The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-03-13
TEE CABLE WAR.
Tho following circular has been addressed by tho
directors to tho stockholders OF the Direct United
States Cable Company (Limited):-

The following circular has been addressed by tho
directors to tho stockholders OF the Direct United
States Cable Company (Limited)-
PALxERsroS BUILDINGS, OLD BROAD STREET.
LONDON, 4. e., Feb. ~, 1877. I
SIR-ln pursuance Of the policy which has tor some
time been directed against The ndepc nden existence
OF this company the Ang!o-Amercan Company has
declared by lowering their tariff 10 one shilling
per word This company has no alternative but 10
follow this example, and the tariff OF the Direct United
States Cable Company (Limited) will accordingly DC
reduced shilling per word from the LIST OF March,
1871
Tnc circular in which the Anglo American Telegraph
Company communicate this resolution to their share.
holders contains only one paragraph which 1t IS neces-
tor to notice, inasmuclf as IT nputcs to this
company bad faith Ia having granted rebates TO GUS
TONERS.
In answer to this allegation beg to quote the fol-
lowing letter from Mr. Weaver 10 the managing drec-
tor OF this company, dated the 2'sh OF November,
1875. by which you Will REQ that the allegation oil bad
faith Is once Tor ali disposed OIL
ANGLo.AMERrcAN TELEGRAPH Co. Qimitod).
rs oIp Broad aTnnn LoSnos g. Nov ~ $50
directors communicated to mo yesterday by verbally
missions ccs &C.. packers press public.
which would practically nave the effect OF REDUCING any
Two companes and in force since the 9th inst
told you BY word mouth. this dee-
being persisted H. the tariff Of tins company win be re.
1876 or from sucn earlier period as my Board may deem
Desirable al" my ''" W%vh IS Gs"sral Manager
q. voY CHAUvIN, ESQ., The Direct United states Cable
The statement that the system OF this company is
''vicious one will probably be considered by The
sharcno dcrs sufficiently disposed OF by the that IL
has made competition So formidable as to provoke
the deterni nation OF the Anglo-American Company,
which is announced in their circular
| | requested TO advise the shareholders not to
yield to any ceing OF pauic which might be evoked
a temporary depression in the market price OF
valuable property consequent this decision. They
may be assured that the Will watch over their
interests with vigor and decision
1t must be borne mind that In order TO compete
with company which has the right Of all messages IN
England France and Germany not specially directed
to be sent by this companys lines, and which has
nection with the largest American company tho
other side, small outlay Tor gathering messages
must necessarily DC incurred.
As TO the statement that my company affords ac-
ties favored class OF customers which are denied
the general public, am To inform you that, ASIA mat
ter Of fact, allowances made only when messages
are gathered by agents.
In January, 1877 traic OF fl5 600 these allow
ances amounted to less than ESQ, and this Is about
the usual proportion.
! The constant growth OF traffic. which has now
the Atlantic Is clear proof that tue pubic do not
share In the opinion OF the Anglo American Com pany
that the proceedings OF company either impo-
| tic unjust
Ny directors OF opinion that their ID due
TO the efficiency OF our service and 10 the TACT that
they do look upon the entire message sending pub
lie exclusively created and existing Tor the benefit OF
cable but that they do their best alording such
rcasonab bic facilities consistent with far
turn tho company's capital, TO foster the OF
the cables.
am, SIR your obedicnt servant
CHARLES $. CLARKE, Secretary.