may be that, in their frozen state, some foods will be so changed in character and appearance as to remove them from the description "agricultural commodities (not including manufactured products thereof)." I am satisfied, however, that frozen fruits and vegetables which are not substantially changed in character or appearance and to which nothing has been added other than possibly a preservative, are not manufactured agricultural commodities and that they do fall within the exemption. I have no doubt whatsoever that frozen sea food is included within the term "fish (including shell fish)."

43 M. C. C.

No. MC-103794 (SUB-No. 8)

SAMUEL I. MAJOR CONTRACT CARRIER APPLICATION

Submitted June 13, 1944. Decided October 21, 1944

Operation by applicant as a contract carrier by motor vehicle of petroleum products, in bulk, in tank trucks, from Roxana, Wood River, and Cahokia, Ill., to certain points and a territory in Missouri, over irregular routes, found to be consistent with the public interest and the national transportation policy. Issuance of a permit approved upon compliance by applicant with certain conditions, and application in all other respects denied.

B. W. LaTourette for applicant.

H. J. Waples, A. B. Harper, Jr., W. E. Johnson, A. F. Versen, Graham Penfield, and C. E. Stahly for protestants.

REPORT OF THE COMMISSION

DIVISION 5, COMMISSIONERS LEE, ROGERS, AND PATTERSON

BY DIVISION 5:

Exceptions were filed by Refiners Transport & Terminal Corporation, protestant, to the order recommended by the joint board and applicant replied thereto. In its exceptions, protestant contends that the joint board erred in failing to include in its report findings of fact upon which its recommended order was based. The report herein reflects the essential facts of record. Our conclusions differ somewhat from those recommended.

By application filed January 11, 1944, Samuel I. Major, doing business as Major Transports, of St. Louis, Mo., seeks a permit authorizing operation, in interstate or foreign commerce, as a contract carrier by motor vehicle, of petroleum products, in bulk, in tank trucks from East St. Louis, Ill., and points within 30 miles thereof, to points in Illinois and Missouri within 150 miles of East St. Louis, and to Caruthersville, Edina, Hornersville, Kennett, Kirksville, La Plata, Mansfield, Medill, Memphis, Portageville, Salisbury, Senath, Steele, and West Plains, Mo., over irregular routes. Several motor carriers operating in the described territory oppose the application.

By order entered October 1, 1943, in No. MC-103794 (Sub-No. 7-TA), applicant was granted temporary authority to perform substantially the same operation for which he here seeks permanent authority, except that the origin territory is limited to points within 20 miles of East St. Louis instead of 30 miles as here proposed. The temporary

43 M. C. C.

authority also embraces a few points not here involved. Applicant holds no permanent interstate authority.

Applicant has been operating in the proposed territory, under temporary authority, since July 1942, prior to which he conducted certain operations in Iowa, apparently in intrastate commerce. He owns 30 tractors and 27 trailers and leases 9 tractor-trailer units, making the total equipment operated 39 tractors and 36 trailers. Some of the equipment is operated as a so-called train unit consisting of a tractor, semitrailer, and full trailer. These units can transport approximately 8,200 gallons of petroleum products and are so constructed as to permit the transportation of as high as 5 different kinds of petroleum products in quantities ranging from 150 to 4,100 gallons. Applicant's headquarters are in St. Louis but most of the operations are conducted from its terminal and garage at Wood River, Ill., where he has 3 dispatchers working 8-hour shifts, 3 mechanics, a helper, and a superintendent of operations.

The proposed operation is designed to meet the transportation requirements of the Standard Oil Company of Indiana, Sinclair Refining Company, Shell Oil Company, and Mid-Continent Petroleum Corporation, hereinafter called Standard, Sinclair, Shell, and Mid-Continent, respectively. These companies have refineries or sources of supplies principally at Roxana, Wood River, Hartford, East St. Louis and Cahokia, Ill., all of which are within 20 miles of East St. Louis. Applicant's reason for seeking the 30-mile radius origin territory is to enable him to serve any new refineries or sources of supply which may, in the future, be established at points beyond the 20-mile area. Prior to the present emergency these companies relied principally upon the rail carriers and their own equipment for the distribution of their products, although the services of motor carriers also were used for shipments to points within 100 to 150 miles of their plants. Because of the contentions of the parties, the evidence of record will be discussed in some detail.

Standard has used applicant's service since October 1942 for the transportation of its products from Wood River to numerous points scattered throughout the destination territory. It used the services of both contract and common carriers prior to the present emergency but favors contract-carrier service because, in its opinion, they assume a greater responsibility toward the shipments. A need for such service is anticipated after the present emergency.

Sinclair has used applicant's service for the transportation of its products from its bulk plants at Roxana, East St. Louis, Hartford, and Cahokia to numerous points in the described destination area since July 1942, and found it very satisfactory. Its bulk plants have a small storage capacity and consequently it relies to a large extent on

motor-carrier service to keep the plants adequately supplied. Motorcarrier service is also deemed necessary for supplying communities with petroleum products during the so-called peak periods of consumption such as the distribution of fuel oil during the winter and gasoline during the harvest season. As noted, this shipper used motor-carrier service rather extensively prior to the war and considers that the need for applicant's service will continue thereafter. In this connection, it is noted that its representative has knowledge of other motor carriers operating between some of the points here involved, but has never made any investigation with respect to the extent of their services, as the service rendered by applicant has been entirely satisfactory.

Shell's refinery at Roxana is one of the largest oil refineries in the Midwest, and it ships approximately 35 percent of its products to off-rail points which are entirely dependent upon motor-carrier service. Prior to the war, a portion of this traffic moved in its own equipment in the absence of adequate motor-carrier service. Applicant has transported Shell's products to various points in the proposed destination area since December 1943, and his service has been very satisfactory. A continuation of such service after the war is deemed necessary.

Mid-Continent has no refinery in the proposed origin territory but has a source of supply at Hartford. It has used applicant's service in Iowa and just recently entered into a contract with him for the transportation of its products to various points in the destination territory. The representative of this company could not definitely state the extent to which motor-carrier service would be used after the present emergency but is of the opinion that motor-carrier service, if available, will be used for hauls up to 100 or 125 miles in preference to rail.

Refiners Transport & Terminal Corporation, hereinafter called Refiners, conducts extensive operations generally between points in Michigan, Ohio, Indiana, Illinois, Wisconsin, and Missouri. So far as here pertinent, it is authorized to transport petroleum products, as a common carrier by motor vehicle, from East St. Louis and Hartford to points in Missouri within 135 miles of each origin, under permanent authority granted in No. MC-50069 (Sub-No. 2), and from Cahokia and Wood River and points within 5 miles thereof to points in Missouri within 135 miles of each origin, under temporary authority granted in No. MC-50069 (Sub-No. 19-TA). Roxana is within 5 miles of Wood River and therefore included as an origin point under the grant of temporary authority. This company operates some 255 units of equipment, 6 of which are assigned to its East St. Louis terminal, and it anticipates that 50 percent of its equipment will be idle after the war.

Rogers Cartage Company of Chicago, Ill., conducts rather extensive operations as both a common and contract carrier of petroleum products generally between points in Illinois, Indiana, Wisconsin, Missouri, and Iowa. So far as here pertinent, it now holds permanent contract-carrier authority to transport petroleum products from Hartford to all points in Missouri, and temporary authority to transport these commodities from Cahokia and Roxana to points in Missouri within 135 miles of each origin. It owns and operates 95 tractortrailer units, 7 of which are assigned to its terminal at Collinsville, Ill., for its Missouri operations.

The Willette Company of Chicago holds temporary authority to transport petroleum products from Cahokia to points within 100 miles thereof. This company owns one "train unit" and leases one or two other pieces of equipment. Stahly Cartage Co., of Bloomington, Ill., holds temporary authority to transport petroleum products from Roxana, Wood River, and Cahokia, generally to points in Missouri covered by this application. Most of its operations, however, are confined to the transportation of petroleum products from St. Louis to Effingham, Chicago, and Herrin, Ill., although occasional shipments are transported to undisclosed destinations in Missouri. Columbia Motor Service Company of St. Louis holds permanent authority to transport petroleum products from Roxana to St. Louis, Truesdail, Bowling Green, and Union, Mo., and Union Service Company, of St. Louis, holds permanent authority to transport petroleum products from Wood River to St. Louis, Robertson, Troy, Perryville, and Silex, Mo.

Summarizing, two protestants now hold permanent authority to transport petroleum products from Hartford to points in Missouri, one as a contract carrier to all points therein, the other as a common carrier to points within 135 miles of Hartford. The latter carrier also is authorized to transport petroleum products from East St. Louis to points in Missouri within 135 miles of East St. Louis. Collectively, these carriers operate some 350 pieces of equipment and hold permanent authority to transport petroleum products from Hartford and East St. Louis to nearly all of the destination territory here involved except points in Illinois. In this connection, however, there is no showing that applicant proposes to transport any traffic originating at these or other Illinois points to points in the Illinois territory covered by the application, in interstate or foreign commerce. In addition to the foregoing, most of the destination territory is now being served pursuant to temporary authority by 3 motor carriers from Roxana, 2 from Wood River, 4 from Cahokia, and 1 from East St. Louis.