Business: No

Since the bankruptcy act was extended to railroads four years ago, no less than 32 Class I roads operating a third of U. S. trackage have taken advantage of its sanctuary. But no single major railroad reorganization has been completed. This is partly because roads have felt they should delay reorganization until earnings improved, partly because warring groups of security holders have been unable to agree on terms. Lately the situation has become more complicated as railroad earnings, after sharp improvements, have fallen off because of rapid rises in operating costs.*

Among the roads in receivership suffering most from this is the Chicago, Milwaukee, St. Paul & Pacific. Last week, therefore, when the St. Paul petitioned the Interstate Commerce Commission to delay a reorganization hearing scheduled for Sept. 20, U. S. railroad men waited attentively to see whether I. C. C. would grant the delay. After two days' thought, the commissioners said "No," a broad hint that henceforth I. C. C. will insist on reorganizations being pushed through to completion.