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[CBQ] Rates (was Chapin)

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Subject: [CBQ] Rates (was Chapin)
From: "John" <cbqrr47@yahoo.com>
Date: Sun, 04 Nov 2012 19:12:54 -0000
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There were basically three kinds of rates. Class rates were based on the 
"Class" of the freight being shipped, it's weight, and standard mileage from a 
table showing the shortest mileage between the points. A commodity rate was a 
rate theoriticaly based on the cost of providing the service and a reasonable 
rate of return on the capital required to provide the service and applied to 
all shippers using the same service i.e. the same commodity under the same 
conditions between the same points. A joint rate was special commodity rate 
negotiated between two or more railroads (in some cases railroads and motor or 
water carriers). It might have or might have not specifed the routing. If it 
did the carrier with the longest road haul was in better position to ask for a 
greater rate division. Sometimes the shipper would specify the routing before 
they got a rate quote. If the interchange point was not included in the joint 
tariff, short hauling was not issue, indeed a smart railroad dumped the traffic 
at the first available interchange point.



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