branch in the five years, 1927-31, decreased from 13,468 tons in 1927 to 3,029 tons in 1931, nearly 85 percent of the total consisting of forest products. Complete tonnage for 1932 is not shown. Outbound carload traffic in 1932 consisted of 13 cars of dyewood and 1 car of poles. From January 1 to May 28, 1933, outbound carload shipments were 73 cars of dyewood, 5 cars of poles, and 1 car of cottonseed. For the six years 1927-32, revenues assigned to the branch on a mileage basis were freight $8,127, passenger $1,700, mail $3,026, other $243, total $13,095. Other income was $114. The following out-of-pocket expenses were deducted: Maintenance of way and structures $58,788, train and agency expense $34,762, taxes $13,706, total $107,256, resulting in a loss of $94,046 for the 6-year period. This loss varied from $20,455 in 1927 to $6,403 in 1932, gross income having decreased from $4,445 in 1927 to $225 in 1932 while expenses decreased from $24,900 to $6,628. The applicant's total system revenue from all traffic handled by the branch in the 6-year period amounted to $75,875. The protestants contend that it is particularly inopportune to seek to abandon the branch when the Government plans to develop all the resources of the Tennessee Valley; that these plans may permit the high-grade coking coals of southwestern Virginia and Kentucky to move by rail to Knoxville and thence by river to a new furnace district which would arise in place of the old one around Sheffield and Florence; that Birmingham red ores and coking coals could move to the same area; the Cove Creek dam would supply abundant electric power for processing, and the Tennessee River would supply water outlets for a district resembling the Pittsburgh area. It is testified that the assessed value of all property, excluding railway and public-utility property, in the two civil districts served by the branch amounts to $845,100 and that the proposed abandonment would reduce this value by about $250,000. The property of the Lawrence Company was assessed at $135,000 in 1926 and subsequent years. The applicant contends that abandonment of the line should be authorized, because it is not now performing, and will not in the future perform, any necessary transportation service; that its operation in the past has resulted, and will in the future result, in material losses to the applicant and there is no economic justification for its continued operation. Before the date of the hearing the applicant made two alternative proposals to the Lawrence Company: (a) To sell the branch to that company or to it and other interested persons at net salvage value or (b) that the applicant would amend its application and ask only authority to abandon operation thereof, on condition that the Lawrence Company singly or jointly with other interested parties would pay to the applicant the amount of taxes assessed against the branch, and in case the mining of iron ore were resumed, would pay to the applicant the cost of putting the branch in condition to operate safely. No reply to these offers was received, and the second proposal is now withdrawn. If granted the authority herein sought, the applicant intends to leave in place and operate as an industry track about 0.5 mile at the south end of the branch. The branch has been operated at a substantial loss for the past six years and the record affords little ground for the hope that future operations would show any material decrease in the losses heretofore incurred. Residents and property owners will doubtless sustain some loss from its abandonment; but it appears on the other hand, that continued maintenance and operation would impose an undue burden upon interstate commerce. We find that the present and future public convenience and necessity permit the abandonment by the Louisville & Nashville Railroad Company of its West Point branch in Lawrence County, Tenn., described in the application. An appropriate certificate will be issued, effective from and after 30 days from its date. Suitable provision will be made therein for the cancelation of tariffs. 193 I.C.C. FINANCE DOCKET No. 639 MINNESOTA, DAKOTA & WESTERN RAILWAY COMPANY GUARANTY SETTLEMENT Submitted November 21, 1933. Decided November 28, 1933 Amount necessary to make good the guaranty of section 209 of the Transportation Act, 1920, to the Minnesota, Dakota & Western Railway Company ascertained to be $21,486.01. Certificate issued. R. D. Main and John S. Burchmore for the carrier. REPORT OF THE COMMISSION DIVISION 4, COMMISSIONERS MEYER, BRAINERD, AND MAHAFFIE BY DIVISION 4: The Minnesota, Dakota & Western Railway Company, hereinafter termed the carrier, is a carrier by railroad which during the guaranty period engaged as a common carrier in general transportation in the State of Minnesota. Its line connects at International Falls and Littlefork, Minn., with the Big Fork & International Falls Railway Company, which company was under Federal control at the termination thereof, and it is, therefore, a carrier within the meaning of subdivision (a) of section 209 of the Transportation Act, 1920. The carrier filed with us a written statement accepting the provisions of section 209 on March 15, 1920. The returns of the carrier under our orders of October 18, 1920, January 5, 1921, and December 15, 1921, together with supplemental data, have been examined and it has been ascertained that the debits and credits arising from the accounts called in the monthly reports to us "equipment rents" and "joint-facility rents" have been included, and that there are included no debits or credits arising from the operation of street electric passenger railways or interurbans not under Federal control at the termination thereof. In fixing the amount to be allowed for maintenance of way and structures and maintenance of equipment in the guaranty period we applied so far as practicable, the rule set forth in the proviso of paragraph (a) of section 5 of the standard contract between the United States and carriers under Federal control. It has also been ascertained that the so-called war taxes have been assumed by the carrier in the test and guaranty period, and that there are no eliminations necessary due (b) that the applicant would amend its application and ask only authority to abandon operation thereof, on condition that the Lawrence Company singly or jointly with other interested parties would pay to the applicant the amount of taxes assessed against the branch, and in case the mining of iron ore were resumed, would pay to the applicant the cost of putting the branch in condition to operate safely. No reply to these offers was received, and the second proposal is now withdrawn. If granted the authority herein sought, the applicant intends to leave in place and operate as an industry track about 0.5 mile at the south end of the branch. The branch has been operated at a substantial loss for the past six years and the record affords little ground for the hope that future operations would show any material decrease in the losses heretofore incurred. Residents and property owners will doubtless sustain some loss from its abandonment; but it appears on the other hand, that continued maintenance and operation would impose an undue burden upon interstate commerce. We find that the present and future public convenience and necessity permit the abandonment by the Louisville & Nashville Railroad Company of its West Point branch in Lawrence County, Tenn., described in the application. An appropriate certificate will be issued, effective from and after 30 days from its date. Suitable provision will be made therein for the cancelation of tariffs. 193 I.C.C. FINANCE DOCKET No. 639 MINNESOTA, DAKOTA & WESTERN RAILWAY COMPANY GUARANTY SETTLEMENT Submitted November 21, 1933. Decided November 28, 1933 Amount necessary to make good the guaranty of section 209 of the Transportation Act, 1920, to the Minnesota, Dakota & Western Railway Company ascertained to be $21,486.01. Certificate issued. R. D. Main and John S. Burchmore for the carrier. REPORT OF THE COMMISSION DIVISION 4, COMMISSIONERS MEYER, BRAINERD, AND MAHAFFIE BY DIVISION 4: The Minnesota, Dakota & Western Railway Company, hereinafter termed the carrier, is a carrier by railroad which during the guaranty period engaged as a common carrier in general transportation in the State of Minnesota. Its line connects at International Falls and Littlefork, Minn., with the Big Fork & International Falls Railway Company, which company was under Federal control at the termination thereof, and it is, therefore, a carrier within the meaning of subdivision (a) of section 209 of the Transportation Act, 1920. The carrier filed with us a written statement accepting the provisions of section 209 on March 15, 1920. The returns of the carrier under our orders of October 18, 1920, January 5, 1921, and December 15, 1921, together with supplemental data, have been examined and it has been ascertained that the debits and credits arising from the accounts called in the monthly reports to us "equipment rents" and "joint-facility rents" have been included, and that there are included no debits or credits arising from the operation of street electric passenger railways or interurbans not under Federal control at the termination thereof. In fixing the amount to be allowed for maintenance of way and structures and maintenance of equipment in the guaranty period we applied so far as practicable, the rule set forth in the proviso of paragraph (a) of section 5 of the standard contract between the United States and carriers under Federal control. It has also been ascertained that the so-called war taxes have been assumed by the carrier in the test and guaranty period, and that there are no eliminations necessary due |