The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-03-23
THE DIRECT CABLE.

PROSPEROUS CONDITION OF TIE COMPANY
SPEECH OF THE PRESIDING OFFICER OF THE
sEMI-ANNUAL MEETING-LooKs LIKE AN
ATTEMPT TO BRIGHTEN OTHER CABLE EN-
TERPRIsEs.
LONDON, March %, 1878.
AT q meeting OF the Direct United States Cable
Company to-day tho Chairman said:-"when / last
had the pleasure Of addressing you Il the
casion OF the statutory meeting, when the recon.
structed company had been four mouths In existence
In the report issued at that meeting and the
marks then made the policy Of the Board
clearly as possible laid before you. 1t has been
strictly followed, believe. with entire success.
haycarly report and the balance sheet, which Is now
In your hands. There Is one circumstance which
should draw your special attention. We nave re-
deemed the prohise OF e1sctng saving In expenses
TO tho extent OF not as stated on the previous
occasion. but nearer $4,000 per snnum. II
will require few words TO show. that the
arrungene nts the directors made and which you
proved, give very satisfactory returns ami as tho
returns are based upon security much greater, say
company could possibly have enjoyed through
duplicate cable am hopeful that this nrst haIiyears
existence Of tae company Ia precursor Of many salts
factory meetings and good dividends 10 the share
holders.
DIVIDENDS ARE NOT STOP.
"You Will observe that We are continuing quarterly
interim dividends 1t the rate OF nve per cent per
and, II our cable should continue to work salislac-
toriy, shall nj the end Of tho financial year, hope
be able 10 ADD such an 10 the reserve and de-
clare such additional dividend Will be satisfactory
to tie general body OF shareholders Let me also
state that It forms part Of the policy OF your
directors 10 accumulate rs rapidly as pOssiboa good
reserve. This gives an increased value TO your prop
eriy and makes Us moro independent In our finances
in inc event OF accident occurring which might
entail considerable amount OF outlay. l think The
results before you compare most satisfactory with the
md lhav In thQ
In rescuing tho company from conditions which
suited In no return 10 It's shareholders
BLAME HAS BEEN HEARD
"Although have been blamed for the course
pursued-a blame which am glad say only cutuc
ally have been about the most abused, still We have
tho satisfaction 10 know that the arrangements
have been such as 70 increase the value
ally by giving greater confidence shareholders
without injury to the public Our cabs-that Is, a
short secton-is for the moment Interrupted. Tnc
steamer Brown Bank lett Halifax on the 10th INST to
repair the break, which occurred through y nshing
boat having dragged the cable. and the fault ~
shallow water It's repair Is expected 10 be effected In
few days. Our relations with other companies pre-
vent our losing by the Interruption.
CAUSES or TIE IArRRRuPrIoN.
'These breakagcs which are enliroly caused by
fishing smacks explain clearly that It was from slm-
that the cable was interrupted IN the earlier
period OF s existence when brsukaRcs were At
rbutcd desgn OF those opposed to the Direct Cable
Company but never believed there was any truth in
these i'm utations. This bias been confirmed by tho
experiences OF she last Two breakagcs In the mean
time our relations with other companies enable US
10 carry Tho traffic without any inter.
ruption, but while It known that
any section cable Interrupted sensitive Is
the telcgraphing public that Il Itself Instantly
olt IN our returns which are for the zine d,m,n-
ished, but which, from our arran gcAonts do not affect
income We scnt our traffic manager (Mr.
Fuler) different stations the other side OF
the Atlantic With view 10 investigate aud report
their efficiency and glad to Say have received
satisfactory accounts Of them.
WHAT TUE COMPANY DOING.
III am also glad 10 say that the arrangements we
have made with nc osnss cC"psps. eonn us 70 wor.
rights has arisen between your company aud the Do
minion Company, Of Canada, as 70 whether the old
tho agreement existing between the two companes
We are assured that position II apereosly legal
oil that the old company undertook DO We have no
doubt that this difference will be satts factory
tied The Managing Director Of tho Dominion
Company, believe, is now his way to England,
when, trust, a satisfactory arrangement will DO
reached Our relations wuh the Canadian aud Ameri-
eau governments have undergone no change. Our
policy 10 increase the rates 10 becoming better
Understood II IL by efecIng economy in The man.
q dividend and not 10 call upon the public for in-
ereesed tariff. II Is thus We hope to secure the sup
port and confidence OF the governments on both SIDES
Of the Atlantic
ENCOURAGED by GOVERNMENTS
81 satisfied that instead OF governments driving
cables from their shores they will rather hold out
every possible inducements TO MAINTAIN good and
hcient system OF international tclcgraphy. have
Away: HomSy o. '9 sS %sv am no.
strictly adhered TO. The throo shilling tariff gives
only moderate rcturn ana looking the
character OF the property Il ought to give larger
return than IL wish 70 draw special attention
10 this iaci In America there have been, Tor some
time, men who seemed TO maze profession OF obtain
Ing CONCESSIONS from the American government Tor
submarine cables, all such concessions being based
. one shilling tariH. Now, were cablc worked to is
worry utmost extent fullest carrying capacity aud
only moderate expense OF working allowed Tor Ut u
one shilling tariff, would only givc return OF about
twenty per cent per annum Your cable
worked W" as M, Is v now: ure exps pc being
cent NJ smiling tarif, ana doubt II any now cable
company would get more than their proportion Of
trafc SO that u concessions that being granted
are not at all likely TO be OF UGH moro value IMAM tho
psper which they are written, as doubt II any
body Of men, looking to tho results have named,
would tor one moment enter into any combination TO
lay another Atlantic cable.
NO AMERICAN COMPETITION.
'Thc Americans show great prudence IN not nnding
money Tor concessions. They Gun invest in their
own country money At much higher rates than ME
highest that paid by Atlantic cable conpanos, and
Loo not therefore suppose they are ~ all likely 10
enter into competition with US In finding money to
lay additional cables, also u Is pretty well known
in tho large capitals OF Europe that telegraph syn
acaos have not been very successful and that taero
cables now Ia the Atlantic equal 10 doing three
times the amount Of traffic that ut present exists
OTHER PEOPLE AWAY.
az think may safely say that all events until
the public require demand additional cables the
capital 10 lay them likely to be found ny outsid
ers TO take up American concessions which be
SO easily obtained IRON the American Legislature.
The public may satisfied that when It's wants do
mand increased tecgraphic facilities, companies which
are now successfully working the traffic will and
bles Tor any development OF traffic, however rapid It
may be- Let mo repeat that pollcy Is mainlui
friendly relations with the governments and With tele
grnph companies With whom We are IN correspond
cnce, and 10 meet the public requirements to
encourage traffic and Increase confidence: to effect
every economy consistent with efficiency, and thereby
secure better dividends Tor shareholders"
CHINA AND JApAN