New-York tribune., 1873-01-18

10 per cent on their capital HIS own conpany "ou oo
"s Mr Haeyon wond adopt the same rates as those
proposed in the Hubbard bill and ask no nigher
| tee than per cent?
Mr.. Thurston-We would. - ,hor vo,, sneak of
The Chairman--what de you mean wnen you spe"A VI
Mr. ThurstonI six per cent on the "hoo ooS' VI
our line, with no watered stock , ,,..t,,oo tho ex-
The ChaiYnan-please state 10 the Coiniht'S" '"N -
tent OF your lines, and what was their cost @, panl
Mr. Thurston0ur lines run north,wesIp sIpbpadeInha NJ
and baltimore and TO st. Louis They run uP % ni
down the Mississippi River from 81 iou ndinc ~ from
Chicago 10 Pittsburgh whence they branch 10 Ine
principal Eastern cities that have named Ihey slso 10
exend from Pittsburgh Cincinnati and run d0%n 70
New-Oreans by way OF Louisville. Nashville ana Mem,
phs In round numbers we have 1000 miles a Sa e n and
that amount OF has been issued That amount as
can figure IT, Is as small sum ma s nse sTn al II" sed
for cash. at par and 1t has netted us that sum- es co
missions and expenses in placingit our maters % were were
all bought at the lowest market price 9r CASH h t
has done in the same manner ana the he hts
us Al 9s2 OOO IL Ia possible that under other crcuh
stances line might be built for less.
The Charman-When was your line builtf ~ - .
Mr Thurston-Our line has been built from 1866 mp 10
the present time.
The Charman-Is It costing less now than at first
Mr.. Thurston-No Sir about the same. Wire Is mucn
The Charman-what rate per mile does IL cost youi
Mr.. Thurston-The whole 5000 miles OF line nave cost
ali the expenses 1t includes the purchase OF rights OF
way We paid in case $e5OOO for one right Oh way
It includes all travelling incident to procuring
rights of way and all the expenses OF company IN ex
stence for six years, during which time we have Deen
steadily constructing lines. We have not Deen ouiiuS
The C6arman|How was it that you had to buy rights
of way Doyou not go upon lines that are ueciAfeu
Mr. ThurstonG-Generaly we do but in all cases we
had to fight our way and found 1t cheaper to Pur
chase certain privileges from railroad companies tnan
10 20 through lawsuits. came TO washington "a iew
General ON the rates to be xed BY the Government for
the transmission OF It's messages. ne eeq aa ed s Mr
Whiting, who represented the az .e
He said. Yes most certainly, It accepted on the
mart of yonr COMPANY" said want TO ask you one
question IL Does tS he He sd CERTAINTY said
"We ar the present time hands being tied we are
az az oraons onr right of way being contested by the
NeW-Or+eans and Jackson Railroad Company on tnen
road They have sued us, cut down our pOles anu re-
fsed 70 carry onr materials and have charged us with
heinG common trespassers. wish the Government OF
tract and compel that Company give right OF way
and proper transportation under that act ne uecnneu
10 do IT, or TO express any opinion on the subject men
tion mis- 10 show that that is all the benefit we have de-
rived nnder the act OF 1885, whereas, on the other
for ono time nj rates that are absolutely loss TO us
OF one-haf We found it cheaper TO buy rights OF way:
Mr. Hale-You say that you have not been extending
your lines for the last year. Why Is that -, -
Mr.. ThurstOn-OD very simple principle OF gOou
business We have money, and we never run III deOt.
Mr Hae-You extended your line to the point that you
found IT profitable TO do so = H. g.,
Mr. Thnrston-No Sir. We could extend our line FUR
ther and make 1t profitable The fact Is telegraph line
must reach continually into new territory IL Is 70
line with any profit upon isolated roads. You must nave
h so as accommodate all customers The business OF
telegraph line somewhat like the business OF large
grocery dry goods house IL has lts regular
very small amount of ts business Is derived @ rom rom
lar custOmers-men with whom we have TO Keep an
account, and TO whom we render bnls al M Mthe
end of the month. The transient business, the
mere message OF the man who may como In to-day
10 send n message, and whom we may not see again
sary for us 10 have as large connection as possible
with the business ceners OF the country This line OF
the drec: ceners OF trade with little expense as pos
sibe. 1t up at the close OF 1865 vita view OF
making a competing line with the Western Union Teie-
graph Company, which was at that time a monopoly.
The stock OF our line was taken ptihcpaly Dy ine, t
ting up cheap teegraphng The stock has not been on
Mr.. Hale-You do not propose now to extend your
lines further have arrived at about the extent you
desire 7 . 49,,
graphing was not pending, should probably extend
our lines much furtherthat is we should I'LL in the ter
Mr. Pamer-You spoke Of the Signal Service business.
Are you doing any portion of 1t now
NJ phnrstonAfes ssat afse ratss Por'i0n 0i !"
word on gwen circuit as designated by signal OH
GERS which circuit in contradstnction to the circuit
as designated by the Postmaster-GeneraL
Mr. Palmer-Can you tell what the average length OF
circuit isl 81 ,.,. - ,
Mr.. Palmer-It is the same, substantially, as IL has
Mr. Thurston~No Sir one circuit is from Cincinnati
TO New Orleans for which we get 80 cents message
from the signal Service and for which charge the
public 81 50 per message and do not make money at
The Chairman-Please state to the Committee the
amonnt o real estate Offices and the like held by your
Company You have stated the cost Of the Line, and
suppose that includes real estate
NJ Thurston-I meant the cost Of the line and equip
The Chairman-Did you include the offices in your
Mr. Tnurston-I include the equipment of the offices.
The Chairman-Your statement OF about s2,oO0OOO in
nd IL a
pany "
The Chairman-What is the average number Of wires
Mr.. Thnrston-From New-York to Philadelphia we
have Ave wires; from Philadelphia to Pittsburgh we
have three wires from Baltimore to Pittsburgh two;
from Pittsburgh to Cincinnati three; from Cincinnati to
Chicago, two; from Cincinnati TO New-Orleans, two;
from st. Louis Paul, two; from ST. Louis, by way
OF Terre Haue to point the Chicago line two 1t Is
two wire line with the exception Of about $50 miles,
Mr.. Hale-How do your rates compare WIN tue rates
of the Western Union Telegraph Company between the
MT Thurston-They are the same at present;
Mr.. Hale-HOw long has that been the easel
Mr. Thurston-since the first of May
Mr.. Hale-How were they beforei
Mr.. Thurston-They were the same between the same
Mr. Hale-why did you say since the first of Mayi
Mr. Thurston-Becauss up TO that time they not
precisely the same There was little variation in the
up 10 the first Of May At that time there was an
advance OF rates. Previously TO that the rates varied
Mr. Hale-since the first of May your Company and
the western Union Company have had the same rates
Mr.. Thurston-Yes Sir. The rates that we have now
the which the Company which represent es-
tablished when we first commenced business they are
about half the rates which the Western Union Com
pany charged before then After our line was OF SUI
cent length that they found 1t able to interfere with
their business they reduced the rates which we mad es
tabllshed fully onehalf. That competition went on Tor
three years. and OF course money was made oy the
Companies IL q losing business. BY an agreement
between the Companies the rates were advanced on
the first May last but only agreed TO put them
back 10 the point at which we first started
The Chairman-Are your rates the same now
Mr.. Thurston--Yes
The Charman-Is there any other relation between
the companies beside the one you nave mentioned
such ownership
Mr.. ThurstOn-No, Sir.
The Chairman-No combination in work
Mr.. ThurstOn-No Sir.
The Charman-Are you in combination with any
other telegraph linef