Ford Self-Service

Some say this. Some say that. But every one would like to have the railroads run with low rates, high wages, satisfactory profits. One of the great arguments that much could be done in achieving this kind of millenium has been what Henry Ford has achieved in the operation of his private railroad, the Detroit, Toledo & Ironton. Mr. Ford's operation of this road has often led to loose conclusions as to what could be done to improve railroad conditions by legislation, Accordingly, the Committee on Public Relations of the Eastern Railroads made an investigation to find out what was actually in this talk and last week made a report. It found that:

P: Total freight tonnage carried by the road had increased 50% between 1920 and 1923.

P: Last year was, nevertheless, the first time Mr. Ford got any considerable return from the road, whereas he has lost $98,207 net, for the entire period of his operation.

P: Passenger traffic on the road has almost disappeared, and the movement of coal and pig iron has decreased.

P: The movement of automobile parts and materials, as well as of cement, clay, gravel, sand, has increased.

P: "The movement of automobiles and auto trucks shows the most astounding increase of all, jumping from 14,000 tons in 1920 to 1,271,000 tons in 1923."

In conclusion the report declared: "An analysis of the reports filed by the Detroit, Toledo & Ironton with the Interstate Commerce Commission clearly shows that it is being operated as a 'plant facility' to the Ford Motor Co. . . . The Ford Company has exercised its power in both directions, both as a purchaser of goods shipped into Detroit and as a shipper of manufactured products out of Detroit. In brief, the one important factor in the increased traffic of the Detroit, Toledo & Ironton since 1920 has been the tonnage diverted to it by the Ford Motor Co., which might otherwise have gone by alternate routes. . . . To sum up, no useful generalization concerning common carriers can be obtained from the records of plant facility railroads. But Henry Ford, the railway president, deals only with Henry Ford, the automobile manufacturer, and 'the service he renders to himself satisfies him perfectly."