“During the same year there were carried 4,336,259,864 pieces of second-class matter, newspapers and other periodical publications, averaging 3.33 ounces a piece, or 4.8 pieces to the pound. The cost of handling and carriage was $80,791,615.03, or a _little less than 9 cents a pound_, while the postage return was only $10,607,271.02, leaving a _total loss of_ $70,184,344.01. “From a review of the rates provided for the several classes of mail, it will be observed that in comparison with the cent-a-pound charge for second-class matter the rate on third-class matter is 700 per cent. higher; that on fourth-class matter 1,500 per cent. higher, and that on letter and other first-class matter 3,100 per cent. higher. While it is true that _the expense of handling and carrying second-class mail is less than for any other class_, due to the size and weight of single pieces, to relief from the cancellation of stamps, and to the fact that a considerable part of the bagging, sorting, and labeling in the offices of origin is done by the publishers, nevertheless a charge of 1 cent a pound covers but a small fraction of the actual cost.[6] “The present self-supporting condition of the service is made possible only by the fact that other classes of mail, _particularly the first-class, are excessively taxed to make up the loss caused by the inadequate charge on the second-class_. This will be better understood when it is noted that although first-class matter comprised during the fiscal year 1910 only 13.4 per cent. of all the revenue-producing domestic mail, it yielded a net profit of $68,004,156.73, while second-class matter, comprising 65.6 per cent. of all the revenue-producing domestic mail, yielded but $10,607,271.02, leaving the tremendous loss of $70,184,344.01. Thus the deficit caused by the heavy loss on the handling and carriage of second-class matter was greater than the profit obtained from first-class matter.” Mr. Hitchcock here made a plea for equalization of the rate on second-class matter on the ground that it would at once make possible the reduction of letter postage from 2 cents to 1 cent an ounce. This reduction would come about from the fact, he said, that the present profit in handling first-class matter was approximately equal to the loss sustained in the transportation of second-class mail. Mr. Hitchcock said, however, that he did not believe that the rate for second-class mail should be at once advanced to where _it would cover the cost of handling and carriage, although that should be the ultimate end in view_.