merce Commission. Mr. Hillman's deductions are entitled to some consideration. Measured by the Hocking Valley proportional on West Virginia coal, his finding on Toledo is very close. As shown above, allowing a ten per cent. margin of profit, the cost, Armitage to Toledo. on New River coal would be 46.75 cents. Taking Mr. Hillman's figures as a basis, the margin of profit on the Armitage-Toledo haul of New River coal would be only nine per cent. In determining an equitable rate on coal in carloads, Nelsonville to Toledo, it would seem to be reasonable to take the Armitage-Toledo proportion as a starting point. This is 51.6 cents per ton. Assuming that the margin of profit on this haul is very small, only five per cent., we have as cost of the service 49.02 cents per ton, deducting 10 cents per ton for terminal expense at Toledo leaves 39.02 cents per ton as haulage cost. Applying this figure to the Nelsonville-Toledo haul on a sixty per cent. operating ratio and you have a haulage rate of 64.628 cents per ton. Adding 10 cents per ton for terminal service at originating point and the same amount for terminal service at destination, we have a rate of 84.528 cents per ton, or in even figures 85 cents. This rate should allow an ample margin of profit. With this as a starting point and grading down on an equitable basis as the distance decreases and applying the grouping principle, we have the rates named below, which the Commission believe to be reasonable rates on coal in carloads from Nelsonville to the points named:

The Commission further find that the rates complained of in this action are unreasonable to the extent they exceed the rates above listed and found to be reasonable by the Commission.

An order will be entered accordingly.

BEFORE THE RAILROAD COMMISSION OF OHIO

New York Coal Company, Complainant, versus The Hocking Valley Railway Company, Defendant. No. 91.

FINDING AND ORDER OF THE COMMISSION.

This matter came on for investigation upon the complaint of the New York Coal Company against The Hocking Valley Railway Company alleging that the rates charged, demanded and collected by said. defendant for the transportation of coal in carloads from Nelsonville, Ohio, to Toledo, Ohio, and to certain designated points and places. intermediate thereto, all of said points and places being within the State of Ohio, are excessive and unreasonable, the answer of the defendant thereto, and the evidence. After hearing the evidence, arguments of counsel and upon due consideration thereof, the Commission find that the said rates charged, demanded and collected by the defendant The Hocking Valley Railway Company for the transportation of coal in carloads from Nelsonville, Ohio, to Toledo, Ohio, and to certain designated points and places intermediate thereto on defendant's road, and in the State of Ohio, as shown by the tariff of rates of the said defendant railway company on file with the Railroad Commission of Ohio, and fully set out in complainant's complaint herein, are each excessive and unreasonable, with the exception of the rate of 45 cents from Nelsonville to Hookers; the rate of 45 cents from Nelsonville to Carroll; the rate of 50 cents from Nelsonville to Canal Winchester; the rate of 55 cents from Nelsonville to West Bank; the rate of 55 cents from Nelsonville to Valley Crossing and the rate of 55 cents from Nelsonville to South Columbus, which rate the Commission do not find to be unreasonable. And the Commission further find that the following rates, to wit:

for the transportation of coal in carloads from Nelsonville, Ohio, to Toledo, Ohio, and to the designated points and places intermediate thereto on defendant's line and in the State of Ohio to be reasonable and just rates for that service. It is therefore

ORDERED, That the said defendant, The Hocking Valley Railway Company, be and it is hereby notified and required to cease and desist from charging, demanding, collecting and receiving the following rates. for transporting coal in carloads from Nelsonville, Ohio, to Toledo, Ohio, and to intermediate points, to wit:

which rates the Commission have found to be excessive and unreasonable. It is further

ORDERED, That the following rates, to wit:

which the Commission have found to be just and reasonable to be charged for transporting coal in carloads from Nelsonville, Ohio, to Toledo, Ohio, and to said intermediate points, or other rates not in excess of the rates found herein by the Commission to be reasonable

2-R. C.

be substituted for said rates found herein by the Commission to be unreasonable. And said rates found herein by the Commission to be reasonable, or other rates not in excess thereof, shall be charged, imposed, observed and followed in the future by the said The Hocking Valley Railway Company in lieu of and in substitution of said rates found herein by the Commission to be unreasonable.

94. In the Matter of the Suspension of Car Service on Cars Loaded With Fine Coal and Held at the Mines Awaiting Billing Instructions.

This matter came on to be heard this 7th day of April, 1911, upon the application of The Kanawha and Michigan Railway Company for authority to waive the collection of car service charges and suspend car service rules on cars loaded with fine coal and held at mines on the line of said The Kanawha and Michigan Railway Company awaiting billing instructions, and the testimony; and it appearing to the Commission that there is now a great demand for lump coal in the domestic markets, and that the market for fine coal is very limited; and it appearing further, that both the applicant, The Kanawha and Michigan Railway Company, and the general public will be benefited thereby, it is, therefore,

ORDERED, That the said The Kanawha and Michigan Railway Company, if it so elect, may waive the collection of car service charges and suspend car service rules on cars loaded with fine coal and held at mines on its line awaiting billing instructions;

Provided, That cars shall not be held under load by any operator or operating company, free from car service charges under this order, in excess of two hundred (200) per cent. of the aggregate daily rating of the mines operated by such operator, company or companies ; and it is further

Provided, That if the said The Kanawha and Michigan Railway Company elect to and does waive the collection of car service charges and suspends car service rules, as provided in this order, it may reinstate the same at any time after such suspension, upon giving twenty days' notice thereof to the public, and the filing of proper tariffs with the Commission; and it is further

Provided, That if, in the opinion of the Commission, public convenience or necessity should require the same, the Commission may, upon twenty days' notice to the said The Kanawha and Michigan Railway Company, annul the provisions of this order.

This order shall be in full force and effect on and after the first day of May, 1911.