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Arizona republican. [volume] (Phoenix, Ariz.) 1890-1930, February 08, 1918, Image 1

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ONA REPUBLICAN
AN INDEPENDENT PROGRESSIVE JOURNAL
TWENTY-EIGHTH YEAR
14 PAGES
PHOENIX, AEIZONA, FRIDAY MORNING, FEBRUARY 8, 1918
11 PAGES
VOL. XXVIIL, NO. 262
THE
ARIZ
Sad Outcome
DEAD BODIESXccS,
OF AMERICAN
SUB VICTIMS
WASH ASHORE
All But 113 Accounted for
When Official Tally Was
Made Cunard Ship Is Hit
"While ConiiiiLr to America
Republican A. P. Leased Wire
AN IRISH PORT, Feb. 7 A mass of
nwirling wreckage on the calm neck of
the sea along the Irish coast marks
the grave "f the Tuscania, the first
American troop transport sunk by a
German submarine. A few bodies of
the one hundred men who perished
have been washed ashore, and some of
the injured now in hospitals are ex
pected to succumb. The survivors,
numbering 2.296, are quartered in
liotels, homes and hospitals along the
north Irish coast.
Two groups left today clad in mis
fit clothing for Belfast by rail, and
thence by boat to England. The sur
vivors are agreed that no one saw the
wake of foam as the torpedo came
toward the vessel.
it was a. Mack night and no alarm
came from anyone of the fifteen look
outs. The torpedo .struck the Tus
cania a vital blow amidships, in Una
boiler room, and there was a muffled
crash, which told everyone what had
happened.
Tljii possibility of being torpedoed
was discussed almost daily since the
sscl left the American shores. Sev
eral hundred young lumberjacks from
the southwest and Pacific coast states
were eating their evening meal at the
lime the disaster occurred. Hundreds
pf other American troops were wait
ing for theirs when the general alarm
sounded.
False alarms had been sounded for
beat drill every day of the trip, but
Hll knew that this one was genuine.
Officers shouted instructions to the
men. .Many of them were husky youths
and, despite their brief military train
ing, they displayed wonderful coolness
its they marched to their boat stations.
There was no running about, nothing
resembling a panic. Jn a few isolate,
cases there were signs of nervousness
on the part of some of the youngsters
s. the ship took a heavy tilt to star
lioard, and they slid to the railing, to
which they clog (or dear life. But
that was all. Veteran British officer
in the crew, who had been torpedoed
several times, marveled at their cool
ness. DOUBT WHETHER
SUBMARINE EMERGED
Sur1 ivors do not agree as 1o whether
the submarine emerged after torpe
doing the steamer. Several of the
hip's officers said they saw the peri
scope and conning tower once.
A tiny trawler, which remained with
the Tuscania to the last, saw a small
fire break out amidships as the vessel's
back appeared to break in two. With
a hissing sound she disappeared be
neath the wate:
-Most of the crew who lost their
lives were killed in the explosion in
the boiler room. Cine of the survivors
cf the engine room force said the sec
ond engineer checked the speed of the
fsscl after the impact by throwing
the engine levers over to "full."
This proliably saved many lives, as
otherwise the vessel would have plowed
on, smashing the lifeboat davits, as
happened in the case of the Lusitania.
One of the remarkable escapes was
that of a fireman, who had walkod to
the upper deck to get a drink of water.
lie never saw his fellow firemen again.
The first trawler load of
arrived in port four hours
disaster and the last eight hours after
ward, line trawler rescued the record
number of ,140, and all were Americans.
The feat earns the warm praise of the
British commodore here. Many offi
cers and privates were rescued while
swimming about in search of wreckage
on which to float. A few of these could
not swim, but they had on their life
belts, which they had kept close at
hand throughout the voyage.
Republican A. P. Leased WlreJ
AMSTERDAM, Feb. 7 The Ger
mania of Berlin states that Pope
Benedict has sent a letter to the
Bavarian Episcopate in which after
referring to his peace note, he
says:
"To the deep anxiety and unrest
with which my heart is filled by
the long duration of this most la
mentable war is also added the ex
perience that my exhortation to re
establish peace, which certainly
was the result of a sincere en-
LYNCHING OF
MEXICANS IS
INVESTIGATED
Government Orders Probe of
Wanton Slaying Alleged
Jo Be Work of Organized
Posse of Texas Citizens
RAIL COST B
Government Must Pay
Huge Sums Jfof'JR.gads
ILLION
is
Favorable Report on Administration Bill Holds That
Railroads Will Think Offer Fair
t" " ' 1
Pope Benedict XV
deavor in the interest and welfare
of all, has taken a course which I
least expected; and that this ex
hortation was even utilized by
wicked persons to incite popular
hatred against me while I intended
to give proof of my love."
His Holiness, according to the
newspaper adds that he will bear
ignominy for Christ's sake but de
plores the loss of so many souls,
and concludes by saying that he
will continue to promote higher
morality and will uphold church
discipline.
0
Republican A. P. Leased Wire
EL PASO, Feb. 7 An investiga
tion of the killing of 15 Mexican citi
zens at Porvenir, Tex., 40 miles north
west of Presidio, January 13, has been
ordered by the state department at
Washington and is now being made by
the military stationed in the Big Bend
district of Texas where the killings oc
curred. This was asked for by Mexican
Ambassador Ygnacio Bonillas.
According to a report made to Am
bassador Bonllias by Consul Cosme
Bengoeachea. of Presidio, the fifteen
men were taken from their homes by
an armed posse and shot to death. The
reason given was a suspicion that they
had participated in the Brite ranch
raid Christmas day.
Details of the wholesale killing were
sent today to Washington and only re
ceived by the Mexican general consul
ate here today. Every effort apparent
ly was made in the Big Bend district to
suppress the story. which was un
known to officials here until today.
The names of the men claimed to
have been taken out and shot were:
Antonio Castenada, Longino Flores,
Pedro Morelcs, Bibiano Moreles, Man
uel Moreles, Antimio Gonzales, Am
brosio Hernadez, Alberto Garcia, Ti-
burcio .laquez, Roman Nives, Serapio
Jimenez, enro Jiminez, juan .juiunez.
Maximiano Huerta and Pedro Amaro.
o
SHI IS
THOUGHT SUNK
iFTEH PURSUIT
British Destroyer Believed
To Have Sent German Sea
Craft Down Following the
Sinking of Transport Ship
1UD
NEW WET
MEASURE
Repub lean A. P. Leased Wire
AX.N'APOLIS, Md., Feb. 7. The
Maryland legislature has virtually rat
ified the federal prohibition constitu
tional amendment. By a vote of 58 to
42 the house joined the senate this
evening in approving the report of the
temperance committee in favor of the
ratification. The ratification resolu
tion is advanced to a third reading in
the house by tonght's vote and ts pass
age is assured.
EXPECT DECISION
N PICKER Wfi
iLE
Republican A. P. Leased Wire
AN IRISH PORT, Feb. 7. The
bocoes of 44 of the missing 101 victims
of the Tuscania disaster were washed
up today on the rocks 15 miles from the
scene of the torpedoing. All were
Americans and their bodies -were muti
lated beyond recognition. A pathetic
feature is that, although all the vic
tims wore tags, no identification num
bers had been put on them because
these Americans had not as yet been
assigned to definite army units. There
fore there is no way to identify them
snd they will be burled in one grave.
HOPE HELD THAT
MORE WERE SAVED
WASHINGTON', Feb. 7. Latest of
ficial advices to the war department!
tonight accounted for all except 113
of the 2.156 American soldiers who
vvrre on board the British liner Tus
cania when a submarine sent her down
Tuesday night off the Irish coast.
This figure was not final and high
hopes that the loss of life would prove
much smaller were built upon cabled
reports saying just 101 men, most of
them members of the crew, were miss
ing among the entire force of soldiers,
sailors and passengers. No attempt
was made tonight to prepare a list of
the lost or missing. Only a few names
of survivors had been received and the
indications were that it would be im
possible to announce them all before
tomorrow at the earliest. The res
cued were landed at widely separated
Irish and Scotch ports and, while all
reports tell of elaborate arrangements
for their care and comfort, urgent in
structions to representatives of the war.
ftate and navy departments that full
details of the disaster and a complete
record of the saved be sent at the
earliest possible moment tonight had
brought but meager responses.
HALF OF THOSE
LOST WERE AMERICANS
According to the war department'!
official report tonight the total missing
from the 2,397 persons aboard the liner
was 210. The latest dispatch gave
this recapitulation:
Survivors, United States troops,
5,043; crew and passengers, 141; total,
2.1 84.
On board, United States troops.
t.U; crw and passengers, 241; total,
.So?.
Missing, t'nited States troops, 113
Republican A. P. Leased Wire
WASHINGTON, Feb. 7. Much sat
isfaction is found by officials here ii
the unofficial accounts of the destruc
tion of the British liner Tuscania by a
German submarine which showed that
a destroyer, presumably British, gave!
chase to the raider and possibly sank
her with a depth bomb. N
No details of the attack had come to
night from official sources. They are
awaited eagerly. Sorrow over the first
survivors! loss of a transport laden with Ameri-
fter the i can troops is tempered by the growing
total of survivors, and the dominant
emotion among army and navy men
now Ls the desire to strike buck.
Navy officials see no reason to
change their opinion that the subma
rine menace is being overcome. The
Tuscania incident is regarded as an
isolated case, which may serve to de
velop additional methods for repelling
the undersea craft and improving the
convoy system. No details of the ac
tion will be passed over when full re
ports from the British admiralty are
available.
Many devices enter into the battle
against the U-boats, some of which
have been evolved by American invent
ors. Others have been greatly improved
since the United States entered the
war and the detection apparatus now
installed on Amernean craft is. so suc
cessful that British craft are being
similarly equipped.
There have been indications that the
U-boats have learned to fear this abil-,
ity of American craft to locate them af
a distance and maneuver to bring the
submerged vessel within range of a
depth bomb. With a destroyer in the
vicinity the underwater craft moves
carefully, far below the surface of the
water, depending on mechanical ears
which brings to her the propellor beats
of the surface vessel. When a destroyer
stops to "listen," unhampered by the
beat of her own engine, the lurking foe
also stops, to lie silent below until the
destroyer moves on again.
Such details as have come from Eu
rope indicate that the Tuscania was
torpedoed by a single submarine which
slipped under the advance screen or
destroyers leading the convoy fleet.
There is no evidence of an attack in
force and the U-boat probably got into'
the path of the liner largely by chance.
Sometimes as many as forty vessels
make up a convoyed fleet.
DESTINATION OF SHIP
IS KEPT A SECRET
War department officials would say
nothing today as to the destination of
the Tuscania. It was admitted that
American troops had been sent forward
by British trans-Atlantic liners on sev
eral occasions. There are reports that
the grea,t White Star liner Olympia,
largest of the British merchant fleet
and second only to the now American
Leviathan, formerly the German Vater
land. has been employed in that work.
There is no indication in the loss of
the Tuscania that a concentration of
submarines against American troop
ship lines has been made. On the con
trary, the efforts of the German high
command still appear to be . directed
primarily against the cargft craft bound
for British ports.
As the roll of missing from the Tus
cania dwindled today, expressions of
amazement were heard frequently that
a crowded transport could be torpedoed
with such comparatively small loss of
life. The nearness of rescue craft, the
fact that the vessel was afloat for two
hours after a torpedo had exploded in
Republican A. P. Leased Wire -
CHICAGO, Feb. 7 Judge K. M. Lan
dis, in the United States district court,
is expected to give his decision tomor
row in the contest over the validity of
the search warrant issued to permit
the agents of the federal trade commis
sion to seize documentary evidence in
the vault of Henry Veeder, general
counsel for Swift and company which
government attorneys say were used
in the commission of alleged felonies
by the large meat packers.
Today's session of court was taken
up with argument of counsel.
G0L01MEL ROOSEVELT
RESTS EOT AFTER
OPERATION 01 EARS
Republican A. P. Leased Wire
WASHINGTON, Feb. 7. Chair
man Smith of the senate interstate
commerce committee, in reporting
favorably to the senate today the
administration railroad bill, esti
mated that under the measure's
provisions the government will
guarantee annually to the railroads
of the country $945,000,000, which
will represent a return of 5.32 per
cent. This, he says, "reflects
neither poverty nor riches" but the
committee believes a majority of
the railroads will express these
terms as a just and fair measure
of their constitutional rights.
An agreement on the bill was reached
by the committee last Saturday but
minority reports are to'be submitted by
Senators Cummins and La Follette. Ad
ministration leaders plan to call the
bill up for consideration next Monday.
"Your committee is of the opinion
that this is the time for war emergency
legislation and not the time to settle
the many controversial and vexed ques
tions concerning our future transporta
tion policy," Chairman Smith says in
prefacing his report. He then takes
up the compensation section and adds:
"About 75 great operating railroads
do over 90 per cent of the railroad
business. The committee believes that
most of the great railroad carriers will
accept these terms as a just and fair
measure of their constitutional rights.
Section one further provides that or
dinary taxes, national and state, shall,
as now, be paid out of operating rev.
enue; but war taxes accruing under the
act of October 3, 1917, are to be paid
by the companies out of their own
funds, or charged against the stan
dard return. In other words the iol
ders of railroad securities ar eto bear
their own Just portion of the war bur
den. Section one also requires that
each agreement shall contain adequate
and appropriate provisions for the
maintenance and depreciation of the
property and the creation of reserves
so that the properties may at the end
of federal control be returned to the
owners in ' a condition substantially
equivalent to their condition when
taken over by the government.
"There has, of course, been much
discussion as to the fairness and jus
tice of the proposed amount of the
standard return. It is plainly in the
public interest and indeed a war need
The rights of owners must be tested by
present conditions not by some theory
or capitalization never made operative
under federal or state law or generally
followed oy the courts.
cnairman smitn pxptameo that in
ease of controversy over compensation
the bill permits an appeal to the court
of claims. The committee reconr
mends, the report says, that improve
ments made by the government while
the carriers are under government
control should go to the railroads when
they are returned to the security hold
ers. This should be arranged through
an agreement between the carriers and
the president.
GOVERNMENT MAY
CONTINUE AFTER WAR
Discussing the provision inserted by
tne committee providing for the ter
mination of government control 1
months after the peace proclamation
lias been issued, the. report savs:
"It is possible that certain condition
may arise from Federal control which
will need adjustment betore tne prop
erties are returned to their owners, and
a reasonable period to intervene to
ven and Hartford, the Fere Marquette,
I the Frisco, the Cincinnati, Hamilton
and Dayton and others.
"Perhaps $300,000,000 a year could be
saved to the people of the country by
doing away with the multiplication of
officials and the cutting down of over-
large salaries, if the roads were consol
idated and operated as one transporta
tion system."
The senator asserts that the plan
proposed by the committee for the
president to initiate rates is illog
ical and unworkable.
'It is a little too much to expect of
human nature that officials who owe
their official existence to the president
ill be able, however much thev ma,v
try to exercise any real independent
judgment or action, to set aside the
president's, orders in the matter of
rates."
BILL IS HEARD
'artisan Move Declared to
Be Directed at Plan to
Give AVilson Full Sway
In AVar time Measures
(Cantinyed aa tv
Republican A. P. Leased Wire
NEW YORK, Feb. 7. Colonel Theo
dore Roosevelt was resting easy to
night in Roosevelt hospital, where he
was operated on yesterday for fistula
and abscesses in both of his ears.
The physicians in attendance iipon
the former president, in a bulletin is
sued at 9 o'clock tonight, said they
were "very hopeful aiout his progress,
but were unable to say positively until
tomorrow whether further operations
will be necessary."
1 he bulletin follows:
"Dr. Martin and Dr. Beul consulted
over Colonel Roosevelt at S o'clock.
They found that the active symptoms
from the acute inflamation of his in
ternal ear were subs.ding without any
untoward developments. They feel
very hopeful about his progress, but
are unable to say positively until to
morrow whether further operations
will be necessary."
A sudden development of inflamation
in tne inner left ear was responsible
for the hurried calling of a consulta
tion of specialists during the dav. This
resulted in the issuing of a statement
which, in effect, characterized the
colonel's condition as "serious but not
critical.
After having undergone a minor
operation for fistula at his home ii
oyster Bay about a week ago. Colonel
Kooseveit came to New York that he
might be in closer touch with his
pnysician. Hicsday night at his hotel
he was seized with secondary hem
orrhage and Wednesday, on the advice
of Dr. Walton Marti!., underwent an
other operation for fistula. Shortly
afterward a specialist also removed an
ahscess from each of his ears. Alto
gether the operations lasted a few min
utes less than two hours and Wednes
day night was passed by the former
president in comparative ease.
Today, however, the attending physi
cians discovered the development of
Inflamation of the inner ear but said
that for the present nothing would be
done except the maintenance of a
careful observation of the patient.
In a suite near the colonel's room
are Mrs. Roosevelt, Mrs. Nicholas
Longworth and Mr. Richard Derby.
All the members of the colonel's family
are optimistic as to his ultimate re
covery. '
During the day there were scores of
callers at Roosevelt hospital among
them George W. Perkins, Oscar S.
Straus and John Purroy Mitchel,
former mayor of New York. None of
them was permitted to see the colonel.
Mrs. Longworth doing the talking for
the family. In addition scores of tele
grams and notes of inquiry from
friends throughout the country were
received at the hospital during the day.
Flowers and baskets of fruit also were
tioUvarad tiwt tor Casual UaatavaU.
Republican A. P. Leased Wire
WASHINGTON. Feb. 7. Sudden
thawing weather today brought pros
pects of unexpected relief to railroads
of the blizzard stricken east. They
could not recover instantly from the
prolonged bitter cold, however, and
coal transportation still was far below
normal.
Reports to the railroad and fuel
administrations said many mines were
not supplied with empty cars, and that
traffic was tied up so badly in princi
pal rail centers that it would take a
week to restore even the same degree
of order that prevailed last week.
Labor was more plentiful today,
however, and loading and unloading
operations went on faster in most of
the country.
Reports from A. H. Smith, regional
director of railroads in the east, said
yesterdays freight movement was about
40 per cent below normal, and this ap
plied to coal as well as to general
freight. State fuel administrators re
ported that reserve stocks of coal had
disappeared in many cases, and that
industries were prepared to shut down
I unless shipments were freer tomorrow.
RUSSIAN LAND
DISTRIBUTION
ADDS GRAVITY
TO SITUATION
Another Problem Enters the
Internal Strife Tearing
Asunder Slav State Way
Out Is Not Yet Devised
OPPOSITION TO EARNINGS FOR
1917 ARE BIG
Big Sum Realized bv Roads
During Year Just Past;
Government Otter "Will
Be Slightly Above This
which these conditions may be met an
adjusted.. It may be that the natio
will be unwilling to return to the con
anions obtaining before the assumo
tion of federal control. Legislation
may be demanded radically changing
the relation of the government to the
railroads from that now existing in the
interstate commerce act as amended.
Your committee has suggested a period
of eighteen months and they believ
it will be found adequate for that
purpose.
"There also is a provision to the ef
feet that the president may, prior
July 1, next, relinquish control of such
transportation systems as he may deem
not nedtul or desirable, and may there
after on agreement, relinquish all or
any system of transportation.
Ihe section also contains a general
provision that the president may re
uuquish all railroads at anv time when
he shall deem such action needful or
desirable.
BELIEVES PRESENT
SYSTEM IS FAILURE
Senator Poindexter, in his mi
nority report, saijl he believed the
consensus of public opinion is that
the present system by which the
railroads are compelled to operate
as rival competitors for busine
under private ownership with very
limited governmental regulations is
a Tauure.
"It is a great mistake, in my
judgment," the senator said, "for
this committee to recommend that
on a certain date the railroads
should be restored to private own
ers without in any way changing
the dangerous and unscientific
conditions which existed up to the
time the transportation systems
were taken over by the president.
"I do not think public opinion
will tolerate a return to these con
ditions. Public interests require
that competing lines should be re
garded as a part of the transporta
tion system of the country, and
that business should be so distrib
uted between them as to afford on
the whole, the cheapest and best
service to the public.
"Under the system, which it is
proposed by the committee amend
ment to restore 18 months after the
close of the war, some railroads
earn as high as fifty per cent upon
their capitalizations, inflated . it
is, while other roads which were
equally necessary to the communi
ties which they served, earned no
profits at all. Under government
operation, with profits and losses
of all the railroads going ultimately
into one account, such inequalities
would adjust themselves. Under
private ownership it is obvious that
this inequality of returns is inef
faceable and unjust.
This bill makes no provision for
the prevention in thefuture of such
wholesale looting of public transporta
tion systems as. were- perpetrated in
the cases of the Chicago and Alton, the
ttock Island, the .ew. lork, .New Ha
Republican A. P. Leased Wire
WASHINGTON, Feb. 7. A move to
ward concerted republican opposition
of the new administration bill propos
ing to give President Wilson blanket
authority to re-organize and co-ordinate
government agencies, a speech in
the house by Representative Glass of
Virginia, denouncing criticism of the
government, and a temporary suspen
sion of the senate debate, were today's
developments in the controversy over
war machinery re-organization.
A conference on Saturday morning
of republican senators, the first held
since the United States entered the war,
was called late today by Republican
Leader Gallinger, to consider the new
bill President Wilson sent to the sen
ate yesterday. Bitter opposition to the
measure is expressed openly by repub
licans and privately by several demo
cratic leaders. There were 25 signatures
on the call for the republican conference.
The republicans also expect to con
sider Joint action on the adminis
tration measure to create a war finance
corporation, which is being urged by
Secretary' McAdoo and upon other ad
ministration legislation.
With the Overman bill injecting a
new and unexpected clement into the
controversy, several senators, planning
addresses on the military committee's
war cabinet and munitions director
bills, postponed them, and the senate
held but a brief session without re
newal of the debate. Tomorrow Sen
ator Thomas of Colorado, democrat,
expects to speak against the committee
bills.
In the house, Representative Glass
praised the administration's war rec
ord and denied Senator Chamberlain's
declaration that the war department
had broken down. He detailed array
achievements and declared that ten
times more troops had been sent to
France than had been expected.
Representative Mason, republican ot
Illinois, who followed Representative
Glass, told the house he admired Secre
tary Baker as a man who could admit
mistakes, and added: "For God's sake
lets quit fighting each other and fight
the kaiser.
While waiting for Secretary Baker's
information regarding tonnage avail
able for transportation of troops to
Europe, the senate military committee
today resumed its war inquiry, exam
ining Major General Wheeler acting
chief of ordnance, and his aides be
hind closed doors regarding explosives
production. Tomorrow the committee
will consider general army legislation,
possibly bringing up the war cabinet
bill. The committee is said to be even
ly divided on the bill and Chairman
Chamberlain admitted tonight that
when the vote is taken, because of ad
ministration influence thrown against
the measure, enough votes may ie
mustered to prevent its being reported
to the senate.
When Secretary Baker will reappear
before the committee has not been de
cided. Consideration of the new bill author
izing the president to reorganize and
co-ordinate government bureaus and
agencies will begin next Monday,
o
RUSSIAN
SITUATION
mm
SERIOUS
Republican A. P. Leased Wire
PETROGRAD. Feb. 7 "The econo
mic condition of Russia is grave, very
grave." M. Shlianpnikoff, the commis
sioner of labor, declared to The Asso
ciated Press correspondent today.
"The causes are universal. Y'ou prob
ably know them as well as I do and
there is no need to enlarge upon them.
"We are going through the transition
oeriod from war to' peace," continued
the commissioner. "This is a most
difficult period in better organized
countries and is particularly difficult
in Russia. The difficulty is aggravated
by the fact that neither the emperor s
nor Kerensky's government regulated
the Industries.
"There was uneveness of production
even in the branch of industry making
munitions of war, there being too
much produced of some articles and too
little of others. The first measure we
are taking is to cut down the manufac
ture of other than necessary things and
to produce useful articles, those we
need most, such as locomotives, cars
and automobiles. Thousands of loco
motives are badly in need of repairs
but there are no shops for that work as
they have all been turned into muni
tion factories. ' These are being turned
back to thsir criminal purpose."
Republican A. P. Leased Wire
WASHINGTON, Feb. 7. Railroads
in 1917 earned about $958,000,000, which
is near the amount the government
will have to pay the roads this year
as compensation under national opera
tion. This was indicated by figures on
revenues, expenses and income of all
roads earning more than $1,000,000
last year, available today in unofficial
computations based on interstate com
merce commission reports for eleven
months and an estimate for December.
The sum the government will have
to pay the roads under the bill pend
ing in congress is estimated at $945,
000,000 by Chairman Smith of the sen
ate committee having the railroad bill
in charge.
Figures for 1917 show that if rail
way income continues to decline as it
has in recent months, the government
will face a deficit in making its com
pensations payments, augmemted by.
increases in wages and the constantly
rising cost of materials and supplies.
On the other hand, the railroad ad
ministration hopes to be able to cut
operating expenses sufficiently, and
economize on charges necessary only
under competitive conditions, to offset
the declining income.
In December, the last month under
private operation, rail earnings de
clined sharply, according to early re
ports from railroads. The average re
duction of income was estimated at 30
per cent caused by the ever-mounting
cost of operations, doubly increased by
tne miter winter weather or Decern-1
ber, together with a sudden drop in
revenues resulting from traffic con
gestion and embargoes.
Compared with estimated income of
$953,000,000 last year the figures for
1916 were $1,087,533,000; for 1915.
$716,476.0110; for 1914, $692,330,000, and
for 1913. SS16.510.000.
Last year the total revenues from
railway operations were S403S.O00.O0O
and operating expenses were $2,861,
000,000. leaving a net revenue of $1,177,-
uo'i.uoo. From this were deducted $217,
000,000 taxes, and minor items of un
collectible revenue, to compute the net
income figure, which is comparable in
a general way to the basis of govern
ment compensation. These figures will
be increased about 4 per cent by addi
tion of reports from numerous small
roads, having operating revenues of
less than Jl.000.0oi a year, whose rec
ords are not included with the reports
of standard class one roads.
The reason for the decline in net in
come last year is shown graphically
by the report. Operating revenues
re ten per cent greater than the
$3,622,000,000 of 1916, but expenses ran
more than 20 per cent above the $3,273,
000.000 mark of the year previously.
Nearly all items of expense were
higher. Wage increases are estimated
at 20 per cent. Cost of coal, train sup
plies and repairs went up by bounds,
with which the immense receipts from
freight and other revenues did not keep
puce.
People traveled more in 1917 than in
the year previous, but the increased
revenues did not go far in counteract
ing the steadily declining income. War
caused an immense increase in haul
ing, and from freight the roads received
most of their revenues.
These revenues are estimated at $2,
808,000,000 as compared with $2,573,
000,000 in the banner net Income year
of 1916. Passenger revenues were
$810,000,000, as compared with $708,
000,000 the year before. Receipts from
mail were actually smaller than in
1916, despite the fact the bulk of mail
transported was much greater. Only
$58,703,000 were received from the gov
ernment on this account, nearly $3,000.
000 less than in 1916. The reduction is
attributed to the readjustment of the
basis of payment from weight to space.
Receipts from express companies for
hauling jumped from $90,293,000 in
1916 to $106,000,000 in 1917.
For maintenance of way and struc
tures, railroads spent $452,900,000,
about J28. ooo.ooo more man the year
before, for maintenance of equip
ment, the cost was $692,000,000, as com
pared with $597,915,000 in 1916.
The biggest increase came in so-
called transportation expenses, which
includes the principal items of train
operations. This amounted to $1,525,
000,000. or $341,000,000 more than the
$1,184,000,000 figure of 1916. A govern
ment commission estimated the added
financial wage burden on railroads
caused by the Adamson act at $61,000,
000, most of which is included in trans
portation expense. Other wage in
creases are spread out in nearly every
expense classification.
In addition to short hauling and com
mon use of facilities, the government
hopes to effect big savings this year by
eliminating expense of traffic solici
tation agencies, maintained by indi
vidual roads under the competitive
Republican A. P. Leased Wire
PETROGRAD, Wednesday, Feb. 6 -With
the approach of the spring plant
ing season, land distribution is becom
ing an acute problem. Unemployed
workmen, who are leaving the citiet
for their native villages to get land,
rapidly are spreading the economic
struggle throughout Russia. The all
Russian congress of workmen's and
soldiers' delegates adjourned without
adopting the plans of M. Kalegayev.
the minister of agriculture, for the ap
portionment of the land. Consequently,
no definite legislation has been estab
lished for the method of distribution.
The land-owning peasants, as well
as the bourgeoisie, are to be divested
of their estates. Premier Ienine to
day addressed a largo gathering ot
:.gitators who are to depart soon for
the provinces to lead th' confiscatior
campaign. He urged them to make
war on all village exploiters and rich
peasants as they did on the Wealthy
land owners.
"We have taken the land to give it
to the poor peasants," the premiei
said. "Do not let the rich peasants
or exploiters get the agricultural im
plements. Put ten poor peasants
against every rich one. The police are
dead and buried and the masses must
take affairs in their own hands.
"External war is finished or is befng
finished now. Internal war begins,
but not a war with arms. This is an
economic war. The masses must take
hack what has been stolen from them.
The rich, who have hidden their
wealth, think the masses will pull them
through. Somehow, we must uncover
the hidden wealth, or otherwise the
Bolshevik! government is bankrupt
"The republic needs twenty-eight
billion rubles annually. Its prospective
income is only eight billion rubles. The
hidden wealth must be uncovered and
placed at the disposal of the govern
ment." SOLDIERS AND SAILORS
PLEASED WITH ACTION
PETROGRAD. Tuesday, Feb. a. The
semi-official news agency announces
that the workmen's and soldiers' dep
uties have addressed a manifesto to
similar bodies recently organized in
Berlin and Vienna, describing the joy
with which the Russian workers and
soldiers "heard of their glorious figlit
against the German and the universal
imperialism at a moment when Austro- '
German land owners and bankers were
preparing to strangle martyrized Pol
and, and the lloffmans, von Kuehl
manns and von Hindenburgs were
threatening the liberty and independ
ence of Courland and Lithuania."
The manifesto urges the Austro
German workmen to continue their
good effort to the end that negotiations
which Russia has begun at Brest
Litovsk with Foreign Secretary von
Kuthlmann may be. terminated with
Dr. Karn Liebknecht, the socialist
leader, now in prison.
UNITED STATES Will
CONTINUE TO SEND
TROOPS TO FRANCE
(Continued on rase Two)
Republican A. P. Leased Wire
BALTIMORE. Feb. 7. Submruinn
or no submarines the United States will
continue fearlessly to send troops to
France declared Secretary of the Navy
Daniels today, referring to the torpe
doing of the Tuscania. in an address at
the Baltimore I'ress Club.
"Just as fast as our ships can carry
men to Europe they will go." continued
Mr. Daniels, "and just as last as they
are equipped they will be sent, anil
ships will carry them, and no man liv
ing will ever again see the day when
our go;ls will be carried across the At
lantic except in ships flying the flag
of the United Slates."
Holden A. Evans, president of the
Baltimore Dry Dock company in an
address preceding that of Secretary
Daniels, insisted that the government
must make drastic laws to regulate the
wages ot labor and the soldiers of
work; he also said shipbuilding plans
of the government could never be car
ried out under existing labor condi
tions. "It has been given out." said Mr. Ev
ans, "that six million tons of overseas
ships will be constructed in 1918. I
regret that these very rosy stories have
been sent oih from Washington. There
are a lot of 'ifs.'
"In the next ten days the Baltimore
Dry Dock company will have contracts
for $60,000,000 for ships. This work in
addition to repair work must be com
pleted in 19l8 and 1919. To complete
all the work of the government It will
take sixty plants like the one we have,
it can't be done. We have got to do
the best we can and use every ounce
of energy.
"The government has failed in its
duty. The arm of the ' government
should be brought down to fix a stated
wage and hours of Work for labor. We
should be told by the government what
is expected of us and the workman
should be told he must stay on th-
job."
"I do not agree with those that sa ,
that labor wi.l not h-'p win tho via.,
said Secretary Daniel:;, replying to tl.
statement of Mr. Evans. " h n jm
see in the new; papers tha' i'i. r ;.
ten thousand men on a st:i . y ; i.
be sure there are also t- n m li on ,:i
ers at work building tips and making
munitions. More than sixty thousand
men in the navy yards have worked in
freezing weather on ships to send men
to France while those who criticized
the laboring men have remained in
their warm homes. If there have been
strikes there have been men of tapital
who have held up the government.
When the I. W. W. first started to plot
against the government in this country
the first man to come to the govern
ment's aid and help to crush those men
Samuel UomDcm."

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