present rate from Los Angeles to Regina is $1.70 per 100 pounds on citrus fruits of all kinds. This fruit is routed over the Southern Pacific or Sante Fe, the Oregon Railway and Navigation Company, and Spokane International, to Kingsgate, British Columbia, and thence by the Canadian Pacific to destination. rate is made up as follows: ..... Los Angeles to Portland, Oregon.... 53c. 60c. The $1.70 The rates in United States territory are full locals, while the Canadian Pacific rate is a proportional one. On shipments from Riverside and Redlands, the rates are respectively 21⁄2c. and 5c. higher. Regina has the same rate as Moose Jaw. The rate on oranges in straight carloads to Winnipeg, a longer distance point, is $1.25 per 100 pounds. The same rates apply on oranges and lemons in mixed carloads. On straight carloads of lemons, the rate is $1.10. These rates have been in force since November, 1907. On shipments to Winnipeg the competition of railways in the United States has to be met. As a result of competition, compromise and consideration of the best methods of meeting the demand for citrus fruits in the large markets of the United States the practice has developed of making blanket rates of $1.15 on oranges and $1.00 on lemons, both in straight carloads, to points in the United States east of the Missouri and Mississippi River gateways. This applies to Detroit, Buffalo, New York, Boston, and common points. This also affects points in Canada. Toronto, for instance, having the advantage of the Buffalo rate. It is apparent that whatever rate is fixed by the competition of railways and of markets to points in United States territory south of Winnipeg must be recognized by the Canadian Pacific in making rates to that point. It is contended by the applicants, that the same rates should apply to Regina via Kingsgate, as apply to Winnipeg via its connection through Emerson with the United States transcontinental lines. Winnipeg, Portage la Prairie, and Brandon, are terminal points in the territory known, under the transcontinental freight tariffs, as Missouri River common points. The Winnipeg rate is 10c. higher than to Missouri River common points. The reason for this is, that the connecting lines south of Minnesota transfer (St. Paul) will not so reduce their portions of the total rate as to give the northern lines what they consider a fair return of the rate if the rate of $1.15 is charged. Out of the total rate of $1.25 on oranges to Winnipeg the lines north of Minnesota transfer to the international boundary receive 38.8c. per hundred pounds, while the lines north of the boundary receive 12 1/3c. per hundred. In November, 1906, the new route via Kingsgate was opened. During the first season of operation of this route, the Canadian Pacific made the same rate to Winnipeg via Kingsgate as via Emerson. On account of the inadequate revenue obtained from this experiment in meeting a competitive rate, the small amount of tonnage moved by it, and the difficulties in the way of prompt delivery on account of climatic conditions, the rate was cancelled at the end of the season. It is apparent that different factors enter into the rate situation at Winnipeg and the territory adjacent thereto, from these existing at Regina. The large volume of citrus fruits moving over the United States lines, and the large market to which this line of product caters in the United States has developed a low rate basis which gives Winnipeg a rate advantage over Regina; but the circumstances are so dissimilar that the advantage is not an undue one. The further fact that the Canadian Pacific no longer quotes the compelled Winnipeg rate over its route from Kingsgate, relieves it from a charge of violating the long and short haul clause by charging higher rates to intermediate points. The Regina rate complaint must be considered not from the standpoint of discrimination, but of reasonableness. Before the opening of the route via Kingsgate, the orange rate to Regina based on Winnipeg, was $1.72 per 100 pounds. The rate via Winnipeg is still operative. With the opening of the Kingsgate route the rate was reduced to $1.60. This rate was in force June 5th, 1907, until February 10th, 1908. It is alleged that this was changed to the present basis, because it was out of proportion with the Calgary rate of $1.65. It is a well-established principle that when a lower rate— which has been in force for some time-is replaced by a higher rate, the former lower rate is primâ facie a profitable and reasonable one. It is of course open to the railway to adduce evidence to shew that the former rate was an unprofitable one, and such evidence should be most carefully considered. But in the application before us, no such evidence has been adduced to shew that the rate of $1.60 was unprofitable. In addition to this, Mr. Peters, then assistant freight traffic manager of the Canadian Pacific Railway, made the affirmative statement, under date of January 20th, 1908, when an earlier application in this matter was before us, that the rate of $1.60 was fair and reasonable. I see no reason why any departure should be made from this position now. At present the rate to Regina, via the Emerson gateway, is $1.72, which is made up of the $1.25 rate plus the 3rd class rate of 63 cents, Winnipeg to Regina, less the Winnipeg cartage, which is not performed. On the citrus tonnage moving via Kingsgate to Regina the Canadian Pacific is at present receiving 182 cents per ton per mile. The route from Kingsgate to Regina presents more difficult features from an operating standpoint, than that from Winnipeg to Regina. If then, the citrus fruits are routed to Regina via Winnipeg, it would appear fair to apply a rate on the Winnipeg to Regina haul not exceeding that earned per ton per mile on the Kingsgate-Regina haul, and making the rate via Winnipeg $1.60. The rate on lemons, which is also involved in the complaint, should be lined up with the rate practice, whereby lemons in straight carloads are given a lower rate than oranges. I am of opinion, that the Canadian Pacific Railway should be required to arrange with its connections for the publication of new tariffs on the basis of $1.60 per 100 pounds from Los Angeles points to Regina, via Kingsgate or Emerson, on oranges in straight carloads, or on mixed carloads of oranges and lemons, as well as a rate of $1.45 on lemons in straight carloads. The Chief Commissioner concurred. CANADA.] TELEGRAPH TOLLS. [BOARD OF RAILWAY COMMISSIONERS. TIMES PUBLISHING Co. v. CANADIAN PACIFIC RY. Co., GREAT NORTH WESTERN & WESTERN UNION TELEGRAPH COs. (File No. 10078.) Telegraph tolls-Marconi wireless system-Press and private messages— Excessive and discriminatory rates. An application was made to the Board for an order directing certain telegraph companies to transmit press messages to the Marconi wireless station at Glace Bay at the same rate as to other points along the Atlantic coast of Canada from the City of Ottawa. It was alleged that the rates were excessive and discriminatory because the telegraph companies on messages to Glace Bay charged the higher private rate rather than the lower press rate. Held, that the evidence did not establish that excessive or discriminatory rates were charged, the rates being lower from Ottawa to Glace Bay than from the same point to other Canadian Atlantic coast points and the application must be dismissed. THIS application was heard at Ottawa on the 18th day of May, 1909. R. G. Code, K.C., for the applicant. E. W. Beatty, for the Canadian Pacific Railway Telegraph System. J. N. Greenshields, K.C., and F. H. Markey, K.C., for the Great North Western and Western Union Telegraph Companies. The facts are fully set out in the judgment of the Chief Commissioner. May 19, 1909. THE CHIEF COMMISSIONER:-In this case that was heard yesterday of the Times Publishing Company against the three telegraph companies mentioned in the complaint, we have come to the conclusion that there is not sufficient information before the Board upon which we would be justified in granting the order that is asked for by the applicants. They desire an order that the Canadian Pacific Telegraph Company, the Great North Western Telegraph Company and the Western Union Telegraph Company transmit press messages to the Marconi wireless station at Glace Bay at the same rate as is charged to other points along the Atlantic coast of Canada. They allege that while the usual rate on press messages from Ottawa to Canadian Atlantic coast points is 35 cents per 100 words at night, and 50 cents per 100 words in the day time, the telegraph companies charge private message rate on all press messages to Glace Bay intended for transmission by Marconi wireless, and that these charges are excessive and discriminatory. Now, it appears from what took place in the discussion yesterday that there is in fact as between the cable companies on the one hand and the Marconi system on the other, no discrimination in favour of the former or against the latter. On the other hand it seems that under the existing rates as charged, the sender of a message via Glace Bay over the Marconi system, as a matter of fact pays some twenty cents or thirty cents less to the land line for delivering at Glace Bay to the Marconi system, than the same sender would be required to pay to the cable company, as the share that the cable company under its existing contract with the land line would pay to the land line for the delivery of a message of the like number of words to the |