 28. — Interstate Commerce Commission declined 
to fix New England rate divisions. 

August 1. — Reorganization of Car Service Commis- 
sion of the American Railway Association became 

August 1. — Labor Board ordered new election of rep- 
sentatives of employees on the Pennsylvania to 
negotiate new rules and working conditions. 

August 1. — U. S. Chamber of Commerce appointed 
two committees to deal with transportation. 

August 6. — Interstate Commerce Commission pre- 
scribed method for fixing operating expenses for 
maintenance during the guarantee period. 

August 9. — Hearings began before Senate Committee 
on the Townsend bill which would allow War 
Finance Corporation to purchase obligations of the 

August 11. — Roads refused "Big Four" brotherhood's 

demand that wages be restored to the level of June 

August 15. — Interstate Commerce Commission decided 

that freight rates on live stock should be reduced in 

western territory. 

August 16. — Overtime controversy settled by Labor 
Board with compromise decision containing seven 
new rules to govern punitive payments. 

August 22. — Epes Randolph, president of the Southern 
Pacific of Mexico and the Arizona Eastern, died at 
Tucson, Ariz. 

August 22. — House passed railroad funding bill. 

August 24. — Pennsylvania Railroad denied right of 
Labor Board to regulate working conditions. 


September 12. Sale of equipment trust certificates by 

the director general of railroads started. 
September 24 — Labor Board defined its powers and 

legal status. 
September 25. — H P. Titcomb elected president of 

Southern Pacific of Mexico and the Arizona Eastern 

succeeding Epes Randolph, deceased. 

September 28. — Interstate Commerce Commission pre- 
sented tentative consolidation plan, proposing 19 
competing systems. 


October 3. — Charles C. McChord elected chairman of 
the Interstate Commerce Commission. 

October 11. — Unemployment conference urged railway 
rate revision 

October 11. — State commissioners at Atlanta. Ga . de- 
bated federal vs. state regulatory powers 

r 13. — Labor Board lifted piece-work ban. 

October 14. — Association of Railway Executives de- 
cided to ask Labor Board for further wage reduc- 

October 15. — Labor leaders called strike of train serv- 
ice employees for October 30. 

October 15. — President conferred with public group of 
the Labor Board on strike situation. 

October 22. — Trainmen of the International & Great 
Northern struck as "opening gun" despite instruc- 
tions of Labor Board to await decision of October 
26 conference. 

October 22. — Interstate Commerce Commission or- 
dered western grain and hay rates reduced. 

October 26. — Labor Board held inquiry on the threat- 
ened strike. 

October 27. — Threatened strike called off. 


November 1. — Nation-wide "Perfect Package Month" 
campaign opened. 

November 1. — Labor Board recognized "ability to 
pay" as "secondary" factor in fixing wages in de- 
termining wage scales. 

November 3. — Erie freight piers at Weehawken, N. J., 
destroyed by fire with loss of $2,000,000. 

November 14. — Hearings on Capper bill which pro- 
poses amendment of Transportation Act began by 
Senate Committee. 

November 16. — Association of Railway Executives 
passed a resolution providing for a petition to be 
filed with the Interstate Commerce Commission ask- 
ing that the Commission announce its rate policy, 
and announcing a 10 per cent reduction in rates on 
all agricultural products which it was expected 
would be substituted for the reduction in western 
rates on grain and hay. 

November 23. — Interstate Commerce Commission or- 
dered general rate inquiry. 

November 29. — Labor Board announced complete new 
rules to supersede the provisions of the Shop Craft's 
National Agreement, to be made effective Decem- 
ber 1. 


December 1. — United States Shipping Board asked 
railroads to abrogate the foreign shipping line con- 
tracts at hearing before committee of that body. 

December 5. — Arguments started before the United 
States Supreme Court on the bill filed by the state 
of Texas attacking the constiutionality of the Trans- 
portation Act. 

December 5. — Collision on the Newton branch of the 
Philadelphia & Reading, at Bryn Athyn, Pa.— 25 
persons killed, 20 injured. 

December 14. Interstate Commerce Commission be- 
gan general rate investigation, to determine whether 
and to what extent further rate reductions are 


December 14. — Labor Board announced new code of 
working rules for maintenance-of-way employees, 
providing that punitive overtime be allowed after 
ten hours instead of i 

December 19. — Labor Board opened hearing on the 
ri^lit of the railroads to contract locomotive and car 
repair and maintenance of way work. 

January 7, 1922 



i.-i-i. : i ■ ■■ ■ n,:;i!i:'i 

Foreign Railways Section 

The Canadian Railways Are in a Bad Way. By J. L. 

Mexico Makes Progress Toward Rehabilitation. 
Review of English Railways During 1921. By Robert E. 

High Lights in the French Railway Situation. By M. 

A Review of the Italian Railway Situation. By Antonio 

The Swiss Railways in the Year 1921. By Julian Grande. 

Soviets Demoralize Already Inadequate System. By Dr. 

J. M. Goldstein. 
German Railways Operating Under Great Difficulties. 

By G. Reder. 
Railway Situation in Other European Countries. By 

Robert E. Thayer. 
Railway Chaos Central Europe's Greatest Problem. By 

James G. Lyne. 
Chinese Railways Experience Normal Year in 1921. 
Some Observations on the Japanese Railroads. By B. B. 

The Indian Railways Face a Serious Problem. By Robert 

E. Thayer.. 
Unifying the Railway Gages of Australia. By F. M. 

South African Railways Progress Despite Deficits. By 

M. T. Griffin. 

Nor Do South America's Roads Escape Adversity. By 
James G. Lyne. 

Commerce Bureau Improves Service to Exporters. By 
James G. Lyne. 

The Canadian Railways Are in a Bad Way 

Public Is Awakening to Seriousness of the Situation, but No 
Solution Seems to Be in Sight 

By J. L. Payne 


FROM iiu. BEGINNING of 1914 to the end of 1919, the 
railways of Canada had a trying experience. In 1920 
conditions grew worse. Bad, however, as things were 
during the years of the war, and a< Lit< ame in 

1920, they were still worse in 1921. They might be said to 
have passed during the past seven 

from the positive to the compara- ^_^_^_^^^__ 
tive, and then to the superlative 

In all this one sees the close parallel 

operating re-ults on both sides 

of the line. While this has always 

true in a measure, it has been 

peculiarly true during recent 

ipo it'h reason. I he fundamen- 
tal i.iiw- of trouble have con 

nd more identii al, W 

and Ottawa have drawn doser together 

dative polii y; so that if there 

had been no internationa] boundary 

during tin- p it Would not 

whether the 

: i .iinl the United 

ontrolled i 


b bunals had 

■n or 


the general 


No International Boundary for Brotherhoods 

took verv |. 

WU civrn in that 

HE YEAR 1921 was the 
worst one in Canadian rail- 
way history. Labor situa- 
tion and operating results have 
closely paralleled those in United 

Increases in net have been 
made at the expense of mainte- 
nance; this is piling up and, of 
course, must be made up in the 
future. Labor demands arouse 
the public. A rate cut was made 
in November. 

Will the Canadian Pacific be 
forced to take over the national 

year il immediately effective in Canada as it did 

in the United States, barring only the national agreements. 
They could not specifically apply to Canada because of the 
nature of the agreements themselves; but Canadian railways 
were at once affected by many of their baneful features. The 
same thing occurred in 1920 when the 
^^^^^^^^^^^ Chicago award was given. The rail- 

ways of Canada were as directly bound 

by the judgment of a foreign tribunal 
as if that tribunal had positive juris- 
iliition in the Dominion; and it is a 
strange thing the question of national 
solidarity was not raised. It was not. 
for the sufficient reason that it would 
have been futile. The National Rail- 
ibor Board could not legislate 
for Canada any more than could Con- 
gress; but the brotherhoods could 
The international BCOpe of the rail- 

way labor organizations explains the 
whole thing. 

The tightening troubles of the rail- 
ri w out of rising operating 
cost, and rising operating coal grew 
very distinctly out of the swollen pay- 
roll, The brotherhoods had no inter- 
national boundary. What they gained 
- in the United States was passed on to 
Canada, And this situation per-i-t< 

The forces of labor have no flag Thev 

ndei i i ommon banner. 

Worst Year in Canadian Railway History 

I el it be repeat i return to tin- primary theme, 

that 1921 was the worst in Canadian railwav history. 
The situation in the first three months of the year had in it 
all the possibilities of general bankruptcy, In January the 

earnings was over 108 


January 7, 1922 



per cent for all the railways of Canada as a group. This 
meant that, while strong roads, like the Canadian Pacific 
and four or live others, wore holding their heads above 
water, the government system was floundering under an ad- 
verse ratio of 125 per cent. But there was this vital differ- 
ence. The state system had the treasury of the Dominion 
to fall back upon, and represented over 52 per cent of the 
total operating mileage of the country. 

Obviously this could not long endure. Traffic was slump- 
ing month after month. Relief from burdensome operating 
cost was not in sight. Deflation was under way in all the 
countries of the world, causing trade to shrink alarmingly; 
and traffic and trade are always interchangeable terms. If 
the headlong plunge toward insolvency was to be arrested 
the initiative must come from within rather than from with- 
out. The logical remedy would have been to increase the 
earning power of the railways: but it was felt that would 
be a most unpopular move, and a doubtful expedient too. 
Past a certain point you cannot go in the matter of tolls, 
without defeating the end in view. The people of North 
America had become accustomed to the lowest freight rates 
in the world, and were fretting under the increases which 
had been imposed as a means of offsetting the additions 
made to operating cost. That these increases had not been 
sufficient was ignored by the public. It was believed the new 
rates were cramping business, and probably they were. So 
the railways resolved to save themselves by heroic and inten- 
sive, albeit not wholly sound, measures of retrenchment. 

"Life or Death?" 

In April began a slashing of expenses which has had no 
precedent in Canadian railroading. Maintenance was cut to 
a point hitherto regarded as inexpedient and unsafe. Train 
mileage was reduced in every possible direction. Men were 
let go from every department by the thousands. Then in 
July came the cut of 12 per cent in wages, and in September 
the movement of a bountiful harvest once more brought 
traffic to a temporarily buoyant state. While gross earnings 
steadily declined from the 1920 level, net earnings rose as 
the result of lowered operating expenses. 

It is possible that unthinking and uninformed onlookers 
were deceived by this betterment on the side of net earnings; 
but not so the railways. They knew full well that such 
results had been won by methods both temporary and un- 
sound. They did not delude themselves with the notion that 
maintenance could be cut without carrying with it the neces- 
sity of restoring to the property the money thus withheld; 
so that what was saved today would be lost tomorrow. Yet 
necessity is a cruel master. They had to do it. It was the 
only way of meeting an emergency which "had in it the ele- 
ments of life or death. Just how the experiment will turn 
out in the Ions; run is in the lap of the gods; but those who 
are open-eyed and conservative are apprehensive about the 

Official statistics for the full year are not available. The 
monthly reports at this time of writing come down to the 
end of August. For that period the gross earnings of Class I 
roads had an aggregate of $277,478,122, as compared with 
$282,841,087 for the corresponding eight months of 1920. 
Operating expenses, on the other hand, totalled $268,266,928, 
as against $285,592,109 for the preceding year. Thus, while 
income declined by 1.9 per cent, outgo shrank by 6.1 per 
cent. That tells the story of economy; and those who are 
.familiar with the general situation in North America will 
see how closely this result corresponds with what happened 
coincidentally in the United States, and by precisely the 
same means. Collateral to the foregoing figures is the fact 
that ton-miles decreased from 18,855,679,998 to 14,739,895,- 
867, or by 16.6 per cent. 

This enforced policy of retrenchment struck directly at 
the payroll, which was the controlling factor in operating 

expenses. This will be seen by a comparison of the wages 
bill by months: 

1920 1921 

January $19,378,812 $21,960,258 

February 19,525,340 19,923,386 

March ' 20,808,205 20,327,326 

April 20,097,354 18,999,980 

May 23,076,014 19,415,027 

lime 24,578,970 20,220,220 

July : 25,5110,767 20,155,796 

it 25,430,331 20,312,321 

It will be observed that, while for the first three months 
of the year the increase over 1920 amounted to $2,498,613, 
the decrease for the succeeding five months reached $19,- 
5S0.092. During this latter term there had been a cut of 
nearly 16.5 per cent, which will be conceded to have been 
drastic. And this occurred with only slight relief from the 
decision of the Labor Board, which was not made effective 
in Canada until toward the end of July. It was simply the 
result of reducing the maintenance and operating staffs to 
the lowest possible point under the pressure of circumstances. 

Public Becomes Aroused 

The tribulations of the railways were not, however, with- 
out some measure of compensation. They aroused public 
interest in the situation. People began to inquire why the 
railways were in such a desperate plight. About that time 
the long drawn-out hearing before the Labor Board in Chi- 
cago caught general attention. The press,, for the first time, 
took up the matter, and, from the publication of the news dis- 
patches, went on to editorial criticisms. This was all novel, 
and, stranger still, the comments were favorable to the rail- 
way side. Men of affairs were impressed by the facts, as 
disclosing the pinch of labor cost on the agencies of trans- 
portation. The greedy grip of the brotherhoods was recog- 
nized in the adversities of the railways. Everybody saw 
clearly the relationship between cause and effect. Obviously, 
the railways could not hold their own while operating ex- 
penses had been raised far beyond the earning power in- 
volved in higher rates. The question was too simple to admit 
of any other than one conclusion. 

Back of this attitude on the part of the public was a 
wholly selfish consideration, as natural as it was logical. 
High tolls were positively unpopular. Everybody wanted 
them reduced; yet everybody realized that they could not be 
reduced, except at the expense of ruining the railways, while 
wages remained high. Under normal circumstances, actuated 
by a standing grudge against the transportation corporations, 
their sympathies would have been with the workers. It was 
something new, therefore, both to the railways and to the 
employees, to find public sentiment take this swing, and 
probably as surprising to one as to the other. The press, 
without an exception, voiced this disposition of the people. 
The wages problem came in for nearly as much consideration 
as did politics, and for the first time in more than half a 
century the cause of the railways did not lack for valiant 
champions. The papers teemed with examples of the scales 
of pay awarded to railway employees. 

It would be pertinent at this juncture to tell succinctly 
what happened in Canada when the Labor Board ordered a 
12 per cent cut in wages. It has already been made clear 
that when the McAdoo and the Chicago awards were given, 
the question of jurisdiction was not raised on the Canadian 
side of the line. Instead, instant effect was given to these 
judgments. When, however, the Labor Board gave a deci- 
sion in May last adverse to labor, the Canadian unions at 
once fell back on their geographical position. They refused 
to recognize the jurisdiction of a foreign tribunal, and ap- 
pealed for a board of arbitration under the Industrial Dis- 
putes Act. They got it. Meanwhile, however, the railways 
had given effect to the cut. And then, just as the arbitration 
proceedings had got well under way, the threat to strike in 
the United States was announced. Public feeling burst out 
afresh against the unions, and, when the strike order had 


Vol. 72, No. 1 

• ithdrawn across the boundary, the struggle in Canada 
to an abrupt termination with a verdict adverse to the 

Rates Reduced 10 Per Cent 

With the reduced wages scale in effect there has ensued 
an insistent demand for the lowering of freight tolls. Press 
and public are as united in this action as they were in 
opposing the demands of labor. There are not, however, the 
old allegations of greed, nor is there in this appeal the 
former spirit of cold hostility. The demand is based on pub- 
lic interests. Deflated freight rates are said to be as urgently 
needed for the revival of trade as are deflated prices in 
general, and the railways are being asked to take their share 
of the common losses incident to readjustment. The matter 
came to a focus about the middle of November, when the 
Railway Commission ordered a reduction in both freight and 
sleeping car tolls, the effect of which will work out at 10 
per cent all round. In their efforts to meet this cut, which 
will involve a loss in revenues of something over $40,000,- 
000, the railways may have a hard time of it. They are not 
yet out of the woods. Far from it. At no later date than 
the early spring can they hold off on making up for the 
autumn skimp in maintenance. Meanwhile, a revival of 
traffic has not begun. 

In this connection, a grave question is slowly but surely 
pushing its way to the front. Whence will the railways 
obtain capital for needed extensions and betterments? In 
view of the immediate situation as to net earnings, im 
will 1*> apt to be shy. With high class bonds selling at from 
six to eieht per cent, the railways have very little chance to 
gel in at lower rates. And it must be remembered that, so far 
nadian roads are concerned, 75 per cent of their financ- 
ing: was done at rates of five per cent and under. The matter 
has not been looked into for the purposes of this article: 
hut it is definitely known that a considerable volume of 
liability will soon mature. To increase fixed charges will 
inevitably intensify the problem of making both ends meet, 
already acute I In- is an aspect to which the onlooking 
public gives little or no consideration; but it is nevertheless 
very real and very serious. It applies to all those units 
within the national system whose liabilities were assumed 
>■• i-rnment as well as to corporate roads. 

Enormous Deficit of Government Railways 

This reference to the nationalized group brings to min- 1 

jnificant happenings of the year. In the first place, 

the Grand Trunk was formally added to the state group 

on a ■! by the arbitrators, which cuts the Stock 

holders off without compensation. This has been all the 

-tounding because of the treatment accorded in 1918 

dian Northern, which certainly was in a vastly 

position than was the ('fraud Trunk. The national 

system plete Old there is no indication that any 

further additions will be made. In the next place, a general 

meed in October, with polling hxi 

tnd tlie ampaign at this moment under way 

•r the tir-t time, brought the railway polk) of eovetn- 

nient up for pul! rhe onlj constructive fea- 
ture di of a wing of the Liberal 
Hon Rodolphe Lemieux who was prominent 
in tie (ministration 

II of Lord Sh 
That plan contem| 1 svs- 


rid unprejud 


: ' ■.' 
ill tin identic than ; 

1 fact, and nothin • ■ will 

test ■'■■ ■■ 

At the i ommencement of the campaign, Sir Joseph Flavelle 
issued a statement which put the case fairly before the people. 
He intimated that the deficit for the current year would 
probably be $67,000,000, and that there was no hope for 
any more than a gradual reduction of that loss as time pro- 
ceeded. Everything would depend on circumstances, with 
the settlement of the North West as a prime factor. Never- 
theless, to everybody's surprise, Sir Joseph's announcement 
had scarcely been given out than the Canadian National 
reported an operating surplus of $40,000 for August, and, 
a month later, a credit balance of $500,000 for September. 
While this is purely a bookkeeping showing, and has not 
aroused any genuine hope, it should be explained that the 
Canadian .National moved a much higher proportion of the 
western crop this year than it did last. This was the result 
of sustained propaganda in behalf of the government system, 
the basis of which was that the people should support their 
own road in the interest of their own pocket. 

The situation has not been vitally altered as to the Ca- 
nadian National. When the account in full has been made 
up for the year, it will be found that any temporary benefits 
realized by a spurt in traffic, and helped out by a favorable 
monthly pro-rating of expenses, will lie wholly offset by the 
increase in fixed charges arising out of larger capital liabil- 
ity. It would not, in fact, be at all surprising if, when sound 
accounting has been applied to the system — which, by the 
wav. has been wholly lacking in the past — the shortage for 
D21 should exceed SI 20,000,000. It might be nominally 
put down at somewhere around $70,000,000; but that would 
leave out of the calculation a very large amount of fixed 
charges which, while hitherto ignored, are nevertheless just 
a- genuine as those which are recognized. 

Summing Up 

Summing up the facts for the year in relation to all rail- 
ways, it might be said that gross earnings will probably 
run slightly ahead of tho>e of 1920, while operating expenses 
will show a decrease. Freight tonnage will reveal a con- 
siderable slump; but. on the other hand, passenger traffic 
may go beyond that of last year. There has not been anv 
addition to operating mileage; for while there has been some 
construction in the west, there has at the same time been a 
reduction of parallel mileage on the government units. Sub- 
stantial additions to equipment have lx-en made, most of 
them from domestic sources of supply and for the Canadian 
National, which had been shockingly short. In one wav 
and another, probably $100,000,000 has lx-en added to cap- 
ital on tlie government lines. In the labor field the horizon 
for the time being is clear, although the Canadian roads will 
1 by their urgent needs to follow suit in whatever 
may be done by the American roads In -hurt, the ve.i I 
will open with intense anxiety on the part of all the railways 
of the Dominion. 

A Typical Swiss Railway Station 

Saddle Mountain, Monterey, Mex 

Mexico Makes Progress in Railway Rehabilitation 

Traffic Arrangements with United States Lines Restored — Large 
Additions to Motive Power 

The progress towards rehabilitation which characterized 
1921 in the railway situation in Mexico approaches 
the remarkable. It is in sharp contrast with what took 
place on the railway lines of almost every other country. 
Suggestions that the railway situation in Mexico was show- 
ing considerable improvement were in evidence prior to the 
beginning of the year. The steps of 
real importance, insofar as concerns _^^__^^_^^ 
the relations between Mexico and the 
United States, took place in 1921. 

The beginning of the year was sig- 
nalized by the restoration, effective 
January 1, of the A. R. A. per diem 
rules and the resumption of inter- 
change with the United States carriers. 
For a period there was considerable 
congestion at the border points. In 
February, however, Francisco Perez, 
then director-general of the Mexican 
railways, arranged for the loan of a 
considerable number of locomotives. 
He secured ten from the St. Louis 
Southwestern, nine from the Illinois 
Central, eight from the Missouri, 
Kansas & Texas, three from the Gulf 
Coast Lines and a number from the 
International & Great Northern. He 
also similarly secured 200 tank cars. 
The Mexican motive power situation 
was bad. Mr. Perez said at the time that there were 581 loco- 
motives in service and 161 awaiting repairs. He also said 
that there were 13,262 cars in service as compared with 
22,000 before the revolution. The borrowed locomotives and 
others, leased or purchased, promptly enabled the Mexican 
lines to make a better attempt to move their traffic and the 
congestion was greatly relieved. 

Not satisfied with this alone, the National Railways 
shortly after placed sizeable orders for new locomotives. The 

PER DIEM and interchange 
relations with United 
States lines have been re- 
stored, and traffic congestion at 
the border. has been relieved. 

The National Railways of Mex- 
ico placed the largest orders for 
new locomotives in 1921 of any 
system in North America. They 
built 102 miles of new line. 

Officers of connecting roads in 
the United States express opti- 
mistic views regarding their rela- 
tions with Mexican lines. 

solidation and 22 narrow gage locomotives ordered from the 
Baldwin Locomotive Works and 20 heavy Consolidation and 
seven heavy Mikado locomotives ordered from the American 
Locomotive Company. The importance of the order is con- 
tained not only in the fact that it represented a restoration 
of Mexican purchases after a lapse of several years; it also 
represented the largest order for loco- 
___________ motives placed by any system in North 

America during 1920. 

W. M. Whitenton, assistant chief 
operating officer of the Missouri, Kan- 
sas & Texas, in an article in the Rail- 
way Age of January 7, 1920, entitled 
"The Present Railway Condition in 
Mexico," said, "As I view the situa- 
tion, the crying need of the Mexican 
railways is capital for the rehabilita- 
tion of the rolling stock and motive 
power and the expansion of facilities 
in order to take care of what must 
necessarily follow a stable government 
— an increased volume of traffic." Mr. 
Whitenton's statement points out the 
importance of the motive power situa- 
tion. The placing of the orders for 
nearly 150 new locomotives shows, 
therefore, the courage with which the 
matter has been approached. 

Another interesting factor during 
the year is shown in the construction of new lines. The 
National Railways of Mexico in 1921 built 102 miles of 
new line, as follows: From Llano Grande to El Salto, 
in the state of Durango, 24 miles; from Los Bancos 
to Cerro de la Cruz, also in Durango, 17 miles; 
from Zaragoza to Santo Tomas, in Coahuila, 32 miles, and 
from La Vibora to El Oro, also in Coahuila, 30 miles. 
There are also two lines under construction in Coahuila, 
from El Oro to Sierra Mojada, 9 miles, and from Santo 

orders for the year included 35 Mikado, 20 Pacific, 40 Con- Tomas to Villa Acufia, 28 miles. A line is projected and is 




Vol. 72, No. 1 

now being surveyed from El Salto to Mazatlan, 165 miles. 
One of the several unusual methods of operation developed 
to meet the conditions of revolution and its aftermath was a 
scheme whereby private companies contracted to move 
freight in their own trains. The rate was 50 per cent above 
ular rate and the contractors did a thriving business. 
With the restoration of the Mexican railway management, 
this idea was finally superseded by more ordinary methods 
of operation. 

Relations With U. S. Lines 

The Mexican railway situation is extremely interesting 
of itself. The American railway man will find even a more 
interesting aspect of the matter in the relationships between 
his own lines and the Mexican lines. With that idea in 
mind, the Railway Age has communicated with a number of 
the executives whose lines are handling Mexican business. 
It has re. lived replies from J. S. Pyeatt, president of the 
Gulf Coast Lines; Thorn well Lay, executive officer for the 
receiver of the International & Great Northern and from 
H. B. Titcomb, president of the Southern Pacific of Mexico. 
Their communications are given below. The impression con- 
vexed by them is most optimistic. 

"The congestion of freight, and limited passenger service, 
which resulted from the destruction and disabling of loco- 
motives and equipment during the revolution has now dis- 
appeared." says Mr. Pyeatt. He also says, "We operate 
through sleeping parlor and dining cars to Monterey, Tam- 
pico and Mexico City and the service, with few exceptions, 
is operated on schedule and I understand is quite satisfac- 
tory to the traveling public." 

re has been, since the early part of this year, a 
remarkable improvement in the operation of the National 
Railways of Mexico," says Mr. Fay. "They arc giving most 
expeditious movement now to all traffic which is delivered 
to them." Mr Fay comments, however, on the decreased 
volume of traffic. The International & Great Northern, he 
has for some time been operating through sleeping 
cars from San Antonio to the it] of Mexico One of his 
most interesting comments is a statement concerning the 
main line between Nuevo Laredo and the city of Mexico 
"The physical condition of this line," he says, "being as 
r_'ood as almost any road in the United St: 

Mr Titcomb's remark- relate to conditions in Mexico in 

al and outside of tin railway situation. He has some 

interesting comments on the possibility of constructing a line 

of railway from La Quemada to Tepic which has been in 

contemplation for some time. 

The letters follow: 

Observations On a Trip in Mexico 

By H. B. Titcomb 
President, Southern Pacific of Mexico 
We traveled over the National Railways of Mexico, from 
do, through Monterey and Victoria, to Tampico, 
i Montere) were ai tive, and tl 
lerable output of rail shipped from tin- plant 
\- i tmpii o there w ' it) and develop- 

on in the oil fields. True, this is not to 
but the bu- 
rr] nil Panuco river, mii b as dredgu 
dth and ten meters in depth, has been in con- 
inder the direi tion of tb- Mi ii in govern- 
iving faciliti 
iking it possible to increase and facilitate the expor- 
[ oil from this very rich field 

from decrease in 

| tl,,rr are mployed there, but 

nd foi the return 
in the very near future. 

The question of the export tax on oil as covered b) a decree 

of the government of June 7. 1921, has tended to retard 
development and exportation, but on every hand optimistic 
feeling was manifest that conditions would improve and 
thai some satisfactory arrangement would be made with 
reference to this situation. 

From Tampico to San Luis Potosi, and thence to Mexico 
City, was made without any particular incident. At San 
Luis Potosi, where the day was spent on inspection, I was 
impressed with the friendly feeling and respectful attitude 
of the Mexican citizens. This is really a beautiful city. 
The people seem to be contented even though not enjoying 
all the pleasures of this world. Merchants Are optimistic, 
even to tin small peddlars on the street, who were pleasant 
and happy. 

From Mexico City to Guadalajara and Grcndain. we 
traversed a very interesting part of the country. The state 
of Jalisco is particularly ricli in its grain products, catde 
and in the cultivation of the "maguey" plant, from which 
i- extracted the famous "tequila" wine. My mission to 
Mexico City was to establish cordial relations with the gov- 
ernment as representative of the large properties under my 
jurisdiction, and I am pleased to state that on every hand, 

I met a very pleasant reception. 1 was particularly im- 

d with the attitude of President Obregon, and his 
frankness in discussing the problems that confront him. 

I conveyed to President Obregon the wish of the Southern 
Pacini Railroad of Mexico to complete the long-deferred 
construction of the railroad from La Quemada to Tepic, a 
distance of about 100 miles, which would give Mexico City 
a complete rail connection from the west coast of Mexico, 
and to this end suggested that if it were possible for the gov- 
ernment of Mexico to recognize the claims of the railroad 
lany, which amount to approximately ^2. 500.000 pesos, 
either by bonds or other negotiable paper of the federal gov- 
ernment, the railroad company, in turn, w r ould spend the 
amount in the construction of the 100-mile gap and in the 
traction of its west coast properties, as fast as the 
government could liquidate these obligations. By these 
mean- the Republic of Mexico would be given a much needed 
rail transportation line, or it might be called transcontinental 
1 al the time liquidate its just obligation. 

I was highly gratified at the interest shown by President 
n in In- statemenl that the matter would be given 
careful consideration. He was careful to make no promises 
that he could not fulfill, which is a trait to be admired. The 
completion of this line from Tepic to La Quemada will open 
up a stretch of territory for development and for the market- 
ing of it< products, that is beyond the dream of the ordinary 

rhere are 11 main streams that CTOSS thi Sinaloa 

nid there are upward- of 3,000,000 acres of land 

susceptible of cultivation of the highest degree. On one 

of the large holdings in the -tate of X.narit. known as the 

II , ihla of Aguirre, are three textile mills and one sugar 

that has a large revenue yearly, even under the most 
primitive methods that are employed, and in spite of being 
separated from the tremendous market- of Mexico City and 
( ruadalajara. 

OH and the chamber of deputies are now 
wrestling with the subject of the agrarian laws, and it is 
confidently hoped that in the near future security of land 
titles will be perfected, which will invite thousand- of settlers 

and the investment of millions of dollars in development work 

on th. ' I ii o 

In all my travel through Mexico I met with mo-t . ourteous 
treatment and DO foreigner need fear of bravelil 

ion i- an hone-t one and lie goes there not 
to exploit the country, but to develop it. I was particularly 
impressed with the patriotism of the Mexican and the love for 
hi- . OUntry, whii h is admirable 

January 7, 1922 



Congestion Has Practically Disappeared 

By J. S. Pyeatt 
President, Gulf Coast Lints 

Concerning conditions on the National Railways of 
Mexico, it i- entirely fair to say that from a standpoint of 
service they are now quite satisfactory. 

The congestion of freight and the limited passenger service 
which resulted from the destruction and disabling of locomo- 
tives and .equipment during the revolution has practically 
disappeared. The Mexican railways now operate on their 
primary lines double daily passenger service, and sufficient 
freight service to transport without unusual delay all freight 
traffic offered. A considerable amount of new motive power 
.ii purchased and delivered t < > the National lines dur- 
ing the past six months, which enables them to meet at least 
in a fair degree the transportation needs of the country. The 
heavy reduction in traffic has also contributed to this result. 

The roadbed generally seems to be in good condition and 
disabled equipment, fit for further use, is rapidly being 
rehabilitated and put in service. 

The Gulf Coast Lines operate through sleeping, parlor and 
dining cars to Monterey, Tampico and Mexico City, and the 
service with few exceptions is operated on schedule and I 
understand is quite satisfactory to the traveling public. Our 
principal interchange is through Brownsville and Laredo; at 
the former place we make direct connection over Interna- 
tional Bridge, and at the latter through the Texas-Mexican 
Railway, a subsidiary of the National Railways of Mexico. 
Interchange relations have been entirely satisfactory. The 
National Railways comply strictly with the American Rail- 
way Association rules governing interchange, per diem, in- 
spection, etc., and have always met promptly all of their 
obligations so far as our company is concerned. 

Summing up, my opinion is that while we have no knowl- 
edge of the operating results of the National Railways, the 
service, both freight and passenger, is now ample to meet the 
normal requirements of the country and there are no unusual 
difficulties attending the use of the railways at the border by 
the public, or the interchange relations of the different roads 
forming junctions at the border. 

Remarkable Improvement in 

Operation of Mexican Lines 

By Thornwell Fay 
Executive Officer for Receiver, I. & G. N. 

There has been, since the early part of this year, a re- 
markable improvement in the operation, of the National 
Railways of Mexico. In the months of January and Febru- 
ary, 1921, there was quite an accumulation of freight at all 
Mexican border points, for Mexico, and the National Rail- 
ways were short of power. At this time a number of private 
concerns, which either owned or managed to rent locomotives, 
had arrangements with the National lines for operating trains 
over their lines. They were handling freight for the public 
at SO per cent above the regular rates, and for a while had 
all the business they could handle. The Mexican lines also 
rented a number of locomotives, principally from Texas rail- 
roads, and later placed a contract with locomotive builders 
for building new locomotives. With the assistance of this 
additional power the accumulation was gradually decreased 
and the operation of trains by private individuals was dis- 
continued about September 1, 1921. 

About this time also there was a marked decrease in the 
volume of traffic into Mexico, to a great extent in corn and 
other grain — the Mexican crops having been harvested. At 
the present time the Mexican roads are suffering from the 
decreased volume of traffic, the same as most of the railroads 

in the United States and particularly those in Texas, and 
they are giving most expeditious movement now to all traffic 
which is delivered them. My information is that they are 
making regularly from four to five days from Laredo to the 
City of Mexico on car load shipments. Many of their new 
locomotives have been received and the congestion everywhere 
has been cleared up some time since. 

The present management of the Mexican Lines is quite 
progressive. The lines are fast getting rid of the large 
number of American railroad cars that formerly went into 
the country. There is very little northbound traffic out of 
Mexico and unfortunately most of these cars come back to the 
American connections empty. The International & Great 
Northern for some time has been operating through sleepers 
from San Antonio to the City of Mexico, and return, and 
since October 15 a cafe dining car has been run on these 
through trains, which also goes through between San Antonio 
and the City of Mexico, making the trip exceedingly 

During a recent trip to the City of Mexico we noted, with 
great pleasure, the excellent physical condition of the track 
on the main line between Nuevo Laredo and the City of 
Mexico. The greater part of this line is laid with heavy rail 
and excellent stone ballast, and the physical condition of the 
line is as good as almost any road in the United States. The 
locomotive enginemen on the Mexican railroads seem to be 
exceedingly efficient and their handling of the air brakes 
was so skillfully done that never a jar or a jerk was experi- 
enced, in stopping or starting from stations or water tanks. 
This is quite a contrast to the experience on some of the 
American railroads. 

Our relationship with the Mexican National Lines and 
officials has been most cordial and agreeable. I feel sure 
that they are now in a position to handle promptly a largely 
increased volume of traffic. 

1 *#- "**<' 

A Triple Electric Weld in the Face of a Coupler and a 
Welded Coupler Shank 

Photo bv KeystoKi 

Station at Caracas, Venezuela 

yitre of Midland Rail- 

Review of English Railways During 1921 

A Year of Revolutionary Changes — Railway Act Becomes a Law 
and Roads Returned to Private Owners 

By Robert E. Thayer 


Tin vi.ak 1921 will stand long as a momentous year in 
English railway history, with its Railway Act; the 
return of the railway.-, after seven years, to private 
control; a serious coal strike, and an abnormal slump in 
traffic. All these things have contributed to complicate the 
railway problem in Great Britain and 
so wide-reaching are their effects thai 
is in a position to prognosticate 
the future. The situation is SO 
fundamentally novel that there is no 
ace upon which deductions can 
be based. This is particularly discon- 
certing to the British railway man who 

ii able to pi 
. ate with a fair degree of accuracy 
future railway conditions. During the 
'i years Great Britain's railway 
ments hav< been gradual and 
well preconceived lines so thai 
\ ith what might 
on m railway management and 
British railway men 
find th iced with a 


British railways h.i\ ■ not only 

the more or Ii 

probli ■ d upon thi ra by thi 

which of itself is a ==== ^^ = ^^ = 
undertaking, but they have 
pr.u ti< al problen 
d slump in traffii ind in extraordinary inci 
md the »hi] rably higher than what 

■ ■ ' 

the unfortunate revenue 

with the hi 

■ i whi< h 

rmit of 
gement, but it is well r it any 

■ mere 

NGLISH railways have 
been and are faced with 
the most serious and dif- 
ficult problems they have ever 
been called upon to solve. En- 
forced by law to unite themselves 
into four distinct groups, and at 
the same time called upon to face 
the most unprecedented financial 
situation, with abnormal trade 
conditions, high wages and rates 
that must be reduced, their prob- 
lems are stupendous. Old estab- 
lished English railway methods 
are destined to receive harsh and 
revolutionary treatment. 

drop in the bucket of the economj necessary to put the Eng- 
lish railways on a sound financial basis. 

The abnormal decrease in traffic which has and will upset 
the best calculation- is, of course, the direct result of the 
economic conditions of the country and Europe. It is patent 
thai railway prosperity depends upon 
^^___^^^_ the prosperity of the nation's Indus- 
trie- I he reason for Great Britain's 
industries being in such bad shape is 
attributable to two factors: the high 
cost of production and the disparity in 
dues between England and the 
other manufacturing countries 

Britain is an exporting nation. 
It only live by the trade it carries 
on with other countries. Eui 

Britain's best customer, but Eu- 
rope cannol afford to purchase British 
goods. Furthermore with thi greatly 
I value of the currency in the 
Continental countries, those eiHintries 
ran produce cheaper to themselves than 
can England. Furthermore, the Con- 
tinental countries are in a |<o*ition, 
and have for the past two years, to 
undersell Great Britain in practically 
^— - — — ^^^^— ill foreign tradi These countries 
me out of the war in much 
condition than Great Britain to the 
extent, poverty having become so keen, thai the laboring 
are working For lower real wages (when t. 
d value Of the currency is taken into account) than 
they did before the wai ide conditions therefore 

will h ■• deal to do in the nexl five yean with the 

rity of the British railways, and the prospec ts as they 
appear today are poor 

111' t the railways as required by the RaQway 

Vet involves of itself a heavy t.i<k for the British railway 

'i such a gi le is wholly 

railway policy, not because the British 

railways did not desire railway amalgamation, but bt 

the people of the nation would not permit it While there 

January 7, 1922 



may be railway systems in the United States which will ap- 
proach in magnitude the size of the groups outlined by the 
Railway Bill, it must be remembered that these American 
problems have been developed gradually over a period of 
years and along economic lines. The English grouping on 
the other hand may be called a "paper amalgamation'' based 
more upon theoretical and geographical lines than on prac- 
tical and economic lines. Thus the British railways arc- 
called upon to perform overnight, as it were, what the United 
States has done over a period of years. 

Furthermore, the managerial policy adopted by the British 
railways in the past does not lend itself to the management 
of a large group of railways. Thus almost an entirely new 
i of management must be installed to give, as Sir Henry 
\Y. Thornton expresses it, ''a centralization of policy and a 
decentralization of detail." That the British railways will 
measure up to the task there is no question of a doubt, for 
there is yet to be recorded an economic problem which the 
good sense of the British nation, taken as a whole, has not 

It is thus apparent that the British railway situation is by 
no means a simple one. It will demand the best railway 
talent in Great Britain to solve it and the most searching 
inquiry into all phases of railway operation. Being blessed 
with a very low wage scale up until the war and being cursed 
by the lethargic tendencies of the seven years government 
control, the problem of making good under a 200 per cent 
increase in wages without being able to absorb that increase 
by an increase of rates, it is evident that the problem becomes 
a stupendous one. 

The Financial Situation 

Strange as it may seem, it is impossible to say definitely 
just what the financial situation of the railways is at the 
present time. In fact, the railways hardly know themselves. 
Being handed back to their private owners on August 16, 
last, there has been no opportunity of casting up figures to 
give any definite idea of the exact situation. During the 
seven years of government control a different system of ac- 
counting and of keeping records was installed than that which 
the railways generally followed. On the return to the owners 
the government's method was more or less scrapped and the 
old method followed by the railway companies before the 
war was replaced. This primarily accounts for the fact that 
sufficient information is not available at present to get a 
proper idea of the situation. 

An indication of the situation, however, may be found in 
the fact that the British government found itself at the close 
of its operations last August with a deficit of $250,000,000, 
even though it was anticipated that the increase in rates put 
into effect the latter part of 1919 and at -the beginning of 
1920 would allow the government to break even. The reason 
these plans did not materialize is attributable to the serious 
coal strike in the Spring of the past year, with the accom- 
panying increase in railway expenses, and with the great de- 
crease in business. It will be remembered that these increases 
in rates amounted to 75 per cent in passenger fares and about 
112 per cent in freight rates. 

In 1913 the operating ratio was 64 per cent. In 1919 it 
rose to 94 per cent, in 1920 to 98 per cent; between 1913 and 
1920 there was an increase of 97 per cent in the receipts 
accompanied by an increase of 200 per cent in expenses. 
What the position is today it is not possible to say, but the 
railway companies are looking forward with great anticipa- 
tion to the $125,000,000 due them from the government on 
Tanuary 1, 1922, in accordance with the provisions of the 
Railway Act, to carry them over any difficulties in which 
thev may find themselves. 

While this $125,000,000 will be available for dividends, 
Sir George Paish, in discussing the "Future of the British 
Railways" before a recent meeting of the Institute of Trans- 

port, has cautioned the railways to think wisely before they 
part with this amount for dividend purposes. Sir George 
foresees difficult times ahead and recommends the utmost 
conservatism in order to forestall receiverships and loss of 
confidence in railway securities. 

An indication of the degree of confidence the investing 
public now has in railway securities is indicated by Table 1, 
which compares the high stock values of 1913 with those 
obtaining on December 6, 1920, and December 13, 1921. 
I"abi [—Con \ alves 

Tliqh, December 6, December 13, 

1913 1920 1921 


Ordinary stc-.l; 79'A 36!/- 29'A 

Preferred converted 28JS 24M 

Glasgrw & South Western 

Deferred ordinary 44'/; 2iyi \SH 

< treat Central : 

Deferred ordinary 17J2 S l A 4 

Preferred ,-rdinary 39*3 lOVJ! 8 

Great Eastern 6ly- 30 27# 

Great Northern: 

Deferred 28*} 23J4 

Preferred 44J-4 4154 

Great Western I19M 744),' 70'A 

Lancashire & Yorkshire 'M' 53 4934 

London. Brighton & South Coasl 

Deferred ordinary 95 44'/ 38Vi 

London & North Western U6V, TS'A 69fj 

I ondon & South Western 39% 2044 18J4 


Deferred 77 ', 4S 4354 

Preferred 603 33 34^ 

North British 12% 13 9'i 

North Eastern 124 78/ 2 71 ? s 

It will be seen that there has been quite an appreciable 
decrease during the past year and a most decided decrease 
over the 1913 values. 

Under the present circumstances the railways obviously 
would encounter difficulties if they went into the open market 
for funds for capital expenditures. As a matter of fact, 
while there are a number of opportunities for capital ex- 
penditures, particularly for electrification purposes, there is 
the tendency not to enter upon any such work until the group- 
ing scheme has materialized. It is quite apparent that such 
a procedure would complicate the financial arrangements that 
must necessarily be made in forming groups and until they 
are formed there is not much liability of heavy new con- 
struction being undertaken. The largest project under con- 
sideration at present is the extension of the electrification of 
the London, Brighton & South Coast which will involve 
further electrification of the suburban lines around London 
and the electrifying of the line to Brighton. Detailed plans 
have been evolved but the manner in which this work is to 
be financed has not yet been decided. 

The Ministry of Transport 

The Ministry of Transport, having performed the par- 
ticular function for which it was formed, namely, providing a 
solution of the British railway problem, is now more or 
less in the process of disintegration. Sir Eric Geddes re- 
signed as Minister shortly after the roads were turned back 
to the private owners and is now chairman of a governmental 
committee known as the "super-axe" committee, which has 
been formed for the purpose of scrutinizing all government 
expenditures with the idea of eliminating those which can be 
dispensed with. There is now no Minister of Transport and 
the chief work of that department which will extend over a 
period of two or three years is the settling of the many claims 
arising from the government's control of the railways. While 
no definite governmental action has been taken as regards the 
Ministry of Transport it is anticipated that its functions will 
be absorbed by the Board of Trade and the Railway and 
Canal Commission. It is interesting to note in this connec- 
tion the strong plea of labor for its continuance. 

The outstanding work of the Mintstry is, of course, the 
draft of a Railway Act and pushing it through Parliament. 
Sir Eric Geddes is deserving of considerable credit for his 
work, for he had to contend with much opposition Whether 


Vol. 72, No. 1 

or not his work has been for the best remains to be seen. 
There wire only two radical changes in the bill as it was 
presented to Parliament. These were in the rearrangement 
of the groups, whereby the Scottish railways instead of acting 
as an individual group were linked up with two English 
groups to form thi v th I istera, Eastern & East Scottish 
group and the North Western. Midland & West Scottish 
group, and the elimination of the representatives of labor on 
ird of Directors of the groups. These changes came 
about by agreement between the railways themselves in the 
first case and between the railways and labor in the second 
case and against the government's own judgment. 

Labor argued that representation on the Board of Directors 
as outlined by the proposed law would be a mere farce and of 
no material benefit to the men. This change was made in 
the Act at the eleventh hour previous to which labor threat- 
ened dire results were their representation on the boards to 
be eliminated from the law. The real truth of the matter is 
that labor used this as a club over the railways to obtain 
further concessions as regards wages and working conditions. 

Of the various important committees established during Sir 
Eric's administration only one lias presented an official re- 
port. That is the Advisory Committee on the Electrification 
of Railways. This committee has established certain general 
regulations to be observed by the railway companies when 
electrifying their lines with a view towards standardization 
of methods and appliances. It advocates the direct-current 
system at 1,500 volts for those railways which have not as 
vet electrified any lines, as well as those which are using the 
direct-current system at present. Either overhead or third- 
rail system of power collection is permitted. Three-phase 
alternating-current is recommended for the power generating 
units at 50 cycles, except where other frequencies are used in 
a particular electrification district. A special ruling was 
made in the case of the London, Brighton & South Coast, 
which uses single-phase alternating-current, giving that road 
the privilege of using that system in the extension of its elec- 
trified lines. 

Nn report has been rendered in the matter of standardiza- 
tion or automatic train control, nor is there any prospect of 
such reports being forthcoming. As regards standardiza- 
tion it is argued that by grouping the roads as outlined in the 
indardization will automatically take care of itself, 
particularly in the groups themselves. 

I Advisory Committee which has been working on 

.lion of traffic items is still in the midst of its 
work and the task is of such gnat proportions that a report 
ted in the near future. 

\- hasheen previously pointed out, the grouping proposed 
by tin' Minister of Transport and made into law is the most 
radical feature in tin- Kill. Executives of the railways are 
now carefully i onsidering the problem with a view of organiz- 
ing tli- ithin tlie time specified by the law, n 

During the past year one large step has 

in this direction in tli lion of the 

n & North Western with the Lancashire & Yorkshire, 

In previous 

; joint 


manuf ither and th 

i with 


mpetition would i 

Rna1 formation of the groups, the 

Eastern Group has entered upon an advertising campaign, 
both I >>- bill posters distributed over the country and by 
circular matter, calling attention to the facilities offered the 
shippers bj that particular group. This is indicative per- 
il, ips of the competition that will still obtain as regards 
through business, even after the groups have been formed. 

Rates and Wages 

Never before were rates and wages so much discussed on 
tin British railways. The railways cannot get business 
under the present rates and they cannot pay wages without 
the present rate.-. Unfortunately the railways are bound by 
an A't of Parliament to maintain wages according to the 
schedule. There appears, however, to be a very conciliatory 
spirit on the part of the labor unions in this matter. Already 
■hi tion of $1,625,000 per week has resulted from the 
maximum wage in the conciliatory grades on account of the 
sliding scale which operates with the rise or fall in the cost 
of living. In 1913 railway wages amounted to S3 ,862, 500 
per week. The maximum since that time was $13,502,250 
per week, or an increase of 250 per cent. At present the 
wage bill is SI 1.877,250 per week, or slightly over 200 per 
if the prewar wage. The railway shopmen who come 
outside of what is known as the conciliatory grades are being 
reduced 12JX per cent, which was a government grant given 
them during the war to last until the termination of the war. 
A more detailed account of the manner in which wages have 
fluctuated is indicated in Table II for men other than those 
in shops, and Table III for the shop men. 

Table M -War Ronus (Now Was v 

Amount granted* 
operative (per week) Total 

February. 1915 50c or 75c war Itonus 50c or 75c war bonus 

i , 191 5.. 75c or 50c war bonus $1.25 war bonus 

September, 1916 $1.25 war bonus 2.50 war bonus 

April, 1917 1.2S war bonus 3.75 war bonus 

August. 1917 War bonus converted into war Trages 

November, 1917 $1.50 war wages : war wages 

April. 1^18 1.00 war wages 6.25 war wares 

I'M? 1.25 war wages 7.50 war waces 

November, 1918 .75 war wages 8.25 war < 

March. 1920 Wages and war wages were consolidated and the 

•hiding scale agreement was put into effect. 
$1.25 (war wages not 

included in agree- $9.50 war wages 


April 1. 1920 increase of $0.25 9.7S 

April 12, 1920 Increase of .50 

tune 14, 1920 . National Wages Hoard award gave increases 

ranging fr m: 
J0.5I $10." 

tuiv l. 1920 ir. 

October 1. lo?0 increase ol I1.7S to '■ ' 

January 1. 1921... . !"■ 

April I. 1021 Decrease of l.oo 11.00 

July 1, 1921 Decrease 075 ,„ 1: 

■25 cents is taken .1- the equivalent of one shilling 

Table III Waci 1ncrfa«f to Adult Siiorwrs I dill Wokkkhs) 

nt granted* 
operalive (per weeV.1 1'. 

11 bonus 
lulv, I91S : I 50 or 

icase in wages $1 « 

I bonus 

If bonus 
led to make- I 

i ■' H.25 wai 

'- <H% 



■ - 

hour da) has been one of the most unreasonable 

and unjustifj a working conditions ob- 

. >ti account of the war; particularly is this so in the 

outlying or branch line districts There appears some hope 

January 7, 1922 



that a more rational view will be taken of this matter by the 
railwaymen themselves. In fact the number of men who 
have been discharged from some of the railways, which 
varies from 15 to 20 per cent, in an endeavor to cut down the 
wage bill has shown the men the impossibility of their 

As has been previously pointed out in these columns, the 
machinery for handling all labor questions has been set up 
in the railway act and provides for a Central Wages Board 
with a National Wages Board as a last resort. 

The railway labor unions have been particularly hard hit 
this past year. It is estimated that the National Union of 
Railwaymen will pay out approximately $3,500,000 on un- 
employment alone during 1921. Furthermore, now that a 
law has been obtained for the handling of labor difficulties 
there is a strong disposition on the part of the men to allow 
their membership in the unions to lapse to the extent that it 
bids fair to embarass them to a considerable degree. 

The rates problem is now under consideration, conferences 
having but just begun. The shippers are insisting upon a 
reduction in order that they may do business. Assistance has 
already been given in the matter of raw materials for the 
manufacture of steel in a 25 per cent decrease on iron ore, 
limestone and ironstone. The coal operators are now after a 
reduction. That they need one is without question, for coal, 
the basic commodity of Great Britain, is being sold at prices 
which are altogether too high. The railways themselves are 
paying 100 per cent over prewar prices. It was anticipated 
that by the time the railways were turned back to the private 

compensation) as against an expenditure of $1,224,000,000, 
which gives an operating ratio of 98.8 per cent. The govern- 
ment compensation amounted to $213,000,000. During 1920 
important increases were made in rates and fares. The 
freight rates were increased by about 50 per cent on January 
15, 1920, and again on September 1, 1920, bringing the 
average up to about 112 per cent over prewar rates. Pas- 
senger fares were increased on August 6, 1920, by 16^$ per 
cent, making an increase of 75 per cent over prewar rates. 
Season ticket rates were also advanced to 50 per cent above 
prewar level and for workmen's fares a mileage scale was 
adopted on September 1, 1920, with a maximum increase of 
200 per cent, or 50 cents a week, whichever was less. Dur- 
ing this time a high level of prices and wages prevailed 
throughout the country and the coal strike, during the autumn 
of 1920, together with the great depression in trade, have 
affected the results. 

The total engine mileage of all railways in Great Britain 
in 1920 was 575,576,239 miles, or an increase of 8.03 per 
cent over that of the year 1919. Train mileage was 378,- 
070,430, as against 348,911,830 in the year 1919. The 
average receipts per train-mile from passenger train traffic 
fell from $2.55 to $2.40, but from freight train traffic thev 
rose from $2.48 to $4.20. 

The number of first-class passengers carried during the 
year 1920 was 37,675,085, or 15.62 per cent less than the 
previous year, but the average receipt per first-class passenger 
rose from 97 cents to $1.09. There were 1,096,585,156 third- 
class passengers carried, or an increase of 1.21 per cent over 

Sept. 12 Oct. 10 Nov. 7 Dec. 5 

Net ton-miles-revenue freight f 19 , n 
(millions) j ]Q ,, 

Average length of haul (miles), f 1°20 

Gross freight train receipts per I J';' 

ton-mile (cents)* j {*|j J 

Gross freight train receipts per 
ton-mile less cost of. collec- 
tion and delivery (cents)... ( 1920 
) 1921 

Average train load (tons) 1 t92j 

Net ton-miles per engine-hour., f 1920 

) 1921 
Percentage loaded car miles... \ 1920 

) 1921 
Average freight car lrad (tons) I 1920 

1 1921 

Cars per train ( 1920 

Average time per day cars in ) 19^1 
transit (hours) (1920 

) 1921 

*1 Cent ~ V 2 pence. 



57. S8 


134. 45 












1.412 1.264 

" 55.73 "55.02 


' 395.37 


57 58 




131 50 






5 40 


























424 84 



68 45 




























103. 6S 



















































owners it would be possible to reduce the rates which were 
put into effect by the Ministry of Transport in an endeavor 
to wipe out the deficit, but as has been already stated the 
economic conditions and the coal strike made it impossible 
to accomplish this end. 

Railway Statistics 

The Ministry is to continue to compile the statistics in 
accordance with past practices. Table IV gives the twelve 
months from September, 1920, to September, 1921, the sta- 
tistics for the current year being compared with 1920. The 
serious effect of the coal strike on railway traffic is clearly 
shown. Likewise the effect of the increased freight rates is 
shown in the receipts per ton-mile. Otherwise there is but 
little variation in the figures. 

In addition to these monthly records the Ministry of 
Transport publishes yearly statistics, those for the year 1920 
having recently been issued. These show gross receipts for 
Great Britain of $1,240,000,000 (without the government 

the year 1919, and the receipt per passenger was 30 cents as- 
against 27.4 cents for the year 1919. In second-class pas- 
sengers there was an increase of 6.90 per cent over the pre- 
vious year. For all ordinary passenger journeys the average 
receipt increased from 30.22 cents to 32.74 cents. 

Total tonnage carried was 323,971,117, or an increase 
of 4.21 per cent as compared with 1919. In coal, coke and 
patent fuel there was an increase of .65 per cent, and in 
other minerals an increase of 20.81 per cent. The total re- 
ceipts per ton for all railways were $1.89 as against $1.05 in 

Motor-Lorry Competition 

In certain districts, particularly in the Midlands around 
Manchester, motor lorry competition has cut into railway 
earnings to some extent, although there is not much anxiety 
on the part of the railways as a whole on this account. In 
an endeavor to forestall any undue losses in this respect an 
attempt was made on the part of the railways to incorporate 


Vol. 72, No. 1 

in the Railway Act a section giving the railways power to 
operate and maintain motor transport in connection with the 
railway services. Owing to the opposition of the operators 
of motor transport lines, and to a certain extent shippers 
themselves, this was not allowed, the chief argument being 
that it would give the railways an undue monopoly of trans- 
nil perhaps entirely kill future development in road 

There are a few railway companies, however, which under 
previous Acts of Parliament are given authority to carry 
goods by motor lorry. Motor lorries can handle small parcels 
cheaper than the railways and they have a certain financial 
advantage over railways in that they are not subjected to the 
heavy property tax the railways have to pay. The whole 
problem of motor transport, however, is more or less in an 
embryotic state, for it has not been given the trial of years to 
determine whether or not it can be maintained as a paying 
proposition. After the war a large number of motor lorries 
used in connection with war transport were thrown on the 
market and purchased at a low figure. With the capital ex- 
- thus small to start with, it has been possible to show 
satisfactory results, but whether or not this will continue is 
a question. 

The motor char-a-banc for the conveyance of passengers, 
has during the past summer season proved remunerative. But 
there the conditions had a lot to do with it. England has 
never experienced such a stretch of settled and fair weather 
for 30 or 40 years. This gave the motor char-a-banc a won- 
derful opportunity of doing business. Furthermore, the 
novelty of this means of transport did much to swell the re- 
ceipts. Except in long distance runs, such as from London 
to various seaside resorts, the motor char-a-banc should prove 
I rather than a liability to the railways for a large 
number of these services have sprung up in the pleasure 
resorts and have done much to attract visitors; to some extent 
the railways have benefited 

It is impossible to state definitely, due to the newness of 

this means of transport, as to just how much it will cut into 

the railways' business. The extraordinary growth of road 

transport for both freight and passengers has. however, been 

entry large to cause some anxiety. 

Railway Excursions 

ips the most outstanding feature from the public's 

v of the return of the railways to the private 

the large increase in the number of railway 

excursions offered by the railways to attract traffic. Day 
ex< ursions at the rate of a single fare for the double journey 
and cheap period excursions at the rate of a single fare and a 
third for the double journey were introduced in August. The 
general public lias shown great appreciation of these facilities. 
Opportunities were given to travel to all holiday resorts and 
even the continent. The railways have been quick to take 
advantage at any occasion to give special excursion attractions 
such as football games, midsummer sales in the London 
stores, horse races, etc. The latest excursion is being offered 
to Irishmen in England desiring to go to Dublin to celebrate 
the settlement of the Irish question. 

The Coal Strike 

The three-months coal strike was a severe blow to the rail- 
but coming as it did before the roads were passed 
back to their private owners, the government was called 
upon to stand the heavy financial losses it entailed. The 
railway? themselves, however, were not wholly freed from its 
disastrous results for it so crippled England's trade as to 
have made itself felt even up to the present time. The situ- 
ation was such that coal had to be imported into Great 
Britain from France and even from America for the opera- 
tion of train- 
Passenger traffic was greatly reduced much to the dis- 
comfort of travelers; of freight traffic there was practically 
none, for the strike was so all-inclusive in its effects that 
industries could not operate. One interesting development 
was tin rapiil and extended use of oil fired furnaces both on 
locomotives and in stationary plants. 

Durinsz the strike the threat to call a general strike, includ- 
ing the railwavmen and transport workers, provided a very 
delicate and dangerous situation, and it was only the un- 
reasonableness of the miners themselves that prevented such 
a possibility. The action of the railway workers at that 
time in refusing to join with the miners when the miners 
refused to meet the government halfway indicated an awak- 
ening of labor in general to the futility- of maintaining a 
high-handed policy in endeavoring to extract from the nation 
that which economic conditions would not allow. If the 
more conciliatory spirit that has recently shown itself 
amongst the laboring classes is at all due to the lesson 
learned during the coal strike some benefit lias resulted from 
it. It at am rate proved that unionism, no matter how 
strong it may be. eatinot hope to win against economic 

Great Northern Railway ( England) Three-CylinHer L 

-t Freight Service 

A P'iaduct ik Southern France Made Necessary by Sharp Curve — Photo by Kadel & Herbert 

High Lights in the French Railway Situation 

Devastated Lines Restored — Deficits Still Heavy But 
Decreasing — New Railway Act 

By M. Peschaud 
Secretary, Paris-Orleans, Paris, France 

There are, in round figure, about 24,855 miles of 
French railroads, divided into seven railway systems. 
Five of these railways (Paris-Orleans; Paris, Lyon & 
Mediterranean; Nord; Est, and Midi) are conceded to pri- 
vate companies by the state, which remains the owner. 
These concessions expire between 1950 

and 1960. The two other railways ■ 

arc the State Railway, founded in 
1878 and enlarged in 1908 by the re- 
purchase of the Ouest Company, and, 
since the end of the war, the Alsace- 
Lorraine railways, which are also 
•operated by the state. The new con- 
vention for the reorganization of the 
railways, which was passed by parlia- 
ment on October 29, 1921, provides 
that the Minister of Public Works 
may, at any time, decide that the 
Alsace-Lorraine railway shall join the 
joint organization. 


Physical Condition 

The war imposed a considerable 
strain upon the French railways. The 
wear and tear of the permanent way 

and equipment was considerable, and above all there had to be 
taken into account the havoc caused by the Germans on the 
Nord and Est railways. There were 1,802 miles of line 
destroyed or damaged, besides 3,480 miles of single line 
(namely a third of the total length worked by these two rail- 
ways in 1913); also 1,510 bridges, 12 tunnels, 590 buildings 
and 150 water tanks were demolished. The shops at Hel- 
lemmes, Lens, Tergnier, Epernay, Roye, Mohon and all the 
engine houses in the zone of occupation had to be rebuilt. 
At present everything is restored and working as it did in 

are fast returning to nor- 
malcy. Their deficits are 
still large and wages high but with 
the new railway act in force and 
a modification of the eight-hour 
day it is anticipated a great im- 
provement will be made in 1922. 
Wages are to be reduced with a 
reduction in the cost of living. 
The state under the new law will 
assist the railways with capital. 

The other railways did not have such a heavy task in 
repairing their plants. They were obliged, nevertheless, to 
re-lay about 746 miles of track which had been taken up 
during the war so that the rails could be used at the front. 
It was necessary also to renovate the tracks whose upkeep 
had been neglected on account of 
_^^__^^_^ the war, renew the ballast, ties 
and rails. This work is now, at 
the end of the year 1921, almost com- 
plete. At the same time the railways 
have carried out certain improvements 
which experience has proved to be 
valuable. The dispatching system has 
been adopted in various places. In 
addition trials of new signal systems 
are being actively conducted. 

The reconstruction of the rolling 
stock, which has been very rapid, is 
also nearly completed. As a result of 
purchases, and also delivery of equip- 
ment which the terms of the armistice 
required from Germany, the railways 
. possess about 1,000 more locomotives 
than before the war (an average in- 
crease of 6 per cent). They have also 
an addition of 50,000 freight cars (an average increase of 
15 per cent). A great effort was made to repair the equip- 
ment. The railways went chiefly to private firms for their 
supplies, and in spite of the strikes of 1920 and the strict 
application of the eight-hour act, the situation can be re- 
garded as fairly satisfactory. 

For example, one of the principal French railways re- 
paired, during the period from November 1, 1918, to June 
30, 1921, both in its own workshops and those of private 
firms, 2,720 passenger cars and 863 baggage cars, and, in 
its own repair shops alone, nearly 200 passenger cars and 




Vol. 72, No. 1 

177 baggage er 200,000 freight cars have been re- 


As for the locomotives, the percentage laid aside for 
repairs, which was IS. 4 per cent on this line on Decem- 
ber 1, 1918, is now 16.6. (It was 13.5 in 1913.) 

The situation is thus normal again on almost all the 
French railways as regards freight cars: and will soon be 
so as regards passenger cars. If the locomotive situation 
is not quite so good, the reason is that private firms were 
not able to give the same help in this respect as in the case 
of the cars: also because the eight-hour act necessitated an 
increase of about 17 per cent in the number of locomotives. 
The locomotive situation is expected to become normal again 
by the end of 1922. 


Transport of Passengers. On tin- 1'. L. M., P. O. and 
Midi, the passenger train miles have increased from 87,611 
miles in 1918 to 146.648 in 1921, being an increase of 67 
per cent. At present they are 70 per cent of the pre-war runs. 
The trains are running regularly again, although the ex- 
presses, being fewer, are heavier than before the war. Mis- 
haps en route have decreased in the following proportions: 

Average per 
Breakdowns Loss of time Total 100,000 miles 

July, 1913 29 138 164 4.45 

Oct.. 1918 72 289 361 13.60 

May. 1921 19 48 67 2.48 

The situation is therefore even better than in 1°13. The 
same can be said as to train delays. In the matter of speed, 
it has not yet been possible to return to the pre-war standard, 
owing to inexperience on the part of the new staff, the bad 
quality of fuel and the condition of the tracks. But there 
has l>een an improvement over 1918, as the following ex- 
amples show : 

Pre-war At the armistice In 1921 

Paris-Bordeaux 8 hr. 35 min. 9 hr. 41 min. 9 hr. 3 min. 

Paris-Nantes 6 hr. 7 min. 7 hr. min. 6 hr. 58 min. 

Paris-Montlucon 5 hr. 34 min. 6 hr. 55 min. 5 hr. 45 min. 

It should be noted that these improvements have been 
attained in spite of tin- considerable increase in the number 
of passengers carried. On the five private lims this num- 
ber rose, in spite of increased fares, from 334 million in 
1919, to 380 million in 1920. 

Frrioht Traffic. — The freight traffic has been normal 
again for a year, in spite of the terrible transport 
which oppn - intrv so heavily in 191') and the 

If of 1920. All restrictions on freight, the system of 
priorities in particular, have completely disappeared, and 
the railways now accept all freight. 

daily car si [n < equi n< e, tin- 

daily average car increased. On all the 

i i! iv. n hed 

in November, 1920. It would be higher at present 

if the amount of traffic had nol dei trade 

condition-. The number of freight train- in use is near 

the pre-war figure. < >n one of the principal railway-, for 

trains, moreover, 

nm longer distances than in 1913 and draw mi 

which shows that I lock is being more extensively 

■ one railway, the daily mile- 

the tonnage 

• 1 7 millions before the 

i very 
ul i r l \ and ensur 

ind fish, in 

i I \l 


lulv, ' '• ived 

|91 - 

Electrification of New Lines 

1 'he problem of the electrification of the railways has 
been under consideration for a long time. The fuel crisis, 
resulting from the war. has hastened its consideration. The 
mo-t extensive electrification program which has ever been 
prepared has been drawn up by the companies who were 
most favorably placed for using "white coaL" It applies 
to about 5,592 miles of lines, distributed as follows: Orleans 
2,082, Midi 1,988, and P. L. M. 1.429. The cost of equip- 
ment will be nver 5500,000,000 at the normal rate of ex- 
change. It will allow the traffic to be increased, and effect 
a saving of 1,500,000 tons of coal per year, compared with 
the 1913 traffic. 

The Orleans Company, by a decree of March 11, 1921, 
iven permission to use the Haute-Dordogne and its two 
tributaries for water power. According to the terms of 
former agreements, the state is responsible for the hydraulic 
section and the company for the electrical section. More- 
over, the company has drawn up a scheme by which it will 
lie able to obtain on favorable terms electric power on the 
Patis-Orleans and Chateauroux line, and later, as far as 
Montauban. The company has already given orders for a 
large part of this program to \te put into execution. Nor- 
mally electrification as far as Orleans will be completed 
in about five years. 

As regards the Midi Company, the work which was com- 
menced in 1920 is proceeding quickly. If the times stated 
for the execution of the work and the supply of equipment 
are adhered to, electric traction between Toulouse and Dax 
will commence at the end of 1 022. 

Thi P. L, M. will commence soon carrying out its program 
with the Culoz-Modane line and the Cevennes line. 

The Stale Railway is continuing the electrification of the 
suburban lines west of Paris. The work has been put in 
hand and there is reason to expect that by 1923 the whole 
of this suburb will be served by electric lines. 

New Construction 
The following new ordinary lines are in course of con- 

On the Midi: the trans- Pyrenees lines. 

On the P.L.M.: the lines from Nice to the Italian frontier hy Sospel (J9 

On the Est: the line from Saint-Die t>- Saalcs. 

latter is designed to give better connections between 
the Est railway and the Alsace-Lorraine railway. It is 
being carried out by the Est Company on behalf of the state. 
Pari of the line will probably be open to traffic at the be- 
ginning of 1°22. 

Art tion I of the new Agreement, ratified by 

that a line not yet conceded cannot be 

icted without the permission fi the Higher Railway 

il. The railways undertake to accept any concessions 

which may be mule to them, beyond the maximum already 

fixed by previous agreements, up to the amount of: 

n the case of the St.itr raiH 
miles in the US 

I he exact amount is to be fixed by the Minister of Public 
Work- ment with the railway concerned Bi 

, ept in the . 1 agreements, the state will bear 80 

constructing new line- and the rail- 

IhT . etlt 

The Deficit in Round Figures 

lb, disa ' of the war on railway finano 

-till !. \ ■ rtheless the situation ha- improved 

since last vear and thi the result of the 1Q21 

January 7, 1922 



statement of account, compared with the 1920 statement, is 

If the deficits on branch lines and capital charges are 
taken into account, the running of the lines in 1920 showed 
a total deficit of $601,400,000," distributed as follows: 

lit of running Capital charges Total deficit 

Private companies $263,420,000 $183,780,000 $-(47,200,000 

Stale railway 119,080.000 35,220,000 154,300,000 

General total $382,500,000 $219,000,000 $601,500,000 

The exceptional war time indemnities were not included 
in this figure, nor the bonuses for dependents paid by the 
state in accordance with the Act of January 10, 1919. If 
these expenses are taken into account, the 1920 deficit 
should be fixed at $706,000,000. 

The deficits expected in the 1921 statement of account 
are much less. They are valued, per railway, at the follow- 
ing amounts: 

.Vord $56,000.1)1X1 

Est 35,000,000 

I 1 . L. M 58,200,001) 

P. O 70,000,0011 

Midi 46.200,000 

State 102.800,000 

Total $368,200,000 

In order to arrive at the exact situation of the railways, 
the amount of the cost of living allowances, namely, $64,- 
800,000 should be added to this figure. The exceptional 
allowances for dependents were paid in 1921 by the com- 
panies and are included in the $368,200,000. There will, 
therefore, be a very definite reduction of the deficit com- 
pared with the preceding statement of account. 

The approximate deficit for 1922 should be $230,400,000, 
not including the allowances for cost of living which it has 
not yet been decided to continue. 

Increases of Rates 

The rates have not been increased since last year, and the 
railways have remained satisfied with the two increases of 
1918 and 1920. 

On March 31, 1918, the passenger and freight rates were 
raised 25 per cent. This increase was soon found to be 
quite inadequate because of the continual rise in the cost of 
wages and of raw materials. Therefore the government, in 
agreement with the companies, brought in a bill on Decem- 
ber 23, 1919, to authorize a further increase. This Act 

which came into force on February 15, tioned 

an increase which was to be added to the 25 per cent in- 
crease, without, however, affecting the latter. This increase 
was 45 per cent for the third class passengers, 50 per cent 
for second class passengers, 55 pier cent for first class pas- 
sengers, and 115 per cent for freight. Since then there has 
, been no alteration in the rates, so that at the present time 
the increases above pre-war prices are in round figures: 

140 per cent for freight (to an average maximum of 180 per cent if the 
unification of the rates resulting from the abolition of special rates is taken 
into account). 

80 per cent fcr first class passengers. 
75 per cent for second class passengers. 
70 per cent for third class passengers. 

There are reduced fares for large familites, disabled 
soldiers and parents of soldiers who have been killed in 
defending their country. Families in which there are three 
or more children under 18, receive on a request from the 
head of the family, a strictly personal untransferable iden- 
tity card for the father, mother and each child under 18, 
which entitles them to the following reduction of fares: 

30 per cent for families of 3 children 
40 per cent for families of 4 children 
50 per cent for families of 5 children 
60 per cent for families of 6 children 
70 per cent for families of 7 children and upwards. 

The companies and the State railway grant a second class 
pass to the widows, ancestors and descendants of the first 
and second degree, or in default of these, the brother or 
sister of a soldier who has died for his country, allowing 
them to make a journey free of cost from their home to the 
burial place provided by the military authorities. 

Special season tickets, called workers' three class season 
tickets are given to ever}- worker, employee or laborer who 
can show that he is obliged to travel backwards and for- 
wards every day between his home and place of business. 

Present Wage Situation 

The increase in the wages which commenced in 1918 
has continued during 1921. These have reached $644,200,- 
000 for the six railways (excluding $104,600,000 of cost-of- 
living bonuses paid by the state), being an increase of 
340 per cent compared with 1913. This increase is ex- 
plained by the increase of staff, due principally to the appli- 
cation of the eight-hour Act, and to the introduction of 
a new scale of wages in 1920. 

Photo by Kadcl & Hcrbe 

St. Lazare Station, Paris 



VoL 72, No. 1 

For the whole of the railways, the cost of the eight-hour 
day has been rated by the Minister of Public Works at a 
total of $220,000,000 a year. The financial burdens result- 
ing from this Act are all the heavier because of the fact 
that the eight-hour act was applied on terms which do not 
sufficiently lake into account the spei ial nature of the em- 
ployees" duties, which consist in the greater number of 
cases, more of attendance than of actual work. Owing to 
this new regulation, there has been a decrease of 30 to 40 
per cent in the output of work, to make up for which the 
number of employees Ins bad to be increased by 103,000. 

l f '20 new scales of salaries have been imposed on 
the company by an official commission. These scales fix the 
minimum wage at $760, and have considerably raised, as re- 
gards the majority of the employees, the salaries they were 
drawing at the beginning of 1918. Various supplementary 
allowances are added to the actual gratui- 

ties, work bonuses, residence indemnities, allowances for 
dependents), the rate of which has itself been considerably 
raised, without mentioning the cost-of-living indemnity of 
SI 44 borne by the State. The results are, therefore, that 
the minimum salary of a new employee in the lowest grade 
of the service is SI, 144 if he has no children, $1,276 if he 
has two children, or about 3}4 times the pre-war salary. 

Therefore, the average expenditure per employee, which 
was $434 in 1913 for the whole of the railways, is at the 
it time $1,528, an increase of 205 per cent. The in- 
is much larger for new employees, reaching, accord- 
ing to the railway, 280 to 470 per cent for porters and 280 
to 580 per cent for track-layers. 

Here is, for example, a table of the salaries now being 
paid by the principal railways to certain classes of em- 
ployees (married men with three children) : 

Track Layer 


Driver Shop Laborer 

Present salary $1,372 

SI. 372 

$1,902 51.477 

1 All rail* 



by railways 

on June 



Increase Increase 

30. 1914 

(per cent) 

(per cent) 

(per cent) (per cent) 


$260 426 



$670 183 $345 328 

State •■ . 

360 281 



696 173 360 31C 

Midi ... 

202 579 



624 204 267 453 

Nord ... 

340 303 



P L. If. 

240 471 



;;; m m 

P. O... 

242 466 



630 201 267 445 

The pensions were increased it tht same time as the 

salaries were raised, in a proportion varying between 25 

nt and 100 per cent according to the amount of the 

pension, by an agreement arrived at on September 13, 1920, 

and the railway-. The financial burden 

ol ili- pensions has therefore increased, and is made still 
greater because of the liquidation of a large number of pen- 
sions which had I oed during the war. Finally, 

tin payments made by the railways to the pension funds 
have increased on account of the rises in salaries and the 
fact that these were retroactive in character. 


The general railway situation has, therefore, definitely 
improved compared with last year, but it still leaves much 
to be desired. The deficit has been reduced, and in some 
directi< - are beginning to decrease, particulate 

as regards construction work and fuel. 

Apart from a reduction of wages, which has not yet been 
made on the French railways, but which the government has 
announced for the next statement of account, it seems pos- 
sible that a saving of $20,000,000 to 540,000,000 can be 
made. This calculation is based on the somewhat optimistic 
forecasts of wages costs owing to the alterations which the 
railways, in agreement with the Minister of Public Works. 
have decided to make in the application of the eight-hour 
\ Greater economy on this head can only be attained by 
a less strict observance of the Act and by reducing the wages 
of the staff in proportion to the fall in the cost of living. 
But this depends much more on the government than on the 
companies. It is possible to save on repairs because of the 
general fall in prices, and also because the number of ma- 
chines to be repaired will shortly be at normal again. 

There is reason to hope that the P. L, M. will soon be 
able to balance its receipts and expenditures again. The 
restoration of the devastated districts will provide increased 
traffic for the reconstructed Nord and Est lines. 

But any improvement in the railway situation depends 
i hiefly on the reorganization of the railways approved by 
parliament. The new agreement will enable the railways to 
obtain, on much Utter term- than at present, the large capi- 
tal they require to improve their plant, increase their stock, 
carry out the electrification of their lines and secure finan- 
cial stability until the return of normal conditions. The 
agreement is a conciliatory measure putting an end to all 
difficulties of a legal nature between the companies and the 
state, arising from the war. It strengthens the understand- 
ing between the railway- and general interests of the 
country, and brings about a close co-ordination between the 
railways and their various departments. Further it ensures 
a certain amount of unity in management, and although 
tin next financial statement- will necessarily still present 
difficulties, the future can be confidently f 

ry Construct 

ind Supporting Bridges in St.iti.m | Switzerland) 

The Statu* at Ron 

A Review of the Italian Railway Situation 

Heavy Deficits — Poor Track — Dilapidated Equipment — 
Ambitious Program for Electrification 

By Antonio Giordano 


The total mileage of the Italian railways was — in 
December, 1920, the last time when data on this sub- 
ject were published — 11,749 miles. In the recently 
annexed regions, Venesia Guilia and Venesia Tridentina, 
there are about 528 miles and 326 
miles, respectively, which are owned by ^^^^^^^^^^ 
the Austrain Railway Company "Sud- 
bahn Gesellschaft" but are operated by 
the Italian State Railway Administra- 
tion. The question of transferring the 
shares owned by the Austrain capital- 
ists to the Italian State Administration 
is under consideration. The Italian 
State in 1905 took over the railways in 
Italy and Sicily, with the exception of 
only very few secondary lines which 
are still under private ownership, the 
Sardinian railways being acquired in 

Permanent Way and Equipment 

During the war practically no re- 
pairs were made to the track or the 
equipment. The large amount of 
equipment purchased in the United 
States was used almost entirely for war ^^^^^^^^^^ 
purposes and is practically ruined. 

The old equipment was used for passenger and freight ser- 
vices which were reduced to a minimum. Therefore, the 
track and equipment require a large amount of repair to 
bring them back to their pre-war physical condition. The 
Railway Administration has been so thoroughly occupied 
with the rehabilitation and repair of the railways in the dev- 

HE ITALIAN railways 
came out of the war in a sad 
plight. Excessive labor 
troubles have not permitted a re- 
turn to anywhere near pre-war 
conditions. Equipment is badly 
needed. There is no money to 
be spent there — in large amounts 
— for rehabilitation, extensions 
and in electrification. 

Mr. Giordano's invitation to 
American capital to invest in the 
Italian railway supply industries 
is tempting when the potential 
market both in and around Italy 
is considered. 

vastated regions in the north and in the recently annexed re- 
gions that it has not been able to give the attention required 
for the repair of the track in other parts of the state. Fur- 
thermore, it is severely handicapped by the lack of finances. 
When the armistice was signed the 
^^^^^^^^^^ conditions were such that the govern- 
ment found it more feasible to buy 
new equipment, than to repair the old, 
in order to meet its needs. 

The following is the list of the new 
equipment ordered: 


Cabs Ordered in the U. S. A. 

December 20, 1918. .150 locomotives (already de- 

December 20, 1918.. 10,000 cars (already deliv- 

December 8, 1919. .150 locomotives (already de- 

Locomotives and Cars Ordered in Italy 

August 30 
August 30 
August 30 
August 30 

0. 1918. 24 electr 

1919. .. 610 passer 

1919. .. 250 baggage cars. 

1919... 2,960 freight cars. 

1919... 486 locomotives (steam). 

4, 1919.. 78 locimoiives (electric). 

January 10. 1921... 50 tank cars. 

April 12. 1921 183 locomotives (steam). 

April 23, 1921 450 passenger cars. 

April 23, 1921 300 bageage cars. 

April 23, 1921 1,678 freight cars. 

June 3, 1921 100 tank cars. 

— A large number of old cars which were 
used in local services during the war 
are now lying idle in the repair shops awaiting repairs. 

Financial Situation, Rates and Fares 

The critical financial condition of the railways is the sub- 
ject of examination by the government at the present moment. 
Since 1915 the balance sheet has been a loss and 




Vol. 72, No. 1 

it is reported that for the year 1920-1921 the loss will be 
$280,000,000, the revenues being about $600,000,000 and 
the expenses $880,000,000. The freight and passenger rates 
were increased with a view of reducing the 1920-1921 deficit 
and eliminating any possibility of a deficit in 1921-1922, 
but instead of accomplishing its purpose these increases 
caused a reduction in traffic. During January and Febru- 
ary, 1921, the passenger traffic decreased from 23 to 58 per 
cent as compared to the traffic of November and December, 
1920; during the same period freight traffic decreased by 
about 50 per cent. 

Another factor responsible for the poor showing for the 
past year was the large increase in the number of employees. 
In round figures the number has increased from 150,000 on 
June 30, 1914, to 211,000 on March 31, 1921, or an in- 
crease of 41 per cent. At present the increase is about 67 
per cent. In the year 1913-14 there were 1,243 employees 
per million train-kilometers and at the present time there 
are 1,878. 

A special committee made up of members of the House 
of Representatives and members of the Senate, as well as 
representatives of the government employees, appointed by 
the government to reorganize the railway administration 
with a view to reducing expenses, is endeavoring to make a 
large reduction in the number of railway employees. 

The freight rates have been increased by 400 per cent 
above the rates of 1915 while the passenger fares have been 
increased, for first-class, 350 per cent; second-class, 250 
per cent; and third-class, 120 per cent. A law has just been 
passed for the reorganization of the freight railway tariff. 
The old tariff, approved in 1884. had 770 items for the 
classification of the freight, while the new tariff has only 77. 
The new schedule follows the Belgian system. 

The commercial and industrial organizations of Italy have 
called the attention of the government several times to the 
fact that the increase of rates is not having the effect of 
increasing railway revenue, but on the other hand it does 
encourage the merchants not to ship by train and the people 
to restrict their traveling as much as possible. The shippers 
are using motor lorry routes, which sprang up after the 
armistice throughout the whole of the Italian peninsula to 
a large extent as their rates are some 50 per cent lower than 
those of the railways. 

New Requirements of the Railways 

political and economic consequences of the war have 
■ hanged the currents of traffic in Europe and these changes, 
11 as ihf import im e tin It ilian peninsula ha- acquired 
on account of its geographical position as a trade link be- 
tween the western and of I'.urope, makes 
it imperative in improi ! dlwaj facilities Further- 
more, the impetus given the w 1. : j manu- 
facturing industrii lilt of the war can only be main- 
tained and developed by improving the rail* 
Then there are certain of Italy which on account 
of the incn require tin- construction of new 
lines, additional tracks and f aril it 

The Italian Parliament has voted $400,000,000 for the 
improvement of railway fa. ilities, but even this is not enough 
rry on all th< ■ ork. To a-si-t in the rehabili- 

tation of the rail ' ■rnment has decided that Ger- 

man'. I d to Italy, on the reparation 

much railu i\ materials as possible for these 
improvement- ami for the electrification of the most impor- 
tant lines. The Italian industries have strongly objected to 
this plan of the government and demand that Germany 
supply the raw materials only, allowing the Italian indus- 

to manufacture the fin I itherwise, they 

■he iron and the ■ ii lu tries will have to shut 

The industrial organizal taking advant 

the large deficit of the Italian railways to point out the 
necessity of denationalization of the railway system. They 
claim that if the railway- arc properly managed they will 
become the best customer of the Italian industries, and that 
under private management they will develop more rapidly 
and grow hand-in-hand with the industries. Furthermore, 
they claim the treasury cannot continue to meet the heavy 
railway deficits. By selling the railways to private compa- 
nies, the national debt would be greatly reduced and the 
available railway securities would offer a splendid source 
of investment for the Italian banks and would thus strengthen 
their position. In the meantime steps should be taken to 
put both the banks and the treasury in a position to check 
the invasion of foreign capital which is taking possession 
of the great Italian firm- ,md industries. 

New Construction Needed 

Italy is sadly in need of new lines, the most important of 
which are the following: 
Northern Italy: 

(unco-San Dalmasso di Tenda-Ventimiglia 
Milan-Genoa (direct line) 
Mals-St. Moritz (Switzerland) 
Calabso-Cortina d'Ampeszo 
Verona-Bologna (direct line) 
This will total about 1,200 miles. 

In the Venesia Guilia the changed political conditions 
render necessary the construction of a new line between 
Goivsia and Klagenfurth, avoiding the Jugoslav territory, 
and thus rendering the traffic between the port of Trieste 
and German Austria independent from eventual restrictions 
of the Jugoslav government. Furthermore, a new line will 
be built between Trieste and Fiume, as well as one between 
Fiume and Pola totaling about 310 miles in length. 

During the recent conference of Portorose the attention 
of the governments of the countries of the former Austrian- 
Hungarian monarchy was drawn to the necessity of improv- 
ing the communications between Dalmatia and Central 
Europe and it has been suggested to connect Fiume with 
Zara by a fern-boat service to the islands of Cherso-Veglia- 
Arbe and Pazo and with a line from Zara to Kuin. The 
cost of such project would amount to over $100,000,000. 
Central Italy. — The requirements in this section are a line 
ti Rimini and Urhino; the construction of a faster 
lini' between Florence and Bologna and between Rome and 
Vncona and Rome and Naples, a total of 032 miles. 

Southern Italy. — Here over 1,000 miles are required to 
connect the interior of the peninsular to the various ports, 
and the interior of the island of Sicily with the most impor- 
tant commeri I M C&1 niia. 

rdinia. — In a government report it is stated that the 
island Of Sardinia has Sufficient mineral wealth to cover 
most of the whole demand of ftalv, but it- development is 
Je b\ the lark of proper communications. 
I eminent p] to establish a new communication 

between Lombardy and Sardinia through Leghorn and Cor- 
sica, which will shorten the route between Italy and Sardinia 
miles. Moreover. 621 mil.- ,.f roadways will be built 
in Sardinia to connect the interior of the country with the 

These are the projects which the government intends to 
i arrv nut in connection with the construction of new lines 
and it i- expected that thev will cover the requirements. 

Rolling Stock Requirements 
\ regards doul it IS Stated that the Railway 

Administration has been authorised to build about 3,169 
miles of double track, although the needs of the countn- are 
estimated to be over 4.o?o miles 

railways ire sadly in need of new equipment. The 

January 7, 1922 



following table indicates the requirements and the purchases 
authorized for 1922: 

Purchast s 

Requirements t»* be made 

Si ai 1 " itivi - 1,000 576 

Electric locomotives 800 .." '> 

Passengei cars 1,000 640 

Bagg;i';c cars >00 251 

F.. ighl cat 1,501 

While the large amount of equipment purchased in the 
United States during the war has given satisfaction there 
is .it the present time but little likelihood of further pur- 
hases being made in that country. In the first place, the 
Italian industries are seeking to obtain the monopoly for 
the supply of the railway rolling stock to the Italian rail- 
ways, and in second place the cost of the home product 
is cheaper than the American equipment because of the rate 
of exchange. Furthermore, the industries developed during 

An "Old Timer" for Second-Class Passengers Still in Service 

the war need business to keep them going. While there is 
not a direct possibility for the sale of American railway 
rolling stock and supplies in Italy it may be stated that 
there is the possibility of Americans participating in this 
business by investing capital in the Italian enterprises. 

American capital would be welcomed in the Italian indus- 
trial circles, particularly as it would mean Italo-American 
economic collaboration. W : ith proper development Italian 
railway industrial plants would be in a position to supply 
all the countries of Central Europe and the Balkans without 
heavy transportation costs; at present this market has untold 

In consequence of the crisis in the shipping industry, 
especially in Venesia Guilia, the recently annexed regions 
of Italy, it has been suggested to transform certain of the 
large shipyards of Trieste (Cantieri di San Marco e San 
Rocco and the Cantiere of the Stabilimento Tecnico Tries- 
tino) into plants for the manufacture of locomotives and 
cars for exportation to Jugoslavia. Roumania, Austria, etc. 


A comprehensive electrification program is being developed 
for the purpose of relieving the fuel situation. Italy having 
no coal is dependent on foreign countries for her supply; 
this during the war was a great handicap. The present 
plans involve some 3,000 miles of line. This work is in a 
measure dependent upon the development of the hydro- 
electric power stations. In 1915 there were 329 hydro- 
electric plants of over 300 hp. each, which produced 935,000 
hp. This number was increased to 383 in 1920, with a total 
capacity of 1,152,120 hp. There are now in process of con- 
struction 54 additional plants which will have a capacity 
of 359,210 hp. This, with the capacity of the smaller plants, 
will give Italy a total hydro-electric capacity of 1,811,330 
hp. Plans have been developed for additional plants to the 

extent of about 950,000 hp. The government has been de- 
layed in developing the hydro-electric program because of 
the poor financial condition of the country. 

In August, 1920, there were 235 miles of line under 
electric operation; in June, 1921, there were added 56 miles; 
it is expected that by June, 1922, another addition of 213 
miles will be made, making a total of 504 miles. On Janu- 
ary 1, 1922, work involving 521 miles of line will be started 
in northern Italy, connecting Genoa, Pisa, Florence, and 
Bologna; recently the electrification of the line between 
Bologna and Milan (134 miles) was authorized. 

Plans are in process of completion for still further large 
electrification schemes. That which will be in operation by 
July, 1922, it is estimated, will effect a saving of 1,000 
tons of coal per day. 

In Northern Italy the system to be used is three-phase at 
16 cycles, whereas in Central Italy the system will be three- 
phase at 46 cycles. In Southern Italy, on the other hand, 
continuous current will be used. 

Competition Between Railways and 

Other Means of Transport 

The government is planning to establish mail and pas- 
senger air services but seeks to avoid, as much as possible, 
the competition with the railway services. These plans for 
the present are restricted to services between Naples and 
Sicily and Tripoli and between Brindisi and Corfu. 

Competition between sea transportation and railway trans- 
portation is limited only to certain Adriatic lines of local 
importance which do not materially affect the traffic of the 

What has hurt the railway traffic most is the automobile 
services established after the armistice, especially in con- 
nection with the transportation of freight. In the Italian 
peninsula there arc 000 automobile lines for passenger 
service and 200 lines for freight service. The Fiat Auto 
Company has requested the permission of the government 
to establish 410 additional automobile lines for passenger 

The passenger services compete especially with the sec- 
ondary railway lines connecting large centers, such as Turin, 
Bologna, Trieste, Rome, and Naples, with the small villages 
of the respective districts, while the freight services connect 
the large cities, such as Turin through Milan to Trieste, 
Milan and Trieste to Rome, Naples with Rome, etc. Being 
fast and less expensive than the railway services they are 
preferred by the shippers. 

Labor Organization 

There are three organizations of railway workmen in Italy 
— namely, the Socialist Workmen Organization (Sindacato 
Italiano dei Ferrovieri) with headquarters in Bologna, the 
Catholic Workmen Organization (Sindacato Bianco dei 
Ferrovieri Italiani ) with headquarters in Milan, and the 
National Association of Railway Workmen (Associasione 
Xazionale dei Ferrovieri Italiani) with headquarters in 

In consequence of the strikes of last year the parliament 
passed a law authorizing the increase of the wages 400 per 
cent, establishing a new base between the salaries of the 
clerks and the wages of the workmen which cut down the 
great disparity between the two which existed previously. 

Railway labor has found the futility of continuously 
striking and is beginning to realize the true economic con- 
dition of the country. At the recent strike in Rome members 
of the Socialist Workmen Organization remained at work 
and operated the trains. The government has also taken 
strong measures against the agitators so that now the labor 
situation is far better than it was immediately following the 
war. The government will reduce the number of employees 
instead of salaries in the endeavor to economize. 

The Beautiful Station at 1 , 

The Swiss Railways in the Year 1921 

Loss of Traffic Brings Deficits — Complete Electrification 
Planned — Effect of High Exchange Rate 

By Julian Grande 

Although Switzerland's population, according to the 
census of last May, is only 3,883,700, including 
foreigners, her state or federal railways at the end 
of 1920 had a total working length of 1,895 miles. Besides 
the federal railway-. Switzerland has 
the following company-owned lines: ^^^^^^^_^^__ 



.Nature of Railway 

- in 

total length in miles 

67 narrow-gage lines — total working length 

15 cogwheel Tines — total working length... 13 

s7 tramways — total working length 303 

49 cable railways — total working length... 31 

The total amount of capital, share 

and bond, invested in all these different 

non-state Swiss railways and in tram- 

Lmounts this year to $154,860,- 

000 On the federal railways alone 

last year 39,410 persons were em- 

a figure which has just been 

1. for economy's sake, to 35,832, 

which will mean a saving of $2,000,- 

000 in wages and salaries — a reduction 

from 545,600,00(1 000. 

The financial situation of both the 

.1 and private lines in Swit/.er ^^^^^^^^^^ 

land is serious. For the federal rail ~ — ^ ^"^ 

- war and the 

... 40.818.600 

Rate Increases Do Not Bring Increased Earnings 

The Swiss rail .- for the first seven months of 

red with those fee the c o rresponding period of 

1920. show that tl greatly 

Iriven more than 90 per rent of 

re] third-da aboul 3 p 

(from 526.780.000 to 127,600,000) This Increase applies 

BECAUSE of the high rate of 
exchange for Swiss money 
neighboring countries route 
traffic around that country to es- 
cape paying rates in Swiss cur- 
rency. For the same reason the 
tourist travel, which before the 
war was a large source of revenue, 
is greatly reduced. Swiss rolling 
stock and road bed are in excel- 
lent condition compared with the 
neighboring countries. Electrifi- 
cation is progressing despite the 
difficult financial condition. 

to all lines: the increase for the federal railways is still less. 
The following figures show the position of the Swiss 
federal railways from January to the end of October in 1920 
and 1921: 

Passenger receipts (Janu- 

ary October) $21,361,285 $21,139,959 

^^~^^^ ^^ m ^~ m ~^ mm ~ Freight receipts (Janu- 

ary-October i ....... 34,833,968 43.54:.240 

Total receipts (Janu- 
ary-October) $56,195,253 $64,682,199 

Tttal operating receipts 

(January-October) $58,397,800 

Total operating expenses 

(January-October i .... 55,945, 8t>3 

Met operating revenue 

(January-October) . $2,451,937 



the first 

The results, therefon 

ten months' working of the Swiss fed- 
eral railways in 1921 ari worse than 

those of the corresponding period of 
which was considered such an 
unfavorabli year from the railway re- 
ceipts standpoint Hie returns of the 
federal railways per mile are less up 
to October, 1921, than they were dur- 

Had .1- i- the financial situation of 

the Swiss federal railways, however. 

u i- not relatively so had as thai <^' many other European 
railways, Indeed, it is hotter, as the following table will 


Mediterranean (France). 


'".ermati i il 

Deficit at 


.n.lof 1920 



000 i 1 

inn. ooo 

The Privately Operated Lines 

\ regards the private-owned lines in Switzerland the 
situation is not much more satisfactory The following were 

January 7, 1922 



the decreases or increases in receipts during the first eight 
months of 1921 as compared with the corresponding period 
of 1920: 

I'mv \1 ! LY OWNED T.I 1 , B9 

Standard-gage lints, decrease 4.8 per cent 

Narrow ■ . ■ ■ 6 percent 

iii> n .-■ 14.5 per cent 

40 tramways, increase 1 per cent 

J6 cable lines, increase 5.8 per cent 

The main reasons for the general decrease in the receipts 
of Swiss railways are, besides the high cost of materials, and 
especially coal, the increases in wages and salaries found 
necessary because of the rise in the cost of living, the un- 
settled state of Europe, and the introduction of the eight-hour 
working-day. Rails, for instance, rose greatly in price, 
making it harder to keep the lines in good working order. 
Rails cost $34 per ton, f. o. b. Basel, in 1913, but during the 
war the cost increased to $100 and even $120. During the 
war Switzerland had to carry her own freight from Mediter- 
ranean ports, and consequently had to add considerably to 
the number of her freight cars. These numbered 19,300 in 
1913, and 25,000 in 1920. Before the war a steam loco- 
motive cost 14.5 cents per pound. During the war this rose 
to 72.5 cents. Coal and railway material generally are now 
falling considerably in price here, but are still much dearer 
than before the war. 

Decrease in International Traffic 

What, however, has really caused the Swiss railways in 
general so much loss is the enormous decrease of international 
traffic, due to unsettled conditions. Switzerland is a natural 
European railway junction, and, under normal conditions, a 
highway of trade across Europe in all directions. Freight 
between Belgium and Italy, Germany and Italy, and to a 
great extent also between Northern France and Italy used 
to be carried over the St. Gotthard line. Now, with the 
decrease of commerce and the abnormally low value of the 
money of Germany, France, Belgium and Italy, these coun- 
tries find it more advantageous to transport their merchandise 
by a much more circuitous route, or even by sea, thus avoid- 
ing having to pay Swiss railway freights in Swiss francs. 

Again, a very large amount of passenger traffic used to 
pass through Switzerland, besides which the Swiss inland 
trains used, especially in summer, to carry very considerable 
numbers of passengers. It is estimated that, before the war, 
some 4,000,000 tourists annually visited Switzerland. Now 
only a very small proportion of this number are able to visit 
the country, mainly because of the high exchange. 

Motor Car Competition Serious 

Before the war the average American visitor to Switzerland 
traveled first-class, and he could, and often did, buy a fort- 
night's first-class ticket, available on all the Swiss federal 
railways and on the lake steamers, for only $20, and a 
monthly ticket for $30. During the war these general season 
tickets, as they were called, were abolished, and they have 
not since been reintroduced, except for a minimum period of 
three months, and at a cost of $120, which is almost exactly 
double the pre-war price. 

The result of the greatly increased fares and the much 
reduced and much less convenient train services is that 
Americans travelling three or four together have lately often 
found it cheaper and far pleasanter to buy a motor car in 
France and tour through Switzerland in it, thus avoid using 
the railways. 

But it is not in passenger traffic alone that the results of 
the war have affected the receipts of Swiss railways. The 
competition of motor vans and motor lorries with the rail- 
ways for the conveyance of heavy freight in Switzerland has 
become very serious. In 1914 there were only 751 such vans 
in the country; at the end of 1920 there were 3,331, and the 
number of motor vehicles of all sorts is greatlv and con- 

stantly increasing. Most of the railways and nearly all the 
lines of commercial importance being state-owned, it lias not 
been so easy for them to introduce their own railway motor 
van services as it would have been in the case of privately- 
owned lines because of the red-tape involved. Consequently, 
private companies have introduced motor van transport into 
Switzerland, and these companies are already of considerable 
importance, with much capital behind them. 

All that the State Railways Department has done hitherto 
is to ask the government to prevent motor van companies 
from competing with them, but it naturally can hardly do 
that. At present the railways cannot compete with the motor 
van transport companies if only because they have to main- 
tain, not merely freight offices at every railway station of any 
size, but also because they have to keep the permanent way 
in order, and motor vans do not have to keep the roads in 
order nor maintain such a large staff of clerks, etc. Finally, 
they are not, as are the railways, bound by the eight-hour 
working day law. 

The Swiss postoffice is also inaugurating a motor van 
service for the transport of mails and parcels within certain 
areas formerly served by the railways. An aerial mail 
service has been tried in Switzerland, but it was abandoned 
as being too expensive. On the other hand a passenger and 
mail service between Taris and Lausanne has just begun. 
Finally, petroleum was during the war and until a few weeks 
ago a Swiss government monopoly, which made it much 
more expensive than it would have been if sold privately. 
This will also cheapen transport by motor vans, motor cars 
and aeroplanes. 


The Swiss federal railways hope electrification will enable 
them to put their finances upon a sounder basis. Switzerland 
has no coal mines, and has always bought coal from her 
immediate neighbors, mainly Germany and Belgium, al- 
though during the war she perforce bought it often from 
England and even from the United States, but at prices 
which rose from $5.40 a ton in 1913 to $38 per ton in 1920. 
The 1913 federal railway coal bill was $3,507,400, but the 
estimated expenditure on coal (which has almost certainly 
been exceeded) for 1921 amounted to $21,060,000, and yet 
coal has greatly fallen in price. 

For this electrification work Switzerland was obliged, in 
1920, to raise a loan in the United States of $60,000,000 at 
9 per cent interest. At the time of raising the loan it was 
stated that this sum was to be spent solely on the purchase 
of electric plant in the United States, on building electric 
power stations, and generally on continuing the work of 
electrification of the Swiss federal lines. A good deal of 
copper wire and certain electric cables were bought in the 
States, but since the German mark has fallen so much in 
value Switzerland has naturally turned to Germany to pur- 
chase there such of her railway requisites as she cannot 
produce herself. 

The first of the federal railways to be electrified was the 
St. Gotthard line, 139 miles long, running from Lucerne to 
Chiasso, on the Swiss-Italian frontier, and traversing the St. 
Gotthard tunnel, 9% miles long. This line, it is expected, 
will be entirely electrified by April next, and already trains 
with electric traction are running from Erstfeld to Bellinzona. 
The locomotives, which have been built in Switzerland, cost 
$200,000, or exactly twice as much as they would have cost 
before the war. 

At present about 33 per cent of the entire network of the 
Swiss railways, federal and other, is electrified, or about 
1,200 miles altogether. Single-phase alternating current is 
used in most every case. The cost of transforming a railway 
from steam to electric traction, however, is very considerable. 
The original estimate for the cost of electrifying the St. 
Gotthard line from Erstfeld to Bellinzona, through the tun- 



Vol. 72, No. 1 

nel, was $7,700,000, plus about $400,000 (or repair shops; 
but the sum hitherto expended can hardly be less than 
$20,000,000. It is difficult to estimate what the electrifica- 
tion of the entire St. Gotthard line will ultimately cost be- 
cause the iron bridges have all proved too weak for the heavy 
electric locomotive "and trains, and 60 of the smaller bridges 
have accordingly been reinforced by reinforced concrete, 
with a layer of ballast; the large iron bridges have to be 
either strengthened by arches underneath or be replaced by 
stone bridg< - lone in the case of nearly 

20 bridges. 

The number of electric locomotives at present used on all 
the electrified Swiss railways is about 50, but there are still 
1,100 steam locomotives in use. The electrification of all 
the Swiss railways, broad and narrow gage, is expected to be 
completed within 12 years. 

What it will mean to the federal railways alone to be able 
to use electric traction on all other lines may be gaged from 
the fact that in 1919 about $13,800,000 out of the total ex- 
penditure of $58,178,400 (or about 24 per cent) was for coal 
alone, and that with a still reduced train service. The total 
-capital required for the electrification of the entire Swiss 
railway system, including power generating stations, is dif- 
ficult to estimate, and will depend very much upon the water- 
falls selected for the production of electric current; an outside 
estimate is $100,000,000. 

The question whether it will be cheaper to run the Swiss 
railways electrically than by steam is somewhat disputed; 
but since 1911 it has been proved that the cost of the electric 
energy used by the Lotschberg line was about two-thirds of 
what steam power would have cost. 

Private Lines in Difficulties 
The Lotschberg line, a privately-owned company, is also 
in financial straits, due to the war. On December 31, 1920, 
its total debit balance was $4,349,514. Although a link be- 
tween Eastern France and Italy, via the Simplon Tunnel, it 
depends much on local business and tourists. The original 
capital for its construction was mainly subscribed by France, 
but the Swiss government took advantage of the low-value 
of the French franc in 1920 to buy back 40 out of 44 million 
francs worth of Lotschberg bonds to Uarer from the 
French. The ordinary -hare has Keen reduced 50 per cent 
and the preference share capital 20. Very badly hit by the 
war, this 1; tgain in October, 1920, to pay some 

interest on its bonds. A misfortune with which it has to 
contend is that on the south side traffic has been frequently 
disturbed by avalanchi - I lides. Experts consulted 

could only advise constructing two additional tunnels, one 
nearly two miles long, the other about 1,180 yards long, 
besid and other ((instructions 

are n< hold up stones and rocks from the slopes 

ill) prevent the line beii 

One of the Tragedies of Railway History 

. ite mountain railways, the Bernese Ober- 

lines, which come largely within the category of tourist 

mi I he Jtorj of the 

r:ui Railway, the highest mountain railway in F.urope, 

Bi fore the war 
it pai ply "'• 

d in fin.iiK ill diffii ulties that the »h it 

•it. and 
vari<>'. made to 'lie bondholders (bond 

l - whit h ma) perhaps 
r.iilv nkniptcy but will not fill the bondholders' 

Inotha -■ ■• ' tourisl line which is virtually bankrupt this 
is the lurk. i Line, with debts exceeding (6,000,000, 
.n,,! .1 (mounting to $1 ,600 l 

'. owned line, the Rhaei which runs 

to St. Moritz and Darvos and the Engadine generally, is 
already partly electrified, and it is hoped that by June 1, 
1022, the entire line of 173 miles will be in electric operation. 
The total cost of the electrification of this line will probably 
be about $1,800,000. 

The development of electrification work in Switzerland is 
hindered by the increased cost of material and labor. Before 
the war all the canalization and blasting as well as masonry 
work were done by Italians, who used really to be the 
tunnel builders of the Alps; but. now the emigration of foreign 
labor into Switzerland is severely restricted, and instead of 
Italians, Swiss have to be employed, who are less skilful at 
this kind of work. 

Nationalization Does Not Pay 
The construction of most of the power stations intended 
to supply electric current to railways has to be done by tin 
federal railways, and experience has shown, at any rate in 
this country, that government management is the most ex- 
pensive management. The war has revealed to the Swiss — 
what they were already suspecting — that nationalization 
does not pay. No country has given nationalization so 
thorough a test as Switzerland, and nowhere is there now so 
powerful a movement on foot towards denationalization. At 
the beginning of 1921 Switzerland actually had 171,623 
federal and federal railway officials. In other words, almost 
exactly one in every 22 of the country's population, including 
foreigners, was either a civil servant or a state railway 

Campaign Launched 

So profoundly disgusted have the Swiss public become 
with the results of state railway management, that a cam- 
paign was recently launched, asking Parliament to hand back 
the state railways to a private company. A special parlia- 
mentary committee has been appointed to consider Swiss 
federal railway re-organization. It was not long before it 
decided to reduce the number of members of the Board of 
Management of the federal railways from 55 to 11, and the 
Dumber of railway districts and district managerial offices 
from five to three The result will be that Switzerland will 
be rid of a great many superfluous officials, and it is esti- 
mated that salaries amounting to no less than $1,000,000 will 
be saved 

New Work 

It is doubtless owing to Swiss federal railway indebtedness 
thai thi just published, in. hide only $230,000 

for new lines, of which about $200,000 is for the second 
Simplon runnel, The following arc the other principal items 
on the 1922 ilway estini I 

New rolling stock . 15, 

tNearl) $2. 500.000 less than in 19 

I enmotives 4,182,000 


Sixty third class passenger cars J18.800 

i 'onatrui - '2,547,168 

(About ■ 'han in l°2n 

te tin- general outer) aboul lack of capital for em- 
barking on an) new enterprises, engineers have Uvn study- 
ing the question of piercing \ei another great Alpine tunnel 
through the Splugen, which would greatly shorten the dis- 
tance between Central Europe and the Adriatic and It.ih 
Naturally those interested in the Simplon and (iolthard lines 

are much alarmed at this new project, especially as the 
second Simplon tunnel is now completely masoned over and 

the electric installations are being titled up 

Although the Swiss railways were severely tried financially 

bv the war. nevertheless in one BCnM tliev have not COme out 

.if it badly. 1 he rolling st.xk, generally speaking, has de- 
teriorated little, if it all. and the permanent way is in good 
condition The Swiss railways, however, cannot fully re- 
'ii' in> iall) until Europe ret overs 

^^^"S i ■ ■ ■ ■■■ mi 


A Bolshe-.:k 

-Photo by Kadel & Herbert 

Soviets Demoralize Already Inadequate System 

Russia's Railway Mileage Has Decreased Since Revolution 
— Equipment in Sorry Condition 

By Dr. J. M. Goldstein 
Professor of Economics, Institute of Industry and Trade and University of Moscow 

Up to the beginning of 1890 the railroad mileage of per inhabitant increased approximately 5 times in 17 years. 
Russia developed slowly, as can be seen from the fact Still faster grew the mileage for that period in Asiatic 

that up to the middle of 1890 the whole mileage of Russia, as may be seen from the fact that the mileage in- 
European Russia, including the Caucasus, hardly reached creased there from about 900 in 1890 to about 10,000 miles 
26,700 versts (17,800 miles). By comparing the mileage of in 1914 (not including Russian Chinese Railway). 
Russia of those days with the mileage For the whole of Russia (excluding 

of the United States at the same period Finland) the increase in mileage dur- 

we find that the mileage of Russia was ZZZ^^^^^^^^^^^^^^^ZZ^^^Z ing the following five years' period 
hardly equal to one-ninth of the rail- - TNDER THE REGIM E of amounted to: 
road mileage ot the United States, not- Total increase Annual 

withstanding the fact that Russia's area ^ the Soviets the ra"way Yeara of ™ i 1 ,? s ge ' ^^er^ 

was about two and one-half times situation in Russia is stead- ism-m.... i.jsts 276 

tt • 1 • f • isns-oy .... (4-1- soy 

greater than the area of the United ily progressing from worse — it 'S70-74 .... 4.962 992 

S, . , J , , , , , 1875-79 2,290 458 

states, was already bad — to utter de- isso-84 ... 2,028 406 

,. . 1885-89 . ... 2.874 575 

Show Growth in Mileage morahzation. ,89,-94 . 1 778 

Mileage has been decreased by 191004 ;.4S- 1.096 

Because of a change in the financial the f orma tion of a number of in- wlu ' %l 

and economic policy of Russia, chiefly dependent state s. Maintenance ~ ^imateiv 

due to S. V. YVittes taking charge of *T 

the finances, the country's mileage of both equipment and permanent The railroad construction reached its 

quicklv rose, as can be seen from the wav 1S practically at a standstill maximum during the decade from 1895 

fact that at the end of 1907, i. e., dur- —even retrogressing. to 1904. During that period about 

ing a period of 17 years, the railways A n end to Soviet rule and the one-third of all the mileage existing 

rrf Furnnean Russia including the ■ ^ 1 c •*. 1 in European and Asiatic Russia at the 

01 European Russia, inuuuin me intervention of foreign capital , - l , ,, ,,- , , „* m „„ , •,. 

Caucasus, increased 85 per cent— to 4 , iU . * F beginning of the World War was built 

49,000 versts. The amount of railroad seems to be the onl y ho P e - and opened for traffic. How relatively 

freight traffic had increased still more : small these maximum figures were in 

by that time, as can be seen from the comparison with the railroad building 

following computations : in the United States, or even Canada, 

. , is sufficiently shown bv the fact that in the United States in 

M carried ns onVmiie' carrieTonc the single year 1887 there were 12,800 miles of new rail- 

Vc .,„ Sg ( ° b "mons") per (mmionV) me inhibit roads opened for traffic, and in Canada in the single year 

1880 14070 5.0 o.36 60 1915, about 4,800 miles of new railroads. 

1890 '...'.'.'.'..'.'.'. 17.'800 9 ; 0-52 92 

\%l ■ ■ 21.000 14.0 0.66 130 The situation whe n the War Began 

1913 '.:'.::•.'.'.::: Kooo 41.9 At me begiimmg of me war, of me tctel of 46,600 rniles 

The density of traffic thus increased from the beginning of railroads existing in Russia (excluding Finland), the 

of the eighties by 3 l / 2 times, and the number of ton-miles state owned about two-thirds and private companies about 




Vol. 72. No. 1 

one-third. Besides this, al the beginning of 1915 there were 
under construction about "J, 400 miles of private and state 
trunk lines. 3,800 miles of which were iii Asiatic Russia. 
At that time there were further outstanding franchises for 
the building of 6.200 miles of new roads. Most of these 
were to have Keen built immediately. Furthermore, there 
were under construction more than 310 miles of feeders and 
about 40 miles of small local line- 
Thus, had there Itch no war and revolution the mileage 
of Russia'.- railways, including those of the new formed 
border states, would have reached at the end of 1921 at 
or 65,000 mark. 

Formation of Border States Has Decreased Mileage 

The formation of a series of independent border states, 
such as Latvia. Esthonia, Lithuania, Poland, etc., has greatly 
diminished the mileage of Soviet Russia, because in these 
areas the density of railroads was greatest. No wonder there- 
fore that, according to official figures of the Soviet govern- 
ment, the mileage of Kuropean Russia comprised only about 
32,000 miles in 1920, i. e., it had decreased 25 per cent since 
the beginning of the war. At the end of 1921, in view of 
the fact that there was no new construction, the mileage 
remained probably, at least nominally, the same. However, 
not having replaced the old worn-out rails by new ones, the 
mileage actually in working condition should be much smaller. 

The Equipment Situation 

Still worse is the situation of the railroad equipment. 
The American Relief Administration having sent railroad 
experts to Russia in connection with shipping of foodstuffs 
to the famine stricken areas, has received a report to the 
effect that water transportation is used wherever available 
for shipping food supplies to points in the famine districts. 
particularly along the Volga and Kama rivers. In the same 
report the American Relief Administration, quoting official 
papers of the Soviet government, states the following about 
the railroad equipment : 

"Out of a total of 19,106 locomotives in Russia in good 
condition before the war. there were last August from 5,500 
to 7,650 reported in working order by different authorities, 
or a decrease in motive power of from 60 to 75 per cent. 
Of that number about 1,000 were idle owing to lack of fuel. 
Serviceable cars were reported at from 150,000 to 286,060, 
a de rease of from 4,s to 70 per > nit of the pre-war number 
The roadbeds were stated to be in very bad condition 
-itating extensive repairs if large sections were not to 
be closed to traffii Vccording to one estimate at least 25, 

nli a program that called 

placements Considerable mileage of 

branch lines had been removal and used for repair material. 

\ decrease in production of coal bj 80 per cent and the 

deterioration of the mine- rendered the fuel situation serious 

and forced the railways to depend much more upoi 

This wood comes from the forests of northern ku--ia a 

long haul to supply southern railways \n effort was mule 

•I the -Milium railways into oil burn 

■ lit the gradual de. line of oil produi tii n n tarded this, 

i 10 last," according to Economii Life, official 

paper of thi ul of 137,152 freight cars 

listed 1 22.007 ■■■. i . utterly unfit foi any 

:„| only 19 in working order 

Bui of tin- latter numb ' n< d, 'no more 


;n and potato - \t th rvative 

hi be required for 

t . I 1921, 

i ' md 59 ; 

Later communications in the Economic Life of Septem- 
lier 25, 1921, do not picture the situation in brighter colors: 

["he results of repair work completed on railway engines 
during August, states the official paper, fell considerably 
short of the program; the quality of the work done and the 
speed of production at the railway workshops has been con- 
stantly going from bad to worse. This decrease in production 
the same usual reasons: Lack of food supplies, 
materials, tools, and machinery, etc. The laborers because 
of lack of food fail to come to workshops, and the number of 
absentees has increased to such an extent that the problem 
is becoming more complex every day 1 judge bj the data 
furnished by 12 railways for the month of July, this ab- 
senteeism n the average 30 per cent. This 
tendency has been more manifest on the South-Eastern Rail- 



■ F 

One of the 500 Tank Cars Built by the Canadian Car and 
Foundry Company for the Russian Soviet Government 

way, where non attendance of workmen amounted to 57 per 
cent; on the Tashkent Railway, 40 per cent; on the Syzran- 
Vjazma Railway, 39 per cent; Moscow-Kursk Railway, 32 
per cent; Northern, 31 percent; Moscow Baltic. 30 percent. 

Antique Locomotives the Rule 

Speaking of the causes which make the efficient function- 
ing of the of Russia difficult, it is necessary to 
mention here the following important facts. The majority 
of locomotives existing in Russia in 1921 were very old, as 
may be seen from the following data. According to age. all 
locomotives in Russia i an be divided in the following group- : 

10 pel cent 
n i. 

SO r. r col 

I . n IBM] 1 \. ■• - 10 : . i .','111 

About 50 per cent have thus been in use for 25 years or 
mOR It is not Strange, therefore, that at the beginning of 
1921 about 1 per cent of the lo. omotives needed more or 
less extensive repairs, which could not be fully realized due 
to the insufficient number of worker-, as well as to the lack 

of supplies. 

Rehabilitation and the Opportunity 

for American Enterprise 

The complete breakdown of the railroad -\ -tern of Ru-si.i 

outlined above and the Smiet government's lack of means or 

credits -hows clearly thai the restoration of the functioning 

of railroad- .an take place <>nl\ after the appearand- in 
of i mon stable government, which, having obtained 
through an election the support of the whole nation, will be 
able to -e, on recognition and financial aid from foreign 
intents Splendid prospects will then be opened to 
Vmerican manufacturers of la < r ~. rail- and other 

supplies, i- im II us for Amen, m capital m general 

Railway Br^dee 

-Photo bv Kadel & Herbert 

German Railways Operating Under Difficulty 

Heavy Deficits Still Obtain — Physical Conditions Are Improving, 
Although Far from Pre-war Standards 

By G. Reder 

G 1 

WITH few EXCEPTIONS all German railways are owned 
by the state Till April 1, 1Q20, they were operated 
by the different federal states of the former empire 
but they are now operated as one unit by the state and are 
known as the "Reichsbahn." This includes 92.2 per cent 
of the mileage of the country. Of the 
important companies only the Luebeck- ^^^_^^_^^_ 
Beuchen Railway, which operates the 
double track from Hamburg to Lue- 
beck and Beuchen and which owns 
about 85.75 miles of line, retains its 
old form. The smaller railways are to 
a great extent in the hands of private 
companies, but the state, municipali- 
ties and districts are also strongly in- 
terested in them. 

The state railways are controlled by 
a Ministry of Transport which is 
under the direction of the former gen- 
eral manager of the military railways 
during the war. The ministry is di- 
vided into ten sections: Administra- 
tion, personnel, transport, exploitation, 
rates, finances, rolling stock and main- 
tenance, machinery and electrification, 
construction and inspection of other 

The total length of the German = ^^^ = ^^^ = 
railways is about 36,000 miles, of 
which 69.5 per cent have double tracks 

or multiple tracks. As in all the countries of Central 
Europe, a great increase in this mileage is not to be expected. 
The loss of territories through the peace treaty led to a re- 
duction of 2,500 miles in the pre-war mileage. 

The latest figures available (1919) show that the total 
capital investment was 21,320,000,000 marks ($5,330,000,- 
000). The total revenues and expenses (in millions of 
dollars) for the seven years ending with 1919 are given in 
the table. 

ERMAN railways have ex- 
perienced most astounding 
deficits since 1918. Some 
believe that private ownership is 
the only solution of the present 
problem. It is argued that 
whereas they were successful un- 
der an iron-clad monarchy that in 
a democratic government, such as 
now obtains, they are doomed to 

The railways have all been 
grouped under one head and con- 
siderable progress has been made 
in improving their physical con- 


Before the war the net receipts from the railways were an 
important item in the state budget. Although the revenues 
fell in 1914, due to the diminution of traffic following the 
mobilization, in the following years they increased with the 
reopening of the train service. But the deficits came with 
1918 and have continued ever since. 
__^^_^__^_ The greater part of the locomotives 

and freight cars were turned over to 
war purposes. The conquered railway 
material did not begin to meet the 
needs of the traffic behind the front. 
Economical operation was impossible 
with the reduction in the number of 
locomotives for home use because of 
the demands from the front. The 
quality of coal decreased and where 
only 7 to 10 per cent ash in the coal 
obtained before the war it was neces- 
sary to accept coal with 25 to 30 per 
cent ash. Steel fireboxes were used in 
place of copper, which is foreign to 
German practice. Shut off from the 
mineral oil fields it was necessary to 
use inferior lubricating oil made from 
tar which increased the number of hot 
boxes to over 20,000 per month at the 
beginning of 1920. In 1920, 60 per 
— cent of freight cars were in need of 

The labor troubles at the time of 
olution in 1919 and the beginning of 1920 had also 

















1921 (estimated) 

1922 (estimated).. 





Vol. 72, No. 1 

serious effects on the condition of the equipment. After the 
war the number of employees on the railways increased to a 
marked degree. In 1913 there were 740,000 employees and 
in 1919 this had been increased to 1,121,000; it was reduced 
to 1,091.000 in 1920. Of course the eight-hour day is re- 
spansible for some of this increase. However, with the great 
reduction in traffic there arc far more employees than are 

The depreciation of the mark, has had its influence on the 
increase in expenses, increasing the cost of raw materials 
from $9 per cent of the total expenses in 1913 to 47 per 
cent in 1920. One ton of coal cost 13 marks in 1912 and 

Station at Cologne, Germany 

irks in October, 1921, or 26 times more; one ton of 
r.ul- cost 118 marks in 1913 and 2.277 marks in October, 
1921 or 20 times more. One ten-wheel locomotive cost m 1913 .md 1,580,000 marks, in the summer 

1 . or 17 times more. 

Restoration of German Railways 

first step taken to replenish the depleted rolling 
after the war was to pi or repairs with the idle 

industries and ship yards to kcc|> the workmen busy. The 
amount of work involved cost some 20,000,000,000 marks 
($4,00 t the normal rate of exchange) and in- 

cluded more than 2., son locomotives, 1,600 passenger cars 
md S4.500 freight cars in 1920. I hi- i there 

will be delivered about 1,870 la on 
• i 
["o covei the ra| 

freight rate- have been made, the averages being 
shown - 

• •I ih. s im n .!-• it h 

I .. tin- end 

introduced. Standard rolling stock has been designed to 
[permit of greater production and there has been no hesi- 
tancy in the application of improved devices such as 
superheaters, feedwater heaters, etc., which will reduce the 
cost of operation. 

Present Conditions 

("he situation at present is improving. The trains are 
running more regularly and the passenger service has ma- 
terially improved as compared with two years ago. The speeds 
have increased but arc still under what they were in 1913. 
For instance from Berlin to Frankfort the express-train 
time in January, 1921, was 10 hr. 37 min. instead of 11 hr. 
26 min. as in 1919, and which corresponded to an average 
speed, including stops, of 33 m. p. h. and 30.5 m. p. h.. 
respectively. In 1913 it was 7 hr. 8 min. (corresponding to 
49 m. p. In. 

Future Development 

There has been considerable talk concerning a return to 
private management for the German railways because of the 
deficits that have been experienced and Hugo Stinnes, 
it i- rumored, is seeking control. There is not much likeli- 
hood of this being done, however, for it is believed that 
the new railway finance law now in preparation, which will 
separate the railway affairs from the general state budget 
and the influence of parliament, will produce results com- 
parable to those -cured under private-owner-hip. 

ju;|:l .'liil ami 1511*1! Hi H H3 i 

IH^^M^M««___ ^^^^^ m ^ mm ^ Cmtm *i-^^^ 

A Typical Third-Class Coach in Italy 

gjWQ" • ••* '-■ - •"• 



*& ^S?5 




mM^v *C v~ 

Vienna from the Air 

Railway Situation in Other European Countries 

Comments on the Problems and Present Conditions of the 
Railways in Norway, Sweden, Spain and Belgium 

By Robert E. Thayer 

The railways of the smaller European nations, whether and are some 50 to 100 per cent (of the pre-war rates) lower 
they be state-owned or not and even though they were than the rates in effect during 1920. It is believed that the 
not involved in the war, have been severely hit by present rates, with the general decrease in the cost of ma- 
the war. The following brief notes will give an idea of the terials and labor, will be adequate to meet the expenses for 
situation in Scandinavia, Belgium and Spain. the coming year. The passenger rates have been increased 

(above the 1913 rates) some 238 to 330 

Norway and Sweden ])er cent> accor ding to the distance 

The principal railways of Norway traveled, for first-class passengers; 181 

and Sweden are of 4 ft. 9> l / 2 in. gage. j——,.^ p , . „ to 260 per cent for second-class pas- 

In Norway practically all of the I HtL KA1L WAYb ot Europe, sengerSj and 141 t0 2 07 per cent for 

standard gage lines and 80 per cent of X whether or not they are in third-class passengers. These are the 

all lines (1,850 miles) are operated by the countries which partici- maximum rates since 1913 but a re- 

the state, whereas in Sweden the state pated in the recent war, have not duction is expected early in 1922. 
operates 3,425 miles of line which is been imrnune from the serious ef- In Norwa >' the frei g ht rates haVe 

about one-half of the standard gage . , . _, _ . . Ijeen increased twice since 1913 and 

., , , r ., f . , fects of the war. Deficits are the -, nr . , , • , t n 

mileage and 38 per cent of the total are now 200 per cent higher tor all 

mileage of the country. In both of rule > wlth increased wages and merchandise, with the exception of 
these countries railway expenses have shortened working hours as the certain foodstuffs, fodder, manure and 
increased to an abnormal degree even principal causes. Nowhere has fuel, for which the increase is 160 per 
though they were not direct partici- . tne economic balance been struck cent An attempt has been made by- 
pants in the war. The following _ the hJ fa trans ortation cha the shippers to obtain a decrease be- 
figures give the net results (surpluses . ° r cause of the depressed business condi- 
■or deficits) of gross revenues and ex- required to meet the greatly in- [ions but the government wou id not 
penses for a period of eight years from creased wage bill and material permit it as the railways are still 
I'M 4 to 1921, inclusive. costs threaten to stifle industrial operating with a deficit. The passen- 
In Sweden the freight rates are now development. S er rates are 180 to 190 per cent 

•from 100 per cent to 250 per cent (ac- (first-class) and 140 to 150 per cent 

cording to the nature of the com- """■"■ ^^^^— — ^^^^^^-^— (second- and third-class) above the 

modity) higher than the 1913 rates 1913 rates and are at a maximum 

except for the second-class rates, which have been as much 

\, , Financial Results of Gross Earnings for the Railways of ag jgrj to jqq per cent aboye the jqjj rateg 

Y r Norway and . *^°^ y Sweden The wa g e s in Sweden are about 200 per cent higher than 

1914 $8,i80.ouo $6,290,000 j n 1913, the maximum increase since that time having aver- 

lilS 10,780,000 7,380,000 , , ' - _, Jf. . 

igi6.'.... ..... 12,100,000 6,610,000 aged about 290 per cent. The present wages are subject to 

\l\l- ■■■'■■■■ ■ _4'7io'ooo — ivtoIooo a reduction with the cost of living. The eight-hour day is in 

1919! '.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'. — i4,'570,'ooo i!37o]ooo effect which, with the increase in wages, has been lareelv 

1920 — 14,080.000 7,930,000 ., , . ., . . • »• A 

,92";;; '.'..'."."'.'.'..'.'... responsible for the great increase in operating expenses. A 




VoL 72, No. 1 

similar condition exists in Norway, where wages have 
advanced by 200 to 250 per cent. 

The equipment of both countries has increased as shown 
in the following table; as regards maintenance the condition 
is on the whole about the same as in 1913. Sweden has 
purchased some of its new equipment from foreign countries. 


State Railways ok Norway and Sv 
Ni rway Sweden 


Per cent 

Pei ceni 




increase 1913 




• 38 890 





22 1,697 





34 22,943 



In view of the general shortness of money and also because 
of the poor business conditions throughout the world there 
are no heavy railway capital expenditures to be made in 
either of these two countries. 

Spanish Railways 

That the Spanish railways are in a precarious condition 
is evident to anyone who has traveled in that country. Pas- 
senger trains are consistently late and because of the de- 
f the country and the great amount of work 
to be done the companies themselves find it financially im- 
possible to undertake the necessary work. There is a move- 
ment in government circles to nationalize the railways but 
the government finances will not permit of even this being 
done at present. The rates are not high enough to meet the 
increase in expenses and it has been proposed to increase 
them by an additional 35 per cent — the one and only in- 
crease of 15 per cent was made on January 1, 1919 — making 
a total of 50 per cent above pre-war rates. The Spanish 
senate has approved this increase but the government has 
not seen fit to put it into effect because of the critical condi- 
tion of the nation's business. 

There are four principal lines in Spain: the Northern: 
the Madrid, Zaragoza & Alicante; the Madrid, Caceres & 
Portugal, and the Andalusian, all of which serve individual 
territories with practically no competition. The total mileage 
of the railways is 9,430 miles, most of which has a gage of 
5 ft. 5^4 in. The lines are operated under concessions sim- 
ilar to the French railways and these will expire within 
some 25 year-. 

The latest figures available (1920) show an operating 

ratio of 77.5 per cent but this must be discounted by the poor 

physical condition of the track and equipment. While there 

jome - ,( "i mora locomotives in the year 1920, as com 

with the year 1913 (2. ion in [913 and 2,300 in 1920). 

tin . ondition nf these locomotives was such as to render the 

number of available locomotives much less than in 1913. In 
January, 1921, the Spanish government ordered over 100 
locomotives from Germany at prices some 40 per cent lower 
than those of any other foreign country, including England 
and the United States. Spain imports most of its railway 
material and the United States has always had a large share 
of the car wheel and axle business, but with the depreciation 
of European currencies the real prices of European products 
are much lower than those from the United States. 

The labor situation is by no means settled. Wages have 
increased to a large degree but even with the high rates 
strikes are not uncommon. 


The railways of Belgium have been occupied, chiefly, 
since the war, in the rehabilitation of their lines, equipment 
and structures. The manner in which they have entered upon 
this great ta>k has already been discussed in these columns 
and while it cannot be said that they are back to pre-war 
conditions they have made very marked progress. Belgium 
has taken advantage of the great amount of reconstruction 
work that was required to rebuild their lines with a view to 
greater transportation efficiency and to ultimate electrification. 
The signaling system has been entirely renovated and a new- 
system, which is a combination of American and English 
practice, has been installed under the direction of the late 
L. P. A. Weissenbruch. 

Complete plans for electrification have been evolved and 
are ready for execution as soon as the financial conditions 
of the state permit (all of the main line railways are state- 
owned and operated). For this electrification the direct- 
current system at 1,500 volts with the third-rail has been 
adopted with three-phase power at 45,000 or 50.000 volts at 
I lower stations. 

Belgium has found it necessary to go outside of the 
country fur locomotives, orders for which have been placed 
in the United States and England. In addition there is a 
very marked determination to improve the operating efficiency 
of the locomotives. Extended tests .ire now in progress with 
feedwater heaters and exhaust injectors particularly. Much 
has been accomplished in improved fuel economy (Belgium 
imports most of its locomotive coal) by an excellent system 
of locomotive operation supervision with premiums or bonuses 
for the best performances. 

Naturally the financial situation is and has been very bad 
.uul due to the fact that a large amount of reconstruction 
work lias had to be done it i- not possible to give accuratelv 
.i proper idea of tin- finances Suffici it to say, there have 
been heav, deficits. 


1 K * y .. .. 

j ,n ^ • 


Built by the Baldwin Locomotive Works for the Argentine State Railways 

Railway Chaos Central Europe's Greatest Problem 

Petty Jealousies and 

Endless Custom-House Formalities 


Effectual Barrier to Prosperity 

CENTRAL Europe, by which is meant primarily those 
countries which were carved out of the old Austro- 
Hungarian empire, has a greater distance to travel 
toward restoring pre-war efficiency on its railways than any 
other part of the continent, with the exception of Russia. 
The extent of the disorganization of the railroads in that 
part of Europe was described in considerable detail in two 
articles by Colonel W. B. Causey, American Technical Ad- 
viser to Austria, which appeared in the Railway Age of 
October IS and November 12. In view of the thoroughness 
with which the situation has been treated by Colonel Causey 
and the fact that there have been few developments of any 
special significance since that date, the present article will 
be restricted to a brief summary of the 
principal points brought out by Colonel 
Causey. — 

The economic standstill of Central 
Europe, with that of Russia, is ad- 
mittedly one of the principal factors 
delaying the return of normal business 
conditions in the rest of the world. 
Furthermore, the breakdown of the 
railways in Central Europe is the pri- 
mary cause of the productive ineffi- 
ciency of these countries. The first 
step toward reviving prosperity in 
Central Europe must be the restoration 
of the effective functioning of the rail 

The inability of the railways to 
perform their work properly, while 
partly due to the undermaintenance of 
the physical property, such as roadway 
and equipment, is chargeable princi- 
pally to unwarranted political restric- 

strictions. Before the war traffic 

moved with freedom through the whole 
Austro-Hungarian empire and, with 

only few hindrances, over international boundaries. With 
the breaking up of the old empire into a number of inde- 
pendent states all this freedom has gone. 

The nations are for the most part intensely jealous of each 
other and are chary of permitting the movement of traffic 
over their borders. The principal railway line between 
Vienna and Budapest passes through what is now Czecho- 
slovakia. This line formerly handled an extremely heavy 
business. When the empire was dissolved this was changed. 
The Czecho-Slovacks would not permit the movement of 
Austrian and Hungarian trains through their territory. 
Consequently this main line fell into disuse except for local 
trains in Czecho- Slovakia and traffic between the two great 
cities, Vienna and Budapest, was restricted to a roundabout 
single-track line which led through the mountains. 

Vienna is a great railroad center. Through it all main 

PROSPERITY throughout 
the world lingers, to some 
extent at least, because of 
Central Europe's economic break- 
down. Renewed productive ac- 
tivity in Central Europe awaits a 
return by the railways to pre-war 
efficiency. These railways must 
be freed from the artificial bar- 
riers to the free movement of 
traffic which the new Central 
European states have set up. The 
problem is to secure co-operation 
between the various states and 
bring about physical rehabilita- 
tion of the roads. 

the Danube — Photo from 

routes from the west to the east and south of Europe pass. 
After the war some of the secession states found all their 
railroads centering in Vienna, a foreign city which could be 
reached only by undergoing troublesome customs formalities. 
Let us think an analogous situation in terms of our own 
country. Suppose that each of our states 
was an independent nation, intensely 
- jealous of all the rest. Let us imagine, if 
we can, how traffic on the Lackawanna 
would be affected if there were customs 
boundaries between New York and New 
Jersey, New Jersey and Pennsylvania 
and Pennsylvania and New York, and 
if none of the states desired to admit 
traffic from another. The situation 
would be further aggravated if the 
Lackawanna were the only through 
line to the west. Yet exactly such a 
situation prevails in some parts of Cen- 
tral Europe. Under such conditions in 
this country Kansas could get few of 
the products of Chicago's factories and 
Chicago would suffer for lack of Kan- 
sas wheat. Production would be at a 
standstill as far as all practical pur- 
poses are concerned. A part of the 
nation would starve and the other 

would freeze. Disaster would be gen- 

^^~ ^^~ eral. The world at large would suffer 
from the lack of those goods which it is 
Lccustomed to purchase from us and we would suffer from the 
lack of the commodities which the rest of the world could 
not afford to send to us without payment in kind. Thus 
economic conditions not only in this country, but in the entire 
world, would be affected. 

Similarly the whole world is waiting for a revival of 
business; for Central Europe this means first of all a return 
of railway efficiency. The return of efficiency means that 
co-operation must replace the petty jealousies on the part of 
the new nations. 

Central Europe is bound by universal economic laws. If 
transportation and the free interchange of goods is needlessly 
hindered, then business and prosperity must languish — par- 
ticularly where the transportation tie-up takes place, but also 
in the rest of the world insofar as its productive activity de- 
pends upon exchanging commodities with the country effected. 


Flood Protection for the PekwgKalgan, China — Photo Used by Courtesy American Locomotive Company 

Chinese Railways Experience Normal Year In 1921 

New Construction Greatest Since 1916 — Railways in 
General Earning Substantial Returns 

By Railway Age's Correspondent in China 


Railways in china are classified under three cate- 
s: government, private, and "concessioned." Of 

the last named there are 2,294 miles, consisting of 
the Chinese Eastern, the South Manchurian, the Shantung, 
the Yunnan, and the British portion 
of the Cantan-Kowloon lines. Private ^^^^__^^^^_ 
lines aggregate 47 7 miles and, except 
for two or three provincial efforts, are 
mostlj mining mxiliaries. The gov- 
ernment lines comprise al>out 4,030 

None "i thi i oni essioned" or pri 
vate lino publishes statistics to an 
extent *uft"u ient to yield an intelligent 
impression of their operations. It is 
known, however, thai the i haos on the 
Chinese Eastern has been considerably 
reduced, and that under the guidance 
of John Stevens improved operating 
method lually being intro- 

duced IT»e South Manchurian has 
fell tin genera] -lump in busin 
ficient to - redui tions in 

ii'l • ommon reporl has it thai a 

Vroerii an loan is 

I ilwaj is believed to 
be pi • I thai the 

r.iid industry ha the . 

tal from I I ■ 

and tl littli doing in the peanul trade 1 h<- 

line i possible bj the • 

how b line can b when 

hostile Mining developments 

HINA with a population of 
300.000,000 has but 6,800 miles 
of railways. Manifestly 
this country offers a fertile field — 
offset somewhat by political con- 
ditions, it is true — for railway ex- 
pansion. Steps have been taken 
toward standardization during 
the past year — in specifications 
for equipment, in rates and in ac- 

Keen competition by various 
foreign manufacturers for the 
equipment and supply business. 
Track and bridge materials 
should constitute major purchases 
in immediate future. 

under Japanese direction, however, may \ic sufficient to over- 
come the handicap. 

The only effect of the war on Chinese railways was to 
bring about a shortage of rolling stock, a reduction in in- 
terest charges, and higher costs of 
^^_____^^^^_ operating supplies. The road-bed suf- 
fered no change. During the years of 
1920 and 1921 the shortage of rolling 
stock has been quite adequately cor 
rected. The favorable rates of e\ 
change by which Chinese railways paid 
interest charges and loan instalments 
to foreign creditors swung back to 
d>out normal in 1921, and will mean 
in increase in annual requirem. 
iboul Sia or seven millions of dollars, 

i Chinese i urreni j . i ompared with 191°. 
Materials in stock during the war were 
charged oul of expenses: at prewar 
prices largely, although they had to be 

replaced at war prices. This left ap 
patently large net revenue fund-, when 
a< a matter of fact the management- 

were not particularly Hush with money 

Now that the -tore-- are stocked with 

the higher priced mate-rials, their grad 

nil consumption will swell operating 

expenses and i reate an impression of 

hard times on the lines, when the line- 
will actually have larger free supplies 
"t cash than thej hive had in recent years, 

i difficult t" predict any "free supplies of cash," how- 
ever, for the treasury of the Ministrj of Communications has 

;.il times during the past The hr<t 
mition were the School teachers, who went 

January 7, 1922 



out on strike because of non-payment of salaries. The Min- 
istry of Communications put the teachers back in the schools. 
The military chieftains, also, have undoubtedly had their 
share. During the latter half of the year Wu Pei-fu, in 
command of the armies about Hankow, placed his repre- 
sentatives in the stations on the southern half of the Peking- 




" "'• 1^0^-' V* 


Courtesy American Locomotive Company 
The Peking-Kalgan, China, Traverses a Rugged Country 

Hankow line, and these have remitted the station receipts 
direct to his headquarters. Care has been taken to keep clear 
accounts and to give receipts, so that these earnings will 
enter the statistics of the line and proper credit can be 
claimed by the line from the Ministry of Communications 
and by it from the Ministry of Finance, which in turn will 

sions of service, the usual advancement in the standardiza- 
tion program, and the usual increase in revenues. There has 
been an unusual amount of new construction. 

The year began with north China in the grip of the worst 
famine in 45 years. In the spring came an area of pneu- 
monic plague, in the summer Wu Pei-fu's military move- 
ments around Hankow, and in the fall the floods along the 
southern end of the Tientsin-Pukow. The official figures- 
for 1920 have not been published yet, due, it is said, to the- 
"unscrambling" of the Peking-Hankow and Peking- 
Suiyuan lines, causing a delay in closing the accounts of 
those lines, but it is pretty well known that the operating 
revenues for 1920 were about $90,000,000. If remaining 
months keep up the record of these earlier months, 1921 will 
overtop 1920 by fully five million. From the standpoint of 
railway revenue, the famine was not as disastrous as ex- 
pected. Due in considerable part to funds contributed froirv 
America, no great loss of life occurred. Although famine- 
grain was carried free and other grain at 75 per cent of nor- 
mal rates, the increased tonnage of grain and the longer 
average haul actually increased railway revenue from grain. 

Increasing New Construction 

The year 1921 saw more construction work underway in 
China than any year since 1916, when the war interrupted 
all foreign activities. The most important single piece was 
the completion of the section from Fengchen to Suiyuan, on 
the Mongolian border, and the immediate beginning of a 
further extension to Paotow, on the northern bend of the 
Yellow river. A beginning has been made also on a branch 
line of 80 miles extending from Chinchow on the Peking- 
Mukden to Chaoyang, a coal mining region. 

The Japanese have under active construction the extension 
of the Ssupinkai-Chenchiatun to Taonan. With famine 
sufferers as laborers paid out of surcharges on the various 
railway revenues, the Ministry of Communications has con- 
structed the earthwork of a line from Shihchiachuang, the 

Track Laborers on the Peking-Kalgan, China 

1921 a Normal Year 

debit the Ministry of War. Thus does China progress injunction of the Cheng-tai and the Peking-Hankow railways, 
cutting "red tape" to a minimum. to Tsangchow on the Tientsin-Pukow Railway, together with 

the earthwork and culverts of a branch to the Shantung 
Railway, extending from Weihsien to Cheefoo via Lungkow. 
The year 1921 may be summarized as being typical of 
general conditions during a series of years. There have been 
the inevitable military manoeuvres, the usual pests and ca- The Lung-Hai has work underway at its western end, and 
lamities, and the usual changes in administrative chiefs of the American Red Cross, as a means of famine relief, has 
the highest grades. There have been also the usual exten- constructed 850 miles of highway, much of which can be 

Deliveries of Equipment 



Vol. 72, No. 1 

c.i-ih converted into roadbed for desirable branch lines or 
extensions when it is desired to do so. The preliminary 
work has been undertaken for the double-tracking of the 
Peking-Mukden line from Tongshan to Chingwantao. 

A considerable number of locomotives and cars have been 
delivered during the year. English firm.- secured the orders 
from the Shanghai-Nanking and Belgian makers part of the 
order on the Peking-Hankow. But all of the remainder, the 
Peking-Hankow, the Peking- Suiyuan, the Tientsin-Pukow 
.ind the Peking-Mukden, received their deliveries from 
American sources. With the conclusion of a contract with 
American interests for a large order of locomotives and goods 
wagons by the Peking-Suiyuan a few weeks ago, it would 
seem that the Chinese requirements along this line would 
be nearly met. At least the great shortage which accumu- 
lated during the war will be relieved. On the other hand, 
not much has been done toward an addition or replenish- 
ment of passenger cars, except on the Tientsin-Pukow, which 
has ordered five complete all-steel Pullman trains for the 
liai-Peking run. 

Progress Toward Uniformity 

The standardization program of the government railways 
continued. A uniform classification of goods, with 
weights and distances reckoned in the metric system, has 
been put in force on the contiguous lines, together with 
through-billing of freight. The clearing house in the Minis- 
try of Communications has charge of the auditing. A uni- 
form system of car report- and standard rule- for car distri- 
has also been put in force Perhaps the most drastic- 
step yet taken in the improvement of the service, however, 
was the assumption of risk of damage to goods in transit by 
the government railways, beginning February 1. Railway 
risk rates are 10 per cent higher than owner's ri-k rate-, and 

any of the other pieces of earthwork which could be con- 
verted into rail lines. The line just mentioned is the con 1 
necting link between the Shansi coal fields and the port of 
1 ientsin. The traffic of the Cheng Tai railway pays a re- 

" 1 



Courtesy American Locomotive Company 

High Standards of Track Maintenance on the Peking- Kalgan, 

turn of nearly 9 per cent on that line, and the bulk of this 
traffic would be immedi iiely turned over to the new line. It 
would seem, therefore, that the producers justified 
in offering very liberal terms of security to the management 
in return for a contract to equip the line. If negotiations 

A Junction on the Peking-Kalgan, Cr 

to whil li plan In- ■'. 

t during th 
and lu rn publn lenders tor materi J 


rtunities for Ex] If Material 

•. illi < bin ind for 

1 ibtedly the requirements 

in. h|\ bul at this 
nk the rail and bi 
of the Shihi 

tccessful on the first line, the other- would !><• worth 
looking into, 

I lie "spi< le-t" event of the- \ear wa- the opening of tenders 
lor tin Yellow river bridge A jury of five had been «■ 
to make the award and it soon developed into a quarn 
tween the French, English and Belgian members on the one 
hand, and the \merii an member, supported by tin- Ja 
member, on the other After a series of charges and counter- 
charges from these members, the Chinese management .on- 
eluded to In .Id up the ace anl u hii h had been made to a Bei- 

: :in I be latest tumor i- that neu tender- will be 
■ illed for. to !*• openrtl b\ a new jun 

A Recent Session of the Japanese Imperial Railway Association 

Some Observations on the Japanese Railroads 

2000 Miles of Private Lines Operated in Close Harmony with 
6000 Miles of Nationalized Lines 

By B. B. Milner 


The nationalization of the railway lines in Japan 
effected in 1906-7 did not represent so much a change 
in the plan of administration in the nation's railways 
as it did an expansion of a nucleus 
already state-owned by incorporating 
therewith a large number of important 
privately-owned and operated lines. 
At that time, to the state-owned 
nucleus of 1,500 mi. were added 3,000 
mi. of previously privately-owned and 
operated lines. To this combination 
of 4,500 mi., there have been subse- 
quently added some 1,500 mi. of 
lines, built or purchased, so that the 
present nationalized mileage approxi- 
mates 6,000 mi. This, with 2,000 mi. 
remaining in the hands of private 
owners and operators, constitutes the 
connected lines of the Island Empire. 

A Japanese government loan built 
the first railroad lines in Japan and, 
as in the case of many other large en- 
terprises, the state has always played 
a large role in the development of 
transportation. The co-operation of 
private capital and enterprise was 
encouraged from time to time, essen- 
tially because no other means could be 
commanded for providing promptly 
the mileage for which urgent demands 
had rapidly developed. The right of 
state purchase has been always re- 
served in case of any grant of permission for private 

The first lines, Tokyo to Yokohama and Osaka to Kobe, 
18 and 20 mi. respectively, were completed in 1870 by a 

sents a prearranged devel- 
opment logically following 
state encouragement afforded the 
construction and operation of 
private lines. 

Unified operation incident to 
nationalization carried with it 
standardization in all phases of 
operation, service, equipment and 
maintenance practice. The intro- 
duction of employees' welfare, in- 
struction, insurance and relief 
benefit work began promptly. 

Natural and economic condi- 
tions, cheap hydro-electric cur- 
rent, expensive and limited coal 
supply stimulates the replacement 
of steam by electric operation. 

British engineering corps to 3 ft. 6 in. gage, which was 

made, and has remained, standard upon the islands. The 

widening of this gage to 4 ft. 8^4 in. has been advocated 

from time to time but the probability 

of this being undertaken within any 

reasonable period, if indeed at all, is 

very remote. The matter, it seems, was 
espoused by one of the political parties 
but has recently suffered defeat in the 
Diet. It is generally believed that the 
probable cost was greatly underesti- 
mated for those who advocated the 
change and that greater returns may be 
obtained for the Japanese shippers and 
travelers in the cost and character of 
service, by the expenditure of smaller 
sums and effort in other channels, par- 
ticularly those bearing directly upon 
increases in the capacity of existing 
lines of the present gage. For the 
700-mi. dense traffic line between 
Tokyo and Shimonoseki, one estimate 
of the cost of the gage change, $110,- 
000,000, was certainly a very low 

From State Aid to Nationalization 

State encouragement — in some cases 
financial aid — stimulated private line 
construction and gave to Japan from 
this source more than 1,000 mi. 
of line within one ten-year period. 
Mileage having been provided,, the question next de- 
manding attention was how these private lines, mostly 
short, disconnected and scattered about the country might 
be extended and organized into a single through-line system 




Vol. 72, No. 1 

in?uring uniformly efficient service. This question was 
answered by the large nationalization project under which 
the purchase of 17 private lines was accomplished in 1906-7 
by the issue of five per cent domestic loan bonds. In the 
case of nine properties, the price of purchase was determined 
upon the basis of previous operating profits. With the eight 
properties remaining the price was amicably arranged be- 
tween the contracting parties so that in not one case was it 
ry to make use of the arbitration committee provided 
for in the law authorizing the purchases. 

The work of 1906-7, and consequent removal of many and 
various difficulties incident to the previous independent man- 
agement of the many lines, indeed marked an epoch in the 
history of Japanese railroad operation. The Imperial Govern- 
ment Railway accounts are maintained separate and apart 
from other branches of governmental activities and all dis- 
bursements, construction, operation, and improvement costs 
are met from the profits accruing from traffic and a few 
closely related activities. 

From the standpoint of utility, the result> of government 
ownership and operation have been satisfactory. 1 he service 
has been greatly improved, lines have been extended to re- 
mote quarters wherein private lines could not hope to suc- 
ceed, passenger and freight rates have been lowered in spite 
of the general advances in the cost of labor and materials. 
The capitalization of the lines was in 1918, $594,956,867, 
and the profits from operation amounted to 5.8 per cent over 
a term of years including the years ending in 1914, 15, 
16. 17 and 18, within which years the profits amounted to 

been divided into six grand divisions having headquarters 
at Sapporo, Sendai, Tokyo, Nagoya, Kobe and Moji respec- 

Tracks and Construction Work 

The excellent condition of tracks, grade, alinement and 

ballast, is striking, particularly in view of the heavy rainfall 

Typical Railroad Shop Bath House 

and the amount of water to be contended with generally; it 
is only fair, however, to call attention to the maintenance- 
advantages enjoyed by reason of the relatively low wheel 
loads and speeds. The latter average, for passenger trains, 




Old lint "" 




f 1 








tie* Line \ 

- "^ 

Japanese Government Electrified Lines Near Tokyo and Projected Extensions 

. 7 .\ jinl - !•. During 

following i i train mile 

• ■ 1 1 while i 


With the conaolidatia 
changed from departmental to have 

from p h and for freight trains, from 15 to 

p, h. on the more level sections. The excellent chant 
i lining wall and other maaonr) 
ind upon all the lines ta very noteworthy 
1 In the main line, south of Tokyo and Yokohaffl 

important I tction work, known a- the Atami low 

short line between Cora and Nurnara, la under mj 
I lu< includet i five mile tunnel, work upon which hat pene- 

January 7, 1922 



trated a distance of one mi. from each end. This under- 
taking was originally estimated to cost $12,000,000, but 
some $17,500,000 has already been expended and a further 
like sum will be required for its completion. This increased 
cost is practically all due to the increased cost of labor and 
materials and therefore does not affect the ratio value of 
savings and operating advantages over those of the old line. 
By the time this new line is ready for use, the replacement 
of steam with electric operation will have been extended 
south and west from Tokyo and Yokohama to Numazu 
(79 mi.) or further. 

Development of Electrified Lines 

The line between Manseibashi station in Tokyo to Na- 
kano in the suburbs (8 mi.) was electrified in 1905 before 

Japanese State Railway System 

the Kobu Railway, of which this section formed a part, 
was taken over by the government in 1906-7 and is now 
known as the Central Line. Then came the electrification of 
the Yamate Line from Shinagawa around through the 
suburbs of Tokyo to Ueno station and Akabane which was 
completed in 1910. The crossing of Usui pass west of 
Tokyo presented great engineering difficulties and on what 
continues to be the best location possible there is a vertical 
lift of 1,817 ft. in the 6.9 mi. from Yokogawa to Karuizawa 
and a total of 26 tunnels of length aggregating 2.8 mi. The 
obvious discomforts and difficulties incident to steam opera- 
tion were eliminated in 1912 by the use of electric loco- 
motives. On 5.2 mi. of this line the grade amounts to 1 in 
15 or 6.7 per cent. Rack rails continue to be used and such 
an operation as part of a through line railroad remains 
unparalleled in the world. 

The operation of a new double track electric suburban 
passenger service line between Tokyo and Yokohama (18 
mi.) followed in 1915. This line, except for a short section 
between Tokyo station and Shinagawa, is operated at 1,200 
volts instead of 600 volts, in view of contemplated extension 
of electric service over the present steam lines to Yokosuka, 

and the extension of suburban electric service from Sakara- 
gicho (present terminus of suburban service within the city 
of Yokohama) to Ofuna, thence to Kozu and ultimately to 
Numazu and beyond over the Atami low grade cut-off. 

The power sources provided for all of these electric opera- 
tions were steam plants but more recently much attention has 
been given to possibilities of hydro-electric development in 
Japan generally, which is naturally suggested by the avail- 
able water power and the economic necessity of conserving 
Japan's limited coal supply for such industrial purposes 
as cannot be served by electricity. In the Railway Age of 
December 10, reference was made to large orders for hydro- 
electric apparatus recently placed in this country. The Gov- 
ernment Railways have now on order with three builders 
six electric locomotives for experimental use in lieu of steam 
locomotives on the lower grade lines about Tokyo as an 
initial step in an electrification program which spreads over 
three five-year periods and contemplates the replacement of 
steam on some 500 mi. of the more dense traffic sections of 
the lines around and south of Tokyo. 

Standardization of Equipment 

The extension of government ownership and operation 
brought with it standardization in many particulars and 

Imperial Railway Association Club House at Tokyo 

extensive investigations of various subjects and phases of 
railroad operation along broad lines, many of which have 
become the foundation of definite policy. The standardiza- 
tion of passenger car equipment was accomplished by the 
end of 1910. In the meantime little equipment was built 
save that possible with the materials on hand and taken over 
with the old private lines by the government. The lengths 
of the new standard cars became 55J4 feet for four-wheel 
truck cars and 66 feet for six-wheel truck cars, against the 
prevailing 26 feet for the ordinary four-wheel cars replaced. 
The passenger car equipment of Japan is now electrically 



Vol. 72, No. 1 

lighted (axle generator system), -team heated (pressure 
) ) and equipped with vacuum or air brakes and Eng- 
lish hook couplers. The latter are scheduled for replacement 
with automatic coupler? as used in America in accordance 
with a carefully arranged program which will be pursued 
more or less rapidly as funds become available. 

Corresponding organized standardization work was under- 
taken with reganl to freight ear equipment. The capacity 
of the larger cars at the time was seven tons and 1911-12 
saw the completion of designs for standard nine-ton cars and 
standardization of two-axle designs for seven and ten-ton 
capacities respectively, which replaced more than 100 de- 
sign- then on hand and in use. The link and pin couplers 
found in the northern island ( Hokaido) lines were promptly 
replaced with American automatic couplers. By 1015 the 
capacity of standard car- on the main and southern islands 
became 15 tons, that of the lb kaido lines, handling a large- 
coal business. 25 tons, and within ten years this capacity 
and SO tons will doubtless be standard upon all the lines. 

Economic factor- and the preservation of a proper ratio 
between the weight of carload shipments offered by Japanese 
shippers and the capacity of cars supplied therefor, renders 
inexpedient too rapid introduction of high capacity cars such 
as currently used in America. The progressive disposition 
of the Japanese will push these capacities ahead just as 
promptly as operating conditions will warrant. Complete 
replacement of the hook coupler is programmed along with 
the introduction of the compressed air brake, there having 
ix'en already shipped from America some 200 locomotive 
sets, 250 passenger car sets and 350 freight car sets. 

Four types of locomotives were promptly standardized; 
a heavy grade 0-10-0 type, a Consolidation, an American 
(4-4-0) and a Mogul. A Pacific type passenger locomotive 
has subsequently been developed. All locomotive equipment 
has for some eight or nine years, been manufactured at 
plants developed al I tsaka and Kobe. 

A complete reorganization of repair shops was planned 
and undertaken. Ten leading plants were closed, eight de- 
veloped and some 25 are now operated. 15 of which handle 
both car and locomotive work, one exclusively locomotive 
work, and nine exclusively car work. As in the case of 

Kxterior of Formosa Government Railway Private Car 

quipmenl i- now being built in the 
1 1/ . diners, 
rvemmenl railroad 
ad <<>, the third rail) and a 

n ■.: ■ u 

it ir building 

plant ! • 

Imperial I \ .sociation 

■ • || 
- from all i 'Million 

which hold- i rwiu >l n i- • jjjg points much as docs 

the American Railway Association and its branches. The 
association occupies the unique position, however, of having 
provided itself with a well appointed club house at Tokyo, 
which constitutes a most convenient and comfortable rendez- 
vous for members living in and visiting the capital. 

Research Bureau 

The testing and research work of the lines was organized 
in a railway research bureau well equipped with physical 
and chemical laboratory facilities, a locomotive testing plant 
and a most complete dynamometer car which was purchased 
in the States. The reports of the bureau's work are issued 
in printed form from time to time in a manner suggesting the 

Tracks and Signals Near Yokohama 

practice of those line- in the United States which have spent 
the most time and funds on the matter of tests and reports. 

Railway Institute 

The Railway Institute, which was organized in 1909. for 
training railway men, is especially noteworthy. At the Cen- 
tral Institute, located in Tokyo, about 200 students are 
quartered, much as in a boarding school, for two years of 
training in either a railway business, mechanical or an elec- 
trical course. The students are selected from the ranks of 
young employees in accordance with aptitude and fitness de- 
veloped in their Service, and 'heir regular compensation is 
continued during the term of their schooling. A special lan- 
guage course covering English and the elements of Russian is 
provided for those who elect it. The 1,000 students who have 

raduated since the opening of the Institute in 1909 are 
scattered in railroad service all over the Empire. Of these 
about ISO have availed themselves of a training in the 
language course referred to. There have been also estab- 
lished upon each grand division, district institutes providing 

•mplete business and technical courses, also special 
training courses for conductors, stationmen. enginemen, fire- 
men. i,ir inspectors, telegraph operators, etc 

Welfare Work 

Employee's welfare work has been given a prominent place 
in the activities of the administration. Four hospitals have 
been established besides some 15 dressing rooms and dis- 
pensariea at shops and some 20 at other points. Treatment 
includes internal as well as injur} and other sui 

.ur paid from the railroad treasury A large 

■ ; lilroad physil iana covering the entire lines has been 

I these attend to the physical examinations DOW 

required for employment and the medical treatment of em- 

their families and passengers in the sections In- 
dividually assigned them. An insurance institution designed 
to fun | md death benefit relief to members and 

famili ueh relief under three classifications to 

iployees The lubscriptiona from member* 
n amounting to about three-fifths of the cost. 

The Circuitous Darjecling Himalayan Railway, India 

The Indian Railways Face a Serious Problem 

New Equipment and Plant Needed — Country Hampered by the 
Lack of Facilities 

By Robert E. Thayer 

The present problem of the Indian railways is phys- 
ical rather than financial. For the past 45 years the 
net earnings of the capital invested in the railways 
las never been below four per cent and for the past 20 years 
it has been below five per cent only 

three times. Notwithstanding this 

favorable showing, the railways have 

been allowed to deteriorate so that at 
present there are scores of bridges 
which are unfit to carry the modern 
train loads and there are many miles 
of rails, hundreds of engines and thou- 
sands of freight cars in service that 
should have been replaced some time 

Government Starves Railroads 

It has been the policy of the govern- 
ment in the past to appropriate the 
bulk of the railway's earnings for gen- 
eral governmental expenses with the 
result that the development of the rail- 
ways has been sadly neglected. 

For the fiscal year ending March 3 1 , 
1920, the revenue receipts from the 
railways was $266,500,000 as against =^=^^^^^^ 
$585,000,000 of other receipts, or 
nearly half as large as all the other 

receipts in the budget put together. The money that 
should have been available for improved railway facil- 
ities was appropriated to relieve the taxpayer. In 1907 the 
Mackey Committee, which was investigating Indian railway 
conditions, recommended a yearly capital expenditure of 
some $60,000,000 as necessary for keeping the railways up 
to the proper standard of development and improvement. It 
is interesting to note that for the eight fiscal years (1908- 

INDIAN railways are financially 
prosperous, but under control 
of the state and having their 
finances mixed in with the general 
budget, the surplus earnings are 
taken for general state expenses, 
. thus reducing taxation. 

Their physical condition is such 
that they cannot properly take 
care of the present traffic require,- 
ments, to say nothing of the an- 
ticipated requirements. 

Heavy expenditures must be 
made to improve the railway 

1916) an average of only about $50,000,000 was spent and 

for the three following years only $17,500,000. During the 

last three years — 1919-1922 — the capital appropriations have 

averaged about $72,000,000. The time has come when it is 

impossible to restrict further capital 

expenditures for improvements, for 

1 maintenance and renewals are sadly in 


Not only has the lack of sufficient 
capital appropriations hampered the 
development of the Indian railways 
but the fact that these appropriations 
are only good for one year with no as- 
surances of renewal has made it impos- 
sible, in many cases, to use the sums 
appropriated to the best possible ad- 

General Business Suffers 

This lack of proper maintenance and 
development has had a serious effect 
on Indian business. Large new coal 
areas remain undeveloped and new in- 
dustries are being held up because of 
the lack of railway facilities. There 
— has been a serious shortage of freight 
cars, and passenger travel, particu- 
larly the third-class, has been crowded. 
Frequent embargoes have resulted from insufficient track 
capacity at classification junctions. Shippers have been 
forced to use road transport both by truck and camel trains. 
In one case the European oil seed market was lost owing to 
lack of railway transport. The situation has become so bad 
that the Associated Chambers of Commerce of India and 
Ceylon has gone on record for drastic revision in the present 
railway policy. 




Vol. 72, No. 1 

1 he opportunities of development in India are well indi- 
cated by the fact thai with an area of 1,800,000 square mile? 
— almost as large as the United States — and a population of 
.500,000,000 — three times as large as the United States — 
there are only 36,735 route miles of railways. Coupled with 
this is the very apparent prospects in the improvement of 
trade. Of the 36,735 miles of railroad about 49 per cent is 
of 5 ft. 6 in. gage and 41 per cent 3 ft. 3^6 in.; the rest is 
2 ft. 6 in. and 2 ft. gage. 

The Indian railways may be divided into five general 

it, lines worked by the state. 
Stati lines worked by guaranteed or independent coraj 
> mpany lines worked by companies 

- is belonging to Indian 

The first two classes comprise about two-thirds of the 
t-ntire mileage in India. 

Principal Indian Railways (March 31, 

5 ft. 6 in. 3 ft. 3H in. 2 ft 6 in. 2 t't. 
gage gage gage gage 

State lines worked by state 5.863 1.141 333 7,369 

State lines worked by companies.... 9,741 8.306 927 46 

Rram-h line companies under rebate 

terms and worked by main lines. . . 1,160 122 298 108 

Companies lines subsidized by the 

ment of India 206 1.729 234 

Indian state lines worked by Indian 

states 2,123 171 302 

Indian state lines worked by mam 

lines 632 804 386 

Companies lines guaranteed by Indian 

states 330 391 39 

Note — The grand total route mileage of all railways in India 


Table I gives an idea of the distribution of the mileage as 
between the different gages. The broad gage (5 ft. 6 in.) 
was chosen in 1851 when the railways were first built in 
India for the greater stability it offered as compared to the 
4 ft. &y 2 in. gage. The 3 ft. 3% in. gage was adopted for 
auxiliary lines to the broad gage lines but they have ex- 
panded to such an extent that they now serve large areas, 
as indicated by the mileage figures. Even the real narrow 
gage lines, which are only feeder lines, have developed 
rapidly in the past ten years. 

At the close of the fiscal year 1919-1920, the open mileage 
increased to 36,735 from 32,099 of ten years ago; it is now 
made up as follows: 

Increase in 10 Yen- 
Gage Present Mileage Per Cent 

', in. 17.9'ui 7.71 

3 ft. 3M in 15.1X1 

2 ft. 6 in. 10.4 

2 ft. 638 47.6 

V the close of the year there were 1,822 miles under 
iction, or sanctioned for construction, of which there 
>5 mil's ,,f s ft (, in gage an( ] S05 miles of 3 ft. 

Revenue and Expenses 

As has already been stated, the Indian railways are in a 
good financial position. At the end of the financial year 
in 1920 there was a capital of some $2,000,000,000 invested 
in the Indian railways and even in that year the return on 
that capital was 6.8 per cent. 


I All Indian Railways l Five Vears) 
Fiscal Year Ending March 31 

1916 1917 1918 1919 1920 

Open route mileage 35,833 36,286 36,333 36,616 36.735 

millions) $1,722 $1,741 $1,765 $1,785 $1,840 

linings (millions 10 $230 $251.5 $280.5 $290 

Total w'king expenses (millions) $107 $108.5 $114.8 $136 $164.8 

Operating ratio (per cent) 50.91 47.26 45.72 48.45 56.81 

Return on capital (per cent) 5.99 6.96 7.75 8.09 6.80 

Train mileage (millions) 159 163.6 157. 158.6 162.2 

Cross earnings per train mile $1.32 $1.40 $1.60 $1.77 $1.79 

Working expenses per train mile $ .67 $ .66 $ .73 $ .86 $1.02 

Xet earnings p. ? .65 S .74 $ .87 $ .91 $ .77 

Freight ton-miles (millions). . . [7,158 19,826 21,015 22.141 20.402 

16,529 17.S4.. 16,204 18.040 20.615 

Av. ml 08 2 :5.87 242.88 232.33 

Av. rate per ton-mile (cents).. .735 .68 .691 .721 .75 

Av. passenger journey (miles). 35.59 36.82 37.66 39.24 39.64 
Av. rate per passenger mile: 

First-class (cents) 255 2.8 2.585 2.715 

lass (cents) 931 .858 1.145 1.21 1.351 

Intermediate 535 .531 .6* .705 .713 

Third-class (cents) I8S «- .47 .484 .48 

or commutation (cts.) .24 .242 .254 .252 .26 

Total Hentsl 412 419 .505 .516 .519 

["able II Ljives an excellent idea of the financial perfor- 
mance of these roads for the past five years. It will be noted 
that even through the war the operating ratio was very low 
and the last year it was only 56.81 per cent. And with it 
all the rates were exceedingly low. It seems a pity, there- 
fore, that with this excellent showing as an operating unit 
the railways should be in such a poor physical condition. 

Reorganization Planned 

Such has been the service rendered by the Indian railways 
to the public. Because of the large number of complaints 
received from the shippers the British government through 
the Secretary of State for India caused a searching inquiry 
to be made by a special committee, headed by Sir William 
M. Acworth, into the administration and working of the 
Indian railways. This committee has recently made its re- 
port and while it was unanimous in its decision that the 
railway budget should be kept separate from the state budget, 
it was divided in its opinion as to the administrative policy. 

Sir William headed the group favoring state management. 
as opposed to the recommendation of the other group recom- 
mending private companies with a board of directors. In 
commenting on his discussion in the matter Sir William has 
-aid that although he has U-en and is a thorough believer in 
private management he was forced in this particular instano 
by the tacts as he found them, to recommend the state man 
inite decision has yet Itocn made, but one 
thing is sure something must lie done immediate!) 

New York Central Yard* and Elevators at Wechawken. N. J 

Unifying the Railway Gages of Australia 

Exchange of Traffic Between the Different States of the 
Commonwealth Now Greatly Hampered 

By F. M. Whyte 


In February, 1921, a commission was appointed by the 
Commonwealth Government of Australia, in agreement 
with the five continental states of the Commonwealth, to 
recommend a standard gage of track 

for the railways on the continent; to ^^____^^^^_ 
give the reasons for such recommenda- 
tion; to estimate the cost of providing 
between the capital cities the gage of 
track recommended and any new lines 
necessary to accomplish this desire; the 
estimated cost of converting all lines to 
the gage recommended; the methods 
by which the work should be executed 
and controlled; and whether any third- 
rail or other mechanical device should 
be used, if so, what one. In order to 
give to the commission plenary powers, 
it was made a Royal Commission. Its 
personnel was to be an Australian out- 
side of the railway service (John J. 
Gavan, of Sydney, was appointed as 
such and was also appointed chair- 
man) ; a civil engineer from England 
(Rustat Blake, of London, was ap- 
pointed); and a mechanical engineer ^^^^^^^^^^ 
from America (for this assignment the 
writer was appointed). 

The railways of the sixth state, the Island of Tasmania, 
were not included in the investigation; these have no physi- 
cal connection with those on the continent. 

It will be noted that the questions submitted to the Com- 
mission refer in no way to improvement of present tracks, 

HE five continental states of 
Australia built their rail- 
roads independently and 
without regard to interchange of 
traffic. Several different track 
gages were used. 

Recommendations of a special 
commission were accepted early 
in November last, and work will 
doubtless be started shortly, look- 
ing toward the final standardiza- 
tion to a 4 ft. 8 l / 2 in. gage. The 
more important changes can be 
made by 1930 if work is started 

structures, and equipment, nor to taking up deferred main- 

It is desirable, before considering the report of the com- 
mission to present some data and gen- 
^^^^^^^^^__ eral information about Australia be- 
cause a great many persons in America 
have rather hazy ideas of that distant 
country and there seems to be a gen- 
eral desire to know more about it. 

The area of the continent of Australia, 
disregarding Tasmania, is greater, by 
an area of that of New Hampshire and 
New Jersey combined, than the land 
area of the continental United States. 
This area of Australia had in 1921 a 
population, aside from aboriginals, of, 
roundly, 5,200,000, and about 44^ 
per cent of these were in the capital 
cities of Sydney, Melbourne, Adelaide, 
Brisbane and Perth. The maps will 
indicate that these are sea-port cities 
or have sea-ports nearby. 

In the year 1920-1921, the imports, 
for the continent and Tasmania, were 
wtlued at £163,000,000; the exports 
were valued at £132,000,000; and the 
total trade at £295,000,000. The 
value of the imports from the United States was £23,826,000, 
or 24 per cent of the total and the value of the exports to 
the United States was £11,130,000, or 7.4 per cent of the 
total exports. 

The Commonwealth was proclaimed in 1901; for various 





Vol. 72, No. 1 

periods of rime previous to that year the different states had 
Ixvn separate colonies of the Crown. It is now a Dominion 
within the British Empire. 

Different States Build Railways Independently 

The first railway built in Australia extended west from 
Sydney, New South Wales, and the gage approved for it 
was 4 ft. .->'_■ in. At about the same time the same gage 
was a] i short line at Melbourne, Victoria. Soon 

after this, New South Wales changed to S ft. 3 in., possibly 
because locomotives with inside cylinders were considered to 
l>e desirable at that time. The then colony of Victoria also 
changed to 5 ft. 3 in . but not by agreement with New South 

that gage. The Commonwealth built the Trans-Australian 
Railway from Kalgoorlie. in Western Australia, to Port 
Augusta, in Smith Australia, to connect the western state with 
the eastern states. This road, 1,051 miles long, was opened 
for traffic in October, 1917. It is thoroughly up-to-date in 
its equipment. 

There is a -mall mileage of gage- of less than 3 ft. 6 in., 
hut these railways are not of importance. 

There i- consideral le mileage of privately-owned rail- 
way- .mil these are generally of the sami gage as the state- 
owned railways with which they connect. These were not 
considered in tin scheme of unification of g 

The policy of the Commonwealth and the states of con- 




Nad :. 







l| Rockhompton 

| L 


SOUTH A U\S T R A 1 1 A 






Cunnamulla Ditronbandi 


^.rbojo^ NEW M 
JVxg» r WALES' 



(Eicluding Tasmoma) 

o> 00 HO 4» SCO 



4- ay- 
s' J" 



1 141 


' to- 



Fig. I. Map of Australia. Showing Present Railway Systems 

imi.i1 to thi 
did not follow, and the 

red to 

m the 

structing and operating railway independently ol each other 
had resulted, to the time of thi investigation, in the building 

mam line. 5,4M miles I total 

miles, of three different 





January 7, 1922 



These totals indicate that, on a population basis, Austra- 
lia has about 2 l / 2 times the railway mileage of the United 
States. Compared on the basis of area, the situation is quite 

It is apparent from the maps, that the railway develop- 
ment in Australia has been carried out by the separate 
colonies and, later, by the respective states, with the main 
idea of developing the particular colony or state irrespective 
of any other colony or state and while the state jealousies 
-till exist, there are indubitable evidences that these jealous- 
ies are disappearing gradually. 

The harbors which have been developed most extensively 
are at the state capitals, and it will be noted how the rail- 
ways of each state radiate from the respective capitals. Such 
an arrangement will certainly burden the transcontinental 
and a considerable part of the interstate traffic. The proper 
solution of this condition seems to be that, if private enter- 
prise is to be barred, the Commonwealth should take an in- 
terest in the railway development of the states to the extent, 
at least, of determining locations of lines to meet, and to 
develop, interstate communication. 

The Present Gages 

The railways as they are at present are shown in Fig. 1 ; 
the track ?a?es are indicated by the forms of the lines. It 

clearly the possibilities of the continent and who have been 
interested in its development have agitated for some years 
the desirability of unifying the gages of the railways, and 
since the Commonwealth was proclaimed in 1901, various 
estimates of the cost for doing the work have been made by 
railway officials of the Commonwealth and the states, but 
'without, apparently, mutual understanding as to what im- 
provements and deferred maintenance costs should be in- 
cluded in the cost of unifying the gages. The Common- 
wealth officials thought that many items, not directly charge- 
able to unification, had been included in the estimates, there- 
fore the Commonwealth and the states agreed to the appoint- 
ment of a disinterested commission and to abide by the 
recommendations of such commission. 

It was further agreed that when the work was done, one- 
fifth of the cost should be borne by the Commonwealth 
and the remainder to be apportioned to the five states on a. 
population basis. 

Changes Recommended 

The commission recommended the adoption of the 4 ft. 
S 1 /? in. gage as standard. It was considered that any gage 
greater than 5 ft. 3 in., the maximum in Australia, would 
not be justified and that any difference in the results to be 
obtained with the 5 ft. 3 in. over the 4 ft. 8V2 in. would. 

Fig. 2. Showing Changes in Gage Recommended by the Royal Commission 

will be seen that the entire railway mileage of the extreme 
northeast state, Queensland, and of the extreme western 
state, Western Australia, are of 3 ft. 6 in. gage; and about 
one-half the mileage in South Australia is of the same gage. 
All the lines in Victoria and about one-half of those in South 
Australia are 5 ft. 3 in. gage and these are located between 
the 4 ft. &y 2 in. lines of New South Wales and the Trans- 
Australian Railway of the same gage, except that for 130 
miles east of the latter railway the gage is 3 ft. 6 in., con- 
necting with the 5 ft. 3 in. gage of South Australia. In the 
present line connecting Brisbane and Perth there are five 
breaks of gage, the distance by the present route being 3,488 
miles. Under the present system of operating there are 
three other places where passengers must transfer and where 
mail, baggage and express are generally transferred, these 
being Sydney, Melbourne and Adelaide. 

At present the heaviest transfer of traffic is between Vic- 
toria and New South Wales. Such traffic is passengers, 
baggage, mail and express at all times; coal from New South 
Wales to Victoria and beyond, when there is difficulty with 
the coastwise shipping; and livestock fodder in the reverse 
direction, when conditions demand. 

Those persons in Australia who have understood more 

not justify any materially greater cost for the former. It 
will cost considerably less to install the 4 ft. 9> l / 2 in. gage 
because a very large percentage of the axles of locomotives 
and rolling stock can be saved, as can the 7 ft. ties now in 
place on a large mileage of the 3 ft. 6 in. gage track. 

The Prime Minister and the premiers of the five states 
interested met in early November last and agreed upon the 
4 ft. 8^2 in. gage as standard. They are to meet early in 
1922 to decide what part of the work is to be undertaken 
and when it should be begun. 
Distance to Be Cut Between Brisbane and Sydney 
The commission recommended for the main trunk line 
connecting Brisbane and Perth that a new line be constructed 
from Brisbane to the Queensland-New South Wales border; 
the north coast line of the latter state be extended northward 
to meet the new line, thus shortening the distance between 
Brisbane and Sydney by 101 miles and obtaining decidedly 
more favorable gradients; that all of the 5 ft. 3 in. lines in 
Victoria and in South Australia be converted and the new- 
line along Spencer's Gulf from Adelaide to Port Augusta be 
constructed, thus reducing the distance 70 miles and provid- 
ing much more favorable gradients; and the converting of 



Vol. 72, No. 1 

al-out .->10 miles of 3 ft. r. in. irack, same of it to be changed 
in location, and the construction of about 70 miles of new 
track in V -alia. The estimate tor doing this 

work and providing the necessary locomotives and rolling 
-tock. some of it to be new and some to Ik- converted, 
was £21,600,000 or, at normal exchange, about $105,000,000.. 
This expenditure would provide from Brisbane to Fre- 
mantle (Perth) by the revised route, rails weighing not less 
than 80 11>. per yard and roadbed, including bridg 

g with thai weight of rail, together with the necessary 

high-grade locomotives and rolling stock. A considerable 

if the present .mileage making up the revised route i- 

laid with 80 lb. rails and in some places there are °0 lb. 

and 100 lb. rail. 

Can Be Completed by 1930 

I he- map. Fig. 2. shows what the situation will lie with 
gi - when such main trunk line i- provided: 
practically 54 per cent of the present total main line and 
sidings will then lie 4 ft. V _• in. gage. The work can be 
completed by 1930 if started promptly, and present indicu 
tions are that it will be started soon. The necessary tinanc 
ing can be provided and the labor and materials can l>e pro- 
• ured in Australia. 

Th< remaining 40 per cent of the trackage is 3 ft. 6 in. 
and the commission recommended that these lines be 
changed less rapidly, that 25 or 30 war- might be a reason- 
able time in which to accomplish the entire undertaking. s" 
that rolling equipment may be worn out without being con- 
verted, that wider bridges may be provided when renewals 
are necessary, that fills and cuts may be widened as condi- 
tions permit, and that new alinements may be provided 
through rugged country- where the radii of curves are too 
short for the broader gage. The more imj>ortant lines should 
be converted first and the others to be converted in sections 
of such length and at such times as conditions may justify. 

The commission recommends that, in changing the 5 ft. 
i in lines, one rail be moved in 6] in., the total difference 
i» thi -tation platforms, which are very generally 

elevated, at tunnels and other structures the rail- and ties 
be slewed i]4 in. so as to maintain the present location of 
tr;n k center. Also, that the rail be moved in long 1 t-ri Lit li - , 

ly 100 miles, or more, in two or three days after 
s.irv preparatory work has been done. The rail- an I - 
tion, very similar to the sections used in Amen. a. at 

fly upon the ties, or tie plates, and a complication in 

Hon with moving one rail on these lines is thi 

that the rail- are now canted inwardly, nominally 1 in 20 

and 1 in 26; ho w ev e r, actual measuring of the canting dis- 

that tin .anting varied from 1 in 12 to 1 in 40. 

Similar checking of rail- laid, normally, Bat on the tics, dis 

ll these varied from 1 in 60 outwardly to 

1 in 70 inwardly. No effort was made to find the extremes 

iting and it i- probable thai the foregoing data do not 
i the extn m 

in mind, h was considered to be entirely 

riil in and place it cm the ties, even 

ntually, the 
However, to i onvince 
aIic. might doubl the wisdom of thi-. 

tO lie a\\ and 
ted rail and 

ing inside 

i - win. h are -nit 

■. ardly, 

be treated similarly and the cross members of the trucks 
shortened. A very large percentage of the freight equip- 
ment is of the four-wheel type, without trucks, and the axles 
for these will l>e treated as the other axles and the location 
of the pedestal attachment; to the body will be changed to 
give the desired sp vise It will be a rather easy 

undertaking to change a large percentage of the equipment. 

7 ft. Ties May Be Retained 

It was recommended that, when the 3 ft. 6 in. gage is 

] \ rail lie moved outwardly 7'i in., one-half the 

difference in \ large mileage of the narrow gage 

Uniform Gage Commission of Australia 

Lett to Right: F. 
Rail-uv\s: and ,Y. 

'.'. Wkytt and R.istal Blake. Members of the Vnifo 
Littleton E. Groom. Federal Minuter for Works a 
(7. Bell. Commissioner of the Com** ■ 

is en ties 1 ft, long, and tor the present wheel loads these 
ties are sufficiently long for the 4 ft. i] .- in. gage, but it was 
recommended that ties 8 ft. long be placed two at each rail 
joint and two intermediate where joints are opposite, or 
two at cadi rail joint where joints are sta g gered. If wheel 
loads are to be increased to such an extent as to make neces- 
sary ties longer than 7 ft., then improvement is involved 
and make- necessary an adjustment in costs between the 
owning -tati- and the other parties, the Commonwealth and 
to tin agreement. It was the possible saving of these 
3 ft. ties which determined, to 8 great extent, the recommen- 
dation of the 4 ft. s ; . in, gage Under the plan proposed. 
none of the 3 ft. 6 in rolling equipment would be converted 
for u-e on the broader gage. 

It was recommended that the work in each state should 
be executed under the supervision of the same offices as have 
charge of the corresponding work now, but that there be 
in genera] control of the entire undertaking I director 
who will have almost absolute authority in determining what 
-hall be done, and when, and in the accounting. 

Positive recommendations were made against the use of a 

third rail or a mechanical device- and empha-i- was placed 

upon the desirability of centering attention upon the prob- 
lem of actuall) changing th brack and rolling 

Is I \ w BRUNSW1C3 the raflroadl 

celebrated \. M Year's elav l.v a big -now-torm On Sunday 
nighl ■ N I train- were reported snow- 

bound in the Folltigh mountain- section There was ■ com- 
plete tie up i Springhill Junction and Truro. 
With huge snowbanks lour were 

■ v shovellers wen 

ul from Monetae end riuro to dig out the trains. The 

John and Halifax were blockaded 

inal and Harbor. East London. South Afr 

-Photo by Under;,;;,! & Unie 

South African Railways Progress Despite Deficits 

Electrification and Other Projects Advancing Regardless of 
Unfortunate Earnings Position 

By M. T. Griffin 


The present unfortunate position of the South African 
Railways, the government lines, was epitomized re- 
cently in a statement by the famous South African 
statesman, General Jan C. Smuts. He said: 

"The railway situation is most 
grave, revenue having fallen approxi- ^^^_____^^_ 
mately £500,000 during the past six 
months below the amount estimated. 
During the past year £28,348,000 was 
the total railway expenditure, being an 
increase of £13,800,000, or 95 per 
cent, over (the fiscal year) 1913-14. 
Of this increased expenditure over 
£10,000,000 was accounted for in in- 
creased salaries, wages, allowances 
and war bonus. At the present time 
depression is weighing like an intoler- 
able load on this country — but I do 
not despair of the future. The condi- 
tions in South Africa are sound, the 
country not Ixdng handicapped, as so 
man} others are, by huge war debts." 

Extent of the Railways 

The government of the Union of 
South Africa owns and controls prac- 
tically all of the railroads of the 
country. These government lines have 
a total mileage of 9,559, of which 
there are 4,254 miles in the Cape of Good Hope, 1,319 miles 
in the province of Natal, 2,644 miles in the Transvaal and 
1,342 miles in the Orange Free State. There is also a mileage 
of 1,292 in Southwest Africa which is being operated at 
present by the South African Railways. There are 651 miles 

the Union of South Africa 
operates 11,478 miles of rail- 
ways. These lines connect with 
other lines to the north and, be- 
cause of the extent of their de- 
velopment, set the standards as to 
gage, equipment and practices 
for the future railway develop- 
ment of the southern part of the 

They are suffering from the un- 
fortunately too well-known mal- 
ady, deficits. High costs, largely 
wages, and inadequate income are 
the outstanding causes. 

additional of privately owned railways throughout the Union. 
Railway construction in South Africa began in 1859, when 

a two-mile line was built at Durban on the east coast. 

Progress was slow. In 1873 the railways in Natal, totaling 
63 miles, were taken over by the gov- 

^^^^_^^^^_ crnment. After tHe Boer War the 
state railways of the various states 
which make up the Union of South 
Africa were consolidated but it was 
hot until 1910 that they all came un- 
der unified control. The earlier rail- 
ways were built to standard gage, i. e., 
4 ft. Syi in., but this gage was reduced 
later to 3 ft. 6 in., which is now the 
standard gage for South Africa. There 
is also a considerable mileage of nar- 
row gage, 2 ft. 6 in. and 2 ft. lines. 

The Effect of the War 

During the war the South African 
Railways were fairly well maintained 
and, indeed, a considerable mileage 
was relaid with heavier steel imported 
from the United States. Freight rates 
were advanced considerably during the 
war and now in the period of depres- 
_^_______ ^_ sion, when the railways are losing 

heavily, shipping interests are much 
agitated on the subject of high freight 
rates and arc clamoring for reductions. Passenger 
rates were increased only by the application of 
a 2y^ per cent surcharge on regular and suburban fares and 
5 per cent on trip, bearer, mileage, coupon and season tickets. 
Wage payments were increased tremendously, as shown by 




Vol. 72, No. 1 

the statement of General Smuts. These increases were due 
not only to increases in actual money payments to individual 
employees but also to the larger numbers of workers made 
sary by the application of the eight-hour day. The 
eight-hour day has, however, recently been modified to in- 
clude only those employed continuously and does not apply 
to workers whose work-day may include periods of idleness. 
saving will doubtless be effected by this change. 

Employees of the South African Railway at the end of 
the last fiscal year totaled 89,858, something less than half 
of whom were of European extraction. During the war a 
cost of living bonus was added to the wage payments of 
employees. This bonus was first applied to native workmen 
and, naturally, it is from them that it was first removed. 
This bonus was, therefore, reduced in the case of native 
employees by 25 per cent on April 1 and further similar 
reductions each three months then after. 

Union labor on the South African Railway is mostly Euro- 
pean and it is said that, while they oppose wage reductions 
to some extent, they nevertheless realize the position of the 
railways and the necessity for reducing operating costs. 

The Financial Situation 

The financial position of the railways is unhappy. The 
deficit for the fiscal year ended March 31 was $6,186,644. 
The accumulated deficit of the government railways, harbors 
and steamships on that date was $12,630,576. During the 
first six months of the present fiscal year a further deficit 
of $4,860,000 was piled up by the railways. 

All this looks rather discouraging, but there are one or 
two matter- that make the outlook less unpleasant. One is 
that the monthly deficit of the railways has showed a tend- 
ency to decrease of late months and, furthermore, that operat- 
ing expenses in the first five months of the current fiscal 
year showed a decrease of 29 per cent over the same period 
of last year 

Other Railways of South Africa 

North of the Union of South Africa lies Rhodesia, which 
is also British. Its principal railway, which has a mileage 
of 1,406, i- also of ; tt. 6 in. gage and connects with the South 
African Railways, working in close co-operation with them. 

1 he South African railway authorities are exercising ju- 
risdiction for the tune being over the railway lines of what 
was German Southwest Africa. These lines have direct con- 
nections with the South African Railways and total some 
1,400 miles, of which about 1,000 miles is of the standard 
I ft. 6 in. gage. They will probably, now that the German 
yoke has been shaken off, be brought into in reasingly close 
co-operation with the South African Railways. 

British South Africa has roughly the shape of an inverted 

\ At the apes is the Belgian Congo; to the wesl is Tortu- 

VVesI Africa and to the easl is Portuguese Kast Africa. 

rhrough Portugui l : Africa there are two railways 

which • the British territory with the 

east coast: One of these lines terminates at the port of 
Laurencn Marques and the other at Beira. A railway be- 
ginning at the seaport of Benguela, in Portuguese West 
Africa i-hr 1 eastward to a connection with the 

Rhodesia Railway in the southern part of the Belgian Congo. 
Thus is the Dark Continent being opened up. There is 
yet a considerable distance between the rail head on the 
upper Nile and that in the Belgian Congo. A part of this 
intervening country can be crossed in steamers on the lakes, 
but the com, h all-rail Cape-to-Cairo route 

probably still lies some distance in the future. 

Railway Activity in the Union 

The South African Railways have of late entered rather 
extensively into the construction of grain elevators. At the 
end of the last fiscal year contracts had been let for the 
era tion of large terminal elevators at Durban and Capetown 
and for 34 at various interior points. The purpose of this 
construction is, naturally, to encourage the raising of wheat 
and to increase the traffic of the railways. The railway ad- 
ministration has installed a few road motor lines to supple- 
ment the activities of the railways. 

The government has recently floated successfully an issue 
of $24,300,000 six per cent bonds in the London market 
the proceeds of which are to be used for rivers, harbors and 
irrigation. The most important project in the way of capital 
expenditures on foot is the electrification of two sections of 
the railway — one between Glencoe Junction and Pietermar- 
itzburg and the other from Capetown to Simonstown. The 
former i- a single-track line 171 miles long with heavy gra- 
dients. The latter is a suburban passenger proposition exclu- 
sively. The cost of this work is estimated at $21,313,044. 

There has been considerable agitation recently about ex- 
tending the railways and linking them up to a greater extent 
with other roads in South Africa, but the general manager 
in a recent conference expressed the opinion that in the 
present state of the money market and conditions generally, 
any considerable activity along these lines is financially 
impracticable and commercially unwarranted. 

Opportunities for American Goods 

South Africa is primarily British insofar as its railways 
are concerned even in those sections under control of another 
foreign power. Consequently as long as British manufac- 
turers are able to compete in point of price and speed of 
delivery with American concerns, British goods are likclv to 
be favored. There have, however, been a numlvr of purchases 

made in recent years in this country. The surest way for 
America to secure a foothold on the continent as an exporter 
of railway equipment and supplies would seen to be by 
ing and building same of the railway lines which are 
projected or which naturall] suggest themselves in some of 
the relative!) undeveloped country King between Rhodesia 
on the south and the mouth of the Nile on the north 

Mountain Type Locomotive (or the Railways of South Africa. Built by Baldwin Locomotive Works 

A Stock Train on the Paulista Railway. Brazil 

Nor Do South America's Roads Escape Adversity 

High Costs and Inadequate Revenue Seemingly a World-wide 
Epidemic — Future's Outlook Bright 

By James G. Lyne 

IN examining tlie railway situation in South America 
attention will naturally focus on the three countries hav- 
ing the greatest mileage, and railway systems comparable 
to our own in length and importance, viz., Argentina, Brazil 
and Chile. In these countries the situation of most of the 
carriers will lie found in most cases 

to lie the same as of the railways the ^_^_ m ^^^^^_ 
world over, viz., unhappy, because of 
high costs, low rates, business de- 
pression and resultant decreased earn- 
ings. The physical aspects of South 
America's railways were described in 
considerable detail in a series of ar- 
t i' If- by John P. Risque, which ap- 
peared in the Railway Age during the 
last part of 1920 and the early months 
of 1921. The present article will be 
limited to a general discussion of the 
situation that has arisen since the pub- 
lication of these articles. 



Argentina's railways, which total 
some 23,000 miles, are owned, for the 
most part, in England and are oper- 
ated by Britons. There is one state- 
owned line of considerable importance 
and one line owned in France. These 
roads vary greatly in gage and in ^^_^^^^^^^ 
standards generally. None of the 
.companies has improved its financial 

position of late. In their annual reports for the fiscal year 
ended June 30, two of the British companies, the Buenos 
Ayres Great Southern and the Buenos Ayres Western, de- 
clared that the year was the most unsatisfactory in their 
history. .Both had to dip into reserve to pay 4 per cent div- 

ROUBLE in the form of high 
wages, low rates, scanty 
traffic and limited credit be- 
sets South America's carriers. 
Where new railways are needed 
so urgently, however, starvation 
of existing roads cannot con- 
ceivably be long permitted. Ad- 
ditional effort on our part toward 
supplying these countries with 
their urgent requirements of 
capital for additional railway de- 
velopment, railway equipment, 
trained personnel and assistance 
i n adopting more efficient 
methods would redound to their 
benefit and ours as well. 

year in Argentina, however, was the clash between the Brit- 
ish railways and the government over increases in freight 
rates. Because of high wages and high cost of materials 
combined with a heavy slump in traffic, several of the corn- 
panic.- during the early part of the year sought government 
sanction for increased rates. Antici- 
^_^^_^^^^_ pating the granting of this authority 
they advanced their rates. After 
months of delay the government on 
August 21 refused to sanction the in- 
crease and forced the companies to 
return to shippers the amounts collect- 
ed in excess of the prescribed rates. 
This action came as a complete sur- 
prise. Ten days later, however, on 
August 31, a new decree was issued 
allowing an increase of some 30 per 
cent. Then, on October 4, the govern- 
ment again reversed its decision and 
suspended the increases. Here the 
matter stands. The question will prob- 
ably come before the Supreme Court of 
Justice before it is finally settled. 

The companies are basing their case 
on what is known as the Ley Mitre 
(Mitre Law) which limits the net re- 
turns of foreign owned railways to 6.8 
per cent of invested capital. The com- 
panies hold that, since they are not 
"" ~ ^ ^^~ earning this 6.8 per cent, they have a 

right to raise their rates. They are 
offering ample evidence of their precarious financial situ- 

As a Market for Railway Equipment 
The government, on the other hand, takes the view that 
idends on their common stock. The Central Argentine, one prevailing economic conditions are a burden on the whole 
of the strongest systems in the country, paid no dividends on community and that the railways should assume their losses 
its deferred common stock, whereas it paid 6 per cent the as the agricultural interests and business generally are as- 

previous year. 

sumin"; theirs 

Perhaps the most noteworthy development during the There is but one important market in Argentina for 




Vol. 72, No. I 

American railway equipment and >upplits and that i> the 
State Railways. These railway* are for the most part in 
the northern section of the country and do not run into 
Buenos Ayres. In fact, traffic from the State Railways has 
to pass over the rails of two private lines to reach the capital. 
The State Railways have 3,226 miles of line and are of 
meter gage. 1 hat they offer an excellent market for Ameri- 
can equipment is proved by the order for 85 locomotives 
and some 2,000 cars, which was placed in this country 
recently in the face of Strong foreign competition. The bulk 
of the railways, however, as has l>een noted before, are Brit- 
ish, and inclined to do all their purchasing in the mother 
country regardless of any consideration. 

Argentina lends itself to railway development because of 
its freedom, speaking generally, from physical barriers and 
its rich agricultural lands. A number of projects toward 
further expansion are contemplated or underway, two of 
them to connect up with the Chilean State Railways and one 
with the railways of Bolivia. The great obstacle toward a 
really comprehensive system is the diversity in gage and 
other standards, and in the rather intense competition of the 
several railways which makes co-ordination difficult. 

Fuel presents a perplexing problem to the railway 
Argentina, as it does to those of practically the whole conti- 
nent. Wood is at present the principal fuel used, but with 
the development of the country's oil fields, oil will probably 
come into more general use. 

British railways, of course, dominate in the design of 
equipment and the methods of operation — this in spite of 
the fact that Argentina is strikingly like the United States 
from a railroad point of view. The conclusion is inescap- 
able, therefore, that any opportunity which may exist for 
American enterprise to enter the field and show the relative 
superiority under such conditions of American practices and 
American equipment should l>e taken advantage of. Unless 
■wit such action is taken the great bulk of Argentina's rail- 
way punha-<-s will in the future, probably, as they have in 
the past, be made in England. 


From a railway point of view Chile i- unique. It occu- 
-trip along the I' 31 3,000 miles in length 

and of an average width of 90 miles I be railways are 
state-owned, with the exception of some British lines serving 
the nitrate fields of'the desert north. A north and south line 
ivided for practically the entire length of the country, 
but mai.ih for strategic reasons sections of this line to the 
north and south, particular!) to the north, of the population 
center around Santiago and Valparai tically with- 

[Tie railways of Chile, and indeed the whole continent. 

suffered from the genera] economic depression I in 
'Inch finances the railways, has been particularly 
hard-hit l» ■ ilue of nitrate, the c oun 

in trade Wages and other expense 

- ..) in. 1 .end, in ■nianv c ases, ".iter. 

ter of the c ountry, the < Ihilean 

. r- :i. ation I he 

the granting 

Electric \ M inul i< turing 

brani h to Los Andes 

[| tin- installation 
will doubtlc 
Mb, r opportunitii 

n I., omotivi - 

in tin- c ocintrv 

British railwa) in 

'his line I 

railways, like those of Argentina, also suffer to some extent 
from lack of uniform gage, large capacity cars and anything 
approac hing uniformity. 


Brazil, with a territory larger than that of the United 
has only some 17,000 miles of railway and this is 
largely concentrated relatively near the coast in the southern 
part of the country. A large portion of this mileage is 
foreign-owned, although there seems to be a tendency in the 
direction of greater activit] cm the part of the federal and 
State governments in railway building and extension; in view 
of the tremendous field for further development it would not 
-ccni strange if the state-owned lines some day complete!) 
dominated the -ituation. At any rate a country so grossly 
underdeveloped from a point of view of transportation 
otter- i field of tremendous importance to rail- 

way genius as well as to manufacturers of the things that 
go to make up railways. 

The capacity of many of the country's railways has been 
heavily taxed in the past by inadequate facilities. These 

suffered from under-maintenance during the \\ 
did the railways throughout the world. Now necessary addi- 
tion- to rolling -tuck and other facilities cannot be under- 
taken because of inadequate returns resulting from a decline 
in tr..ffie caused by the slump in foreign trade and from 
ii iently high to provide for increased costs, and 
because of th< dec line in exchange- value of the country's cur- 
Mi terms of those countries from which suitable rail- 
way equipment can be obtained 

In such times government railways are practically the 
only one- which, becaust of no obligation to earn a profit 
and because of more extensive credit, can afford to bring 
about improvements. Consequently the Paulista (owned by 
the state of Sao Paulo), which brought some J. s miles under 
electrical operation during the year, was one of the few roads 
which was able to progress greatly. 

There are any number of projects on foot in the country 
for the extension of railway lines. The return of favorable 
times alone is awaited. Brazil is another country 1 1 k \ 
genti'ia where American extensive methods of railroading 
would probably be more effective than European intensive 
Furthermore there is not the same extent of 
European domination in railwa) ownership in Brazil that 
there is in Argentina and the present development of trans- 
portation facilities is much less extensive. It would seem. 
luently, that b) a sincere attempt to help Brazil solve 

her railway problem- both by advancing capital and by lend 
ing our technical -kill, our opportunities for supplying 
equipment and trained men to the railways of the country 
should tend to increase greatly 


Bolivia is interesting from a railroad point of view : 
much because of In r present railway facilities but b 
nf developments during the pasl war which point to the 
import. in, e of tin railways of thai country in the develop 
menl of the southern part of the continent Bolivia is 
rtected with the Pacific by three rail routes but thes 

it important e bo ause traffic I 
the interior and the coast is relative!) light 

u'gnifit mi development een the 

award! ntract by the Bolivian government to an 

Vmerican rompnnj for the- construction ol a line 126 miles 
in length connecting the Bolivian railways with th 

When tin- line is completed, Buenos V\r. - will 

I with the P c i tic coast through Bolivia 

m of uniform metet ITk distance between 

i - will be reduced materially 

! on a transportation route which i< 

Built by the American Locomotive Company Arriving at Cafoocan Shops, Manila Railway 

Commerce Bureau Improves Service to Exporters 

Many Valuable Services Offered Exporters of Railway Supplies — 
Work in Hands of Experts 

By James G. Lyne 


^ <\V/ E are only breaking into the exporting business 
\A/ and without your help we should not have known 
how to start." Thus an American manufacturing 
concern wrote to the Bureau of Foreign and Domestic Com- 
merce. With some 900 consuls and other representatives 
scattered over the face of the earth in 

every important city and country, this - 

Bureau has a foreign organization 
which is greater than that of any 
private industry. This great body 
of men, with the home organization at 
Washington, is today offering to 
American exporters a foreign service 
which no single industry could afford 
to maintain. 

For a number of years the Bureau 
has been of great service to American 
■exporters in giving them information 
•of value regarding foreign markets 
for their products. During 1921, 
however, under the stewardship of 
Secretary Hoover, the Bureau has been 
reorganized in a manner which should 
increase its service many fold. 

'Commodity Divisions With 

Experts in Charge 

Prior to the reorganization the ac- "" — ^~ ""■"^~^^ — 
tivities of the Bureau were subdivided 

•on a territorial basis — that is to say, the Latin American 
division collected and co-ordinated reports from representa- 
tives in Latin America, the Far Eastern division performed 
a similar service insofar as the Far East was concerned, 
and so on. Now superimposed upon these geographical 
divisions are commodity divisions. In charge of each com- 
modity division is an expert in the marketing of that 

vision of the Bureau of For- 
eign and Domestic Com- 
merce at Washington has as one 
of its particular duties the foster- 
ing of America's foreign trade in 
railway equipment and supplies. 
This division is headed by men 
who know the supply business 
and who have traveled widely 
abroad investigating markets for 
American goods. Nine hundred 
representatives of the Bureau 
throughout the world will make 
any reasonable investigation re- 
quested by the division. 

A man, expert in, say, commercial geography, may be in 
a position to assemble some information of value to an ex- 
porter of railway equipment and supplies, but an engineer 
with experience in car manufacturing and in foreign market- 
ing will be in most cases of infinitely more service to the 
business. A man with such training 
^^Z^^^^Z^^L and with foreign experience knows the 
nature, the advantages and disadvan- 
tages and the possible foreign market 
for American equipment and he also 
knows something of the peculiarities of 
railroad practice abroad which affects 
design and business methods. Just 
such a man is in charge of the Bu- 
reau's Industrial Machinery Division, 
which is looking after the exports of 
railway supplies. 

An investigation has disclosed the 
fact that 17 per cent of America's pro- 
duction of industrial machinery, in- 
cluding railway supplies, is normally 
exported. This 17 per cent is suffi- 
cient to represent profit or loss in the 
industry and would seem well worthy 
of being maintained and increased 
even at the expense of considerable 
effort. It is the business of the In- 
™^ — ^- —— — ~ dustrial Machinery Division of the 
Bureau to assist in directing this 
effort along the most intelligent channels. 

Service of Value to Large and Small Companies Alike 

Some of the important car and locomotive companies of 
the country are today pretty well organized in the foreign 
field and they, speaking generally, do not have as great a 
need of the services of the Bureau as some of the smaller 
companies or houses which are new in the foreign field. It 




Vol. 72, No. 1 

must not be supposed, however, that the Division cannot 
be of service even to the largest companies. An officer of 
an American concern manufacturing railway equipment, 

com ins; from Australia not long ago, met in China a 

Photo fmm Vnderavod & Vnderwood. V Y. 

American Supplies for Russia at Riga 

sentative of the Bureau of Foreign and Domestit I ommerce. 

While in Australia, the manufacturer said, he had happened 
upon a publication called Markets for American Railway 
Supplies and Equipment in Australia, a report by Trade 
Commissioner Frank Rhea, which report, had he seen it 
before, would have saved him his trip to Australia. 

! ra conclusions naturally suggest themselves after hear- 
ing this anecdote— one is that the Bureau is in possession 
hi" some information of the greatest value to manufacturers 
of railway equipment and the other is that there must he the 
closest contact on the part of these manufacturers with the 
representatives of the Bureau in thi- country in order to 
make sun- that the government's free service i> utilized to the 

Expert Advice From Those Who 

Have Studied Foreign Railroads 

One of the Bureau's trade commissioners traveling in Java 
recently found a railwaj there busil) engaged in breaking 

Loading Freight from Train to Steamer at N. Y. C. Piers, 
Wediawken. N J. 

\\lii 1 1 - win. li had been pur- 
! during tlir war Upon reloped that 

rtmnely mountainous and thai there were 
I In method oi braking on mountain • 

set the brakes on four or five cars as tightly as pos- 
sible and to slide the wheels all the way down. Chilled cast 
iron wheels are not meant for such service and naturally were 
unsatisfactory. This representative who has traveled widely 
and knows of the peculiarities of many countrie- and their 
railways is in a position to advise American concerns just 
what matters must be considered in designing and selling 
railway equipment abroad. Only by being so informed can 
American houses export equipment and supplies designed to 
he operating conditions in foreign countries and only 
bj sending id equipment so designed t an American 
hope to compete favorably with European equipment 
those who have studied local conditions 
The Bureau ntative who told of Java's experience 

with chilled iron wheels has traveled extensively in the Far 
East investigating the markets for industrial machinery. 
Prior to that time he spent a numlier of years in China. He 
is well acquainted with American and foreign railway sup- 
plies. His opinons on foreign markets for our equipment 
are those of an expert and yet he has an office in Washing- 
tor, where at any time he is prepared to meet American man- 
ufacturers and help them solve their export problems— and 
these services are given free of charge. Further than that 
he can call upon any or all of <)|)0 commercial attaches. 

Huge Grain Elevator at New York for Loading Direct to 

Ocean-Going Vessels: Sixtieth Street Yards, 

New York Central 

trade commissioners and consuls to furnish information 
n hii li he i anno! give himself. 

Reference Material at Washington 

I In- Bureau has also a vasl amount of information on 
hand at Washington which is ready for instant reference 
\n example of such material i- an up to date report from 
ill foreign representatives on railway conditions in their 
countries which is now being compiled ["bis rc|>ort will 
iln following information concerning the railways of 
unto Mil "■ . number of locomotives; number of 

ind train-. ■ lcat 

ma used; -hop facilities; freight and pal 
during a recent given period; revenues .mil exp 
number ol each class "t employees; proposed additions, ear- 
ns, improvement' and new construction, and u 
mate by tin- re p re se ntative on tin ground •>- to what the 
, h.mi I-- an thai American houses ma) l«' able t" obtain a 
share of this business and hovi the) should proceed to di 

January 7, 1922 



Will Make Special Investigation When Desired 

If any American concern requests it, the Bureau will in- 
struct one of its experts to make any reasonable investigation 
along the lines of its business in the country for which the 
information is desired. An instance of this has come to 
our notice in the form of a copy of a long letter describing 
the requirements as to signals of a Chinese railway which 
was on the point of asking for bids. This letter was written 
by the American trade commissioner at Peking and ad- 
dressed to a signal company in this country. It goes into 
such matters as: The method of operating trains in China, 
wherein it differs from our train dispatching system and 
why it is probably better suited to Chinese conditions than 
is the American system; the fact that the saving of a few 
employees by the adoption of certain methods of signaling 
would not be a deciding factor because of the relatively low 
wages; the physical condition of the railway; the probabili- 
ties of the adoption of the most modern signals as opposed 
to older forms. In fine, the company could not have expected 
to have received a more comprehensive and helpful report 
from a paid representative — yet this and similar services 
the Bureau is offering to American business without charge. 

Reference is made above to an extensive survey of the 
potential markets for American machinery (including railway 
supplies) in the Far East. Studies of a like nature have 
been made before. When there is a demand by business for 
additional investigations, they will be made again. If — 
merely for example and not as a suggestion or a report of 
fact — a number of American concerns manufacturing draft 
gear should require detailed information prior to launching 
a sales campaign in South America the Bureau would, if it 
were satisfied of the advisability of such action, detail an 
expert to make an exhaustive study of the probabilities for 
the success of such a campaign and the course of action 
which would likely bring the desired results. 

Advice on Tariff and Legal Matters 

Further than giving information concerning design and 
related matters the Bureau also offers the experience of its 
expert staff regarding sales problems, customs duties, legal 
difficulties, matters of financing and shipping. Through co- 
operation with the Department of State difficulties with cus- 
toms authorities are being straightened out with a celerity 
which would be impossible for an agency not directly con- 
nected with the government. 

One or two instances of what the bureau is doing for 
other industries, but which it would just as readily do for 
railway equipment manufacturers, may be of interest to 
show in how manv ways it mav be of service : 

An American concern manufacturing a measuring device 
was endeavoring to do business in Sweden. Efforts to obtain 
a sale for its product were well-nigh frustrated by a compet- 
ing German concern which, in true German style, circulated 
propaganda to the effect that the American device had not 
been approved by our Bureau of Standards. Now it happens 
that in this country approval by the Bureau of Standards is 
not required. This authority' is vested in the sealer of 
weights and measures of the several states. The manufac- 
turer appealed to the Bureau of Foreign and Domestic 
Commerce. A statement was obtained from the Bureau of 
Standards to the effect that its approval was not required 
and from the sealer of weights and measures of the state of 
New York to show that the device in reality did have official 
approval. Thus the Bureau enabled the American manufac- 
turer to set at naught the unworthy efforts of his German 

Forced to Do $20,000,000 of Business 

Representatives of the Bureau in China several years ago 
saw what they believed to be a vast field for the sale of a 
certain line of machinery. They endeavored to interest 
American manufacturers, but to no avail. They persisted. 
Finally one concern which they had been trying to interest 
in the matter consented to try the Chinese market to avoid 
the continual importuning of the Bureau's representatives. 
To date more than $20,000,000 of this machinery has been 
sold in China. 

An American coal salesman in Madrid recently was in- 
troduced to local business men by the American commercial 
attache. He secured orders totaling $200,000. 

Specifications which were furnished through the activity 
of the Bureau's representative resulted recently in the sale 
of $2,500,000 of electric equipment in Australia. Countless 
cases of this kind could be instanced. 

Personal Contact With Manufacturers Necessary 

No one familiar with the work of the Bureau can fail to 
realize the importance of its work to America's foreign trade. 
The Bureau's potentialities as a builder of trade, however, 
are utilized in very small proportion. The Bureau needs 
contact with business. It needs this contact not only that 
it may impart information it already has but, in addition, 
that it may have a broader conception of what information 
business needs. It must know from the manufacturers them- 
selves that they are interested in selling their products abroad 
if there is a promising market. Its agents must know more 
about the qualities of American products with which their 
past experience has not familiarized them. 

Nor Do South America's Roads Escape Adversity 

(Continued from page 114) 

practically assured of popularity, should benefit materially. 
A railway connection with the Brazilian coast to the east, 
moreover, seems a not far distant probability. 

In Conclusion 

Detailed reports concerning the present situation of the 
railways in all the South American republics would be a task 
beyond the scope of our present limitations. The railways 
in the northern part of the continent, with the exception of 
Peru, are relatively unimportant and afford no proper basis 
for comparison with the railways of the south. Many of 
them are narrow gage lines of light traffic which belong in 
the category of tramways rather than railways. Others are 

little more than industrial lines. Doubtless in a few in- 
stances there have been developments worthy of notice which 
have escaped attention here. Most of these can be covered, 
however, by the following general statement: As a whole 
the railways of South America are meeting with difficulties 
because of high costs and low rates; by-and-large they are 
at present in need of increased maintenance allowances, new 
equipment and new facilities; they need a greater degree of 
standardization; they could probably adopt in larger measure 
American methods and American equipment and could em- 
ploy larger numbers of American railroad men to their ad- 
vantage as well as ours; and, when all is said and done, the 
opening up of South America by railroad has only begun. 



Vol. 72, No. 1 

Statistical Section 

An Analysis of the Railway Statistics for 1921. By 
Julius H. Parmalee. 

Locomotive Market in Quiescent State During 1921. By 
F. W. Kraeger. 

Freight Car Orders During 1921 Lowest Record. By 
F. W. Kraeger. 

Passenger Car Purchases Small During 1921. By F. W. 


Dividend Changes on Railroad Stocks in 1921. By Charles 
W. Foss. 

Receiverships and Foreclosure Sales During 1921. By 
Charles W. Foss. 

Signal and Interlocking Work Shows Slight Gain. By 
K. E. Kellenberger. 

Railroad Telegraph and Telephone Activities. By J. H. 

Railway Lines Abandoned During the Year 1921. By 
Milburn Moore. 

Not Much Activity in New Construction in 1921. By 
Milburn Moore. 

An Analysis of the Railway Statistics for 1921 

Extent of General Business Depression Reflected in the 
Decline in Traffic for the Year 

By Julius H. Parmelee 

Director of the Bureau of Railway Economics 

Decline in traffic was the outstanding feature of the Even- year during the past few years has represented an 
railway year 1921. It was perhaps the most impor- advance in this direction, so that today it is possible to 
tant of several features of the year which were a secure statistics as to weekly freight car loadings within 1 5 
distinct disappointment. Following upon the heels of a days, as to monthly financial results within 30 days, as to 
year in which the railways of the United States broke all the number of employees, wages, and general statistics of 
records for service rendered, the fact that in 1921 they physical operation within from 30 to 60 days, and as to 
were called upon to furnish a much lessened service is a commodity movements every quarter. Contrast this situa- 
matter of serious regret not only to tion with that existing as little as five 

them, but to the nation as a whole. ^^^^^^^^^_^^^^__^_^ .years ago, when no statistics were re- 
No criticism rests upon them, however, ported for less than annual periods 
for the level of railway service in any r T" 1 HE FREIGHT TRAFFIC except financial results only, and six 
year is gaged solely by the amount of m iq 2 i was about 22 per months to a year elapsed after the close 
freight and passenger traffic offered. . , . q „ of any annual period before the results 
As to the financial results of opera- Cent ^ SS ttlan m iy ^ U ' paS " of that period were in hand.. In other 
tion, the railways fared much better senger traffic about 19 per cent wordS] the statistical record of railway 
than in 1920. During eight months less. operation, as spread out before the 
of 1920, however, they had the United The gross revenues declined present-day student of railway activity, 
States government to fall back upon, $500 000 000 from the high point offers him a most interesting and sig- 
in the form of a guaranteed net in- . ' ' Q { b nificant series of pictures which por- 
come, whereas in 1921 they were upon . r ■ , , tra V both the level and the trend ot 
their own resources; that is, their earn- strictest economy, were reduced rgilway ;lffairSj and keeps him 
ings were limited to their actual re- nearly $1,200,000,000, compared to supplied with current information, 
ceipts from operation. Adding the 1920. Net operating income in- Financial Results 
government guarantee of 1920 to the creased from $62,000,000 in 1920 

net operating income of that year, the to - about $ 61o , 00,000 in 1921-a , The f" 1921 was the £ TSt 'T? 

total net income for 1920 was greater ' plete calendar year, since the United 

than in 1921 by more than $200,000,- rate of return on rallw *y value of States entered the war in 1917, during 
1,0(1 3.3 per cent. which railway operation was in the 

In brief, the railways in 1921 han- = ^^^ ===== ^^ == ^^ = ^^ hands of the companies. It was the 
died a freight traffic about 22 per cent first year, since 1917, of operation 

less than in 1920, and a passenger without government guarantee of any 

traffic about 19 per cent less. Their gross revenues declined kind. It was, furthermore, the first complete year since the 
$600,000,000 from the high point reached in 1920, in spite passage of the Transportation Act, since the establishment 
of the fact that in 1921 the increased rates were in effect the of the Railroad Labor Board, and since the present freight 
whole year, compared with only four months in 1920. By and passenger rate levels became effective. For the first 

exercising the strictest economy, however, the railways re- 

duced their operating expenses nearly $1,200,000,000. Net TABLE : 1921 1920 

oneratin" income was thus increased from a bare $62,000,- Total operating revenues $5,625,000,000 $6,225,403,000 

'„ • ,mn t •„, +„1„ CAIAfinnnnn in 1Q?1 This Total operating expenses 4,650,000,000 5,326,197,000 

000 in 1920 to approximately $616, UUU,UUU in iyzi. inis Taxes ' 288,000,000 28i,380,ooo 

represented a rate of return on railway value of 3.3 per cent. Net operating income 616,000,000 62,264,ooo 

Statistics Up-to-Date time in several years, no general changes in the rates oc- 

In lookhi" over the results of railway operation in 1921, curred, although" many local and regional rate adjustments 

from the statistician's point of view, it is interesting to note were made throughout the year. 

how much more completely and currently the statistical rec- All the statistics contained in the several tables here pre- 

ord of railway activity is 'now maintained than in the past. sented apply to railways ot C lass I. 1 able I is a condensed 




Vol. 72, No. 1 

comparison oi" the financial results for 1921 with those for 
1920. As this article is necessarily prepared before the end 
f Do ember, the entries for U>21 arc partially estimated and 
are. therefore, subject to revision. 

Operating Revenues 

I (perating revenues in 1921 stood at $5,625,000,000. This 

was a decline of $600,000,000, or 9.6 per cent, from 1920, 

but was some $441,000,000 greater than in 1919. With the 

single exception of 1920, railway revenues in 1921 were the 

■ in American railway history. 

In comparing the revenues of 1921 with those of 1920, 
it should aiv. ne in mind that the present increased 

level of rates was in effect during the whole of 1921, while 
in 1^20 it was effective only from August 26, or a little 
more than four months. This fact emphasizes the decline 
in the revenues of 1921. The general freight and passenger 
rate increase-, mai b) the Interstate Commerce 

Commission on August 26, 1920, was estimated at about 
per cent for freight, and something over 20 per cent 
for passengers allowance being made in the latter case for 
the Pullman surcharge of 50 per cent. Had the traffic of 
1921 been maintained at the level of 1920, the operating 
revenues would have been greater than in 1920 by some 
10, instead of being $600,( ss. The dif- 

ference between the actual revenues of 1921 and what those 
revenues would have been on the basis of the 1920 traffic is 
m of these two amounts, or $1,^00,000,000. The great 

hulk of this decline of $1,. , 1,000, from what might 

have been to what actually was, resulted from the dec line in 
traffic, onlv a small proportion probably not more than 
$100,000,000 being due to the rate readjustments, many of 
which were not in effect for the whole of the year. 

This $1,300,000,000 strikingly represents the cost to the 
railways of a poor, as compared with a good, traffic year. 
It furnishes also a dim idea of what the country at large 
loses potentially, of course in a period of business de- 
pression. If the railways lose $1,300,000,000 in revi 
how many tune- greater are tin losses of the fanner-, the 
manufacturer-, and other producers of consumption goods? 

I ible II gives the comparative statistics for 1921 and 
1920 of the several classes of railway revenue, freight. 

passenger, etc., the entries for 1<)21 being partially estimated. 


1921 1°20 


Frcgh, revenue $3,940 $4,325 

Passenger revenue i.iua '•-?„ 

.'nut 95 SO 

Express revenue 105 143 

All other revenue 300 318 

Toul $5,625 $6,225 

It will be seen that freight revenue- declined $385,000,- 
ooo, or 9 per cent. Passenger revenue fell off $104 ,000,000, 
or about 8 pi r cent The declini I, 1 in mail 

>■ i- more than accounted for by the fait thai t 

revenue in I -land l.\ approximately 

of back mail pav. actually earned in earlier years but not 

taken into the accounts until 19 Deducting this inflation 

in 19 'o, the mail revenue for 1921 was ili 

for 1920, indicating an increase in the amount of mail 

handled for the Im identallv. it WBS the onlv 


• venue dei li " I*' 1 " 

<ll other" revenue 1(11 "II $18,000,000. 

Operating Expe 

: 1921 amounted p 

00,000, <>r !0 pei cent, 
i iter than in 

loi- md lik.- the revenues wen il 

Only l"r tin '.' >r 19 10 

Table III -how- bow the operating expenses of 1921 and 
1920 were distributed as lu-tween the general classes of 
expense. 1 he ■ ntries for 1921 are, of course, subject to 







Maintenance of way ^'?® 

Maintenance of equipment 1,280 

T ra ffi c 85 

Transportation 2,300 2,907 

General 165 171 

All other expenses 40 56 

Total $4,650 $5,826 

The expense of maintaining way and structures was 
reduced by $254,000,000 in 1921, or 25 per cent. Mainte- 
nance of equipment expenses were cut $.^04,000,000, or 19 


Chart A— Net Railway Operating Income in 1921, By Months. 
Compared With Six Per Cent On Valuation 

per cent The total maintenance cost roadwav and equip- 
ment ua- reduced from $2,618,000,000 in 1920 to $2,060,- 
000,000 m 1921, a decrease "t $558,000,000 or 21 per cent. 
Transportation expenses, the cost of o|x-rating trains and 
carrying on the activities collateral thereto, werr reduced 
$607,000,000, or 21 per cent Genenl and "all other" e\ 

penses showed declines, while traffic expenses increased 

Net Operating Income 
The first important -topping place m the rail\\.i\ income 

accounl is net operating income 1 in- is what is left oi 
revenue- alter operating expenses have been met. taxes havi 

been paid, ami the net balances of equipment and joint la 
,ilit\ rental- have heen -ettled. Net Operating m.ome i- 

which the success of railway operation, speak 
ing finandally, must be measured, If in amount it proves 
insufficient n> cover fixed charge-. Decessary reserves, and 
a margin for moderate dividends and -urphis, railway 
lion hi- not heen successful, and the credit ami final 
uture of the railways are seriousl) threatened 
\ • rjpei 'tun-: income formed the basis of the compensa 
lion pod the railways by the gover nm e n t during the > 

January 7, 1922 



month- of federal control. It was the basis of the guarantee, 
provided in the Transportation Act for the ~i.\ months of 
the guaranty ]*-riod in 1920. Further, and far more im- 
portant for the present discussion, the relation of net 

operating income to railway value determines the rate of 
return as defined in the Transportation Act, indicates wheth- 
er or not the railways are earning the Syi per cent, 6 per 
ent, or other percentage that max In- fixed as a fair and 
reasonable rate, and finally fixes the point at which the 
government steps in to share the net earnings of the individ- 
ual companies, if the rate rises above 6 per cent. Net 
operating income i-. therefore, the most important item in 
the income account, and the showing it makes is eagerly 
watched from month to month, and from year to year. 
The net operating income of 1921 i^ estimated at $616,- 

5 S s <S 

I.I 00.000 







g 100,000 

% iSO.OOO 

>0 iOO.000 


*- 500,000 

* 4S0.0O0 























1,1 00.000 

100,000 § 
650,000 * 
iOO.000 2 
S00.000 j. 
4S0P0O - 
1 00.000 

Chart B — Cumulative Net Railway Operating Income in 1921, 
Compared With Six Per Cent Valuation 

000,000, or almost exactly 10 times what it was in 1920. 
It was greater in 1921. too, than in the second year of the 
federal control period, namely, 1919. It was smaller in 
amount, however, than in any year of private, operation prior 
to 1918 back to the fiscal year 1908. In other words, net 
operating income was smaller in 1921 than in 13 years, not 
counting the period when the government was either oper- 
ating the railways or guaranteeing their net income. During 
this period of government operation or guaranty, little effort 
was made to adjust the revenues to the expenses by raising 
rates sufficiently to meet the increase in operating costs, and 
to the railway corporations it was of no immediate concern 
whether the policy was to keep revenues even with expenses 
or not, as they were held safe against loss by the government 
guarantee. For the years preceding 1918, however, and 
again in 1921, it was a matter of very grave concern to the 
railways whether their net operating income was adequate 
or not, for inadequacy spelled financial stress and continued 
inadequacy meant impending disaster. 

With this point in mind, let us see what the results in 
1921 really mean. Under the increased rate decision of the 
Interstate Commerce Commission in 1920, the railways as 
a whole were expected to earn 6 per cent on their tentative 
valuation as fixed bv the Commission for rate-making pur- 

poses. For the year 1921, this 6 per cent was equivalent to 

$1,116,000,000. The net operating income actually earned 
was $616,000,000, or $500,000,000 less than the amount 
anticipated under the rate decision. Instead of earning 6 
per cent in 1921, the railways actually earned 3.3 per cent. 
This was sufficient to meet their interest requirements by 
a comparatively narrow margin, but was inadequate to meet 
all their fixed charges (including rentals), leaving nothing 
for reserves and dividends. Here again the effect of the de- . 
cline in traffic on railway results stands out as perhaps 
the most significant element in the railway record of 1921. 

The Story by Months 

The story by months in 1°21 is most interesting. Begin- 
ning with operating deficits in January and February, there 
was a slight improvement, to June, then a considerable im- 
provement from July to October, and finally a recession in 
November and December. The improvement following the 
midyear was due partly to an improvement in traffic, and 
partly to decreased costs of operation, growing out of the 
wage reduction effected by the Railroad Labor Board on 
July 1, and also the declining costs of material and supplies. 
The effect of the drive of the railways for economy and 
efficiency, combined with a cut in maintenance work and 
consequent reduction in force and utilization of materials, 
was also apparent. 

Table IV gives the rate of return in 1921, distributed by 
months. The rate earned in each month is reduced to an 
annual basis, representing what the annual rate would have 
been had the net operating income for a period of one year 
been proportioned to the net operating income of the par- 
ticular month. In arriving at the proper proportion for 
each month, due allowance was made for seasonal fluctua- 
tions in traffic and earnings; that is, October is expected to 
earn more than February, and the rate for that month has 
been computed with an eye to such expectation. The entries 
for November and December are estimated in part. 


Rate of return — 

per cent 
(Annual basis) 

January, 1921 Deficit 

February Deficit 

March 2.2 

April 2.1 

May 2.3 

Tune 3.0 

July 4.5 

August 5.0 

September 4.6 

October 5.4 

November 4.0 

December 3.5 

The year 3.3 

Charts A and B show these monthly rates of return in 
graphic form. Chart A consists of upright bars for each 
month in 1921, the black portion of' which represents the 
net operating income actually earned, and the shaded por- 
tion the shortage as compared with six per cent on the 
tentative valuation. As the results for January and Febru- 
ary were net deficits, the shaded portion extends below the 
zero line. It will lie noted that the bars as a whole are of 
varying length, due to the seasonal fluctuations already re- 
ferred to. 

Chart B shows the same thing cumulatively, the trend 
from month to month being compared by two lines, the upper 
one of which indicates six per cent on valuation, while the 
lower one shows the actual net operating income. The spread 
between the two lines is, of course, the shortage under six 
per cent. 

Receipts Per Traffic Unit 

Interesting comparisons are afforded by the showing of 
average receipts per ton-mile and per passenger-mile in 1921 
and 1920. These are given in Table V, for each month of 



Vol. 72. No. 1 

1920 and for the months of 1921 to the latest available 



Average receipts pi r 
ton-mil' ^cr mile (cents! 

1920 1921 1920 

Jannar* 3.114 2.614 

Februa. 1.2S4 .1.089 J. 594 

March 1.335 3.175 .'.613 

April . 3.190 2.608 

May 1.2S1 0.954 3.139 J. 614 

June 1.278 J. 575 

July . . 1.2 

August 1 2.643 

September l 1.154 2.989 

October .... 3.002 

November . ... .... 3.019 

December 3.142 

In studying the comparative figures of Table V, it should 
be noted that a considerable increase in freight and passen- 
ger rate- became effective toward the close of August, 1920. 
The effect of such increase was barel} discernible in the 
passenger-mile average for August, 1920, and not at all 
discernible in the ton-mile average. Not even in September, 
1920, did the rale increases seem to have full effect, partly 
because much traffic was on the rails in that month that had 
been billed (or passenger ticket- purchased, as the case 
might he) at the lower rates, also because state commissions 
had not in some cases made effective intrastate rate- to cor- 
id to the increased interstate rate-. Beginning with 
Octolier, 1920, howwer. the effect of the rate in. reases on 
the avi ipts per ton-mile and passenger-mile, re- 

spectively, c.m he traced from tin- record shown in Table V. 
In making comparisons of 1921 with 1920, onl) correspond- 
ing months should be compared, because the seasonal 
chango in traffic cause the average receipt- to vary o 

from month to month. Thus January should he 
compared with January, February with February, and -■ on 

Employees and Their Wages 
ailing with I'd), the Inter-taie Commerce Commis 
-icn required railway- ol < la I tie their reports of 

number and compensation of employee- quarterly, inst 
annually as theretofore. In these quarterly report- the num- 
ber of emplo. c- at tin middle of each month was reported, 
l>nt compensation for the quarter a- a whole. The classifi 
cation consisted of the 68 groups into the Commission 
classified the employees, beginning in 1915 

Although this wa- a distinct advance in railway labor 

red from these quarterly report- did 

not i :- I tailed and were not available at 

iti jfj either tin [n1 

i r tin- Railro id I abor I" ml. the 

latter being a new entn in the field of labor stal 

run,./ with July, i'' 'i . the Commission 

and I 1 i rrl jointl) 

;! ■, prim ipal fe itures of whit h 
; ad of 68 and tl 
quiremenl thai the returns be made monthly instead oi 

i mn i '■ n h i ■ made 

publii monthl) lummarii - based on thi 

[ul; ind Vugust, 1921 

although individu noil oi largely in hand 

I rom prelim 

1 how- 

onditions n 

■ i 1 payrolls of 
d I 
, i to 19 !0 

-ml ( ), tolier. 1921, 

a preliminary tabulate 

It will be noted from Table VI that railway employees 
numbered 2,000,105 and 1,970,525, respectively, during 
lanuary and February, 1920, the final months of federal 
control. The railways came back to their owner.- in March 
with 2,009,948 employees. From April the number grad- 
ually rose to a maximum of 2,197,824 in August, 1920, 
which was the largest number of railway employees ever 
recorded. At that time it will be recalled, the railways of 

Number of employees 


Tanuary 1,804,822 2.000.105 

February 1,676,543 1,970,525 

March 1,593,068 2.009,948 

April 1,542,716 1,952,446 

May 1.575,599 2,005,483 

lune 1,586,143 2,056,381 

July 1,634,872 2.111.280 

August 1,679,927 2,197,824 

1,721,000 2,164,880 

1.745.000 2,136, 

. r -.454 

December 1,976,429 

the United States were handling the largest traffic in their 
history, the traffic of the respective months from August to 
December being heavier than in an) previous corresponding 
in, nths 

From October, 1920, and more or less paralleling the 
-harp decline in traffic after the middle of December, the 
number of railway employees showed a consistent decline to 
April, 1921, when the lowest point was reached since 1915. 
After April, when the trend again turned upward, there 
was a Steady, although rather gradual recovery. SO that in 
October of 1921 there were 200,000 more railway employees 
at work than in April. Even making full allowance for the 
il difference between April and October, the record 
shows partial recovery. 

Tin seci in! consideration is wages. Here a clear distinc- 
tion must be made ' etween wages (used in the sense of rates 
oi pay) and earnings, or compensation. One represents the 
rate at which a man works. |xt hour, day, month, or mile, 
while the other is the total amount of money he earn- in a 
given period, bene.' the result of multiplying the rate of pay 
into the number of hour-, days, month-, or miles with which 
he is credited. 

A> to the rates of pay. or wages, a general decrease WSS 

ized by the Railroad Labor Hoard on July 1. 1°21. 

which has been estimated as averaging from 11 to 12 per 

cenl I hi- cut off about half of the increase granted by the 

i d I abor Board in 

l ooking at the average wage throughout 1920 and 1921, 

the curious fact develops from a mathematical calculation 

or each year n i- virtually the same, That 

inning that a man wa- on duty the same cumber of 

in the two years, his total compensation would be vii 

tuall; thi same for each year. This is speaking of the 

IB I would not hold true of any of the indi- 
viduals actually at work For example, assume that a man 
d $100 a month at the beginning of 1920, and was 
the -aim iii. i a May 1 of that year a- thi 

■ ,,|| , mplo; 1 1 ived Si" 1 ' a 

month lor four month- (January to April) and SIM a 
month lor the remaining eight month-, a total for tii. 

In 1921 he received nil 

month- (Januar) to June), and wa- then cut 11 
|ht cent to >107 (.'». which "a- hi- rate during the remain 
II .ul for the Mar 1921 was th, 

.,r within |4.20 <>f his 

1920 i aim 

lln- i- .. purely hypothetical case, ol course, and the 

month with which we -tarted i- not offered 

leal, but merely as nn • to handle mathe 

mail, ilh Furthermore, it wa- assumed that hou 

January 7, 1922 



duty remained constant throughout the two-year period, 
whereas the truth is that they declined somewhat in 1921, 
in sympathy with the decline in traffic. 

The bearing of the example is this: If average wage 
rates were tin same in 192] as in 1920, then any reduction 
in the total payroll in 1921 must be due chiefly to one or 
both of two factors, namely, reduction in force or reduction 
in hours per man, especially the hours of overtime. Investi- 
gation of tin' facts indicates that both forces were at work in 

Let us look first at aggregate compensation in the two 
years. In 1920 the railways paid their employees more than 
0,000,000, or more than iy 2 times as much as in 1916. 
[here was some increase in force between 1916 and 1920, it 
is true, but the bulk of the increase in compensation was 
the result of increased wage rates. 

In 1921 the payroll was approximately $2,718,000,000, a 
reduction of over a billion dollars from the very high level 
of 1920. The reduction in total payroll was more than 25 
per cent, while the reduction in average number of employees 
was nearly 20 per cent. The average wage rate in the two 
years being practically the same, as we have seen, the re- 
maining proportion of the reduction in payroll must have 
been due largely to reduction in overtime and other hours. 

The average annual compensation per employee has shown 
considerable variation during the past two years. In 1919, 
the final year of federal control, it was $1,486 (annual 
basis). For the first quarter of 1920 it was $1,596. For 
the second quarter of 1920, which contained one month 
under the old and two months under the increased wage 
rates, the annual average was $1,812. During the final two 
quarters of 1920 the annual averages were $1,952 and 
$1,908, respectively. The average of $1,952 for the third 
quarter represented the peak of earnings for railway em- 
ployees. The fourth quarter began to show the effect of 
the decline in traffic, which reduced overtime work and 
affected the average in other ways as well. 

For the year 1920 as a whole, two-thirds of which was 
under the increased wage scale, the annual average compen- 
sation was $1,820. The first quarter of 1921 dropped to 
$1,792, and to $1,784 for the second quarter. This brings 
the record to July 1, when the 11 per cent reduction in 
average wage rates became effective. Complete wage sta- 
tistics are available only for two months since the reduction, 
the records for which show an annual average of $1,573 in 
July and $1,627 in August. 

Traffic in 1921 

Emphasis has already been laid upon the serious decline 
in railway traffic in 1921, as compared with 1920. Net 
ton-miles (revenue and non-revenue ton-miles) broke all 
records in 1920, being as much as seven billions greater than 
the previous record year, the strenuous war year of 1918. 
The total for 1920 was 447 billions. Indications are thac 
for 1921 the corresponding total did not exceed 350 bil- 
lions, a decline of approximately 100 billions, or 22 per 

This is one of the most remarkable traffic declines in 
American railway history. Every month of the year showed 
a falling off of from three to twelve billions. The level for 
tin- year as a whole is l>elow that for any of the six years 
next' preceding; that is, we must go back to the year 1915 to 
find a traffic situation that was even approximately as poor 
as in 1921. 

The story by months in 1921, compared with 1920, is 
presented in Table VII. Entries for the final two months 
of 1921 are estimated in part. 

Revenue passenger-miles had progressively broken the 
record in every year from 1915 to 1920. In 1921, however, 
there was a recession of 19 per cent from the 1920 total, 
bringing the level for the year below that for 1917. In 

other words, we must go back to 1916 to find a .-mailer 
amount of passenger travel than in 1921. The total for 
1920 was 46.8 billions, but fell in 1921 to 38.0 billions, 
rvi ry month in the year showing a recession. In fact, the 
tage of decrease seemed to grow as the year wore on, 


Nil ton-miles (millions) 

1921 1920 

January 29,824 34,765 

February 24,913 32,695 

March 26,826 37,991 

April 25,579 28,531 

May 28,21 <l 37,902 

June 28,141 38,158 

July 28,412 40,450 

Auaust 30,382 42,707 

September 30,822 41,000 

October 36,507 42,563 

-November 28,800 37,459 

December 31,600 34,722 

The year 350,000 447,278 

the worst months being July and August, with decreases of 
24.0 and 27.4 per cent, respectively, whereas January de- 
clined only 4.1 per cent and February 10.0 per cent. 

The comparative monthly statistics for 1921, compared 
with the months of 1920, are shown in Table VIII. The 
entries for October, November, and December, 1921, are 
partially estimated. 

The reason for these declines in freight and passenger 
traffic is not far to seek. All business activities in 1921 
were in the throes of a revolutionary transition period, the 
inevitable aftermath of a war so prolonged and so extensive 
as that waged from 1914 to 1918. The railways create 


1921 1920 

Tanuary 3.358 3,501 

February ». 2,857 3.17+ 

-March 3,056 3,530 

April 2.833 3,552 

Mav 2,969 3,761 

June 3,215 4,149 

July 3,637 4,785 

August 3.623 4,988 

September 3,291 4,294 

October 2,900 3,762 

November 2,900 3,518 

December 3.3UO 3,641 

The year 38,000 46,848 

little traffic of their own; they handle the traffic that is 
produced for them by the economic activities of the country. 
As a barometer of business conditions, the level of railway 
freight traffic is almost unexcelled. When business is good, 
freight moves in large volume; when it is depressed, freight 
suffers accordingly. The recession in railway traffic indi- 
cates in most significant fashion the extent to which business 
in general was on the rack in 1921. 

It has already been pointed out that the financial results 
in October showed decided improvement, followed by a 
slump in November and December. Temporary influences 
were at work in these last two months, which it is hoped 
will not long continue in 1922. In the first place, the 
threatened coal and railway strikes hurried much traffic onto 
the rails in October which would normally have been spread 
over one, or even two, succeeding months, with the result 
that October was above normal and November and Decem- 
ber below normal. Second, the knowledge, in November 
and December, that the transportation tax would be abol- 
ished at the end of the year, under the new revenue act, 
probably held back some traffic and travel in those months 
that will be released after January 1. Third, and in some 
respects most important, the uncertainty as to the level of 
{Continued on page 1461 

of These Locomotives Here Built by the Lima Locomotive Works for The Illinois Centra! 

Locomotive Market in Quiescent State During 1921 

Domestic Orders Make New Low Record — Largest Buyer Is 
National Railways of Mexico 

By Frank W. Kraeger 

Tiik orders placed for locomotives for domestic service 
in the United States in 1921 totaled, according to the 
compilations of the Railway Age, 239. This compared 
with 1,998 in 1920. In other words, it was but one-eighth 
the business of that year. In 1°19, the second year of federal 
control, the locomotives ordered for domestic service in the 
United States totaled 214; the 1921 figure, poor as it was, 
luckily succeeded in bettering -lightly that ignominious 

r.'. Old. 

' >rders placed by railroads in Canada with Canadian 
builders totaled 35, as compared with 189 in 1920 and 58 
in 1919. 

The export locomotive order- for I'). 1 1 I Mo. 

inclusive of the orders placed by lines in Mexico. This 
compared with 718 in 1920 and 898 in 1919 ["hi M 

-ignalized their rehabilitation and return to normalcy 

by placing in ] ( >2\ the largest order for any system in North 

i, the National Railways of Mexico having ordered 

:l of 142 locomotives. 

Production in 1921 totaled 1,121 locomotiu- for domestii 

• - export. The 1,121, although it was sev 


era! times the number of new locomotives ordered during 

1921, ••■ i- thi lowest total the American locomotive manu 

facturers li > ■ ! for many years It compared with 

• l.i i in 1 9 20 < me has to go bsu k 

n than the 1921 pi rformani e. 

Wh ind, it mi i -t '•■, admitted thai 

found nit -■ enl state li is true 

for hi id thai tin- helped the 

on for the |«»>r bu 

Memii .liar 

numbers of serviceable locomotives stored and a high per- 
centage of unserviceable locomotives. 

On December 1, according to the A. R. A. Car Service 
Division reports, there were 5,308 serviceable locomotives 
stored and 12,170, or 18.8 per cent, held for repairs requir- 
ing over 24 hours. At various times during the year the 
"bad order - ' locomotives approached 20 per cent. It is an 
interesting fact that this is a matter which received but small 
attention during the year. The contrast as between the pub- 
lic itv given the bad order ear figure and that given the un- 
serviceable locomotive per rent is especially striking. The 
reason for the failure to pay attention to the locomotive con- 
dition situation i- quite evident. In a period when expenses 




in. five* 

in. tivc* 

4. .'40 

J. 48.' 



J. 467 


m.l Foreign 


III" 1 

railroada Industrials domeatii 



 lo he cut to the lione. one would liardU have expected 

tin operating officer to over exert himself about bis per cent 
of unserviceable locomotives while he bad a suable number 
of serviceable locomotives in white It was hardly to 

lie expected either that a period uhiih was characterised by 

that soil of thing would bt productive of laree orders for 

neu locomotives hi ran at that, the 1921 total is 

disappointing One can find consolation at lead in 

tin- f.i. t that this condition cannot last. The rVmerii an rail- 
to make up their deferred motivi jmwer 
requirements some time. 
With further reference to the domestic orders, tin only 

January 7, 1922 



systems which placed contracts of any size — and even their 
orders were not large — were the Atchison, Topeka & Santa 
Fe, the Southern Pacific, the Seaboard Air Line, the Central 
of New Jersey and the Rock Island. All the additional 
orders were of small size, being only of from one to eight 
locomotives. In the small total there is noticeable a com- 
paratively large proportion of Santa Fe and Mountain type 
locomotives, which is what one would naturally expect. 
Brick arches and superheaters have now been so generally 

Table III — Locomotives Built 







1898 1.321 

1899 1.951 

1900 2,648 





1905* 4.896 

l r "it>- 6,232 

1907* 6,564 

Domestic Foreign 
866 309 




Domestic Foreign 


1908* 1,886 

1909* 2,596 

1910* 4,441 

1911* 3,143 

191Jt 4,403 

191. U 4,561 

19141 1.962 

19151 1,250 

1916t 2.708 

1917t 2.585 

1918t 3.668 

1919t 2,162 

19201 2,022 















rid equipment built 

adopted that it is a rare thing for a new locomotive to be 
built without them. Stokers and power reverse gear also are 
usually applied to all heavier power and the past year has 
evidenced a growing tendency to the more extended use of 
feedwater heaters and boosters. 

Foreign Business 

The number of locomotives ordered in 1921 for export was 
small, even if it was double the domestic orders. The largest 
order, as already noted, was from Mexico — that is, if it is 
proper to include in the foreign orders, locomotives to be 
delivered to a road which subscribes to the A. R. A. Code 
of Interchange Rules, as do the National Railways of Mex- 
ico. The other countries which furnish sizable business 
were Argentina, Chile, China, Brazil and Japan. Much of 
this business was obtained in spite of the keenest competi- 
tion, considerable of it from German builders whose quota- 

tion,- were at times below those of the successful American 
bidder. In such cases the American reputation for prompt 
deliveries was frequently a deciding factor. 

The orders from Argentina were principally from the State 
Railways. The Japanese business is of interest because Japan 
has a considerable locomotive production of its own. The 
Chilean State Railways, which ordered 30 steam locomotives, 
merit attention because they placed the largest electric loco- 
motive order of the year — 35 locomotives for the new elec- 
trification out of Santiago. 

In looking over the foreign specifications it is evident that 
the railroads in other countries are appreciating the economic 
advantages to be obtained from the use of considerably 
heavier power than that which they have hitherto purchased, 
although naturally the locomotives are lighter than those 
used on American roads. It is interesting to note that whereas 
only one Mallet locomotive was ordered in 1921 by an 
American railroad, a number were ordered for use in China, 
these being the heaviest locomotives built for use on any road 
outside of the United States. The tabulated data indicate 
that the American locomotive builders did well in China 
in 1921. 

An interesting point in connection with the export trade 
is the paucity of orders from European countries this year 
and the absence of Cuba — due to the ill-fortunes of the sugar 
industry — from the list of purchasers. In the foreign field, 
as well as in the domestic field, the controlling factor was 
the difficulty, at times insurmountable, of obtaining either 
the necessary capital or credit. In a number of instances the 
locomotive builders were obliged to arrange for the necessary 


As previously noted, the number of locomotives built dur- 
ing 1921, as distinguished from orders, was record-break- 
ingly small. The domestic production was the lowest since 
1897 — the foreign is back to pre-war records. 

The locomotive orders which are listed in the accompany- 
ing tables are compiled from official sources. Some few 
omissions of small unimportant orders doubtless occur. The 
data presented were supplied by the railways and the indus- 
trial companies in response to inquiries from the Railway 
Age. They were checked against similar lists furnished 
through the co-operation of the builders and with the weekly 
reports in the Equipment and Supplies column of the 
Railway Age. 

Atchison, Topeka & Santa Fe 

Atlantic Coast Line 

Brooklyn Eastern Dist. Term 

Central of New Jersey 

Chicago, Rock Island & Pacific... 

Green Bay & Western 

International & Great Northern 

Mississippi Central 

Pittsburgh & West Virginia 

Seaboard Air Line 

Southern Pacific 

Toledo, St. Louis & Western 

Union Pacific 

\ irginian 

Ala.. Tenn. & Northern 

California Western R.R. & Nav. Co. 

Campbell's Creek 

Cumberland & Manchester 

Dayton-Goose Creek 

Greenbrier & Eastern 

Hunt. & Broad Top Mt 

La Crosse Kr Southeastern 

Lauiinburg & Southern 

Locomotive Orders in 1921 

Class I Roads 













27 x 32 






30 x 32 







28 x 28 






28 x 28 





25 x 28 






23 x 26 






19 x 24 






27 x 32 






28 x 20 







25 x 30 






21 x 26 







20 x 28 






27 x 28 




27 x 30 




29'/, x 32 






22 x 28 





29 x 28 





28 & 44 x 32 







26 x 32 



Other United 

States Railroads 





20 x 24 


2-6-2 1 

ass. & Freight 


18 x 24 



2-8 ii 


20 x 24 








15 x 24 






23 x 28 






21 x 26 





4-60 1 

ass. & Freight 

1 26,500 

IS x 26 





Vol. 72, No. 1 

Ml. Tamalpais S M 

San Antonio Southern.... 

sewcll Valley 

Sierra Rv. of California... 
Wabash. Chester & Westen 
West Virginia Midland 
Yosemite Valley .... 

Alabama Power Co. . 

American Bn>! e i 
American Sugar Ref. I 

Brownell Improvement Co 

California 111.18. & Mat. I 

Dolbeer ft Carson Lbr. Co. . 

Farrell. II. T 

Fleischmann Trans. Co 

Foster Creek Lbr. Co 

Fruit Growers 

Gayoso Lbr. Co 

Harris Lipsitz Lbr. Co 

Hunt, lohn A.. Co 

Hutchinson Lbr. Co 

Koppers Co 

Laurentide Co.. Ltd... 

Mexican Pctr. leum Co. of la 

W. G. Mitchell Lbr. Co 

Oregon Lbr. Co 

Parklap Construction Co 

Peoples Mutual Gas Co 

Pittsburgh Plate Glass Co 

Smith. W. T.. Lumber Co 

Trumbull Cliff Furnace Co... 
Young, J. S., Co 

Canadian National 

Canadian Pacific 

Dept. rf Rvs. & Can. Cat 

Grand Trunk 

T.miskaming & Northern Ont 

Mexican Ry 

y Iron & Steel C (Ml 

National Railways of Mexico 

Nation.,! Railwa 

Alexander & Baldwin 
Argentine State Rys. 

Bahia Rys. (Brazil).. 

Canton-Hankow ( China i 
- 1 i Cuaiihtemo 

Chilean State Railways 

• .te Railway 

C.a Mnfrera Cemenlo Portland 'Mr 
Cia Mn de Combustihli 

ral Rys 

Imp K..^ 



1 V|r 



Cylinders si 








2U \ 24 





1- reight 










13 v 18 No 












Sw itching 


17 x 24 No 



' hing 

16 x 24 




22 x 26 






17 x 24 No 





18 x 24 No 








17 x 24 No 






15 x 24 No 




IS x 24 No 







M ntreal 




14 x 22 No 




15 x 20 No 




» 04-0 






21 x 26 No 









Railroads and 

Other Companies 

in Canada 





Ci mpany shops 









25 x 30 No 













3054 x 37'.. 









25 x .in Yes 













16 x 20 

















Orders for Export 



10 x 24 


4-6 2 











\\ estmghouse 



\\ estinghouse 



1 (5,000 


\\ estmghouse 










.1 ( ,i 





1 |t 1 (TU- 


.: house 


General Electric 


Am. - 











MA. i" 



( AI'Y 






1 "J 


Wiip'rt fc.v //if Pressed £/«•• Car Co. for t/ic Wheeling & Lake Brie 

Freight Car Orders During 1921 Lowest on Record 

Attributed to Small Net Income, Decreased Traffic, Large Car 
Surplus and Bad Order Situation 

By Frank W. Kraeger 

Freight cars ordered for domestic service in the United 
States during 1921 totaled 23,346, the lowest except 
1919. The orders compared with 84,207 in 1920; in 
other words, they were one-fourth the 1920 totals. During 
the' second year of federal control, 1919, practically the only 
orders placed in North America were those for private car 
lines and industrials; the total including Canada was 25,899 
cars; the 1921 figure succeeded in lowering that unenviable 

Export orders in 1921 totaled 4,982; this is half the total 
for 1920, in excess of the figure for 1919, but less than one- 
tenth the averages for the years 1917 and 1918. 

The number of freight cars ordered in 1920 was not 
large. It did, however, permit the car builders to start 1921 
with a fair amount of uncompleted business on their books. 
The 1921 orders were so few that the year was primarily 
spent in cleaning up the hold-over 1920 business. The result 
was minimum production — the totals for the year reaching 
40,292 cars built for domestic service and 6,412 for export. 
For all the fact that the production for freight cars for the 
past several years has been at a low average, the 1921 total 

Table I — Freight Car Orders 01 192] 

For Class I railroads 21,003 

For other American railroads 923 

For private car lines and industrials 1,420 

Total domestic 23,346 

F.,r M-rvice in Canada 30 

For export to other countries 4,982 

Grand total 28.358 

succeeded in being less than that for any other year for an 
indefinite period. Fortunately, there was a reasonable 
amount of work in the form of freight car repairs to alleviate 
the situation; but it can hardly be said that repair business 
went very far in that direction. 

The reason for the small quantity of new orders for domes- 
tic service \a 1°21 is due to several factors — the abbreviated 
net railway operating income; the decreased net ton-miles; 
the large proportion of idle cars; and the percentage of bad 
order cars. These factors were more or less interrelated. In 
a poor year of rather more ordinary poorness, the existence 
of any one of them could have been blamed for acting as a 
drag on freight car business. The combination of them in 

1921 succeeded in making 1921 a record-breaker of the 
wrong sort. 

It is hardly necessary to discuss the factor of net railway 
operating income inasmuch as it is receiving considerable 
attention in various other articles in this issue. 

Concerning net ton-miles, attention is directed to the ar- 
ticle entitled, "Five Years of Freight Traffic Growth Is 



II— Ori 





Domestic ai 

(eight Cars Since 







d foreign 

Domestii Foreigi 
109,792 18.222 

170.054 35,314 

, Jn7 53.191 


domestic Canadian 
114,113 0,657 
22.062 3,837 
X4,_'<ir 12,4U6 





Class I 
... 101.063 

'.".' '51*250 

t lllier 


Private car 
lines and 



For Grand 
export total 
53,547 177,317 
3,994 29.893 
9,056 105.669 

Lost," wherein appears a chart showing net ton-miles on 
the Class I carriers by months from 1916 to October, 1921. 
The point plotted for 1921 in nearly every month is the 
lowest for that month. Large orders for new freight cars are 
naturally not to be expected under such conditions. 

The net freight car surplus varied during the year between 
68,984 on October 31 to 507,274 on April 8. On December 
15 it was 371,044. The year 1921 is the only year on record 
in which idle cars climbed over the 500,000 mark. The years 
during which at any time the surplus has gone over even 
300,000 are very few. They include 1908, when the highest 
figure was 413,338; possibly 1914, during a portion of which 
the total got so large that the compilation of figures was 
abandoned; in 1915, when 327,084 was reported; and in 
1919, when the peak was reached of 448,864. 

Large car surpluses and declining totals of net ton-miles 
are not unusual. Such a large* percentage of bad order cars, 
however, was a feature more or less singular to 1921. The 




Vol. 72. No. 1 

bad order cars on January 1 totaled 191,254, or 8.5 per cent. 
They increased during the early part of the year, until on 
August IS they totaled 382,440, or 16.6 per cent. On De- 
cember 1 this had been reduced to 320,292, or 14 per cent. 
This is not the place to discuss the reasons for the high bad 
order totals — it is the place, however, to indicate that the 
effect on new freight car business was potent, to say the 
least. A railroad worrying each month whether its net rail- 
way operating income would be shown in black or in red 
figures could hardly be expected to buy new cars at high, 


Table III — Freicht I 

L'nited States Canada 
40,292 8,404 






113 ,070 


1002 161,747 






1«0.«* 75,344 

1909* 91,077 

1 «M * 176.374 

1911* t.H.'-ir,] 

1912* 148,357 

"Includes Canadian output. 

tlncludes Canadian output and equipment built 

United State 

domestic Foreign 

1 .995 
7.21 9 







company shops. 




1916 111,516 



1910. , . . 


Domestic Foreicn T< tat 
76.049 9,618 185,667 

























8. inn 


151,41 i 








even if not at peak prices, while it had large numbers of 
both unserviceable and idle serviceable cars. There was, of 
course, a fair amount of repair business but, as noted, not 
exactly a large amount of it. 

Fortunately, the gradually declining percentage of bad 
order cars indicates an improvement in the situation. In 
11 four of the factors which we blamed for the dis- 
appointing 1921 business are, looking at it in the larger way, 

showing improvement. This is said with due recognition of 
reased business which is a natural factor at this time 
of the year. 

Sizable orders were reported in 1921 by but few roads 
The Atchison. Topeka & Santa Fe ordered 1,300 gondola 
and 2,500 refrigerator cars. The Baltimore & Ohio con- 
tracted for 3,000 hopper and box car bodies to be used for 
replacements. The Chicago. Milwaukee & St. Paul placed 
orders for 2,500 gondola cars. The Lackawanna reported 
1,500 hopper and 500 box cars. The Illinois Central se- 
cured 1,000 refrigerator cars. Other large orders are reported 
for the Louisville &: Nashville, 2,800 cars, and the Minne- 
apolis, St. Paul & Sault St. Marie, 1,300. The absence of 
the New York Central and Pennsylvania from the lists is 
noticeable; these roads, however, received large allocations 
of U. S. R. A. standard equipment, and the former also 
placed larL'r orders in 1920. 

Another interesting but disappointing factor was the small 
amount of orders for private car lines and industrials. Ca- 
nadian orders were likewise conspicuous by their absence 

The export orders for the year were not large. Such busi- 
ness, however, has apparently been brought to a more stable 
basis than was the case when the larger part of the business 
was placed by European countries which had car-building 
plants of their own but which were used for other purposes 
during the war. The Argentine State Railways purchased 
2,000 cars; the Chilean State Railways. 520 '; China also 
purchased a fairly large number. The order given a Ca- 
nadian company for 500 tank cars for the Russian Soviet 
Government merits more than passing attention. The Chinese 
orders and those from South America — in the latter case 
from the state owned railways — prove the contentions made 
in the recent past that it was among such purchasers that 
our foreign business was most likely to be found. 

The list of orders which follows is compiled from infor- 
mation furnished the Railway Age by railroads, private car 
lines and car manufacturers. It was checked and amplified 
by comparison with the items appearing each week in the 
Equipment and Supplies column of the Railway Age. The 
railways, private car lines and manufacturers gave us their 
usual co-operation not only as to new orders but as to pro- 
duction and it is with pleasure that the editors of the 
Railway Age draw the reader's attention to that fact. The 
Railway Ige is especially indebted to Dr. W. F. M. Goss, 
president of the Railway Car Manufacturers Association, 
for the courteous and valuable assistance given us in secur- 
ing the report- from the members of that association. 


i.ta Fr. . 

bawanna ft '.' 

Atlanta ft Weal I' inl 



Freight Car Orders in 1921 





Class I Roads 

l . ■-.•; i natrui ■ ... 
46 ft. in. Steel Fr.imc 46.500 
•in ft. n in, Sirel Frame 47.000 
33 ft. 2 in. St. Und'trame 55. .300 
}} ft. 2 in St Und'frame 55.300 

29 ft I 

Ft ime 4S.OO0 

40 ft. .1,,, 51 15.000 



s,, r | 

37 ft. 7 in. 
JO ft. n ,n, 


40 ft ■ 46.000 

true J6.on» 

inte 46.100 

in ft .• 43,900 


hi Steel Frame 




"ft .1 it. 





St. Side Fr. 
St. Sole Fr. 

St. Sole Ft 
St. Sole Fl 


Haskell .' 
Am Car ,\ Frry. 
Haskell & Uarker 
\m. Car ft Fdj. 
t'.impanv Shop* 

Am. Cm I K.It 




Stan. I.i. 



Ha.krll 1 



I Fdy. 

Mt. Vernon 

January 7, 1922 



Pun No. 

I r unk 699 



Great Noitiut i 500 

Golf. Mol.ilc \ \ ihrn 50 

Illinois i emi il 650 


[ndiana Harbor Kelt. . 

Louisiana & Arkansas 

lie ,v Nashville 

Minn.. St. Paul & S. Ste. Mai 
Missouri, Kansas & Texas... 

Mo., Kan. ft Tex. of Texas. 
N Y.. Chicagi & St. Louis. 

Pert- Marquette 

Pittsburgh & West Virginia. 

St. Louis Southwestern 

Southern Pacific 

Toledo & Ohio Central 

Western Pacific 


Buffalo Creek & Gauley . . . 
i oL Western R. R. & Nan 
Duluth & Northeastern.... 
Cumberland & Pennsylvani 

Gulf & Sabine River 

Gulf, Texas & Western... 
Kellys Creek & Northwest. 
Louisiana & Xorth West . . 
Northwestern Pennsylvania 

St. Louis & O'Fallon 

Tennessee Coal, Iron & R. 

Am. Refrig. Transit Co. 

Associated Oil Co 

Barnes Circus 

Beacon Oil Co 

Clemmons Logging Co. 

Coates Driving & Bocm Co. 

Cudahy Refrig. Line 

Dist. of Columbia 

Easton Car & Const. 
Eatonville Lbr. Co... 
English Lumber Co. . 

Ferro Construction Co... 

Green River Lbr. Co 

Inland Steel Co 

Insular Lumber Co 

Teddo-Highland Coal Co. . 
Live Poultry Transportatit 

McCoy Logeie Logging Co. 
Mahoning Ore & Steel Co.. 

M^.ssack Timber Co 

Mathieson Alkali Co 

Merrill & Ring 

Morris & Co 

Mud Bay Logging Co 

Nemah River Lbr. Co 

Pennsylvania Tank Line... 

Phoenix Logging Co 

Poinsett Lubricating Co.,.. 

River & Rail Trans. Co 

Rutledge Timber Co 

Saddle Mt. Logging Co. . . . 

Simpson Logging Co 

Skelly Oil Co 

Stauffer Chemical Co 

U. S, Engineers 

Vancouver Equipment Co. 

Veneese. J. A., Lbr. Co. 
Washington Iron Works. 
Waterbury Gas Light Co. 

Webb Logging Co 

Various purchasers 




40 ft. 6 in. 




. Reft. 





Hart Conv. 










Scale Test 

I al 

I al 

h ,, Bo Is 



















•100 Steel Und'fran 

8 Tank 

4 Flat 

2 Stock 

3 Stock 

2 Flat 
20 Tank 

6 Logging 

4 Logging 
10 Logging 

1 Ballast 

500 Refrig. 

3 Gondolas 

4 Gondolas 
1 Hopper 
1 Flat 

25 Logging 

1 Caboose 

1 Flat 

1 Logging 

20 Gondola 

12 Logging 

4 Dump 

200 Poultry 

100 Poultry 

1 Caboose 

10 Dump 

1 Logging 

20 Special 

10 Logging 



















Cars not oft] 






' 86)666 


I. II. 



mi. mil) 

40 ft. in. 
40 ft. Oin. 
40 ft. in. 

42 ft.Oi 
36 ft. i 
38 ft. i 
36 ft. i 

Steel frame 
St. Und'frame 



\\ ood 

St. Und'frame 


St. Und'frame 

1 1 'frame 

St. Und'frame 

Steel Frame 
St. Und'frame 
St. Und'frame 
St. Und'frame 



40 ft. in. 
39 ft. 1 in. 
36 ft. in. 
28 ft. 1 in. 
36 ft. Oin. 
18 ft. 2 in. 
28 ft. 1 in. 


inn. nn. 

40 ft. 6 i 

St. Und'frame 
St. Und'frame 
St. Und'frame 
St. Center Sills 
St. Und'frame 

St. Cent. Sills 
St. Und'frame 
St. Und'frame 


-16 ft. 3 ! 
32 ft. J 
40 ft. : 




St. Und'frame 





Other United States Railroads 


St. Und'frame 
St. Und'frame 
St. Und'frame 

Private Car Lines and Industrials 





30 cu. yd. 




30 cu. yd. 

* 80,000 



70 ft. in. 
70 ft. in. 
70 ft. in. 
70 ft. in. 
34 ft. 5 in. 
42 ft. in. 
42 ft. in. 
42 ft. in. 
34 ft. in. 

39 ft. 1 in. 

41 ft. 9 in. 

40 ft. O in. 
40 ft. in. 
44 ft. in. 

42 ft. in. 

31 ft. Oin. 
47 ft. 10 in 
50 ft. Oin. 
40 ft. O in. 
40 ft. in. 

32 ft. 2 in. 
36 ft. in. 
36 ft. in. 

31 ft. Oin. 

32 ft. 2 in. 
42 ft. in. 
42 ft. 5 in. 
42 ft. in. 







10. 000 




1 'O.OOO 
inn. I'll l 

ise reported 

42 ft. i 

44 ft.Oi 
37 ft. O i 
42 ft. i 
41 ft. Oi 
40 ft. i 

St. Und'frame 

St. Und'frame 

St. Und'frame 

St. Und'frame 

AIL Steel 





St. Und'frame 

All Steel 

All Steel 


All Steel 


St. Und'frame 

St. Und'frame 



Steel Frame 

Steel Frame 

St. Und'frame 


All Wood 



St. Und'frame 





Temiskaming & Northe 
'Not included in 

Ml. nn.. 

42 ft. in. 

44 ft. 


30 ft. 
42 ft. 
34 ft. 


44 ft. 


42 ft. 



^7 ft. 

r C« 

6 in. 


. LTnd'fran 






All steel 


Railroads and Other Companies in Canada 

.'3 ft.Oi 
36 ft. Oi 
40 ft. i 

21 ft. i 




ln,n. ii 





















Arch Bar Am. Car & Fdy. 

Company Shops 

Company Shops 

St. Side Fr. General American 
Company Shops 

St. Side Fr. Haskell & Barker 

St. Side Fr. General American 


Company Shops 

Company Shops 

Am. Car .V Fdy. 

Am. C.-.r & Fdy. 

Am. Car vS; Fdy. 

Mt. Vernon 

Chickasaw Ship 

Chickasaw Ship 

Ccmpam : 

Haskell & Barker 

Haskell & Barker 

Haskell & Barker 

Arch Bar Company Shops 

St. Side Fr. Company Shops 

Arch Bar Company Shops 

Arch Bar Company Shops 

Company Shops 

St. Side Fr. Pressed Steel 


Company Shops 

Company Shops 

Compan; Shops 

Pressed Steel 

Clark Car 

St. Side Fr. Am. Car & Fdy. 

Companv Shuns 

Arch Bar Mt. Vernon 

Arch Bar Mt. Vernon 


Company Shops 

Company Shops 

St. Side Fr. Pressed Steel 

Company Shops 

Company Shops 

Am. Car & Fdy. 

Company Shops 

Arch Bar Company Shops 

Company Shops 

Chickasaw Ship 

Chickasaw Ship 


General American 

Penn. Tank Car 

Mt. Vernon 

Mt. Vernon 

Mt. Vernon 

Mt. Vernon 

Arch Bar General American 

Pac. Car & Fdy. 

Pac. Car & Fdv. 

Pac. Car & Fdy. 

Pac. Car & Fdv. 

Haskell & Barker 

Mt. Vernon 

Mt. Vernon 

Mt. Vernon 

Pac. Car & Fdy. 

Pac. Car & Fdy. 

Pac. Car & Fdv. 

Standard Steel 

Pac. Car & Fdy. 


Pac. Car & Fdy. 


Am. Car & Fdy. 

Am. Car & Fdy. 

Pac. Car & Fdy. 


Pac. Car & Fdy. 

Standard Steel 

Pac. Car & Fdy. 

Company Shops 

Pac. Car S: Fdy. 

Pac. Car & Fdy. 

Penn. Tank Car 

Pac. Car & Fdy. 


Mt. Vernon 

Pac. Car & Fdy. 

Pac. Car & Fdy. 

Pac. Car & Fdy. 

Pac. Car & Fdy. 

Arch Bar Std. Tank Car 

Pac. Car & Fdy. 

Gen. Am. Tk. Car 

Gen. Am. Tank 

Pac. Car & Fdy. 

Pac. Car & Fdy. 

Pac. Car & Fdy. 

Pac. Car & Fdy. 

Pac. Car & Fdy. 

General American 

Pac. Car & Fdy. 

Am. Car & Fdy. 

Can. Car & Fdy. 

Can. Car & Fdy. 


Arch Bar ' Company Shops 

Company Shops 

Canadian Brill 

1 31 • 


Vol. 72, No. 1 

Argentine Slate Rys. 

Baldui:" '' ' 

Attanu. i 


Chilian State K* - 

Chinese Government Rys 


Cuba Northern 

Japanese G v'i K>s 50 

Java Stati R • 

Gold C 100 

Katanga Railroad . . . 


Nation..! 100 

Republic of Colombia 12 

South Manchuriai K. 

Russian - 

■ 3 


Uganda Railways - 

United Fn it I ■ 


W'ah Chang Trading Corp 20 

foreign Purchasers.... 349 


Orders for 





Draft gear Trucks Hi ilder 


33 tt. 3 in. 




Standard Steel 





Standard Steel 



Standard Steel 


28 ft. in. 


Standard Steel 


Magor Car Co. 



32 ft. 7 in. 

Am. Car & Fdy. 

Re frig. 


25 ft. 7 in. 


Am. Car & Fdy. 


Pressed Steel 


General American 


Frit tion 

General American 


23 ft. 9 in. 


Standard Steel 

Bi » 


37 ft. in. 

1 rami- 

Am. r. Car & Fdy. 




19 ft. Oin. 


Am Car & Fdy. 


18 ft. in. 

Am Car St Fdy. 





I'ressed Steel 



30 ft. 5 in. 


. . < ieneral 




Am. Car X Fdy. 


Am. Cat a Fdy. 



Am. O ■ 


Am, Car a Fdy. 

30 ft. in. 

Sm -ring 

Am. i u .v Fdy. 

30 ft. Oin. 

Am. l ■ 


An i ii I Fdy. 


4 en. yd. 

Am. Car \ Fdy. 


30 ft. in. 

St. Und'framc 

Am. Car & Fdy. 


20 cu. yd. 



30 ft. 7 in. 

1' frame 

t an. Car ft Fdy. 



Am. Car X Fdy. 

39 ft. 11 it 





t .regg 





irs nol otherwise reportec 

An. Cil S Fdy. 



I k..m 1873. when the first two Washington navel trees were 
imported into the State of California, the citrus fruit industry 
has grown in size and importance until today approximately 
180,000 acres in California are devoted to the growing of oranges, 
and 50,000 acres to lemons. The fruit which is shipped annually 
from the state averages from 25,000 to 30,000 carloads of navel 
oranges, 10,000 to 15,000 carloads of Valencias and about 9,000 
carloads of lemons and grapefruit. In recent years, owing to the 
growing demand for Valencias, the fruit is shipped during the 
entire year, navel oranges moving from November to May, and 
Valencias from May to November. It is predicted that when the 
arreage now planted comes into full bearing, approximately 20.000 
more cars of citrus fruit will he shipped annually. 

Phiring the season of 101*). 42.443 cars, loaded with citrus fruit. 

were moved from California This is equivalent to 849 trains 
of 50 cars each. 

Further, taking an averagi of 448 boxes per car for the oranges, 
and 392 boxes per car for the lemons, there was a total of 14,822.- 
528 boxes of fruit or 746,804 tons. 

The rate to Eastern points during 1919 was $1.44 per 100 lb. 
on oranges and J1.2? on lemons. This would yield a total of 
t earnings The shipper fared well during 
the 1919 season, receiving $3.75 a box for oranges and (3.50 a 
it lemons oi a total revenue of $68,422,283. The by-prod- 
ucts are important. The factories .ire now annually producing 
approximate!) 50,000 lb. of lemon oil, 1.51X1,000 lb. of citric acid 
and orange marmalade, citrate of lime and vinegar in large 

Built by the Prr'srrl Steel Car Co for the Wheeling A Lake Brie 

York Central Line 

Passenger Car Purchases Small During 1921 

Fewest Orders in Any Year on Record Except 1918 — Sizeable 
Foreign Buying 

By Frank W. Kraeger 

The passenger caes ordered for service in the United 
States totaled in 1921 but 246. This is the smallest 
number in any year on record for at least 20 years, 
with the exception of the year 1918, when every energy was 
bent towards war-time activities. Foreign orders in 1921 
totaled 155. Several important orders were included. The 
figure compares with 38 cars ordered for export in 1920 and 
143 in 1919. 

Talle I. The Pasexger Car Orders of 1921 

Fit Class I railroads 207 

Other domestic 39 

Total domestic 246 

For service in Canada 91 

For export to other countries 155 

Grand total 492 

The passenger car production, as distinguished from orders, 
was 1,2 75, as compared with 1,272 in 1920. Cars built for 
export totaled only 39. 

The review of the orders for passenger cars in 1920, 
which appeared in the Railway Age of January 7, 1921, 
page 141, said: "The totals for orders of passenger cars 
during the past year give proof of the upward trend which 
was noted in the statistical report on passenger car orders 
last year." Unfortunately the upward trend did not con- 

Orders for Passencer Cars S 
Domestic orders only 


1901 2.879 

1902 3,459 

1903 2,310 

1904 2,21.1 

1905 3,289 

1906 3,402 

1907 1,791 

1908 1,319 


1909 4,514 

1910 3,881 

1911 2.623 

1912 3,642 

1913 3,179 

1914 :,002 

1915 3,101 

-lie and Foreign 

Year Domestic Foreign 

1916 2,544 10° 

1917 1,124 43 


Year railroad 

1918 5 


1920 1,115 







tinue into 1021. The reason can only be laid at the door 
of decreased net railway operating income. In the article on 
locomotive business during 1920, which appears elsewhere 
in this issue, evidence is presented that orders for new loco- 
motives could hardly have been expected while the roads 
were not in a position and did not find it necessary, while 
they had engines in white lead, to reduce # their percentage of 
unserviceable locomotives. This is not the case with pas- 
senger equipment. The railroads need passenger cars. They 

Table III. Passenger Cars Built in 1921 


United State 
. .. 1,275 



on with Previous Years 

Year Domestic Foreign 

1399 1,201 !04 

1900 1.515 121 

1901 1.949 106 

1902 From 1902 to 190! passenger 

1903 - car figures in these l»„ 

1904 columns included in corre- 







1913 2.ESS 

1914 3,310 

1915 1,852 

1916 1.732 

1917 1,924 

1918 1,480 

1919 306 

1920 1,772 

"Includes Canadian output, 
flncludes Canadian output : 





id equipment built in company shops. 


have purchased but few in the last five years in spite of the 
greatly increased business developed during these years. The 
result is shown in the statistics of passengers carried per car 
or per train and in the fact that passenger service at present, 




Vcl. 72. No. 1 

own with its improvement over war ami after-armistice 
federal control conditions, is by no means ion,- as 

railroad men would like to see it. 

The tendency for many years has been towards steel pas- 
senger train equipment. The Interstate Commerce Commis- 
sion in its latest annual report repeats its previous recom- 
mendation that the use of steel cars in passenger sen-ice be 
required. The progress in the direction of replacing wooden 
cars in the past few years has been disappointing. The 
lack of such progress will only increase the difficulties of 
tlu- carriers, should the Commi.-sion'- recommendation ever 
be adopted and put in the form of an act of Congress. 

Only two roads placed fair-sized order- tor passenger 

tram equipment during 1921. The New York. Ontario & 
Western ordered 32 cars and the Reading, 50. The latter 
i- expected shortly to order additional cars. The Missouri, 
Kati>.i- & I - ordered 54 cars, but 50 of these were ex- 
press refrigerator cars and are included in the passenger car 
list only because they will presumably Ik- operated in pas- 
senger trains. 

South America and China were the largest foreign buyers. 
I he Argentine Government ordered S3, the Chilean 5 
Railways ordered ten. and railway- in Colombia. 28. The 
Tientsin-Pukow of China gave us an order for 45. It is 
orthy that in the case of the Chilean and Tientsin- 
Pukow cars, all-steel construction was specified 

Passenger Car Orders in 1921 

Class I Railroads 





1 1 




per truck 



Baltim, re & Ohio 



1 frame 






Delaware, tack. & Western.... 


Bagg. & Mail 




Am. Car 

& Fdy. 


< oacfa 
Horse Exp. 

St. Und'framc 








Hulf. Mobile & Northern 


Pa-* i 

w ' 

i i mpany 







Am. Car 

& Fdy. 


7s ft. 7 in. 





Am. Car 

& Fdy. 


73 ft. 7 in. 



Am. Car 

& Fdv. 


7" ft. 6 in. 





ft Fdv. 



42 ft. 11 in. 

St. Centr. Sills 



I ompanv 


N. Y.. New Haven X H 


M tOI 

70 it 7 in. 





1 'sgood-B 







New York. Ontario & W 


78 ft 




1 Iradley 


S Bagg. 

75 ft. 9 in. 




1 radii v 



63 ft. 4 in. 

i lo.noo 



1 Isgr* .M'-radlev 


Bagg. i 

63 ft. 4 in. 








72 ft. 4 in. 




ncthlehem Shir. 


( omb. 

7? ft. 4 in. 






i Ship. 



72 ft. 4 in. 







83 ft. 11 in. Steel 
Other Domestic Purchasers 





E. Tenn. & West N Carolina.. 


Bagg. & Mail 

- in. 

St. Und'fraine 



ft Fdv. 


44 ft. 4 in. 

St. (Jnd'fnnM 




a Fh 



4S ft. 4 in. 






Car llodies 

Am. Car 



72 ft. 2 in. 






Rethlehcm Ship. 

72 ft. 2 in. 


111. 000 



Bethlehem Ship 


66 ft. 3 in. 

1 10.000 



Bethlehem Ship. 


and Other Companies in 


r.t> . ■ 





Bagg. & Exp. 

63 ft. 8 in. 

1st CI 

73 ft. 6 in. 





Orders for Export 



iter ' 


\\ estinghouM 








1st II 

44 fi. •• in. 



Bagg. & Mail 



1st I 
3rd i 















3rd i 





<" ft (1 In. 

St. Uri 


West in cl 


.'it, •. .n 



72 ii 6 ni 



Am C.v 





14 ft. 4 in 

i p • ■ Central, replying 

i the Intern 

■ •I the rail 
i mile. 

miles ol track, 


it you had used the correct figures youi estimate ol tl 
valuation in the United States would have been 

.nil more than the estimate you actusJIj made 

which shows the utter fallac] ol thi comparison The rail- 

vhosi tentative valuations you and Mr Plumb cite have 

onlj about E the total trackage i" the countrj 

not represcntativi roads Thi valuation "t .til the rail- 

ilrlj or intelligent!] estimated upon any such 


Dividend Changes on Railroad Stocks in 1921 

Apprehension of Early Months Not Borne Out — 
Lackawanna and Burlington Increase Rate 

By Charles W. Foss 

APPREHENSION as to whether the railroad boards of di- 
rectors would or would not declare the regular divi- 
dends of their respective companies was an ever- 
present feature in financial centers throughout the better part 
of 1921. The apprehension at times was directed at good 
roads and bad, because during the early part of the year even 
the more fortunate roads were unable to show promising 
figures of net railway operating income. 

The year is now behind us. It develops that the appre- 
hensions, while they were amply justified by the contem- 
poraneous conditions, were by-and-large not borne out in the 
final results. Realizing the manner in which nerves were 
kept on edge during the earlier and middle parts of the year, 
it is somewhat surprising to see how few changes really did 
take place during 1921 in the matter of dividend payments 
or changes in the rates of dividends declared. -The record 
of the year was not good, but it was much better than many 
of the most optimistic would have hoped for, say, eight 
months ago. 

The outstanding feature, of course, was the reduction in 
the Pennsylvania Railroad dividends from V/i per cent 
quarterly to 1 per cent. Next we may put the deferring of 
the Southern Railway 2J/ per cent semi-annual dividend on 
the preferred. The action of the Chesapeake & Ohio direc- 
tors in deferring the 2 per cent semi-annual dividend on the 
common was also serious, but the C. & O. has since restored 
its former rate. 

On the other hand, there were the Chicago, Burlington & 
Quincy and Lackawanna. The former declared a 54 per 
cent stock dividend and has since paid 25 per cent dividends 
on the increased capitalization. The Delaware, Lackawanna 
& Western, which formerly paid 5 per cent quarterly divi- 
dends, declared a 100 per cent stock dividend and is now 
paying at the rate of 3 per cent quarterly on the doubled 
capitalization and has recently declared an extra of 5 per 

The Interstate Commerce Commission, in its annual re- 
port issued recently, has a table covering dividend payments 
for the past ten years. The table shows that whereas in 1911 
67.65 per cent of the stock of the railroads was paying divi- 
dends, but 57.24 per cent paid dividends in 1920. The 
amount paid in dividends in 1911 was $460,195,376; in 
1920, but $328,989,492. The average rate on dividend pay- 
ing stock declined from 8.03 per cent in 1911 to 6.51 in 
1920; the rate on all stock from 5.42 to only 3.72. It would 
be difficult to indicate what has taken place with railway 
stocks in these years in a more striking manner. The figures 
given in the report follow: 

Steam Roads, Excluding Switching and Terminal Companies 

Average rate on: 

Proportion of stuck Dividend 

paying. divi- Amount paying All stock- 
Year ended dends, per cent of dividends stock per cent per cent 

Tune 30. 1911 67.65 $460,195,376 8.03 5.42 

Tune 30, 1912 64.73 400,315,313 7.17 4.64 

Tune 30, 1913 66.14 369.077,546 6.37 4.22 

"Tune 30, 1914 64.39 451,653,346 7.97 5.13 

Tune 30, 1915 60.45 328,477,938 6,29 3.80 

Tune 30, 1916 60.38 342,109,396 6.48 3.91 

Dec 31, 1916 62.02 366.561,494 6.75 4.19 

Dec. 31, 1917 63.32 381,851,548 6.81 4.24 

Dec 31, 1918 58.09 339,185,658 6.60 3,83 

Dec. 31, 1919 59.64 335,241,935 6.33 3.77 

Dec. 31. 1920... 57.24 328,989,492 6.51 3.72 

The important changes in dividend rates which took place 
in 1921 are shown in the following table: 

Per cent Per cent Annual Annual 

Name of road declared declared rate at rate 

1921 1920 present 1920 

Chesapeake & Ohio, common 2 4 4 4 

Colorado & Southern, common 3 ... ... ... 

Chicago, Burl. & Quincy, old capitalization. 12 S ... 8 

Chicago, Burl. & Quincy, new ) 25 ... 10 

Chicago, St. Paul. Minn & Omaha, preferred 7 5 7 

Dela., Lack. & Western, old capitalization.. ( 10 20 ... 20 

Dela., Lack. & Western, new ) 11 ... 12 

Hocking Valley, common 2 4 4 4 

New York, Ont. & Western 2 1 ... 1 

Pennsylvania Railroad , 4 ri 6 4 6 

Pittsburgh, Cincinnati, Chicago & St. Louis. ... 4 ... 4 

Southern Railway, preferred 5 ... 5 

West Jersey & Seashore 5 ... 5 

Pennsylvania Railroad. The Pennsylvania's action in re- 
ducing the dividend rate from V/2 per cent quarterly to 1 per 
cent was taken on April 27. This was the first time in 22 
years that the Pennsylvania had reduced the annual dividend 
rate below 6 per cent. Since 1899 it has paid 6 per cent 
annually with the exception of 1906 when the rate was 6J/4 
per cent and 1907 when it- was 7 per cent. All of the stock 
of the Pittsburgh, Cincinnati, Chicago & St. Louis with the 
exception of about 1 per cent is owned by the Pennsylvania 
Company ; the road had been paying 2 per cent semi-annually 
but action on this dividend was deferred at a meeting held 
June 22. The Pennsylvania owns $6,747,900 of the $11,- 
586,250 stock of the West Jersey & Seashore. The latter 
deferred its semi-annual dividend of 2J^ per cent in March. 
The road had been paying dividends since 1896, most of the 
time at 5 per cent. In 1906 the rate was raised to 8 per 
cent; in 1908, reduced lo 4 and has been 5 per cent since 

Southern Railway. The directors at a meeting on May 12 
failed to take action on the regular semi-annual dividend of 
2 ! j per cent on the preferred stock, usually paid June 30. The 
dividends on the preferred stock have varied considerably, 
ranging since 1897 from none to 5 per cent. In 1915 and 
1916 no dividends were paid; on November 20, 1917, 2J^ 
per cent was declared; April 30, 1918, 2^4 per cent; Novem- 
ber, 1918, iy 2 per cent; 1919, 5 per cent.'and 1920, 5 per 

Chesapeake & Ohio. On May 20, 1921, the directors of 
the Chesapeake & Ohio deferred action on the regular semi- 
annual dividend of 2 per cent due June 30, 1921. In 
November, however, a dividend of 2 per cent was declared 
payable January 3 to stockholders of record December 2. 
The Chesapeake & Ohio from 1899 to 1908 paid 1 per cent 
annually. In 1909 it paid 3 per cent; from June, 1910, to 
June, 1913, at the rate of 1J4 quarterly. In 1914, 3 per 
cent was paid. No dividends were paid between December, 
1914, and December, 1916, at which time a rate of 2 per cent 
semi-annually was established. 

The Hocking Valley's rate of 2 per cent semi-annually on 
the common goes back to December, 1915. As in the case of 
the C. & O, the dividend was deferred in June but restored 
in November. 

Chicago, Burlington & Quincy. This company declared 
a stock dividend of 600,000 shares, or 54.132 per cent, to 
stockholders of record March 31. Inasmuch as the details 
were given prominence in the Railway Age at the time, it is 
not necessary to repeat them. The Burlington, on its former 
capitalization, paid quarterly dividends at the rate of 8 per 




Vol. 72, No. 1 

rent annually; this rati- began in 1908 and was paid to 
March this year, except in September, 1917, when an extra 
dividend of lo i«?r cent was paid. Following the declaration 
of the stock dividend, or on May 26, a dividend of 5 per cent 
was declared without reference to any annual rate. On De- 
cember 1 additional dividends were declared, including a 
serai-annual dividend of 5 per cent and an extra dividend of 
15 per cent. The proceeds nearly all go to the Northern 
Pacific and Great Northern and will assist tin two latter 
materially in maintaining their own dividends, which 
in 1921 were paid from surplus rather than from current 
earnings l> Burlington dividend- in 1921 included 2 
at on it- old capitalization and 25 per cent on the new 

The Colorado & Southern paid a dividend of .^ per cent 
on its common stock in December. This was tin- first divi- 

dend on this issue since 1912, when 1 per cent was paid. 
The Burlington owns $23,667,500 of the C. & S. 531,000,000 
common stock. 

Delaware, Lackawanna «.'•'- Western. The Lackawanna 
-tixk dividend of 100 per cent, or about 545,000,000, repre- 
sented a capitalization of about one-half the company's sur- 
plus. The company has been paying dividends of 20 per 
cent annually since 1910. The 100 per cent stock dividend 
was declared July 28, [ ayable August 20. The directors, 
on September 29, declared a quarterly dividend of 3 per cent 
payal le Octo !0 rhis is at the rate of 12 per cent an- 
nually on the new capitalization, or 24 pier cent on the former 
capitalization. On December 29, in addition to declaring 
the regular quarterly dividend of 3 per cent, they declared 
an extra dividend of 5 per cent, to be paid out of surplus, 
payable January 20 to stock of record January 7. 

Receiverships and Foreclosure Sales During 1921 

Mileage Operated by Receivers Now Totals 14,324, as Compared 
with 17,197 Miles at End of 1920 

Tin \iiii mi oi roads m the hands of receiver- at 
the end of 1921 was, according to the compilations of 
tin R . 14,502. I In- represents the small- 

est mileage in the hand- of receiver- since 1912. It compares 
with 17,197 miles in receivership at the end of 1920 or widl 
the total of 37,353 on June 30, L916. During the year two 
large roads were reorganized and taken out of receiver- 
hands. One of these was the Denver & Rio Grande, oper- 
ating 2.4,s5 miles of line, and the other was the Chicago & 
Eastern Illinois, operating 1,131 miles. 

Tin Missouri, Kansas <S: Texas Line-, operating a total 
"7 m,le- are about to be taken from the receivership 
lists. The plan of reorganization was announced in Xovem- 
ljer and will presumably effective within a short 

time, lie road must be shown in the 1921 totals oi 
in the hand- of receiver-, but it must lie borne in mind that 
aileage of 14,380 i- about to be reduced in 
mileage of 3,81 '7. 
I In road- that went into the hands of receivers during 
1921 totaled 14 with a mileage of 1.744 Bui OH impor- 
tant road wa- included the Atlanta. Birmingham & V 
which receivership on various previous occasions. 

The 1921 figure compares with in road- having 541 mile- of 
line which went into the hand- of receivers iliirme 1 

'lh. year 1921 until recent months at least was an 
From the standpoint of both 
rnings. Under former conditions it might have 
ould 1 ;one into the 

- than did -' I ! I ' n ; ■• i ; 'le .n \. t. 

ii an entirely diffi I to the situ- 

m. nn oilier things I he new- 
loan fund administered by* the Interstate ton 1 

■ in Imi||i 19 '" and 1921 . has 

made loans to several carriers for the purpose of assisting 

them in meeting maturities. Presumably, in the majority of 
cases, other methods of meeting these maturities would have 
been worked out, had this method not Urn available, but 
there can be little question that in a few cases, at least. 
receivership was made considerably less of a possibility. 

It is fortunate that the money markets are much ea.-ier 
than they were, but it must be realized that during much 
of the period we have just passed through the financial 


Funded debt Capital stocA 

Name of road Mileage outstanding outstanding 

Alabama & Mississippi "8 fi 

Birmingham & Atlantic 640 9.592.407 30,000. QUO 

111 2.390,000 

C olumbus & Greenville ' ' 200,000 50,000 

Davton. Toledo & Chicago °5 31 300,000 

Delaware & Northern 50 20.000 1 . 

Gainesville Midland 74 l,« 

Ilampilcns Railroad Cor| 1,400,000 

Knoxville, Sevierville \- Eastern 28 500,000 

' iieaon & Southern 53 Si 750.000 

147 .-•, • 

M 1. 

Wichita falls. Ranejcr & Fort Worth. 


centers were in far from a receptive mood. There is 
a new element in the situation in that the country now has 
an entirely new attitude toward- receiverships from what it 
USed to have Ii can hardly be denied that with our new 

regulation and the increased amount of it. to put a railroad 

nv into the hand- of receivers is a much more Serious 

matter than it used to be. This deterring influenc 
potent one. 

V ther entire!) different angle of the situation is the 
matter of abandoned lines. \- i- pointed out in an article 
mi that subject which appears elsewhere in this issue, the 






Sale nut I 
Operated no* at Mlai 

lla« a«ke.l conrt'i permission 

1 , milr« 


scrap line 
adr tslcen up. 

January 7, 1922 



Interstate ( ommerce Commission has been overwhelmed 
with requests for authority to abandon operation of lines 
or sections of lines. This is reflected in the list of roads in 
the hands of receivers. Nine roads in the hands of re- 


(Figures to 1919, Inclusive, from I. C. C. Statistics for Year Ended Decem- 
ber 31, 

Miles of Net change Number of 

road operated during the roads in charge 

Wars ended by receivers yi of receivers 
at close of year of road operated at close of year 

June 30, 1894 40,819 192 

1895 37,856 —2,963 169 

1896 .10,476 —7,380 151 

1897 18,862 —11,614 128 

1898 12,745 —6,117 94 

1899 9,853 —2,892 71 

1900 4,178 —5,675 52 

1901 2,497 —1,681 45 

1902 1,475 —1,022 27 

1903 1,185 —290 27 

1904 1,323 +138 28 

1905 796 —527 26 

1906 3,971 +3,175 34 

1907 3,926 —45 29 

1908 9,529 —5,603 52 

1909 10,530 +1,001 44 

1910 5,257 —5,273 39 

1911 4,593 —664 39 

1912 9,786 +5,193 44 

1913 16,286 +6,500 49 

1914 18,608 +2,322 68 

1915 30,223 +11,615 85 

1916 37,353 +7,130 94 

Dec. 31. 1916 34,804 — *2,550 80 

1917 17,376 —17,428 82 

1918 19,208 +1,832 74 

1919 16,590 —2,618 

1920 17,197 

1921 14,502 

•Represents decrease for six months. 

ceivers are shown as having abandoned the operation of 
their lines. The Alabama & Mississippi, which went into 
the hands of receivers in March, 1921, has since been 
granted authority by the Interstate Commerce Commission 


1X95. .. 
1900. .. 
1901. .. 

1904. .. 

1905. .. 
1907. .. 
1921.. . 

to abandon 67 miles of line. The Missouri & North Arkan- 
sas — in the hands of receivers since 1912 — has had, 
primarily because of labor troubles, to cease the operation 
of its 365-mile line. The Louisiana & Northwest — in re- 
ceivership since 1912 — has already taken up 22 miles. 


1876 TO 1921 



and stccks 






































318,999. "00 














, 85,808,000 
































557,846, 34S 









Several of the roads which went through the e.\(jerience 
of a foreclosure sale during the year were bought up by the 
dealer in second-hand material. The Collins & Ludowici 
is one. The Tennessee, Alabama & Georgia, owning 95 
miles of line, has asked permission of the court to scrap the 
line. The fate of the Yaldosta, Moultrie & Western, 42 
miles, is. according to latest reports, still in the balance. 
At one time it was destined to be taken up but more recently 
some interests have proposed the possibility- of restoring 
operations. Some of the line, however, has already been 
taken up. 

Railroads shown in the lists of receiverships in former 
years have for the most part been removed from that list by 
reorganization. The increasing proportion of those elimi- 


1 886 . 

nated because of their being dismantled is a factor which 
naturally will be watched with great interest. 

The three most important roads involved in the receiver- 
ships and foreclosure sales during 1921 were the Denver & 
Rio Grande, the Chicago & Eastern Illinois and the Mis- 
souri, Kansas & Texas 

The Denver & Rio Grande is shown in the list of fore- 
closure sales during 1921. That road was actually sold in 
November, 1920, but was not included in the 1920 fore- 
closures, because of the litigation pending at the time, 
and because the sale had not been confirmed at the time the 
list was made up. The sale was finally confirmed in the 
federal court in Denver on March 28, 1921. J. H. Young 
was elected president of the new Denver & Rio Grande 
Western in April. The formal transfer to the new company 
was to have taken place May 30 but further difficulties in- 
tervened and the transfer was not completed until about 
July 31. 

The Chicago & Eastern Illinois reorganization plan was 
dated March 31, 1921. The plan reduced the fixed charges 
of the old company from $3,759,996 to $2,327,051 for the 
new. Two portions of the old company's line — the Chicago 
&: Indiana Coal Railway and the Evansville & Indianapolis 
— were not acquired by the new company. The foreclosure 



1876 TO 1921 



of roads 


and stocks 















140.205. 0(1" 



























































































210,606, S82 

































Vol. 72, No. 1 

sale ".'■•ok place at Danville. 111., on April 5. Announce- 
ment was made in November by Kulin, Loeb & Co., reorgau 
ization managers that the plan and agreement were operative. 
Further announcement was made in December that the new 
securities would lie readv for distribution on and after 

December 21. The Chicago & Eastern Illinois was turned 
over to the newly reorganized company on January 1, 1922. 
The Missouri Kansas & I<\a- reorganization plan was 
announced November 23. Detail? concerning it were given 
in the Rath November 26, pages 1043 and 1044. 


Name of Road Mileage 

Alabama & Mississippi 78 

Altoina Northern 1" 

Atlanta. Birmingham & Atlantic 640 

Birmingham & Southeastern 48 

Birmingham, Columbus & St. Andrews 38 

Cape Girardeau Northern I"4 

Chicago. Peoria & St. Louis 247 

Colorado Midland 338 

Colorado Soril - net. 74 

Colorado, Wyoming 8 Eastern Ill 

Columbus & Greenville 226 

Dansville & Mount Morris 15 

Dayton. Toledo & Chicago 95 

Delaware & Northern 50 

Denver & Salt Lake 255 

Eagles Mere 10 

Eastern Kentucky 36 

Fort Smith & Western 254 

Gainesville Midland 74 

Georgia & Florida 405 

Gulf, Florida & Alabama 143 

Golf, Texas & Western 99 

Hampden Railroad Corp 15 

Hawkinsville & Florida Southern 96 

Helena. Parkin & Northern 16 

Houston & Brazos Valley 30 

International & Great Northern 1,160 

Kansas City. Mexico & Orient 272 

Kansas City Northwestern 171 

Louisiana & Northwest 121 

Macon & Birmingham 97 

Manistee & North Eastern 214 

Memphis, Dallas & Gulf 130 

Midland & Northwestern 65 

i & North Arkansas 365 

ri, Kansas 8: Texas Lines .'.S07 

9 Wheeling 26 

ne, Burlington & Southern 53 

Northwestern Terminal 5 

Ocilla Southern 69 

lha Valley 54 

Paris & Mt. Pleasant 54 

Pine Bluff & Northern 8 

Pittsburg, Shawmut & Northern 210 

Rome & Northern 23 

St. Louis, El Reno & Western 42 

Salina Northern 81 

! Gulf 315 

ih 8l Atlanta 147 

Sharpsville Railroad 18 

Tennessee Railroad 61 

Tennessee Central 293 


,\ \Y, stern 230 

Toledo, St. Louis & Western . 454 

Trmitv & Brazos Vallev 303 

Wabash, Chester & Western 65 

Waupaca-Green Bay 

.'. ><t Virginia M 


March 17, 1921 
August 8, 1919 
February 25, 1921 
Tuly 26. 1920 
December 25, 1918 
April 14. 1914 
August 1, 1914 
July, 1918 
May 2, 1919 

. 30, 1921 
June 4, 1921 
June 7, 1894 
April 29, 1921 
March 16, 1921 
August 16, 1917 
March 22, 1920 
March 31, 1919 
October 9, 1915 
February 15, 1921 
March 27, 1915 
May 9, 1917 
Tanuary 24, 19_M 
March 17, 1921 
July 17, 1920 
July 3, 1919 
October 27, 1915 
Angus! 10, 1914 
April 16, 1917 
February 23, 1917 
August 22, 1913 
February 1. 1908 
December 24. 1918 
September 10, 1920 
March 1, 1920 
-\pril 1. 1912 

it 27, 1915 
. 1916 
January 21. 1920 
Tune 30, 1918 
Tanuary 21, 1918 
February 26, 1920 
August 1, 1905 
F< bruary 28, 1911 
October 9. 1915 
July2S. 1917 
August 12, 1914 
March 4. 1921 
Tanuary 21, isor 

January 1, 1913 

October 27, 1916 
July 2, 1917 
October 22. 19|4 
Tune 16. 1914 
July 15, 1914 
September 1, 1917 
May 20, 1920 



Bonds of Stock of old companv 

old company old company securities 

$184,000 $10,000 $194,000 

675,000 1,045,000 

9,592,407 30,000,000 39,592.407 

250.000 4,000,000 4,250,000 

1,156,000 110,000 1,266,000 

2,850,000 4,000,000 6,850,000 

9,532,000 10,000,000 19,532.000 

2,640,000 2,000,000 4,640.000 

2.390.000 -'..100.000 6,6" 

200,000 50,000 250.000 

150,000 50,000 200,000 

386,980 300,000 686,980 

20.000 1,250,000 1,270,000 

12,731,1 13,314,515 

49,000 121.000 

3,455,900 3,4 

6,240,000 5,000,000 11,240,000 ] 

1.009,726 550,000 1,559,726 

H.OOO 17,802,000 

4,446.000 4,660,000 9,106,000 

2,000,000 500,000 2,500,000 

1,400,000 1,400,000 

586,000 100.000 686.000 

65,000 100,000 165,000 


V.100 4,822,000 31,137,000 

.'100 20,000,000 53,500,000 

1,400,000 1.400,000 

2,250,000 2,300,000 4,551 

500,000 1.000,000 

2.000.000 3,052.000 

2,052,000 2,052.0nn 4.1 

22.!. 701 

8,340,000 8,340,000 16,680,000 

143,411,824 76,309,557 219,721,381 

343,000 843,080 

750,000 1,319,900 

3,000,000 5,273,000 

165,000 681,000 

250,000 250,000 

600.000 75,000 675.000 

160,000 160,000 

14,655.600 15,000,000 29,655.600 

1,000,000 1,000,000 

SI 7,000 970.800 1.787.800 

1,500,000 1,143,000 2,643,000 

4.413.000 280,000 4,693,000 

3, 365,000 2,250.000 5.M5.00O 

1,376,900 229,700 1.606,600 


12,220,900 8,000,000 20.220,900 | 

o.OOO 38.7S5.110 93.631.110 

000 4,076,900 8,971,900 

19. "47. 600 

9,357,014 304.000 9,661. ou 

690,000 1,250,000 1,940,000 

69,000 61,400 130.400 I 

600,000 500,000 1,100,000 

; 299.460.5 17 $725,049,540 


to abandon line- 

Operation disc.mtinued. 
Operation discontinued. 

Not operated. 

AKind.-ned, but not taken up. 

Operation discontinued. 
22 miles taken up. 

Operation discontinued. 
Operation discontinued. 
Operation discontinued. 
Reorganization plan announced. 

I C, C. to investigate pre 
posed reorganization as Ten 


Haj be merged with Green 

A estern. 

St. Paul Wants to Acquire C. M. & C. 

i Paul has applied 

■ authoi ity to pun ha e the ' hi 
1 ,iry and tliu- gain .1 direct connection with the 
rret Haute 9c Southeastern, which road has 

1921, when it was acquired bj 
and pun hast of it Milv, aukec 8 

, 96.83 milei ol which 
in ini" betwi 1 ill. .mil \urora, and between 

[hts over the Elgin, 

■ .'.'4'' 

1 mmis 

i >t Paul 

it Pclmar, Til., and 

r< 'In line it will he aide ti> 

:iti(j i.ti the Chit IgO, Torre 

rthwest ■ »t 1 its 

- nf an outer belt line around the Chicago terminal district. 

1 in ' rj iv. 1- incorporated March 3, 

Illinois, in acquire by purchase and construction a line of 

road from Milwaul >■. Ind. The c ompany ac- 

iiid property of the Illit Minne- 

ith its subsidiary lines and the Illinois, Indiana & Gary. 

Extensions were projected from Delmar to l ■> Croat) Ind., 36 

md from Rockford, 111. to Milwaukee, Wis The as 
tin comparq in 1920 were $10,381,869, .1- against .< capital it 

funded debt ol (5798,000, current liabilities of 
d unadjusted credits and deferred liabflfrJ 

During the ycai 1920 the road operated with ■ combined ft 
and corporati 
The St. Paul plan- to acquire mini the St Louis Trust Con 
.; 000,000 pat value, in stock and $5,700,000 value in first 
[i bonds, the entire securities, issue of the road and to 
return to the trust corapari •• ijuaranteeinu 

theil ■ est and principal 

Signal and Interlocking Work Shows Slight Gain 

Ccr.rtruction Activities Show 

a Little Improvement Over 

1920, Which Was the 

Lowest Since 1905 

By K. E. Kellenberger 

On the Santa Fe in Texas 


Signal Construction has been spoken of as the barom- 
eter of the railroad field because authorizations for such 
work generally are the last to be approved and the 
signal budgets are among the first to be cut. Thus, the 
financial conditions of the railroads are reflected through 
this department's activities. On this basis it is interesting to 
note that the block signal mileage (manual and automatic) 
installed, increased rapidly from 1906 
to 1915. The construction curve flat- 
tened out materially during 1908 and ■ 
again, although not to the same extent, 
in 1913. Construction work was car- 
ried on actively in 1914 but has 
slumped decidedly from that date to 
the present. In 1919 statistics indi- 
cated that railway signaling was on 
the decline, while in 1920 construction 
activities were lighter than during any 
period since 1905. Conditions im- 
proved but slightly during 1921. 

Taking the progress in automatic 
signal construction for the 10 years pre- 
ceding 1915 as normal and comparing 
it with that for the seven years from 
January 1, 1915, to January 1, 1922, 
we find that the progress in the latter 
years has been far from satisfactory. 
The average mileage installed for the 
10-year period preceding 1915 was - 

2448.4, while for the seven-year period 
to date the average has been 1291.1 

miles. The difference between the two leaves a net de- 
ficiency per year of 1157.3 miles, or a total for the seven 
years of 8101 miles. In order to get back to what we have 
taken as the normal rate of installation it would be necessarv 
in a period of five years for the roads to install a total of 
4068 miles each year. The diagram illustrates the tenden- 
cies in signal construction since 1906. 

Block Signaling Completed in 1921 

A total of 824 miles of road in the United States and 
Canada was equipped with block signals during the past 
year. Part of the mileage represents new construction, a 
portion represents reconstruction and a part consists of auto- 
matic block signals installed in place of the manual system. 
When' automatic signaling was in use previously, the 

NLY 824 miles of road in 
the United States and Can- 
ada were equipped with 
block signals during the past 
year; 174.9 miles under construc- 
tion in the two countries and 
613.6 miles are known to be pro- 
posed for 1922. 

Fifty-nine interlocking plants 
are completed; 24 are under con- 
struction; 30 are proposed for 

The tendency is toward the op- 
eration of trains by signal indica- 
tion without written train orders. 

changes were due largely to signaling certain tracks for run- 
ning trains in either direction on the same track. Other 
changes consisted of replacing one type of signals with 
another or new signals for additional main tracks. One 
notable feature about our tables is the very short stretches 
of automatic signals installed. Station and curve protection, 
shortening of block sections, better facilities for approaches 
to yards, and small sections of dense 
traffic territory were' the occasions for 
=^=^^^^^^ the majority of the signals installed; 
which naturally means a small mileage 
at each location. 

Thirty roads built new interlocking 
plants or made changes in existing 
ones, affecting a total of 59 plants. 
Canada is represented by six plants. 

Comparing the figures for 1921 
with those for 1920, published in the 
January 7, 1921, issue of the Railway 
Age, it is seen that there has been a 
slight increase in construction work of 
this character, as the total block signal 
mileage completed in the United States 
and Canada during 1921 was 824 as 
compared to 523.5 miles of road in 
1921. Of this 824 miles, 209.8 rep- 
resents manual blocking installed, 
which leaves 614.2 miles of road on 
- which automatic block signals were 
placed. This figure, however, is likely 
higher than the actual additional mile- 
age installed because in some cases additions have been 
made to installations already in service. A slight increase is 
thus noted in the additional mileage of automatic signaling 
constructed, as this is 90 miles more than in 1920. Com- 
paring this mileage with that reported by the Interstate Com- 
merce Commission as of January 1, 1921, and which is re- 
corded in the table showing block signals installed in the 
United States since January 1, 1907, there appears to have 
been 10.8 miles more automatic block signaling completed 
during 1921 than in 1920. In each year shown in that 
table the mileage of automatic block signals installed was 
more than double that reported for the years 1920 and 1921. 
In comparing the total mileage of block signals under 
construction in the United States and Canada on December 
31, 1921, with that under construction on the same date in 




Vol. 72, No. 1 

1920, it i.- seen that there is now a decrease of 42.2 miles. 
The total mileage under construction on December 21, 1921, 
was entirely in the I'nit. - I anadian road* having 

reported any work in progress. The work in progress con- 
of automatic block signaling exclusively, there being 
no manual block under construction at the end of the year. 
Sonu- of tin work going in replaces manual blocking, while 
in other cases it consists ol the replacement of one type of 
apparatus with another. 

Work Proposed for 1922 

The proposed block signal work for next year represents 

miles of road to be equipped with automatic block 

signals. It will be noted that this is but half a mile less 

than was installed during 1921. The plans of many of the 

Jonl 807 1906 1909 1910 811 8K 88 



\ \ 

m . _ -i r X-f\ 

soot > ' / Vj i \ / \ ,' 'J !\ ' 

^ "i« ' A \ l A • ^ ' / ' \ 

MXtJ ^^ A L' / \ * '* N V / ' v ^- -^ 

~zi ^i r ^ ^^Mu- 

iooo \ 1 \ I ~t^ x — - 

-\t lit A 2."V 

1000 \ \\ \ 

XW, ' i 1 

ISK Janl 816 
Year 1915 

Jartl. WSOJonl 

Signal Construction Since 1905. Dotted Line, Manual Block: 
Solid Line, Automatic. Average Deficiency in Auto- 
matic Block Signal Mileage Installed Is 1,157 Miles 
a' Year Under That for Period, 1905-1914 

however, are very indefinite as the) have not a- \ et 

de ided on their budgets. Expressions received from a num- 
ber of the roads tend to indicate that at least twin- this 
mileagi i- to be installed unless there i- a decided change 
in the conditions affecting the finances of the railroad-. In 
making a comparison of the block signal mileage proposed 
for next year with that prop ear ago it i- seen 

that then- is in increase over that of a year ago of 103.8 
miles of road. The proposed new work reported is for 577.6 
miles of automatic block signals in tin United State- and 
the same type in Canada No manual bio, k 
signaling is proposed at the present time. 

Interlocking Construction in 1921 

in the number of inter 

' plant- built or rebuilt, as compared with 1920, when 

built or rebuilt in the United State-, and 

in United States this 

I he number of plants under 

i ■ j ■■ 

d to ' t tin- year, none 

Of wli 

in Canada, in comparison with a 
i in the United States and nine 

Signal Construction Data 

theT with the data 

under nine 


F Manual Bl i li Signa 

. Inter] 

II Interlocking ! 

I Interlocking Proposed lor 1922. 

Yca> Block Signals Completed iu 1921 
Automatic (Table A) Manual (Tabic 1 

D. T. Total' ' S. T. D. T. Total' 
miles miles miles miles miles miles 


I Inited 

J93.0 264.7 55T.? 209. 8 209.8 

56.5 .... 56.5 

Xew Block Signals Under Construction Dec. 31, 1921 


Automatic (Table B) Manual (Table E) 


S. T, D. T. Total w S. T. D. T. Total ' 
miles miles miles miles miles miles 


119.3 55.6 174.9 



li Signals Proposed fot 1922 
Automatic (Table C) Manual (Table F) 

Interlocking Plants 

Table Q 
Completed in 1921 
l fnited States. . 

cable ll 

ustruction Dec. 31, 


Table I 
Dposed i 

Inited States 

I.n.,1 United States 

rotal Canada 

lirand total 

X... of 


Total total 

miles miles 


Number of levers 



15 14.! 

113 1.049 

Mile? ol road 







^ eat 


1913. . 


i " i r . . 

Automatic block Manual block 







— 1.112.0 





m the report- received, the largest mileage of auto- 
matit signals installed on any one road was on the Missouri, 


Curves Showing Mileage of Block Signals Installed 

which put in service 153 T. ; mile- of single 

ir.H k, using lals Hie next largest installation! 

mad. on the Cleveland, Cincinnati, Chii ■■•■ S si 

which put in service 68 l miles of double track, using 

121 signals, and tb G Northern which installed St I miles 

Ing 111 signal*, The Canadian National 

Railway] Installed 52 miles of single track and 4.5 miles 

January 7, 1922 



of double track automatic block signaling, using a total of 

111 signals. Signals installed on other roads consisted 
mostly in the protection of short stretches of track or new 
multiple tracks or for curve and station protection purposes. 

But nine roads re]x>rt automatic block signals under con- 
struction at the end of the year, the greatest mileage reported 
being by the Missouri, Kansas <v. Texas, which has 63.5 
miles of single track signaling under way, using 98 signals. 
["he Chesapeake & Ohio has under construction +0 miles of 
-ingle track. A. P. B. color-light automatic signals, using 88 
signals, while the Pennsylvania is installing 19.4 miles of 
double track and IS miles of four-track position-light auto- 
matic signals, using a total of 96 signals for this purpose. 

Of the 10 roads reporting work proposed for 1922, the 
Northern Pacific contemplates the construction of 155 miles 
of single track and 48 miles of double track signaling, using 
378 signals. This road also contemplates replacing d. c. 
track circuits with a. c track circuits on 68 miles of road. 
rhe Great Northern has in view the construction of 165 
miles of single track automatic signaling, while the Atchison, 
Topeka & Santa Fe contemplates 6.8 miles of single track 
and 57.6 miles of double track automatic block signaling, 
using 80 signals. The reports from the various roads on 
proposed work are rather incomplete as many have not as 
yet prepared their programs or had their budgets approved 
for 1922. The Canadian National Railways propose to in- 
stall 30 miles of single track and six miles of double track 
automatic block signaling during the coming year. 

The manual block signaling installed during 1921 con- 
sisted of 204.6 miles of single track, 141 miles of which 
was on the Fort Worth & Denver City, a total of 16 two-arm 
signals Ijeing used. The Chicago & North Western installed 
61 miles, using 9 two-arm signals, while the Los Angeles & 
Salt Lake put in service 2.6 miles of controlled manual 
block, using the staff system. No manual signaling was 
under construction at the end of the year, or proposed for the 
coming year. 

Automatic Train Control 
An installation of automatic train control is under con- 
struction on the Chesapeake & Ohio, between Charlottesville 
Ya., and Staunton, a distance of 40 miles. An a. c. powei 
transmission line is being built over this territory and color- 
light signals are to be used in connection with the train 
control. This installation is in single track territory. The 
Chicago, Lake Shore & South Bend reports 1 T 1> miles of 
automatic train control placed in service. 

Interlocking Construction Data 

Thirty roads report interlocking plants -as completed or 
reconstructed during the past year. Table G gives this list 
in detail. It is necessary that this be considered more as 
an exhibit of the work done than as .-bowing the precise 
amount of the increase of such apparatus in use in the 
country as some of the figures represent reconstruction or 
enlargements; and, also, some duplications necessarily occur 
as a plant may Ix; reported by two or more roads. The same 
remarks apply also to Tables H and I. 

Aside from the small amount of work completed, under 
construction or contemplated, it is interesting to note that 
the plants are all of comparatively small size. A number of 
electro-mechanical plants appear in the tables as do addi- 
tions of electric units to existing plants, thus obviating the 
necessity of enlarging existing towers. Considerable work 
has been done in replacing mechanical detector bars with 
detector locking. 

An analysis of the plants shows that the largest electric 
plant completed during the year is one of 57 working levers 
at Carlton, Minn., on the Great Northern, while the next 
largest is one of 44 working levers at Richmond, Ind., on the 
Pennsylvania. The third largest plant of this type had 23 

working levers and was installed at Myerstown, Pa., on the 
Philadelphia & Reading. The largest electro-pneumatic 
machine completed was one of 45 levers at Phillipsburg, 
\. J., on the Central of New Jersey. 

Two electro-pneumatic push-button machines were re- 
ported as completed in 1921, both on the New York, New 
Haven & Hartford. These are for hump yard operation, 
one (36 push buttons) at New Haven, Conn., and the other 
(23 push button.-) at Providence, R. I. 

Seven electro-mechanical plants were reported as com- 
pleted; one on the Cleveland, Cincinnati, Chicago & St. 
Louis having SO mechanical and 12 electric working levers 
and another on the same road having 41 mechanical and 1Q 
electric working levers. 

The largest mechanical plant installed was on the Balti- 
more &: Ohio at Tates Point, Ohio; it had 34 working levers. 
The next largest plant consisted of 29 working levers and is 
op the Illinois Central at Ramsey, 111. Other plants range 
in sizi from one of three levers up to the largest mentioned 
abov.'. One plant is of the cabin-door lock type, while 
oiV us are equipped with a. c. track circuits, time locks, 
c/_'ctric and detector locking; power distant signals and po- 
rtion light signals. 

Interlocking Plants Under Construction 

The largest electric interlocking plant under construction 
on December 31, 1921, was at Schoharie Junction, N. Y., 
on the Delaware & Hudson and consists of 25 working 
levers. The next in size is one having 21 working levers at 
Altamont, Wyo., on the Union Pacific. 

The Interborough Rapid Transit, New York City, has 
under construction two electro-pneumatic plants, one of 44 
working levers at 180th street and the other with 10 work- 
ing levers at New Lots avenue, on the East Parkway line 

The largest electro-mechanical plant under construction, 
as of the above date, is one of 43 working levers at Mountain 
Lake Park on the Baltimore & Ohio, while the Chesapeake 
& Ohio is building one having nine mechanical and 11 elec- 
tric working levers at Hinton, W. Va. 

The largest mechanical plant under construction is one 
having 24 working levers at Pontiac, Mich., on the Grand 
Trunk; the next largest being one of 20 working levers 
at Finch, N. Y., on the New York Central. 

Proposed Interlocking Work 

Of the plants proposed for 1921, the largest_electric plant- 
is one of 56 working levers to be located at Sierra Vista, 
Calif., on the Pacific Electric; the next largest being one of 
22 working levers at Charlotte, Mich., on the Grand Trunk. 

The Interborough Rapid Transit, the Chesapeake & Ohio 
and the Philadelphia & Reading report proposed installa- 
tions of electro-pneumatic plants during the present year. 
The first named road is planning on three plants of 52, 50 
and 32 working levers, respectively ; the second road proposes 
to build a 28-lever machine, while the P. & R. contemplates 
installing one of S3 working levers and one of 42 working 

The largest electro-mechanical plant in prospect is one 
of 10 mechanical and 19 electric working levers at Atlantic 
City, N. ]., on the P. & R. The second largest will consist 
of eight mechanical and 19 electric working levers at St. 
Albans, W. Va., on the C. & O. 

The Philadelphia & Reading proposes to install a 35- 
working lever mechanical interlocking at Schuylkill Haven, 
Pa., while the Missouri, Kansas & Texas contemplates one 
of IS working levers at Mound City, Kan. 

The General Outlook 
The general outlook a year ago appeared favorable for 
increased signal construction, but instead work during 1921 



Vol. 72, No. 1 

n largely in a state of coma a> compared to that dur- 
ing normal periods. For the coming year, returns indicate 
that prospects in genera] arc not I >ri tjht for signal construc- 
tion work in the eastern and south lions of the 
country, while in the central, northwestern and southwestern 
sections, indications point to a renewal of signal work. 

Return- indicate that 8600 mile- of automatic block signals 
and 95 interlocking plant- should Ik- installed to meet the 
traffic conditions adequately. The extent to which these 
needs will be met in 1922 depends on business conditions. 

I'he maintenance work in practically all cases is up to 
standard and it i- the expectation to keep it in this condition, 

although a few r Is report maintenance as being from six 

month- to three years behind. 

One condition which appears to have influenced signal 
construction to a certain extent i- the price of signal mate- 
rials. On the one hand the railroads are waiting until a 
more extensive reduction i- made in the prices of such 
equipment, while the manufacturers find that their actual 
high or higher than during the war, because the 
-mall volume of business is not sufficient to pay for the labor 
and material and to take care of the overhead; and the 
actual cost of production i- greater than the selling price in 
many instances. When production takes place on an ex- 
tensive scale to till increased orders prices should descend 

Developments of the Past Year 

A review of the conditions during the past year shows that 
the tendency is towards better train o[K-ration by signaling 
-elected stretches of double-track lines for movements in 
either direction on cither track. The movement of tonnage 
tram- has al-n been facilitated in some localities by the 
installation of grade signa] aspects. Railway men in general 
have shown a keener appreciation of the value of automatic 
signaling with reference to it- use in effecting economies in 
train operation. In this connection, the elimination in auto- 
matic signal territory of the train order form requiring 
conductor-' signatures ha- been put into effect to a limited 
extent on some roads, while others arc- considering such a 
Studies have been made looking toward operating 
train- on single track by signal indication without written 
train orders 

Thl elimination of the derail is a subject which has also 
been receiving serious consideration, a- ha- the development 

of automatic signaling at railway grade crossings with a 
i eliminating the use of an interlocking tower and 
the necessary attendant-. The use of low voltage switch 
movements for the remote operation and control of switches 
at passing -idings, junction points, etc.. is a live question 
,md installations are being made. 

Automatic train control is being given -erious consider- 
ation, not only by well-informed and progressive railroad 

- Uut by the Interstate Commerce Commission and by 
the Joint Committee on Train Control of the American Rail- 
way Association. An extension of automatic train control is 
being made on one road, while arrangements have been made 

sting several device- under actual railway service on 
other roads. 

In the engineering end. the clcetn. lighting of signals 
has proved economical and has made rapid advances in the 
p.i-t year: and there is a greater use of the primary battery. 
\ stud) of track-circuit conditions ha- tainted out way- of 
effecting other economies in signal maintenance. The color- 
light and position-light signals (for daylight signaling) 
are being used mon extensively than ever before. I'he use 
of the mechanical rectifier for charging storage batteries for 
operating automatic signals and highway crossing warnings 
i- receiving careful consideration and some installations al- 
ready have U-eii mack. I'he use of portable power units 
for operating tools and for signal tending has been another 
development of intere-t. At interlocking plants, many me- 
chanical detector bars have heen eliminated and replaced by 
electric detector locking. The reason for this is explained 
largely by the use of heavier rails. Highway crossing pro- 
tection has received careful study by sitrnal department 

Future development- of signaling will continue along the 
line of expediting train movement- Mean- will he provided 
for controlling the movement of trains by signal indication 
and LTe.itcT use will he made of remote controlled switches 
which will be operated from the nearest interlocking tower or 
station. Greater use will be made of light signals ami the 
installation of light signals, with automatic train control 
as an adjunct, with the elimination of the derail promises 
to lie' .i develo] ment <i the near future. Train operation by 
signal indication without the u-e of written train orders 
should make rapicl progress, while automatic signals for con- 
trolling train movements at outlying crossings will likely In- 
installed at certain locations during the present vcar. 




Name of road 


A T. ft Santa Fe. . 





... 20.0 




R T. . . 


Prom To 

i. ii Strong • '" .Kan, IS 

it Worth, lev .... Saginaw, Tex.. . 11 


I .l.rv let 15 

Bakeritoam, Pa... w ilda i i 

No. of 

• iceials Type of signals Control syeetcm Ren 

IS 1 . Neutral track and line. 

11 Ul Ventral track and line. 

K. 1 . 

Mbrook . 
' U'lllr . . 

Ilelt l.i. 

C.riffen. Ohil I 

35 Union Style T-2 \. 1" It front overlap. 

60 e; R. s. 2A \ P It . 

\ Sdecthra automatic. 

I G. R. S \ Selective automatic.. 

-ei.ciciht automate 

light \ i '.. 60cycle, 3 *• 

' etiaphore. motor 

!'>•> Hall, Style I 

i ■'•■..! poa 

l»-'th direvt 
■ i e • neutral trae llae kenuck R<hn 

\ C polai line II eri»-n Te 
it* . • . ■ 

2 le 

I 0, Q. 

N ' 
11 Color I inlet 6 Electro p. 

seen . 5. . . . .On suburban lineahi 

e .„ \,nth Ave; three-track. 
e,d Ave.; three track. 

II Color llg'e' I e«ht «ignat« e.«e,| in «ne>W 


General, J-A V. P. B 

| \ r .■ 

January 7, 1922 



i road 
Kensington & E. . . . 
U Texas.... 

Miles of road 
Single Double 
track track Frum To 

1.5 Kensington. Ill Crossover . 

Dallas Yards 





L. & Nashville 

N. V. N. II. & H. ... 

N. V. Connecting. . 




Pennsylvania System: 
Eastern Region.... 
Central Region. . . . 

U. Pacific 

L. A. & S. Lake... 
O. S. L 


St. Louis-S. Fran. 

S. Pacific: 

Texas & I. a. Lines. 

Wash., Bait. & An 
W. Maryland 

No. of 

signals Type of signals Control system Ken. a 

7 Union Model "L" light. 

5 3 Style S, 2-Lt.. Union. Light Electric light 

2 Style L Light Automatic Electric lights, app. cintrol. 

4 Style S Union Automatic Electric lights, app. control. 

62 Style S Union Automatic Electric lights, app. cc-ntrol. 

MfAI.-i.r, Okla....Wybark 109 Style S Union Automatic Electric lights, -,, 

Labette, Okla Yinita 67 Style S Union Automatic Electric lights, app. control. 

San Antonio, Tex. 


McAlester, Okla. 

Oklahoma City Yards 

4.0 Mayton. Tenn Brentwood 

1.2 New Haven, Conn 

8.1 Fresh Pond, N. Y...Oak Point. 

Style S L T nion Automatic Electric lights, 

■ized track. 

tpp. CI 


4.6 Myerstown, Pa 



9 A. C. semaphore. . . . 

4 2 Union light, 2 G.R.S., For reverse traffic signaling, 

semaphore tracks 1 and 2. 

4 1 Union sem., 3 G.R.S., To replace manual block, U. 

semaphore Q. left hand. 

7 Union T-2 A. C., 3-pos., U. O., top post, 

3 Union T-2 A. C., 3-pos.. U. O.. tot- post. 

1 Hall disk. 
16 Union T-2 A. C, 3-pos., U. Q., top post. 

11 9 Pos. Light, 2 motor.. A. C. polarized Replaced manual block 

32 Grade signal aspect ' To permit tonnage freights 

to pass automatic signals. 
50 Grade signal aspect . . . 

34.8 Leroy. Wyo Wahsatch, Utah 143 U. S. & S.. Style B. L, Two-arm home and dist, 

Q., 2-pcs without overlaps. 

... Crestmore, Calif Ormand 2 U S. & S Line control Absolute staff, hand operated. 

Various Point? 27 Motor semaphore Neutral Added Ho existing installation, 

for new passim* tracks. 

6.8 Eureka Pacific 15 S. T. changed to D. T. 

9.3 Sleeper W. Lebanon. .. . 20 S. T. changed to D. T. 

4.3 Clohe Monett 10 S. T. changed to D. T. 

9.6 Olathe Spring Hill S. T. changed to D. T. 

4.7 Mt. Vernon Rollins 

ICO AltLona, Pa Gallitzin 

21.6 Conemaugh. Pa Gallitzii 

!.0 EI Pa 

Tex Rio Grande R. 

Englewood, Tex Baer Jet.... 

Hornberg, Ore Gregory, Or 

Portland, Ore Beaverton .. 

Williamsport, Md . 


6 L T nion Style B Neutral track and po- • 

larized line D. C, L. O. 

6 Union Style B 

22 Union 

19 Light A. C, color. 

31 Union Color light. 

9 Union Style S Track U. Q., 3-pos. Change fro 

single tc double track. 

1 Interboro R. T. Co.. New York 
Electro-pneumatic stops at signal I 

signaled for both di: 

Liter (local) tracks, signaled only at curves. 


Name of road 

Miles of road 
Single Double 
track track 


B. & Ohio 10.0 Wildwood, Pa. 

C. & Ohio 40.O 

C. St Alton 

111. Central 

Interborough R. T 

D. & Hudson 13.0 


Eastern Region 



signals Type of signals 
22 Union, Style T-2... 
88 Union light 

Control system 


Charlottesville Stauntcn 88 Union light Line A. P. B Color light. 

4.0 Manchester. HI Roodlmuse 2 Track 2-pos. L. O. 

3.5 Paducah. Ky Yards 11 Hall, Style L Overlap 

3.7 143d Street Fordham Rd . . . 53 Color-light On suburban line; three-track 

... Schenevus, N, Y....E. Worcester... 14 Motor semaphore Track and line U. Q., 3-pos., normal danger. 

15.0 Atgle 

. Downingto 

57 Ge 

al; pos. light A. C. polarized Fourt track: replace electro- 
pneumatic and motor. 

19.4 Egg Harbor Atlantic City... 39 Union pos. light D. C. polarized Approach lighting. 

... Vinita, Okla Wybark 87 Union, Style S, U. Q.. Automatic Approach electric lights 

Pacific 2.8 

Totals 119.3 

Lamar, Tex Buna 

Niles. Calif 

11 Union, Style S, U. Q..A. P. B Approach electric lights 

5 Union, Style B D. C, 3-pcs., U. Q. 



Name of i 
T. & S. 

Miles of roa.l 

Single Dotlbl 

ad track track 

Canadian Nat. 

Eastern Lines 4.0 


C. & 4.0 

C. & A 

Great Northern 165.0 

111. Traction Co 16.0 

N. P 155.0 

Central Region. 

No. of 
track From To signals Type of signals Control system 

10.2 Nerska, 111 Willow Sps., Ill 13 Union. Style T-2 Neutral track 

8.9 New Boston, Mo Dumas, Mo 12 Union, Style T-2 Neutral track 

23.9 Olathe, Kan Le Loup, Kan.. 25 Union. Style T-2 Neutral track 

14.6 Neva, Kan Cedar Pt, Kan. 28 Union, Style T-2 Neutral track 

... Walton, Kan Newton. Kan... 2 Union, Style T-2 Neutral track 

6.0 Sevis . . 


... Stollings, 

6.0 Godfrey, 


■ Springhill 

. Rum Creek Jet. 
. Brighton 


A. P. B. on S. T... 

A. P. B 

A. P. B 

semaphore Track circuit 2-pos., L. Q 

Staunton, Til Edwardsville . . 

Dilworth, Minn Mandan, N. D.. 

58 Garrison. Mont Missoula 

3.0 Indian Village Sierra Vista... 

Motor semaphore Track circuit 

G. R. S., Model 2A, 

3-pcs A.r.B. on single track 

20 Color light. 

Change from D. C. to A. C. 

track circuits. 
Four track. 

18.3 Ingram Bulger 87 Position light Track and line. .. . 

6.8 Collier, W. Va Wheeling Jet .. . 45 Position light T.-ack and line 

21.9 Tewett, O Dcnnison, O... 90 Position Hght Track and line.... 

... Marysville 5 L'nion. Style B A. C. track circuit. 

. D. C. operated. 

Totals 378 235.6 




Vol. 72, No. 1 

Tablb D— Manual Iii^ck Signaxjng Installed in* 1921 


No. of Type of 
ignals signal 


Single Double 
Name of road track track 

Toff re 

C.&N.W 61 New Ulm. Minn Tracy 9 2-pos. L.O. 

Ft. Worth & D. C. 141 Wichita Falls. Tex.. Ft. Worth 16 2 arm 

.7.8 Marion Train stafi 



Table G — Intei uplbtbd i> 


junctit n. 
Name of road Location terminal, etc. 

i" Ncwkirk. Okla Juni 

Me- Electro 

chan- Elec- pneu- 
ical trical matic 

A. . . 

A. C. L Allenhurst, Ga Crossing 6" 

r. & o Tates Point, Crossing 34 

Boiton & Maine. .So, Lawrence. Mass I ..24 

ran. N'at'l: 

East Lines Johette Crossing l.u 

Washago. Ont Draw 12 

North Bay. Ont Crossing 5' 

Q J, Pacific Saskatoon Crossing 9 3 

• nun Crossing 5* 

C P Watson. S;,sk Crossing C. N. R. 13 

C. R. R. of N. J., . Phillipsburg. N. I... Nine & Junction. .. 

C JO Big Sandy let., Ky.. J unction 5 

,• \ N W . ..Hurley, Wis junction 8 

C. C. C. & St. U. . Burt-Galion, Ohio. .. Xing i 

Ansonia. Ohio Xiny C. N. Div. . 41 

Briar (Acton, Ind.).. End Double Track 10 

Beech Grove, Ind. .. .Terminal 10 

Winchester, Ind Xing. G. R. & 1. 32 

Greenville, Ohio Xing. D. St U... 14 

D. L. & W Hackensack Drawbridge 

Kc.-irnev function 

Harrison Yard Switches 

Newark, N. J Begin Third Track .. 

rk, N. j I Ira ... 8 

Erie Newark. N. f Drawbridge 

I. C Ramsey, 111 I . ... 29 

Carlton, Minn Xing ft function. .. 

G. T.: 

Western Lines. . Pontine. Mich Crossing 

ic, Mich Crossing 13 f 

Battle Creek. Mich.. Crossing' 

K. C. Southern. .. !>e Queen. Ark Crossing 12* 

Worland, Mo < ing 13" 

Pacific Electric... Wisbum, CaJil Crossing .... 


5. W Region. . Richmond, Ind Switching 

Eastern Region.' ante n. Md Crossing 15" 

p. ,\- R Mverstown, Pa Switching 

I ft N M.ivton. Tcr.n function 8' 

Brentwood, Tenn. .. .Junction 4"' 

Biloxi, Miss Mrauhridgc 8 n 

M. K. & T Ft Worth. Tex Yards, I 

N. Y. C Rotterdam Jet Junction 501 

Michig'n CentH. Detroit, 

iv 7 

Detroit, Palmer Ave ,1 

N. Y. N. II. ft H. Providence, K I 

' I ' Yard 

Center, Mini 

Belgrade. Mont 

. Tcrhndge, Tenn Drawbridge 

I River. Ala. . I >r.i\, bridge ..... .. 

Drmnpnli*. Ala Crossing 3" 


so, Tex function . 

.>. Tex ' 

I -. ! 

r r 


1 Addition. 




■ nd power 

rf sinnaU 

• truction December 31, 1921 
No. of working levers 

B. S I > 

- \l lini 

Interboro R. T. 

junctit n 
Location or terminal 

.Ashley River Drawbridge 4 

.M't'n I.''kc P., M 43 

nehouse . 

. Mint.. W.V. (MX). Ternn nal 9 

e, Jet. ...Junction 

,W. Water!"!., fa. Crossing 15 


New Lots Ave 

sing 24 

D "sing 18 

Elec- pneu- 
trical matic Total 


Eastern Region 

Lehigh ft X. E. 
N. Y. Central. . 
L'. Pacific 

u Pacil 


Parkcsburg, Pa.. .Switching 

It ing 

ille, Pa . . . Switching 27 

Bath. P.i > ii I ft W. 6 

D. L. ft W. 5 

ft., N. Y. Junction 35 

Finch, N. Y Crossing 20 

Aspen, VVyo runnel, ft E. D. T. .. 

Alum, ,nt. VVvo... Tunnel, ft E. D.T. .. 

('•tin B'ffs. la.. A. Terminal ft Jet 

t nun. B'rTs. la.. B. Terminal ft Jet 

■nd Jet. D. 

r. & i. 



1 Electro-mechanical. 
'Federal; electro-mechanical. 
: Electric; concrete trunking. 

1 Trolley contactor contr electric line. 

' Reconstruction ; position-light signals replace semaphores- 
signals; electric time locks. 
t Renewal; route and approach locking. 
1 Route locking. 

'. K S., model 2A; check locking through tunnel. 

I I' S \ : heck locking through tunnel. 

; Added to G. R. S., model 2. 

U S. ft S.i style F. 
" Union, D C, type F. 

Tinj I— Intehiockixc Plants Piofossd roe 1922 

No. of working levers 

Me- Electro 

chan- Elec- pneu- 
ical trical matic Total 

p Q 

i , I Pai ifii 


Harrowsmitb ... 


Allenb] let 


La Pra 

.Crossing 20 

.Junction 21 

■Crossing to he 

. rcln.ilt 

Crossing . . . 


.Junction .... 

Grossing If- 


A. ('. I.. H ydville, Ga.. 

0. Cincinnati, Ohio.. I 

us. W. Va 


Grand Trunk: 

Lines. Charlotte, Mich.. .Crossing .. 

Interbo th Street. .. 

lerome Ave. . . . 

New l^ts Ave. . 

\I k S I ll.illelt. Okla. - 

\l„ind City. Ka 


. Vard 

K .ii 

P A R .... 


■ ista, Calif, 
. 1 -sington. Pa. . . . 
Ml. ml,, ■ 

llarrlsburg, Pa... 
ill Haven. 


■ s 14 

. IS 



2*8 145 257 670 


am hameal plant, Route i 
r low 


■ ',iir\ has tendered !•> the department of 

publii wri. ' ngton, us right "t «/»• 

orthport, Wash., (•■ the < lino, ■ distance ol 

into .i public highwa) The 


million (.loll 

Railroad Telegraph and Telephone 

Construction a Minimum in 1921 — Considerable Increased Use 
of Composite Circuits 

By J. H. Dunn 


Preliminary to making this second annual survey of the 
activities in the railroad telegraph and telephone field, 
the Railway Age sent questionnaires to 214 representa- 
tive roads asking for certain data with reference to their 
outside plant equipment. As this feature of our annual re- 
view number was only inaugurated last year it is difficult to 
draw any comparisons with the amounts of work done in 
previous years. However, it is evident that construction has 
been at a minimum during 1921. 

Small Amount of Work Completed in 1921 

Thirty-one of 115 roads replying reported telegraph and 
telephone construction work completed 

during 1921. Of the 393 miles of rail- 

road-owned pole line built in the ■ 

United States, the Louisville & Nash- 
ville constructed 237 miles, and the 
Nashville, Chattanooga & St. Louis 
135 miles, both installations being re- 
placements of equipment removed be- 
cause of the termination of contracts 
with the Western Union. The Canadian 
National installed 158.4 miles of pole 
line, 1,637.2 miles of iron wire and 
2,998 miles of copper. The reports 
show that 1,190.4 miles of iron wire 
was installed and 1,104.9 miles of 
copper was added to existing plant 
equipment in the United States. 

Some 913 miles of road was equipped 
with telephone train dispatching cir- 
cuits, the largest installation being that 
of 489 miles on the Western Pacific 

Railroad. A total of 244 miles of — — — __^__ 
metallic telephone circuits for block 
signaling was placed in service and 

1,689 miles of metallic message and conversation circuits was 
installed; the largest installation was 518 miles on the Lehigh 
& New England and the second largest, 454 miles on the 
Chicago, Burlington & Quincy. 

It is interesting to note that only 24.4 miles of telegraph 
dispatching circuits have been reported as installed during 
1921, whereas telephone train dispatching circuits were 
placed in service on 913 miles of road during this period. 
The tendency to utilize existing wires to the limit is shown 
by the installation of 1,269.6 miles of simplex circuits, 
336.6 miles of duplex and 842 miles of phantom. 

Some Work Under Construction 

The amount of cable construction was limited, the largest 
installation of overhead cable for telegraph purposes being 
10 miles on the Chicago, Burlington & Quincy. Twenty-two 
miles of overhead cable was installed for electrical trans- 

INIMUM amount of con- 
struction in recent years, 
thus taxing existing facili- 
ties to the limit. Many important 
developments have been made in 
apparatus, placing the roads in a 
position to expand their facilities 
to better advantage at this time. 
Pole line maintenance is from two 
to five years behind schedule. 

Widespread application of tele- 
phones for train dispatching and 
long distance conversation cir- 
cuits is an important part of con- 
templated construction program. 

A Heavv Wire Lead 

mission on the New York Central. Eighty-two telephone 
booths or boxes were reported placed in service during the 
year 1921. 

Thirteen roads reported work under construction as of 
December 31, 1921. Only 68 miles of pole line is reported 
as under way, 33.2 miles of this being on the Western Pacific 
and 18 miles on the Canadian National. The installation 
of 531.4 miles of iron wire and 2,506.4 miles of copper is 
now under way. Construction work under way also includes 
49.3 road miles of telegraph dispatching circuits and 183 
miles of telephone dispatching. 

The total of circuit miles of telephone equipment reported 
under construction includes 131 miles 
^____^___ of metallic dispatching, 128.8 miles of 
metallic block, and 70 miles of message 
and conversation circuits. A total of 
2.9 miles of overhead cable and 3 miles 
of underground cable is under construc- 
tion at this time. 

Work Contemplated for 1922 
As budgets have been held up or can- 
celled so often in the past few vears a 
number of roads refuse to offer an 
estimate of the future construction ac- 
tivities. However, it is illuminating to 
note that in spite of adverse conditions 
considerable telegraph and telephone 
work is planned, and authority for com- 
mencement of work has been granted in 
several cases. 

Only 60 miles of pole line is con- 
templated on the 25 roads reporting 
■ new work. However, it is the intention 
to add 700 miles of iron wire and 7,409 
miles of copper. Definite plans are 
under way for the addition of telegraph train dispatching 
circuits on nine different roads, the largest proposed installa- 
tion being that of 453 miles on the Ft. Worth & Denver City. 
Metallic conversation circuits to the extent of 2,798 miles 
are contemplated, 1,418 miles of which is on the Pennsyl- 
vania, southwestern region. 

General Outlook 

The amount of telegraph and telephone construction on 
the railroads during 1921 will no doubt stand as one of the 
lowest records. In contrast to this, it is interesting to note 
that over 50 per cent of the officers in charge of the tele- 
graph departments indicated in their reports that the prospect 
for new work in 1922 is hopeful; and some few have definite 
authority to proceed. 

On many railroads the maintenance of pole lines has 
been, of necessity, somewhat neglected during the past few 




Vol. 72, No. 1 


Tnlal milt- 

< f pole line owned 

exclusively by railroad 

road, Yi or joint wires included 

Name of road ' i- 

Xational 158 

B a I >:,io 


C. B. & Quincy 

C. & Oh:c 

\f. & .Northern 

D. & Hudson 20 

D., L. & Western 

D. & I. Range 

Florida East Coast 

III. Central. 

Gulf. Mobile & X 

X. Y. Central 

M. C. 

& Western 

L. Valley 

r„ & Nashville 

Lehigh & X. E 

M . K. h T 

Munising, Marquette & S. E... 

X. Pacific 

N. C. ft St. Louis 

X Y.. X. H & II 

P. & Rending 

Pennsyhania. Central Region.. 
Southern Pacific 

Lines in Tex.-.s 

V. Pacific 

O. W. R. R. & X 

O. S. I 

Western Maryland 

Western Pacific 



£■'- =- 
— — ji 



2.746.4 4.8029 


Miles of cable in line 

t drops to 

i fficcs and signals, etc. 

Circuit miles ■•( 
telephone circuits railroad owned 

Total mil 









Signal and 


Name r.t road 

tj — 







" E 









Gen. office 
and relay 

Divisi* n or 


















C. B. & Quincv 







f>. ft Hudson.. 


1 33 



D., L. Jr . 

D. tc I. Ran • 

Florida 1- l 

rs - 





Lehigh & N 1 

M. K. & To 


N. C. * Si 1 



1! f. II 

P «r Reading. . 






1 1 





• their main 
i thai this uurk i- from 
ire from lii 
■ their main 
idi rable 

■ i.f pole Ul ni unli r ti> 

I iirr i* 

consid nimiim tn meel the requirement! of these 

nl~ within tit. in-. it- future 

Several roads evident!) prefer tutomatii printers for long 

distan lervice with thr telephone for block and 

local «nrk. i if the • ' roads reporting on the item, 17 indi- 

thal telephone train dispatching circuits arc to be 

onditions ix-rmit. 

January 7, 1922 




Total miles 
le line owneil 
exclusively by railro.nt 


by K 



e line 

1 jointly 
R. and 
raph co 

.A , 



Total n 

T«tal miles of wire owned by rail 
road, j j at joint wires included 

Telegi S i trn :i 1 
and teleolicne and electrical 






"•o ^ 
183 ' 






.ind electrical 

Name of road 

D. & H 

D.. L. & W 


lit mil?s 
:uits rail 






g | 

M O 

432.0 1,760.0 

■566 ' 


'.'.'. 1 28.8 

6.8 17 

531.4 2.508.8 

liles of T 
ed circuits < 


275 ' 



0) >> 



K v. 


~ 1 




sne cir 


L. & Nashville. . . 

N. Y. Central 

N. Pacific 

U. Pacific 

L. A. & St. [ 







road owned 

1 1 

>« t 








of c 


able in line 
:>f drops to 
signals, etc. 




Signal am 

Name of road 

Canadian National 

D. & H 

D., L. & W 




- f 



1 ^ , 
7 c "° 
3 Jo 

) Oh Z 


d 6 

Z S3 



.11 I 
ll & 

52 Is 

2 1 
2 3 

c c 


... 2 

... 2 











N. Y. Central 

N. Pacific 

M. K. & Texas 

Western Pacific 

U. Pacific 

L. A. & S. L 







S.3 68 






Table Continued on Next Page 

of pele li 
exclusively by 

Total miles of wire owned by rail- 
road, Vz of joint wires included 


Name of road 

Chi , Rock Is'd & Pacific. 

C. & Ohio 

Colorado & S 

D.. L. & W 

Ft. Worth & D. C 

Florida ICast Coast 

Grand Trunk 

K. C. Southern 

Lehigh & N. E 

N. Y. Central 

P. i; L. Erie 

N. C. & St. Louis 

N. Pacific 

P. & Reading 


Southwest Region .... 

Centra! Region 

Rich'd F. & Potomac 

S. Pacific: 

Lines in Texas 


U. Pacific 

O. S. I 

O. W. R. & N 

L. A. & St. L 


1 i:°"a 

E-0& ES 

k^x el's: 


431 ' 






694 7.405.8 



Vol. 72. No. 1 


Circuit miles of 
telephone circuits railroad owned 

Total miles of 
superimposed circuits 

Miles of cable in line 

exclusive of di 

< irlccs and sianals. etc. 

, A 

Telegraph Signal and 
service electrical 

Name at road *-. -5 

Ch... Rock IsM & Pacific. . . 75 

C. ft Ohio 

Colorado & S 

D.. L. ft W 

Ft. Worth & I> C 

Fl rida East Coast 

Grand Trunk 3 


X. I- 


P. & L. Erie 

N. C & St. Louis 

N. Pacific 

P. Sr Reading 


Southwest Repi'n .... 123 

Central Rctrion 14.S 

Rich'd F. & Potomac 

S. Pacific: 

Lines in Texas 

Wabash 350 

U. Pacif'c 103 

O. S. 1 133 

0. W. R. X N 2-9 

1. A. & S. L 





229' ' 


- -: 

13.2 2 1 . .. 2C 




35.4 2,798.7 

194 1.520.) 

: 52 us 

Recent developments of the telephone repeater have re- 
moved the limit from long distance telephone communication. 

Late experiments on electrified roads have demonstrated the 
success of the carrier current system of communication over 
the trolley wire to or from a moving train. In certain con- 

gested districts or in localities where the physical conditions 
prevent the economical construction of a pole line, it is 
evident that wireless telegraph and telephone apparatus will 
produce economies, and railroad installations of this nature 
are being watched with inl 

An Analysis of the Railway Statistics for 1921 

(Continued 123) 

vades th< business world which i- not wholly psychological, 
bul is based on actualities, and in an) general improvement 
in business the railways are bound to share. The effect >>t' 
even a Id per cent increase in traffit would be most hearten- 
ing, and would translate itself into a real improvement in the 
i nam ial position of the railways. 
Without venturing even a guess as to the rate and wage 
lilities, therefore, I strong]) believe in a better railway 
Mar lor 1922 than we experienced in 1921. 

'i the near future undoubtedl) dammed up the current 
of train, to some extent — a condition 

which in the pullii interest should not l>e allowed to 
many weeks into the year. 

The Coming Year 

rhree elements ol uncertainty exist in the railway situa- 
tion as it will project itself into the 12 months ol 
namely, th<- level of rates, the level of wage-, and the level 
of traffii . 

I In rate question Is now under investigation b) i 1 
terstate Commerce Commission in the form of a general 
inquiry into the subject. That the Commission appr 
tin vitd importance not only t" the railways them 
but to the wh( le I usiness world as well of moving promptly 
in tlu- matter is clear from the record already made in the 
inquiry, and a speedy de< ision in the matter ma) be < 
with i 

question « ill shortl) i - ; he Railroad 

\ irtually all the railwa 
rreat thai n de< ision may 
thi in iin r of rati 
■ ill be thoi 

d, seems be 

will be in ' 
ii I feel th ■' 

'• ' ; iimi-m per 

Engine House lad Water Tower at Lausanne, Switzerland 

Some Typical licws <f Abandoned Line 

Railway Lines Abandoned During the Year 1921 

Difficulties Facing Roads Through the Year Clearly Indicated by 
Mileage Discontinued 

By Milburn Moore 

The year 1921 was one of the most difficult, from prac- 
tically every angle, that the railways of the United 
States have had to face in, perhaps, their entire history. 
By the first of the year it had become fairly evident that 
many of the roads were going to have a serious struggle if 
they were to come through without disturbing financial 
troubles, if not bankruptcy. It is not surprising, then, that 
operation was suspended or discontinued on 1,626.38 miles 
of line. To this amount there should be added 51 miles of 
line upon which operation was suspended or discontinued 
altogether during the latter part of 1920, notice of which 
was received too late to be included in the last annual com- 
pilation of statistics. This brings the total up to 1,677.38 
miles, or over a thousand miles more than were constructed 
in about the same period. 

Of the total mileage abandoned for operation, 217.09 
miles, or slightly less than the corresponding figure for 1920, 
were abandoned entirely, the track being taken up and the 
equipment sold. A large part of the remaining 1,460.29 
miles consisted of lines upon which operation was discon- 
tinued because of conditions peculiar to the year, such as 
light traffic and heavy operating expenses. It is not unlikely 
that some of this mileage will again be placed in service 
when conditions become more favorable. 

The past year is the first full year in which it has been 
necessary for the Interstate Commerce Commission to decide 
whether the "present and future public convenience and 
necessity permit the abandonment"' of railway lines. It has 
reported upon a large number of cases during the year. This 
introduces another point of interest in connection with lines 
abandoned which helps to give a clearer picture of the year's 
changes. It concerns the applications for abandonment pre- 
sented to the commission, which are not included in the 
main compilation of miles abandoned, etc. In addition to 
the 1,677.38 miles mentioned, there were authorizations by 
the commission for the discontinuance of 191.01 miles and 
applications for the abandonment of 575.17 miles, regarding 
which no action has as yet been reported publicly. 

With the exception of a few states, the major portion of 
the mileage upon which operation has been discontinued, 

plus the mileage included in the applications before the 
commission, lies in the southern states from -coast to coast, 
with Arkansas outstanding, with about 223 miles upon which 
track was taken up or operation discontinued. 

Of the entire country, the state of Colorado suffered the 
most, including, as it did, practically one-fourth of the total 
miles abandoned for the country. Some of the more im- 
portant roads of this state which are no longer operating are 
the Colorado Midland and the Colorado Springs & Cripple 
Creek District. 

The mileage for Michigan was high also and is repre- 
sented almost entirely by short sections and small branches 
of the Pere Marquette of which only a small part has been 
abandoned to date, the remainder being covered by appli- 
cations before the commission and not yet authorized. 

The largest of the roads which found it impossible to 
keep its wheels turning was the Missouri & North Arkansas 
and the experience of this road and the cause for the cessa- 
tion of operation is but a repetition of the story of light 
traffic and heavy operating expenses. 

Some of the smaller lines which have ceased operation 
because of their unprofitableness and their ability to run up 
large deficits as common carriers, and which show little 
justification for resumption of operation as common carriers, 
do contain some possibilities as private lines or plant facili- 
ties. An example of this is the Sugar Pine Railway, which 
was released during 1921 by both the California Railroad 
Commission and the Interstate Commerce Commission as a 
common carrier but which is now being operated under lease 
by a large lumber company as a plant facility. 

While there is a reasonable possibility that some of these 
roads will again resume operation under more favorable 
circumstances, there is considerable mileage which is more 
likely to be discontinued permanently and the lines junked. 
It is an interesting fact that much of the mileage abandoned, 
or to be abandoned for operation shortly, was constructed 
primarily for logging purposes and, so long as the timber 
held out and the market was good, they were a profitable 
investment. With the removal of most of the timber, there 
has not been sufficient traffic to justify the continuation of 




Vol. 72, No. 1 

the lines or branches as common carriers. For instance, on 
one southern road only three carloads of other than lumber 
traffic originated on the line during the entire year. It has 
only taken the severity of a year like 1921 to hasten to a 
conclusion what would have been the outcome anyway. 

The permanent abandonments of the past few years have, 
in a way. been indicative of the gradual tightening up of 
the country's railway lines and the consequent elimination 
of the lines that are poorly and uneconomically located, 
without any particular hardship to the surrounding territory. 
Although 1921 was the fifth year that the miles of line 
abandoned exceeded the miles of new line constructed, this 
fact cannot be construed as meaning that the country is over- 
built with railways. In fact, there is still need for much 
railway construction and the clearing away of these lines 
should in the end prove beneficial, if not even stimulating, 
when there is more money available and the subject of ex- 
- to existing lines and the building of new ones is 
i in under consideration. 

Adirondack & St. Lawret 

Ashley. Drew g [ 

Near O/mont. Ark 

Ashland. Odcnah & M.i 

Odonah. Wis., to end of track 

Atchison, Topeka & Sain 

Barnwell. Calif., to South Ivanpah 

Atlanta & St. Andrew' 

St Andrew's branch in Florida 

Renncttsville Sr Cheraw — 

Brownsville, S. C, to Sellers 

lis Railway— 

In Wisconsin, not specified 

Boston & Maine — 

Rcthlehem Junction, N. H., to Profile House. 

Cherrv Mountain, N. II., to Utlcrson 

Profile House, N. II.. north 

Caro Northern — 

In Texas 

Central New England — 

Feeding Hills. Mas?., to Agawaro function. . . 
Charlotte Harbor & Northern — 

Tiger Bay branch in Florida 

Colorado Midland — 

In Colorado 

Colorado Springs & Cripple Creek District — 


Percy. Miss., to Richcy 

Klizabcth. Mis-., to Kerg's Junction 

ItU Bene, Miss., to Belzoni 

Georgia & Florida— 

In Georgia 

Great Northern — 

lishclm, Minn 

Greenville & Northern — 

In Texas 

liulf, Mobile & Northern— 

F.llisville. Miss., to Ellisville Junction 

Hawkinsvillt & Florida Southern— 

Haukinsville. Ga., to Worth 

Ashburn, Ga., to Camella 

JonesboTO. I-ake City & Eaaten 

MrFerren, Ark., to Osceola 

Midway, Ark., to Lra 

Kentwood, Creensburg & S- uthwestcrn — 

Kent's Mill. La., to Froilcr 

lake Charles Railway ,*. ' 


Uesvillc Fast ft West — 

From Leesvillc. La., east 

l-cctonia Railway — 

10 Clubman Junction 

Lehigh St New Fncland — 

In New Yort 




Dallas ft Gull 



itly doned and 
and taken up, not taken up, 


o Bridie 






Rapid City, Mich., to Kalkaska 

Clary, Mich., to Carters 

Philadelphia & Reading— 

■■■< kin. f'.i 

Potatoc Creek Railroad 

Keating Summit. Pa., to four mile post. 
Reynoldsvillc & Falls Creek— 

Rathmel function. Pa., to David Mine. . . . 
a s ft Ohio River— 

Reebs Station, 111., to Belleville 

St. Louis Southwestern 

Lufkin, Tex., to Kennard 

Shreveport, Alexandria ft Southwestern — 

Longville, La., to Vandcrcook 

Pine Railway- 
In Califi rnia 


i.i Dallas, Tex 

Texas. Arkansas ft Louisiana 

Union Pacific — 

'. Wvo.. to state line 

Wyuta, Utah, to Wahsatch 

In SummitviUe, fnd 

\ aldosta, Moultrie S \\ • 

Ga., to Moultrie . . . . 

Watauga ft Yadkin Ri 

In North Carolina 

I t n — 

In Wisconsin 

Yakima pcrtation Company — 

In Yakima. Wash '. 


Alberta & ( crcat Waterway — 

Great Northern— 

fn vt unity of Cloverdale. t. C 

!"'■ national boundary t Rossland, B. C- 




• 5.50- 




United States 

ISucksport & Elk Kit 
Crystal River \- San Juan — 

I.i i , I t i. 
Cumberland Nf rtl 

In Tennessee 

Newport <\ Sherman's Valley- — 

In Pennsylvania 

Lines abandoned Lines aban- 
permanently doned and 
and taken up, not taken up, 




Alabama S 


Atchison. Topeka ft Santa Kc 

Burnett branch. Okla 

Bangor & Aroostook 

illc Junctii n. Me., to Catahdin Iron 


Chicago & Eastern Illinois — 

Chicago S Indiana Coal Railway 

Colorado Southern — 

Biien.i Vista, Colo., to Romley 

Duluth ft Northern Minnesota — 

Knife River. Minn., b Cascade 

Flint licit I I'cre Marqui 

<i< msec County, Mich 

Franklin ft Pittsylvania— 

Rockv Mount, Va.. to Pittsville 


Onalaska, W,s., to La Crone 

Great Northern — 

Branch is Steven's County, w.i-i 

Pi I'l.m.l. N, Dak . to Portland function. 

Kindei .\ Norths ■ 

Kinder, La., to Dullard.. 

Liberty. White — 

Libei • nfacomb 

- Gull 

In Taylor County, Mi 

St. Marie — 

nhuo, Minn., to Decrwood 

>pi t entral — 

Branch line from Hattiaaburf, \h« 

Northm Pai 

burn '-ranch In Wisconsin 

lei f lkh< mi bram h in Mln 


Freeport branch in M 

Urn it.nhansn 

Ii., R M W ■ I 

II ,■ , i i . 


ln N 






|( f.4 


1 3» 

■ oaaf recently reopened, 
ids to Federal court. 

ont Terminal of tin 

Not Much Activity in New Construction in 1921 

Mileage of New Lines Shows Increase Over 1920, but Other 
Projects Were Small and Restricted 

By Milburn Moore 

One encouraging FEATURE of a most difficult year for 
the railroads was the greater activity in the building 
of new lines in the United States. During 1921 there 
were completed 475.10 miles of new line, which in compar- 
ison to the low record for 1920 of 313.71 miles is an in- 
crease of about 45 per cent. It is, however, far below the 
mileages built previous to the World War and from about 
two-thirds to one-half of that built each year during the 
four years previous to 1920. 

Total mileage (first, second and other multiple main 
track) also increased, reaching 642.22 miles, of which 143.07 
and 25.26 miles were second and third track respectively. 
This multiple track construction is an encouraging increase 
over 1920 when but 414.35 miles of all track were completed, 
of which 90.87 and 1.89 miles were second and third track. 
Other railway construction was concerned almost entirely 
with the completion of a few large projects and a number 
of small ones started in previous years. Little new work of 
any size was inaugurated during 1921. 

In Canada there was a considerable decrease in total 
mileage constructed as compared with 1920 and almost no 
building of second and other multiple track work. With 
251.48 miles of first track and 6.57 miles of second, Cana- 
dian mileage came close to its low record of 1918. Since 1914 
the building of new lines in Canada has been at a low point 
and it is doubtful whether there will be much done in the 
future until Canada gets nearer a solution of her railway 

The longest stretch of line was that constructed by the 
Government Railroad of Alaska — 81.95 miles. This marks 
the completion of the building program of the Alaskan proj- 
ect as it now stands and no new construction in the way of 
additional mileage is in progress. It is expected that the 
Government Railroad of Alaska will be formally opened to 
operation with elaborate ceremonies at Anchorage early in 
February. The remaining first track mileage was, in the 

truiin, divided approximately among seven states, with Texas 
leading with 63.60 miles and Florida next with 59.90 miles. 
The other states which had any considerable mileage of first 
f ack, comparatively speaking, were North Carolina with 
48 miles, Oklahoma with 44.92 miles and West Virginia 
with 44.90 miles. West Virginia also had 21.52 miles of 
second track or a total of 66.42 miles, the greatest mileage 
of all track constructed within any one state. 

The most important reason for West Virginia's track ex- 
pansion is the development of that state's coal territories 
much of which has not, as yet, even been tapped. The 
growth of coal traffic has in some instances been far greater 
than the expansion of railway facilities to handle it. This 
is particularly true of the Chesapeake & Ohio during the 
past few years and, of the 21.52 miles of new second track, 
18.8 miles are the work of that road in carrying out its 
plan of double-tracking the line up the Guyandot river into 
the Logan coal fields. The completion of these 18.8 miles 
in addition to what has already been finished makes this 
line 50 per cent double track. 

The development in Texas, with a total mileage of 65.77 
is, in a manner, similar, if oil be considered instead of coal. 
Each year sees an expansion of the oil field activities in that 
state with an accompanying need for more railway facilities. 

Florida with 59.90 miles, all first track as stated pre- 
viously, is the result of entirely different needs, which are 
presumably not that of expansion because of commercial 
necessity in a direct sense, but rather an expansion to fill 
pioneering agricultural needs. Florida for its size is one of 
the least, if not the least, developed of the states from a 
railway standpoint. Immense tracts of land are as yet idle 
and unsettled. The drainage work in and around the Ever- 
glades made available a considerable acreage of rich land, 
with a consequent growth of towns and settlements, the 
further growth of which was dependent upon transportation. 
It is only a few years ago when the principal and, in fact, 




Vol. 72, No. 1 

practically the only product from this section of lower 
Florida, was catfish, caught in Lake Okeechobee, brought out 
by boat and shipped to St. Louis, Mo. With the opening up 
of this section of the state, a variety of important agricul- 
tural products were produced, the quantity increasing each 
vear as more land was developed and more settlers came in. 

of the roads which were able financially, in comparison to 
the average, to carry forward projects of magnitude did little 
beyond what was absolutely necessary to tide them over. 

Manx roads which previous to government control had 
commenced work on large projects designed to effect future 
rather than immediate operating economies have been forced 



United Stales building track 

Alaska 1 S1.95 

Arkansas 4 13.59 

California 4 5.27 

Florida 4 59.90 

Georgia 2 4.80 

Hawaii 1 10.00 

Idaho 1 7.54 

Illim is 1 .... 

Indiana 2 4.77 

Kansas 2 0.75 

Kentucky 3 1.57 

Louisiana 1 7.81 

Maryland 1 .... 

Minnesota 1 3.00 

Mississippi 3 7.90 

iri 4 4.09 

Montana 1 .... 

Nebraska 1 14.06 

New lersey 1 1.90 

New York 1 

North Carolina 2 48.00 

Ohio 2 

Oklahima 5 44.92 

Pennsylvania ...... 3 5.52 

Tennessee 1. 6.00 

Texas 4 63.60 

Utah 3 

Washington 1 3.50 

West Virginia 5 44.90 

Wyoming 1 16.94 

Total 66 475.10 

Canada 10 



5. 87 


No. Cos. 
United States — building 

Alaska 1 

Arizona 1 

i 5 


Georgia 2 

Illinois 1 


Kentucky 4 

Louisiana 3 

Maryland 1 

Michigan 1 

M ,i 1 



ico 1 

rk 1 

Ohi 1 

* Melanoma 2 


Pennsylvania 4 


Texas .' 

Utah 1 


West Virginia 3 

... 1 



I hi:- Florida work, like that in Alaska, r mewhat 

the railway development in the pioneer days of the past, 

In general, the year's construction has but emphasized 

what was indicated strongly last year, namely, that intensive 

development was more imperative than extensive and that 

any money to be spent must necessarily be spent along those 

lines. That has kept such building as there was strictly to 

projects which would improve the operation of trains at a 

minimum of expense. The marked decrease in traffic at the 

I, the heavy operating expenses, thi 

ess, and numerous other factors treated 

undoubtedly an uncertainty as to the outcome of the railway 

financially that caused much needed work to lie held 

nding the return of more stable conditions. Even many 

either to curtail the work greatly or to abandon temporarily 
all work. A notable example of this case is the Pennsylvania, 
which during the past three or four years has had a large 
number of projects under way involving the expenditure of 
millions of dollars, yet only a small part of it has ever been 
completed and nothing was carried forward during 1921 
except the building of one line in West Virginia to be about 
1 2.66 miles long when completed. 

\ substantial proportion of the projects listed this year 
under the different road- are small ones covering improve- 
ment- to engine terminal and yard facilities, an indication, 
in itself, of the direction which construction took for tli 
Among the few large projects upon which work was per- 
d m 1921 there is only one which may be said to have 

.-? 3.000 




MM UO0 I9W 1904 150* 1908 1910 1911 I9K 191* 1918 '920 I9?i 

Curves of Mileage Built in the Unit ■■! Canada Since 1893 

January 7, 1922 



been started during that period. This project is the grade 
separation work of the Delaware, Lackawanna & Western 
through East Orange, N. J. The remainder consists of work 
carried over or continued, examples of which are the Clare- 
mont terminal of the Lehigh Valley, and the St. Paul, Minn., 
union passenger station. In general, good progress has been 
made on these and the other few large items. 

At the close of the year there are some factors which look 
encouraging for 1922. One of these is the apparent revival 
of the building of branch lines, extensions and even new 
short lines. Many of the items show references to lines either 

under survey or projected and, in other instances, under con- 
struction. Traffic is tending to increase and expenses have 
decreased; general business is on the upgrade and the 
prices of materials and labor are tending to grow less, all 
of which are important and controlling influences on the 
amount of construction which can be done in the future. 
Nearly all the roads have much work in prospect, which is 
vital to their future — how much of it will be done is, of 
course, practically dependent altogether on 1922 earnings. 
As the prospects for increased net returns look brighter, there 
are hopes for a healthier construction year in 1922. 

Railroad Construction in the United States in 1921 

Ahukini Terminal & Railway 

First Track: From Ahukini, Kanaii, to Kealia, Kanaii, in territory of 
Hawaii, 10 miles. 

Other Important Work Under Construction : New line under survey from 
Kealia to Moloaa, 10 miles. Construction of breakwater across mouth of 
Bay at Ahukini, cost $100,000, 50 per cent completed. Building reinforced 
concrete wharf at Ahukini, cost $150,000, completed. 

Americus & Atlantic 

First Track: In Georgia, nut specified, 2 miles. 

Other Important Work Under Construction: Surveys made for new lines 
from Horns Siding, Ga., to Americus, 11 miles. 

Ashley, Drew & Northern 

First Track: In Arkansas, not specified, 2.23 miles. 

Other Important Work Under Construction: Building in the vicinity 
of Ozmont and Fountain Prairie, Ark., 2.31 miles. 

Atchison, Topeka & Santa Fe 

Second Track: At San Bernadino, Calif., 2.91 miles. 

Other Work Under Construction : New power house at Albuquerque, N. 
Mex., cost $100,000, 15 per cent completed. Machine shop and facilities 
at Albuquerque, $1,200,000, 98 per cent completed. Extension to Alvasado 
hotel, Albuquerque, cost $400,000, contract awarded. 

Atlantic & Carolina 

First Track: From Kenansville, N. C, to Chinquapin, 13 miles. 

First Track: 

Atlantic Coast Line 

>odno, Fla., to Immokalee, 



Baltimore & Ohio 

Other Important Work Under Construction: Renewal of tunnel roof 
at Philadelphia, Pa., cost $275,000, completed. Construction of two joint 
industrial tracks in Philadelphia, Pa., cost $260,000, 65 per cent com- 
pleted. Track elevation through South Philadelphia, and east side yard 
to the Delaware river, $1,000,000 initial appropriation, 20 per cent com- 
pleted. Extension of third track and connection, etc., at Bay View Junc- 
tion. Md., cost $113,000, 50 per cent completed. Revision of Locust 
Point, Md., branch and yard, cost $795,000, completed. Building new 
yard at Mt. Winans, Md., cost $700,000, completed. Renewal of bridges at 
Savage and College, Md., cost $118,000, 50 per cent completed. New 
shop facilities, Cumberland, Md., cost $120,000, completed. Bridge re- 
newals at Mt. Savage Junction to Ellerlie, Pa., cost $308,900, completed. 
Renewal of bridge at Pittsburgh, Pa., over Allegheny river, cost $3,475,350, 
completed. Bridge renewal at Clokey and Washington, Pa., cost $117,000, 40 
per cent completed. Bridge renewal at Foxburg, Pa., cost $125,000, com- 
pleted. Bridge renewal at W. Alexander to Elm Grove, W. Va., cost 
$126,000, 50 per cent completed. Construction of branch industrial line 
and revision of branch line, Norton, W. V»., cost $235,000, completed. Track 
revision from Grafton to Fairmont, W. Va., cost $135,000, completed. 
Renewal of bridge over Hocking river at Guysville, Ohio, cost $253,200, 
completed. Rebuilding bridge over Great Miami river at Lawrenceburg, 
Ind., cost $2,197,000, completed. Renewal of bridge at Rossford, Ohio, 
cost $110,000, completed. Side track for industrial development at Defi- 
ance, Ohio, cost $238,000, 55 per cent completed. 

Bartlett Western 

Other Important Work Under Construction: Survey of new line from 
Bartlett, Tex., to Cameron, 32 miles. 

Bessemer & Lake Erie 

Other Important Work Under Construction : Conversion of Culmerville 
tunnel into an open cut, with relocation of highways and bridges, Culmer- 
ville, Pa., cost $300,000, 15 per cent completed. 

Boston & Maine 

Other Important Work Under Construction: New 28-stall engine house 
and other engine terminal facilities at Concord, N. H., $1,065,000, 50 per 
cent completed. Strengthening bridge over Merrimac river, Newburypqrt, 
Mass., cost $405,200. Additional tracks and extension of existing tracks 
at Rotterdam, N. Y., cost $261,000, 90 per cent completed. Renewal of 
messenger wires in electric zone at Hoosac Tunnel, Mass., cost $120,000, 

Central of Georgia 

Other Important Work Under Construction: Building from McCombs, 
Ala., to Overton, 6.78 miles; new engine terminal, including concrete engine 
house and repair shop, turntable, etc., at Columbus, Ga., cost $500,000, 

Central of New Jersey 

First Track: From Bridgeton Junction, N. J., to Seabrook Farms, 1.9 

Other Important Work Under Construction: Renewal of bridge 214, 
East Rahway, N. J., cost $450,000, 99 per cent completed; bridge 217, 
Maurer, N. J., cost $312,000, 99 per cent completed. Construction of a 
new bridge over Delaware river at Easton, Pa., and the widening of 
another bridge including track changes and interlocking, cost $1,118,647, 
99 per cent completed. Renewal of bridge 58 at Coalport, Pa., cost $500,000, 
10 per cent completed. 

Central Pacific 

Other Important Work Under Construction: General store building and 
oil storehouse at Sacramento, Calif., cost $210,000, completed. Additional 
ferry slip and roadway for additional ferry service between Oakland Pier 
and San Francisco, cost $121,700, completed. 

Chesapeake & Ohio 

First Track: From Mud Junction, \V. Va., to Argonne, 3.3 miles. 
From Whitman Junction, W. Va., to Whitman, 0.8 mile; from Edwight, 
W. Va., to end of line, 1.8 miles. From Cow Creek, W. Va., to Conley 
Creek, 2 miles. From Stirrat, W. Va., to Little Creek, 1 mile. 

Second Track: From Clover Valley, W. Va., to Salt Rock, 10.1 miles. 
From Big Creek, W. Va., to Pecks Mills, 8.7 miles. 

Third Track: From Big Sandy Junction, Ky., to Russell, 10.6 miles. 

Other Important Work Under Construction : Building new line from 
Wylo, W. Va., up Elk Creek, 3 miles. New line under survey from 
Olive Hill to Russell, Ky., 40 miles. Extension of 11 tracks in east- 
bound yard and new westbound yard at Gladstone, Va., cost $400,936, 
completed. Installation of automatic train control, Charlottesville to Staun- 
ton, Va., cost $248,649, 26 per cent completed. Improvements to shops, 
etc., at Clifton Forge, Va., cost $837,600, 95 per cent completed. New east- 
bound yard at Hinton. W. Va., cost $342,300, completed. Change of 
grade and line at St. Albans to Ferrell, W. Va., cost $1,402,325, 99 per 
cent completed. New engine-dispatching and yard tracks at Peach Creek, 
W. Va., cost $368,580, 86 per cent completed. New water station at Ste- 
vens, Ky., cost $173,000, completed. New freight station at Logan, W. Va., 
cost $150,000, completed. Renewal of bridge over Licking river at Cov- 
ington, Ky., cost $296,500, sub-structure 99 per cent completed. New 
engine house, boiler washing plant, etc., at Ashland, Ky., cost $170,000, 
installation of turntable only completed. 

Chicago & Alton 

Second Track: Nilwood, 111., to Bierd, 3.3 miles. 

Other Important Work Under Construction: Large freight terminal 
and office building at Chicago, cost $3,000,000, " 

per cent completed. 

Chicago, Burlington & Quincy 

Other Important Work Under Construction: Elevation and realinement 
of main tracks through Aurora, 111., to Montgomery, cost $5,000,000, SO 
per cent completed. Additional yard tracks, roundhouse, power plants, 
etc., at Centralia, 111., cost $600,000, completed. 

Chicago, Indianapolis & Louisville 
Other Important Work Under Construction: Freight car repair shop at 
Lafayette, Ind., cost $160,000, completed. 

Chicago, Milwaukee & St. Paul 

Other Important Work Under Construction: Renewal of Skykomisli 
river crossing, Monroe, Wash., cost $141,780, completed. Renewal of 
Ebey Slough draw near Everett, Wash., cost $102,639, 40 per cent com- 
pleted. Renewal of Snohomish river draw, near Everett, Wash cost 
$191,169, 80 per cent completed. 

Chicago, Rock Island & Pacific 

Second Track: Little Rock. Ark., to Biddle, 2 miles. 
Other Important Work Under Construction: Three-story brick office 
building at Chicago, cost $100,000, completed. 

Cleveland, Cincinnati, Chicago & St. Louis 

First Track: In vicinity of Zionsville, Ind., 4.5 miles. 

Second Track: Augusta, Ind., to Whitestown, 10.2 miles; Briar, Ind.. to 
Beech Grove, 9 miles; Winchester, Ind., to Farmland, 8.6 miles; Temple- 
ton, Ind., to Swanington, 6 miles. 

Other Important Work Under Construction: Engine terminal and facili- 
ties at Ansonia, Ohio, cost $177,000, 30 per cent completed. Engine ter- 
minal at Sheff, Ind., cost $198,000, 30 per cent completed. Grade reduc- 
tion from Templeton to Swanington, Ind., cost $635,000, 90 per cent com~ 



Vol. 72, No. 1 

Cowlitz, Chehalis & Cascade 
From Lacamas, Wash., cast, 3.5 miles. 

Delaware & Hudson 

Third Track: From Schc 

N. Y.. to Summit, 13.3 miles. 

Delaware, Lackawanna & Western 

Other Important Work Under Construction: Track elevation and grade 
separation work at East Orange. N. J., including the enlargement of two 
passenger stations and the construction of two new ones, cost $4,000,000, 
35 per cent completed. The elimination of two grade crossings at Patcrson, 
X. J., cost $100,000, 60 per cent completed. Elimination of one grade 
crossing at Mountain lakes. N. 1., $125,000, 50 per cent completed. 
Changing present third track on Hackensack meadows from slow freight 
to high-speed passenger track in connection with substitution of color 
-ignals for semaphore signals on lines between Harrison. Newark and 
Hackensack rivet ,479, 95 per cent completed. Elimination of 

grade crossings, near Cortland, N. Y., cost $104,000, 75 per cent com- 

De Queen & Eastern 

First Track: From Oklahoma-Arkansas state line to De Queen, Ark., 
8.86 miles. 

East Erie Commercial 
Order Important II i ction: Building connection in Penn- 

sylvania. 0.65 mile: grade separation work, cost $125,000, 99 per cent 

East Texas & Gulf 

First Track: Hyatt, Tex., to Wurtsbaugh, 9.6 miles. 

Other Important Work Under Construction: A line projected from 
Hyatt, Tex., to Hicks, 7.8 miles. 

Erie Railroad 
Other Important Work Under Construction: Renewal of drawbridge 
over Passaic river at Newark. N. J., 98 per cent completed. 

Galesburg, Rockford & Northern 

i Under 

iles undc 

from 1 1 
survey; 85 per cent of the right 

Other Important Wo 
111., to Geneseo, 15.98 

Galveston, Harrisburg & San Antonio 

Second Track: In Texas, from mile post 829.26 to 832.03, 2.17 miles 

Genesee & Wyoming 
Other Important Work Undet New classification yard 

track at Retsnf, N. V., cost $200,000, 30 per cent completed. 

Georgia & Florida 
Fi'rrt Track: In Georgia, mil miles; 

L34M to 234.3—0.55 mile. 

Other Important Work Vndi Building from mi! 

227 to mile pest 237—10 miles. From Padgetts, Ga„ to Allene. 2.08 

miles. New line under survey. 2.75 miles. 


First Track : 

Goshen Valley 
Dividend, Utah, to Pearl Junction, 11 


tion "f a mode 
$600,000, (.5 per cent en 

Government Railroad of Alaska 

First Track. In Alaska, 81.95 miles. 

Other Important Wi*rk Under Cousin 
coal washing plant at Sutton, 

Great Northern Railway 
Other Important Work Under Ccmstructi ictior of outer 

halt" of ore dock an I 

i 3,000, compli I 
new highways 01 f Gl ml \ n -\ i n! to el 

liver, B. C, cost $1 Renewal ol 

draw span nvrr Snohomish ri I 10, to be 


Hennepin avrn : leted. 

Gulf Coast Lines 

■i Island, 7. SI miles. 
important li I enlarging 


Hocking Valley 

Indianapolis Union Railway 
Interstate Railroad 

Jackson & Eastern 

First Track . 

Jonesboro, Lake City & Eastern 
Victoria, Ark., to Golden Lake, 2.5 miles. 

Kanawha & Michigan 

Other Important Work Under Construction: Building low grade north- 
bound line for through freight service from Hobsen, Ohio, to Meigs, 5.5 
miles, cost $677,000, 66 per cent completed. 

First Track : 
Liberal, 0.75 rr 

Kansas & Oklahoma 
Oklahoma, near Forgan, 1 r 

In Kansas, near 

Kansas City Terminal 

Third Track: In Kansas City, Mo., 0.06 mile. 

.1 Track: In Kansas City, Mo., 0.11 mile. 
Other Important Work Under Construction: Steel and concrete viaduct 
at Holmes street, cost $261,000, 60 per cent completed. Structural steel 
and reinforced concrete viaduct at Seventh street, over yards and tracks, 
cost $400,000. 

Kentucky & Tennessee 

First Track: Stearns, Ky., to Gregory, 1.57 miles. 

Lehigh Valley 

Other Important Work Under Construction: Building of first unit of 

rail and deep-water terminal, also dredging a 35-ft. channel to 

it Clarei City, N. J., 65 per cent completed. One- 

: bulkhead for merchandise freight on East river. New York 


Lewiston, Nezperce & Eastern 

Other Important Work Under Construction: Building from Tammany, 
Ida., to VVaha, 11 miles. 

Liveoak, Perry & Gulf 
First Track: In Florida, not specified, 4 miles. 

Los Angeles & Salt Lake 

Other Important Wrrk Under Construction: Building machine shop and 
I i I c mpleted. Construction of reinforced 

addition to tank car repair shop with necessary machinery and 
trackage at I.os Angeles, Calif., cost $315,198. completed. Building new 
freight terminal at Long Beach. Calif., cost $195,000, 38 per cent coin- 
Construction new freight terminal at Los Angeles, Calif., cost 
$431,000, 23 per cent completed. 

Louisville & Nashville 

/ Track: In Kentucky, from Ravenna to Millers Creek, 3 miles: 

from Typo to Domino, 1.6 miles; from North Hazard to Hazard, 0.9 mile. 

Important U ,■■ I Second track and grade 

reduction on Cumberland Valley division including elimination of 

of tunnel, cost $1,255,000, 90 per cent completed. Construction of yard, 

' stall enginehouse, machine shops, coaling station, other facilities, etc.. 

I a. Ky.. est $593,000, 98 per cent completed. Storage yard at 

I > I >o, Ky., cost $407,000, 85 per cent completed. Construction of 

use, machine shop and other facilities at Hazard. Ky., cost 

i cent ci mpleted. Construction of new freight facilities and 

l station, second track, etc.. at Hazard, Ky., cost $157,000, 40 per 

cent coiuvlcted; 2.500,000-gallon pumping plant and piping, etc., at Dortha, 

Ki . cost $275,000, 95 pi Whama bridge at 

\la., cost $600,000, 90 per cent completed. 

Maine Central 
Other Important Work Under Construction: Reconstruction of bridge 

and abutments ? I 76,500, completed. 

Michigan Central 
Other Important Work Under Construction: t 
i 100,000, completed. 

Midland Valley 
i ifAi r Imp irtant II ■ ■• 
Paw husk 

adc separation at 

OkU . 

■ cement 


Missouri, Kansas & Texas 

First miles. 

Other Important Work I • N <« engine terminal and 

v • inbound 

" K), com- 

Cil . lrville. Tex., 

, t three bridges and 

. nit com- 

1, in, iv facilities on Kansas 

r completed. 
Missouri Pacific 
. Important II ■ rtrwrtion Building new- con. i 

l ■ nd other facil Kan . cost $128,000, 

M destroyed by 

Filling In of bridge 

in bridge 138 at 

n of a 100ft. 

■ in roundhouse, 

ptl cent torn- 



Mobile & Ohio 

MIS. Ill . 

k. Mo., cost 

New freight office and 

Moore Haven & Clewiston 

Hon, 145 miles. 

January 7, 1922 



Nashville, Chattanooga & St. Louis 
Other Important Work Under Construction : Engine terminals, im- 
proved passenger and freight facilities at Hollow Rock Junction, Tenn., 
cost $580,000, 90 per cent completed. 

Newburgh & South Shore 

Third Track: In Ohio out of Cleveland. 0.95 mile. 
Fourth Track: In Ohio out of Cleveland, 0.68 mile. 

Other Important Work Under Construction: Car repair shops and facili- 
ties at Cleveland, cost $275,000, completed. 

New Holland, Higginsport & Mt. Vernon 
First Track: Wenona, N. C, to New IMIand, 35 miles. 

New York Central 

Other Important Work Under Construction: Renewal of stokers at 
Yonkers power station, Glenwood, N. Y.. cost $125,000, completed. Mail 
service and office building at New York, cost $4,144,190, 93 per cent 
completed. Coaling plant and ash conveyor at Wayneport, N. Y., cost 
$177,000, completed. Thirty-stall engine house and terminal facilities at 
Solvay, N. Y., cost $1,700,000, completed. Reinforced concrete arch 
highway under crossing at Martisco, X. Y., c< st $136,000, completed. Depot 
road subway at Harbor Creek, Pa., cost $110,000, 75 per cent completed. 
Subway at Water street, Wesleyville, Pa., cost $229,285, 90 per cent 
completed. Grade separation at Detroit, Mich., cost $263,621, 60 per 
cent completed. 

New York, New Haven & Hartford 
Other Important Work Under Construction: Installation of pipe flume 
at power house at Cos Ccb, Conn., cost $100,000, completed. Westbound 
running track from Bradford to Westerly, R. I., cost $120,000, 93 per 
cent completed. Relocation of track, East Providence, R. I., cost $108,985, 
90 per cent completed. Rearrangement of yard tracks at Hartford, Conn., 
cost $132,403, 46 per cent completed. Construction of 3-mile telephone 
line, yard offices, signal towers, miscellaneous buildings and yard tracks, 
etc., in Cedar Hill freight terminal, New Haven, Conn., cost $309,228. 
completed. Enlargement of machine shop; rearrangement and installation 
of machinery at Cedar Hill, cost $152,700, completed. Miscellaneous 
yard track and other facility extensions, including land requirements for 
Northup avenue terminal, Providence, R. I., cost $394,015, completed. 

Norfolk Southern 
Other Important Work Under Construction: Grade and line revision 
at various points along the line, cost $400,000, completed. 

Northeast Oklahoma 
First Track: Near Picher, Okla., 3 miles. 

Norfolk & Western 
First Track: From Lenore, W. Va., to terminus, 18 miles. 
Other Important Work Under Construction: Installation of 2,000,000-gal- 
Ion water supply, reservoir and pumping unit at Roanoke, Va., completed. 
Construction of timber preserving plant at Radford, Va., completed. Ad- 
ditional passing tracks at Bluefield, W. Va., completed. Renewal of 
bridge across Pennsylvania yards at Columbus, Ohio, completed. Improve- 
ment and betterments to coal property for fuel purposes near William- 
son, W. Va., cost $262,000, work now under way. 

Northern Pacific 

Second Track: Helena, Mont,, to Great Northern crossing, 2.9 miles. 

Northern Pacific Terminal of Oregon 

Other Important Work Under Construction: New engine terminal and 
other necessary facilities at Portland, Ore., cost $400,000, 15 per cent 


First Track: Bristow, Okla., to Nuyaka, 24 miles. 

Other Important Work Under Construction: Building from Nuyaka, 
Okla., to Okmulgee, 12 miles; projected, Okmulgee to Shawnee, 50 miles. 

Omaha, Lincoln & Beatrice * 

Other Important Work Under Construction: New lines projected from 
Lincoln, Nebr., to Beatrice, 40 miles, cost $2,000,000, and from Lincoln, 
Nebr., to Omaha, 55 miles, cost $2,500,000, 20 per cent completed. 

Oneida & Western 

First Track: From Stockton, Tenn., to Doss Spur 

Oregon & California 

Other Important Work Under Construction: Construction of single 
track tunnel to eliminate curves and trestle near Willamette river at Elk 
Rock, Oregon, cost $219,000, completed. 

Oregon Short Line 

First Track: From Strachan, Idaho, to Conda, 7.54 miles. 
Other Important Work Under Construction: Installation of tie and timber 
treating plant at Pocatello, Idaho, cost $326,000, 80 per cent completed. 

Oregon-Washington Railroad & Navigation 

Other Important Work Under Construction: Extension of Albina yard 
at Portland, Ore., cost $168,000, 99 per cent completed. Renewal of bridge 
at Chatcolet, Idaho, cost $136,800, 99 per cent completed. Reconstructicn of 
yard tracks and building of new depot yard office and other facilities at 
Reith, Ore., cost $167,000, completed. Building new yard tracks and office 
at Huntington. Ore., cost $113,000. completed. Renewal of main line 
bridges between Gibbon and Cayuse, Ore., oust $110,000, completed. 

Pearl River Valley 
First Track: In Mississippi, between mile posts 14 to 17, 2.4 miles. 

Pennsylvania Railroad 

Other Important Work Under Constructim: Building from Chester, W. 
Va. to Raccoon Creek, Pa. (Central region), 12.66 miles. 

Pere Marquette 

Other Important Work Under Construction: Building Flint Belt railroad 
in Michigan, 8.2 miles. Engine terminal and yard facilities at New Buf- 
falo, Mich., cost $700,000, completed. Engine terminal at Plymouth, Mich., 
cost $400,000, completed. Engine terminal at Saginaw, Mich., cost $980,000, 
completed. Storehouse at Grand Rapids, Mich., cost $125,000, 90 per cent 

Philadelphia & Reading 

Third Track: East of Womelsdorf, Pa. 0.35 mile. 

Other Important Work Under Construction: Concrete arch bridge over 
Schuylkill river at Philadelphia, Pa., cost $1,100,000, completed. New- 
county bridge at Conshohocken, Pa., cost $240,000, completed. Double track 
bridge over Susquehanna river at Harrisburg, Pa., cost $1,703,000, 52 per 
cent completed. Opening Tulip and Emerald streets in Philadelphia, under 
tracks of Richmond Branch, cost $350,000, 97 per cent completed. In- 
stallation of double track bascule bridge at Darby Creek, $222,000, 55 per 
cent completed. Construction of 11 bridges at Harrisburg, Pa., cost $1,107,- 
000, contracts awarded. Grade elimination and new station facilities at 
Swatara, Pa., cost $169,000, work started. Double track through truss 
draw span with 5 deck plate girder approaches at Atlantic City, N. J., cost 
$328,100, contract awarded. 

First Track: Sha 

Pittsburgh & Lake Erie 

Junction, Pa., to Walford, 3.29 


Pittsburgh & West Virginia 

Other Important Work Under Construction: Building 
into coal field from Virginia, W. Va., to Bellfield, Pa. 
$382,000, 50 per cent completed. 

Port Bolivar Iron Ore 

Other Important Work Under Construction: New 
Ero, Tex., to junction with the Missouri, Kan 

lew branch line 
3.2 miles, cost 

w line under survey fr 
& Texas, 8 miles. 

Potato Creek 

Keystone, Pa., to Hamlin, 2.23 miles. 

First Track: In Richn 

Richmond Belt 

nd, Calif., 0.83 mile. 

Building from Blackwood, 

First Track: 

Pacific Electric 

In Long Bea^ch, Calif.. 1.53 m 

Roaring Fork 

Other Important Work Under Construction: 
Va., to Black Creek mines, 0.5 mile. 

St. Louis, Kennett & Southeastern 

First Track: From Kennett, Mo., east, 3.5 miles. 

Other Important Work Under Construction: Building new line from 
Kennett, Mo., to Dearing, 9 miles. 

St. Louis-San Francisco 

Second Track ■ Sleeper, Mo., to Lebanon, 8.7 miles; Olathe, Kans., to 
Spring Hill, 9.65; Amory, Miss., to Aberdeen Junction, 0.8 mile. 

St. Louis Southwestern 

Other Important Work Under Construction: New yard and engine terminal 
at Hodge, Tex., cost $235,000, completed. 

St. Paul Union Station 

First Track: In St. Paul, Minn., 3 miles. 

Other Important Work Under Construction: New union station in St. 
Paul, Minn., cost $15,000,000, 50 per cent completed. 

San Francisco Oakland Terminal 

Second Track: In California, not specified, 1.19 miles. 

Sewell Valley 

First Track: From Rainelle Junction, W. Va., to Rupert, 8 miles. 

Other Important Work Under Construction: Building from Rupert, W. 
Va., to Glencoe, 4 miles. New line under survey from Rupert, W. Va., to 
Duo, 11 miles. 

Sierra Company of California 

Other Important Work Under Construction : Completion of connecting lines 
in the Turlock and Modesto irrigation districts, California, of 7.75 miles 
at one location, and 2 miles on another now operated by this road, and 
ultimately to be taken over. 

Southern Pacific 

Other Important Work Under Construction: Renewal of bridge over 
Willamette river, Albany, Ore., cost $198,000, completed. Construction of 
concrete reinforced warehouse and tracks to serve at San Francisco, Calif., 
cost $1,620,000, completed. Line changed near Tehachapi Pass in the Coast 
Range mountains to eliminate two tunnels between Marcel and Cable, Calif., 
cost $115,000. completed. Enlarging and lining with concrete, 16 tunnels 
under Tehachapi mountains between Bakersfield and Tehachapi, Calif., cost 
$1,000,000, completed. Texas lines: New coach and paint shop at Hous- 
ton. Tex., and extension to transfer table, cost $217,700, completed. Rein- 



Vol. 72, No. 1 

forced concrete storehouse and office building at Houston, Tex., cost $130,000, 
completed. Reconstruction of Pier A and part of Tier B, conveyor gal- 
lery and sheds at Galveston, Tex., cost $150,000, 85 per cent completed. 
Replacing wooden floor and wooden bulkhead on Pier B with concrete 
floor and retaining walls, also replacing water mains in bay at Galveston, 
Tex., cost $150,000, completed. 

Tampa Southern 

First Track: From Ellenton Belt Line in Florida, 15.6 miles. 

Terminal Association of St. Louis 

First Track: At Big Bend Quarry, Mo., 0.59 mile. 

Texas & Pacific 

Other Important Work Under Construction: Renewal of draw span over 
Bayou Plaquemine with double track single leaf lift span, cost $225,000, 
25 per cent con-, 

Texas Midland 
First Track: From Commerce. Tex., to Greenville, 14 miles. 

Texas, Oklahoma & Eastern 
First Track: From Broken Bow, Okla., to Oklahoma — Arkansas state 
line. 15.66 miles. 

Uintah Railway 
Other Important If'ork Under Construction: New line under survey from 
Watson, Utah, to Bonanza and Cowboy, 24.96 miles. 

Union Pacific 

First Track: From Haig, Nebr., to Nebraska — Wyoming state line 
14.06 milts. From Nebraska— Wyoming state line to near Yodcr, Wyo., 
13.57 miles. From Evanston, H'yn. to Wyoming— Utah state line, 3.37 
miles. From Wyoming — Utah state line to Wabsatch, Utah, 1.82 miles. 

Second Track: LeRoy, Wyo., to Wyoming— Utah state line, 29.13 miles. 
From Wyoming — Utah state line to Wabsatch, Utah, 7.69 miles. 

Important Work Under Construction: Building new road from 
near Yodcr, Wyo.. to end of track. 2.75 miles, and from near Yoder, 
I lierry Creek Valley. 13.2 miles. Installing concrete lining and 
extending concrete portals at Herraosa tunnel, Wyo., cost $372,500, com- 
pleted. Additional yard tracks at Council Bluffs, Iowa, cost $324,515, com- 

Union Traction 

First Track: At Muncie, Ind., 0.27 

Virginian Railway 

First Track: From Mabon, W. Va., to Polk Gap, 5 miles. 

Second Track: In West Virginia, 2.72 miles. 

Other Important Work Under Construction: Building new line from Polk 
Gap, W. Va., to Glen Rogers, 9.45 miles. I I alterations to 

engine house at Elmore, W. Va., cost $133,000, completed. 

Washington, Brandywine & Point Lookout 

■ Important il'-rk Under Construction: Building from Mcc hanicsville, 
lid., t.. Bollywood, 12 miles. 

Waterloo, Cedar Falls & Northern 

Building new concrete arch 
1. rider and relocation of track at Waterloo, Iowa, terminals, cost $100,000, 
ent completed. 

Western Maryland 

Other Ving 32 ft. channel to 

new government channi 000, 70 per cent 

tnd improvements to ti 

mpleted. Conveyor hading equipment 
mpleted I 

Wheeling & Lake Erie 

Is. roundhouse 


Wichita Falls. Ranger or Ft. Worth 

Wichita Falls & Southern 

Winchester & Western 

I. ling (mm Wstdrns 


Railroad Construction in Canada in 1921 

Alberta & Great Waterways 
Firjf Track: In Alberta, from mile post 272.1 to 282.8, 10.7 miles. 
Other Important Work Under Construction: Reconditioning of track, 
right-of-way and drainage; new water supplies, etc., $2,000,000, 90 per cent 

British Columbia Electric 

FiVjr Track: In Vancouver, B. C. 0.55 

Canadian National Railways 

First Track: In Manitoba, Amaranth north. 17.7 miles. In Saskatche- 
wan. Thundcrhill extension, 13.9 miles; Milfort northeast, 23.7 miles; Luck 
Like, 15.02 miles; Jackfish Lake, 15.06 miles. In Alberta, Onoway branch, 
11.9 miles and in British Columbia, Vancouver Island, 3.1 miles. 

Second Track: In Alberta, between Munson and Wayne, 6.57 miles. 

Other Important Work Under Construction: Canadian Northern: New 
terminal facilities and buildings at Nutana. Saskatchewan, $411,050, com- 
pleted; steel bridge at Saskatoon. Saskatchewan, six 157-ft spans, cost 
$340,000, completed; steel bridge acr. <*. Red l>cer river, in Alberta on 
Medicine Hat branch, cost $326,000. sub-structure, completed; steel bridge 
across Assiniboine river at Pleasant Point, Manitoba, cost $160,000, 15 
per cent completed. Grand Trunk Pacific; new reservoir, dam and pip-- 
line at Melville. Saskatchewan, cost $320,000, completed; salmon wharf 
and warehouse at Prince Rupert, B. C, cost $750,000, wharf completed, 
warehouse 15 per cent completed. 

Canadian Pacific 

First Track- Langdon. Alberta, north (Acme- Empress), 17.3 miles; Wey- 
burn. Alberta (Altawan West), 17 miles. 

Other Important Work Under Construction: Building from Russell. Mani- 
toba, northerly. 5.5 miles; Lanigan. Saskatchewan, northeasterly, 0.5 miles; 
Bassano, easterly, 56 miles, of which 35 miles are graded; Rosetown, south- 
easterly, 45 miles, of which 41 miles are graded; Archive- Wcymark, 25 
miles, of which 21 miles are graded; Moose Jaw, southwest (Consul East), 
60 miles, of which 31 miles are graded; Leader, southeasterly, 29.5 miles. 

I- tut I rack : It 

Central Canada 

Alberta, 23 miles. 

First Tr, 

Dominion Atlantic 

Near Weymouth Mills. Nova Scoti; 

2.5 miles. 

Esquimalt & Nanaimo 

First Track: In Province of British Columbia. 4 miles. 

Other Important Work Under Construction: New line under survey from 
Courtenay to Campbell river, 30 miles; renewal of railway and highway 
bridge at Victoria, B. C, a joint bridge with the city of Victoria, cost 
$750,000, foundations about completed. 

Grand Trunk — Lines East 

Other Important Work Under Construction: Renewal and widening of 
overhead bridge at Main Street, Toronto, cost $120,000, 80 per cent com- 

Kettle Valley 

First Track: South Penticton, B. C, to Dog Lake, 2.4 miles. 

Other Important Work Under Construction: Building from Dog Lake 
to government experimental farm, 16.7 miles. 

Pacific Great Eastern 

First Track: In British Columbia, from Australian creek to Cottonwood 

miles. From Ft. George t.> Red Rock creek. 18 miles. 

I Important Work Under Construction: Building new road from 

Red Rock creek to Cottonwood river. 40 miles. Also projected new lines 

rge to Provincial boundary, Peach river district. 426 miles. 

■ is road is now under operation from SQuamiah to Oursnel. 

348 miles, with steel laid to mile post 304. and line graded to mile post 

dsc been laid for 18 miles south of Ft. George, cost of all 

work, $40,000,000, 90 per cent completed. 

Quebec Central 
First Track: From Scotl Junction, m Province 
Junction, 19.3d miles. 

i- Ine, N t . to v ■ sail, I S mires. 

Temiskaming & Northern Ontario 

SuilduUJ ntu lint 
■ miles. 

Railroad Construction in Mexico in 1921 

! I - 

miles; in l'ie 
I onus, .tl *7 miles an.l ft m 

i>i*.-r Important H Building new lint 

liles; an.l from Sam. 

• ■ 
n at Duranfo, 

between Saltillo and CamerOt, m the line 

I rlwrr. " * . .1.1 gl 

pal .rut . .mulcted. 

Concerning the Contributors in This Number 

Co-operation Required From Many Sources to Cover 
Railway Activities Throughout the World 

This number of the Railway Age contains several times 
the amount of material which would be included in 
the average size technical book. Besides discussing 
the important developments of an important year on our own 
railways, the Annual Review Number, this year, for the first 
time covers practically all of the important countries through- 
out the world. Articles in a number of this nature require 
the most extended and painstaking preparation and study. 

This year for the first time, also, practically all of the 
articles are signed. Most of the articles were prepared by 
the members of the Railway Age editorial staff. In not a 
few cases, however, especially as concerns the foreign rail- 
ways, it was necessary to go outside of the staff. A few 
words may not be out of place, therefore, as to why the 
respective special contributors were selected as being best 
fitted to discuss the subjects which were assigned to them. 

Railway Executives 

It would be superfluous to say anything about the four 
chief executives who have contributed to the opening article 
entitled, "Railway Executives Review Prospects for 1922" 
(page S), Thomas DeWitt Cuyler, chairman of the Asso- 
ciation of Railway Executives; Julius Kruttschnitt, chair- 
man of the Southern Pacific Company; C. H. Markham, 
president of the Illinois Central, and A. H. Smith, presi- 
dent of the New York Central, need no introduction to our 
readers in this country or abroad. 

Roberts Walker, in his article on "The Regulation of 
Security Issues Under Section 20-a" (page 21), has taken 
what might otherwise be a somewhat heavy subject and has 
treated it in an unusually interesting manner. Mr. Walker 
is familiar with the subject because of his relations in a legal 
capacity with the trust company field. He is also vice- 
president and a director of the Chicago & Alton. For the 
purposes of the present study he engaged in a careful in- 
vestigation of the dockets and procedure in many of the 
important or typical decisions which have been rendered by 
the Interstate Commerce Commission in this important new 

Railway Economists 
Dr. Julius H. Parmelee has been a regular contributor 
to the Annual Review Numbers of the Railway Age for sev- 
eral years. Last year his article was entitled "Railway 
Revenues and Expenses in the Year 1920." This year it is 
headed "An Analysis of the Railway Statistics for 1921" 
(page 119). The change in title is significant, for one of the 
many interesting points brought out in the present article is 
that relating to the increased and improved railway statisti- 
cal data which have become available in recent years. Dr. 
Parmelee, as the director of the Bureau of Railway 
Economics, is doubtless as close a student of railway eco- 
nomics as any man in the country. For three years after his 
graduation from Yale he was an instructor in economics at 

Yale, and since that time he has been engaged in work 
closely related to that subject. 

J. L. Payne, who writes under the head "The Canadian 
Railways Are in a Bad Way" (page 70), may be presumed 
to know whereof he speaks. Mr. Payne has his office at 
Ottawa, Canada, and was formerly comptroller of statistics, 
Department of Railways and Canals for the Dominion of 
Canada. He has been a keen student of railway affairs in 
Canada. For several years he has furnished special articles 
for our Annual Review Number and on other occasions he 
has discussed in the columns of the paper the performance 
of the Canadian railways and the tendencies in the Canadian 
railway situation. Mr. Payne has a happy way of develop- 
ing the salient features and presenting them in a most read- 
able manner. 

Opinions About Mexico 

Our plans for an article on Mexico were slightly upset 
at almost the last minute, but with the aid of Messrs. Tit- 
comb, Pyeatt and Fay we were able to make up the deficiency 
— in a commendable manner, we should say, if we thought 
our readers would pardon such a departure from editorial 
modesty. The article entitled "Mexico Makes Progress To- 
ward Rehabilitation" (page 73), discusses less the actual 
conditions within Mexico than the restored relationships be- 
tween the Mexican and United States lines. This very 
important angle of the situation is "covered" with the assist- 
ance of the three railway executives above named who are 
closely in touch with the Mexican roads. 

H. B. Titcomb recently succeeded the late Epes Randolph 
as president of the Southern Pacific of Mexico and the 
Arizona Eastern. He is naturally much interested in the 
Mexican situation and has made a study of it as a part of 
his new work. 

J. S. Pyeatt has been at the head of the Gulf Coast lines 
for many years. During the period of federal control, he 
was federal manager of the St. Louis-San Francisco and also 
various lines in Texas. 

Thornwell Fay, executive officer for the receiver of the 
International & Great Northern may, like Mr. Pyeatt, be 
expected to be informed concerning our Mexican railway 
relationships, because his line, like the Gulf Coast Lines, 
interchanges freight with the National Railways of Mexico 
and operates a through passenger service in connection with 
the Mexican system. 

Our European Writers 
M. Peschaud, who points out the "High Lights on the 
French Railway Situation" (page 81), is secretary of the 
Paris-Orleans Railway. He has had a broad experience in 
railway affairs and has written a number of articles for 
French, English and American papers on the French rail- 
ways. He has also written a book on the French railways 
during the war which has been very well received. 




Vol. 72, No. 1 

The article on Italy, "A Review of the Italian Railway 
Situation" (page 85), is written by A. Giordano, the Rail- 
way Age's special news correspondent at Rome, Italy. He 
follows railway and industrial conditions closely. 

Julian Grande, who discusses "The Swiss Railways in 
t In- Year 1°21" (page 88), is a railway news specialist with 
headquarters at Geneva, Switzerland. He is a correspondent 
for several very important newspapers and publications, 
anion!; them the Railway Age. 

Dr. J. M. Goldstein, who says that the "Soviets Demor- 
alize Already Inadequate Systems" (page 91), was formerly 
professor of b onomics at the Institute of Industry and Trade 
at the University of Moscow. Before the war he served as 
an economic adviser to various branches of his government 
He was a member of Kerensky's railway mission to the 
I'nited State-. Since the triumph of the Bolsheviki he has 
devoted himself continuously to a study of American rail- 
ways. In the Railway Age of November 5 was published 
an article by him showing the important part played by the 
railways in increasing the population and wealth of the 
United States. 

G. Reder, whose article is entitled "German Railways 
Operating Under Great Difficulties'' (page 03), is asso- 
ciated with the Yercin Deutscher Ingenieure, the principal 
engineering society of Germany, with headquarters at Ber- 
lin. His work keeps him in close touch with the railway 
and engineering conditions in Germany. 

American Ideas About Japan's Railways 
B. B. Milner, who makes "Some observations on the 
Japanese Railways" (pacre I'll), received his early training 
on the Pennsylvania Railroad. He later went with the New 
York Central, finally becoming chief mechanical engineer of 
that system. <>n the Pennsylvania Railroad, in particular, 
he received an experience covering not only mechanical but 
engine lerating matters; he also gave considerable 

attention to questions of o|x-ration while he was with the 
York Central. A little more than a year ago he went 
Tokyo. Japan, to become associated with the Frazar im- 

fx)rting and exporting interests. Recently he returned to this 
country for a few months, but expects shortly to again return 
to Japan. Mr. Milner is a keen observer. He is not satis- 
fied with noting practices and performances which differ 
from our own but insists upon determining the reasons for 
the difference, and in a country like Japan this feature of 
an observer's attitude is of no slight importance. 

Writers on Australia and South Africa 
F. M. Whyte, who writes the article on "Unifying the 
Railway Gages of Australia" (page 107), was for many 
years connected with the New York Central as chief me- 
chanical engineer and later with the Hutchins Car Roofing 
Company as vice-president. He went to Australia about a 
year ago to act as a member of the Uniform Gage Commis- 
sion, the function of which was to study conditions on the 
Australian railroads and to make recommendations for a 
plan looking to the standardization of gages. This is a very- 
important problem in Australia and a solution of it is de- 
sired that traffic might be interchanged more efficiently and 
economically across the boundary lines of the several states 
of Australia. The findings of the Commission were approved 
,uhI work will undoubtedly be started shortly to make them 
effective. Mr. YVhyte has only recently returned to this 

M. T. Griffin, who covers the subject "South African 
Railways Progress Despite Deficits" (page 111), is one of 
the staff of the National Bank of South Africa. His head- 
quarters are in New York. His time is devoted to the study 
of economic conditions in this country and in South Africa, 
in connection with which he has paid particular attention 
lo railway problems. 

Many Furnished Statistical Material 
The RaHnoay Age must also take this opportunity to thank 
hundreds of others of its friends in the railway and railway 
supply fields who have assisted it in furnishing material in 
order to make its statistics for the year complete. It is only 
through such co-operation that an issue of this kind is made 

The Railway Station at Lourenfo Marques, Portuguese East Africa 

^iJ^iJiinii:iHiiitiruMj:iijmiiiJMMi;nni!;ru]ME MMtiEiiiPiiMiiMMnnniiiii iiiiiiiiiiiiiim 

General News Department 


The Savannah (Ga.) Local Committee of the Signal Sec- 
tion of the American Railway Association will hold its next 
meeting on January 19, 1922, at which it is expected that the 
principal speaker will be H. S. Balliet (N. Y. C), New York 
City, secretary of the Signal Section. 

L. A. Downs, vice-president and general manager of the 
Central of Georgia, and chairman of Division IV of the 
American Railway Association, has been appointed a dele- 
gate of that association to attend the Congress of the Inter- 
national Railway Association at Rome, Italy, in April next. 

A preliminary compilation of the reports of 193 Class I 
railroads to the Interstate Commerce Commission of revenues 
and expenses for the month of November shows a net railway 
operating income for these roads of $65,741,000, as compared with 
$50,502,000 for November, 1920. The operating revenues were 
$462,000,000, as compared with $589,000,000, while the operating 
expenses were $366,000,000, as compared with $511,000,000. 

A rear collision of southbound local passenger trains on 
the Ninth Avenue Elevated line of the Interborough Rapid 
Transit Company, New York City, near Fortieth street, Man- 
hattan, on the evening of December 30, resulted in the fatal 
injury of one passenger and less serious injury to 35 passen- 
gers and two employees. The leading train was at a stand- 
still; and two cars of the following train were badly crushed. 

Labor Board Files Motion to Dismiss 

Pennsylvania Injunction 

Hearings in the jurisdictional dispute between the Pennsyl- 
vania and the Railroad Labor Board, scheduled for January 3 
in the United States District Court at Chicago, were again 
postponed by mutual agreement until January 18. The 
progress of this dispute was described in the Railway Age 
of December 17, page 1216, and December 24, page 1267. 
On January 3, John V. Clinnin, assistant United States dis- 
trict attorney, acting as counsel for the Board, filed a motion 
to dismiss the case, and the arguments on this plea will be 
heard on January 18. 

I. C. C. Authorizes Common Officers 

and Directors Temporarily 

Because it has not been able to act by the last day of the 
year on all the applications filed with it under paragraph 12 of 
section 20-a of the interstate commerce act, by officers and direc- 
tors of more than one railroad for authority to retain their 
positions, the Interstate Commerce Commission on December 31 
issued a blanket order applying to the applications filed, but on 
which no order had been issued by the commission, authorizing 
the persons involved to hold their positions as described in the 
applications until the further order of the commission, on the 
ground that it appears that neither public nor private interests 
will be adversely affected thereby. The law provides that no 
person shall hold positions as officer or director of more than 
one railroad after December 31, 1921, except upon the authori- 
zation by the commission. The commission has already issued 
orders in a large number of cases, in most of which it has given 
the authority asked for, but a very large number of applications 
were received during the last days of the year. The orders 
heretofore issued have specifically authorized common officers 
and directors among subsidiary and affiliated companies, but in 
a few cases of directors of a number of competing roads, the 
commission has required them to elect which directorships they 
will retain. The commission also made public on December 31 
an order authorizing common officers and directors among the 
subsidiary and affiliated companies of the Chicago, Burling- 
ton & Quincy system. 

The Robinson Connector 

Our attention has been called to an error in the article 
entitled "The Development of the Robinson Connector" 
which was published in the Railway Age of December 24, 
1921, page 1259. This article referred to the pin and funnel 
type as the first design of the Robinson connector. In 

The First Design of the Robinson Connector, Type A 

reality the first design was the type A with wing type gather- 
ing arrangement, as illustrated. This was applied on the lines 
of the Washington Terminal Company and was also tested 
by the Interstate Commerce Commission on the Great 
Northern, the trial of the pin and funnel design being inci- 
dental thereto. The conclusions in the report of the com- 
mission referred to the type A and not to the pin and funnel 
type as the article indicated. 

Meetings and Conventions 

The following list gives names of secretaries, dates of next or regular 
meettings and places of meetings: 

Air Brake Association. — F. M. Nellis, 165 Broadway, New York City. 
Next meeting, May 9-12, 1922, Hotel Washington, Washington, D. C. 
Exhibit by Air Brake Appliance Association. 

Air Brake Appliance Association. — Fred W. Venton, 836 So. Michigan 
Ave., Chicago. Meeting with Air Brake Association. 

American Association of Demurrage Officers. — F. A, Pontious, Super- 
visor of Demurrage and Storage, C. & N. W. Ry., Chicago. 

American Association of Dining Car Superintendents. — L. A, Stone, 
C. & E. I. Ry., Chicago. 

American Association of Engineers. — C. E. Drayer, 63 E. Adams St., 

American Association of General Baggage Agents. — E. L. Duncan, 332 
So. Michigan Ave., Chicago. Next meeting, June 28 and 29, Minne- 
apolis, Minn. 

American Association of Passenger Traffic Officers. — W. C. Hope, 
C. R. R. of N. J., 143 Liberty St., New York. 

American Association of Railroad Superintendents. — J. Rothschild, Room 
400, Union Station, St. Louis, Mo. Next convention, August 23-2S, 
1922, Kansas City, Mo. 




Vol. 72, No. 1 

American Electric Railway Association. — 1. W. Welsh 8 W 40th St 

New York. '' 

American Railroad Master Tinners' Coppersmith*' and Pipe i 

Association.— C. Borchcrdt, 202 North Hamlin Ave. Chicago, 111. 
American Railway Association.— J. E. Fairbanks. Gcreral Secretary, 75 
Church St., New York, N. V. Annual meeting, November 

Division I— Operating. 

Freight Station Section (including former activities of American 
Association of Freight Agents). R. £>. Wells, Freight Agent, Illinois 
Central Railrcad, Chicago. III. 

Medical and Surgical Section. J. C. Caviston, 75 Church St., New 

Protective Section (including former activities of the American 
Railway Chief Special Agents and Chiefs of Police Association). 
Caviston, /a Church St.. New York. N. Y 

Telegraph and Telephone Section (including former activitii 
Association of Railway Telegraph Superintendents). W. A. Fair- 
banks, / j Church St., New York, N. V. Nexl meeting, Ma 
Kichmond, V a. Annual meeting, September 20-22, 1922, Colorado 
Springs, Colo. 

Safety Section. J. C. Caviston, "5 Church St., N"ew York. 

Division II— Transportation (including former activities of the 
Association of Transportation and Car Accounting Officers) G W 
Covert, 431 South Dearborn St., Chicago III 

Division III— Traffic. J. Gottschalk