REPORT OF THE INTERSTATE COMMERCE COMMISSION WASHINGTON, D.C., December 1, 1933. To the Senate and House of Representatives: The Interstate Commerce Commission has the honor to submit herewith its forty-seventh annual report to the Congress. The period covered by this report extends from November 1, 1932, to October 31, 1933, except as otherwise noted. A statement of appropriations and aggregate expenditures for the fiscal year ended June 30, 1933, is contained in appendix G to this report. RAILWAY EARNINGS AND TRAFFIC We have had occasion in previous reports to point out that the financial difficulties of the railways are the result of more than one cause. In large part they are the reflection of the reduction in traffic that came with the economic depression but also in considerable part they result from the competition of other transport agencies. In facing the conditions created by both of these causes, the railway managements have to consider how they can reduce operating costs, lower their charges, improve the speed, convenience, and safety of the services they render to the public, and eliminate unnecessary waste. In various ways the railway situation has been improved since our last report. With the progress of the national industrial recovery, railway earnings have increased, railway bonds sell at better prices, and in place of the most drastic curtailment of maintenance, attention is again being given to replacing worn-out rails and equipment. A survey of the freight revenue by months since the beginning of the year 1930 shows, except for seasonal variations, a downward trend almost uninterruptedly to August 1932. A temporary upturn then took place and continued until December 1932 followed by a relapse to another low point in March 1933. Thereafter the improvement has been marked with, however, a slackening in August of this year. These developments are conveniently followed in a table showing the freight revenue of each month as a percentage of that of the corresponding month in a base period taken as 100 percent. It will be observed that the index fell from 95.4 in January 1930, to 1 |