ARTICLES OF AGREEMENT — OF THE — 3outl7u;e5ter9 Jraffie /íssogadop, TO TAKE EFFECT JULY ist, 1894. AGREEMENT. , . ■ WHEREAS, It is essential to the establishment and maintenance of uniform, reasonable and stable rates, rules and regulations between the parties hereto, and between the parties hereto and those for whom the service is performed, that there should be co-operation, the parties hereto, hereby covenant and agree with each other as follows :— ist. To form an Organization, to be known as the SOUTHWESTERN TRAFFIC ASSO¬ CIATION, with headquarters at St. Louis, Mo. 2d. The traffic subject to this Association is all Inter-State freight traffic', having origin or destination in the State of Texas, except Coal and Coke, and except Texas traffic, other than Live Stock, originating at or destined to points in Indian or Oklahoma Territories or the State of California. To and from such points, members controlling Lines in Indian or Oklahoma Terri¬ tories or the State of California, may, by agreement among themselves, make such- changes in rates, other than Live Stock, as may be nece.ssary from time to time, provided all such chánges shall be promptly filed with the Chairman, and shall, in no case, have the effect of reducing the established Association rates. . - ■ • . • 3d. The Association shall be governed by an Executive Board and a Rate Committee. 4th. The Executive Board shall be composed of an Executive Officer, or duly authorized representative, of each of the. parties hereto. No party who has served on the Rate. Committee shall be eligible as a member of the Executive Board to consider differences acted upon by him in the Rate Committee. 5th. , The Executive Board shall meet -upon call of two or more members, or upon call of the Chairman of the. As.sociation, and two-thirds of. the members shall constitute a' quorum. ;1 6th. The Rate Committee shall be composed of one representative of the Traffic Officers of each of the Lines, not lower in rank than an Assistant General Freight Agent, duly authorized to act for his Company or Companies. 7th. Regular Quarterly Meetings of the Rate Committee shall be held, on the Second Tuesday of Januaiy, April, July and October of each year, unless otherwise unanimously agreed. Before the adjournment of each meeting, the next place of meeting shall be determined upon by majority vote. Special meetings shall be held, whenever desired, by three or more members, or by the Chairnran; two-thirds of the members shall constitute a quorum, and the unanimous action of all present, as to rates, rules and regulations, shall be the act of the Association. 8th. A Chairman shall be elected, and his salary and term of office fixed by unanimous vote of the Executive Board; but he may be removed by two-thirds vote. gth. The powers and duties of the Chairman shall be as follows: He shall preside at all meetings, except those of the Executive Board, that Body to select a Chairman from its members; the Association Chairman to act as Secretary. He shall keep the records of the Association and shall construe this Agreement and all resolutions, and his decision shall be binding upon all parties unless reversed by the Executive Board. He, or his represen¬ tative, shall be given access to all records of the parties hereto that pertain to the traffic subject to this Agreement, and shall promulgate all changes in rates, rules or regulations, and fix the date when same shall be effective, when not otherwise provided for by the Rate Committee. loth. In order to protect members against unauthorized competition, the Chairman is em¬ powered to change rates, rules or regulations, jmeserving agreed differentials, unless agreement is reached between interested Lines to waive differential conditions. nth. The Chairman shall furnish the members of the Rate Committee, ten days in advance of regular or special meetings, a list of the subjects which have been reported by the members for consideration, or which it is deemed advisable b}' the Chairman to place thereon. Subjects not listed may be considered, but affirmative action thereon shall not be effective until approved by absentees, provided that failure to respond upon the part of any absentee within ten days from the date of the Chairman's notice, shall be construed as an affirmative vote. i2th, Divisions with Lines not members of the Association shall be subject to Association agreement and control. Divisions between Association Lines shall be made a matter of Asso¬ ciation record for the information of the members thereof. Divisions between Association Lines and their Proprietary Lines are not a matter of Association agreement, and the filing of same with the Association is not required. 13th. It is a fundamental principle of this Agreement that no individual action shall be taken by any party, hereto, directly or indirectly, whereby a departure from an3' of the rates, rules or regulations, that may be fixed by Association .action, shall be accomplished, except as herein provided. 9 14th. In the event of failure on the part of the Rate Committee to agree upon or adjxistj by arbitration or other means, any question that directly concerns two or more members, the dis¬ agreement shall be,upon request of any member, certified by the Chairman to the Executive Board, and he shall call a meeting of that Board to consider and determine the action to betaken. Pending the decision of the Executive.Board, the Chairman shall rule upon the question, and his ruling shall be binding. 15th. If the Executive Board fails to reach an unanimous agreement upon any difference between members, referred to it, any member thereof may exercise individual action, by giving ten days' notice in writing, signed by an officer of rank not le.ss than Vice-President, addressed to the Chairman of the Association, before adjournment of the meeting at which the matter of difference has been considered, setting forth distinctly the change or changes proposed to be made, provided that .such action shall not change the established Association differentials. Should a quorum fail to respond to a call of the Chairman for a meeting to consider a difference between members, within thirt}^ days from the date of adjournment of the Rate Committee, any member may exercise the right of individual action with respect to such difíerence, by giving notice as prescribed herein. , .... 16th. Without unanimous consent, no change in differentials via Gulf, on Atlantic-Sea¬ board traffic, named in Association record under Subject No. 781, "Rates from Seaboard Terri¬ tory via Gulf.—Application of Insurance Differentials.—New York Meeting, April 25111,1894," shall be made, by the operation of this Agreement, to become effective before ninety days from the date of the decision designed to effect such change, by arbitration or any other agency provided by this Agreement. 17th. Nothing herein contained .shall have the effect of preventing the Morgan and Mallory Steamship Eines from meeting outside water competition between New York and other Atlantic ports, and Homston and Galve.ston proper, as they deem best, immediately submitting their action and the justification therefor to the Chairman. isth. Thé expenses of the A.ssociation shall be apportioned fairly between the Eines by the Chairman. 19th. This Agreement shall take effect July ist, 1894, and shall continue thereafter, subject to ninety days' written notice of a desire to withdraw therefrom. In the event of the withdrawal of any party, others shall have the right to withdraw on the same date, by giving written notice at any time prior to expiration of the notice aforesaid, but such withdrawals shall not relieve any •party from participation in contract obligations assumed by the As.sociation previous to .such notice. 20th. The parties .signing this Agreement are empowered to, and do, pledge theimselves and the Companies they represent, to its ab.solute maintenance. 3 THE MISSOURI PACIFIC RAII.WAY COMPANY, ST. LOUIS, IRON MOUNTAIN & SOUTHERN RAILWAY COMPANY, By TEXAS & PACIFIC RAILWAY COMPANY, By. : * 1 Í SOUTHERN PACIFIC COMPANY (ATLANTIC SYSTEM), By. ■ ATCHISON, TOPEKA & SANTA FE RAILROAD COMPANY, MISSOURI, KANSAS & TEXAS RiVILWAY COMPANY, By- - - ST. LOUIS SOUTHWESTERN RAILWAY COMPANY, By» ST. LOUIS & SAN FRANCISCO RAILWAY COMPANY, By...» » KANSAS CITY, FORT SCOTT & MEMPHIS RAILROAD COMPANY, CHICAGO, ROCK ISLAND & PACIFIC RAILWAY COMPANY. By-™ ... NEW YORK & TEXAS STEAMSHIP COMPANY, THE CROMWELL STEAMSHIP COMPANY, By» 3 5556 042 481630