The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1890-03-01
GREEN AND wANAMAKER.
The Western rnion President Gives the
Postmaster Some Points.


Postmaster Some Points.
WASHINGTON. Feb. PA number Of per
sons interested in postal telegraphy assem-
bled in the room of the house postoflice
committee this morning to listen TO DIR.
Norvin Green, president of the Western
Union company. Postmaster General
Wanamaker, with Assistant Attorney Gen.
eral Tyner, Gardner, Hubbard and repre-
sentatiyes of the different telegraph com
panies we're present. DR.. Green began his
remarks by discussing the merits and de-
merits of the European government tele-
graph systems. He said that while in some
instances their charges are lower than those
in the United States, they were conducted
at loss. He presented table showing the
domestic companies had 1900 stations and
over sixty million messages annually,
against 5,30O stations and l13,0p,0y0
messages in the rest of the
world. They had more than half of the
entire mileage Of the world. The Western
Union controlled ten-eleye uths of this
business. Its stock was held by $3.50 per
sons in the United States; l,1ii of these
were females. DIR. Green believed the
United States government had no business
with the management of the telegraph; il
could not be managed as cheaply, IL could
not do 1t better, and none of the scnders of
kilograms had asked for il. II WAS pro-
posed TO make q rate of half of the cost of
sending the messages, and the deficiency
would have 90 be made up by the 570O0,0OO
people who did not use the telegraph. The
receipts of the New York Office of the Wes-
tern Union included S700,0O0 annually from
ff.pl- aV.I A
class of telegraph users are stockholders
and speculators, and were those the people
who were to be protectedI Were those the
people in whose interest the people were
TO be taxedI IL the government wanted 10
go into the telegraph business IL should
buy the lines outright. Ii should not seek
TO fix losing rates for the existing com
panies; that would not be fair To the $500
stockholders. The Western Union would
need ns many lines Ms there were now in
existence 20 do business. Here was
scheme presented 10 go to Az postoilices
where there was free delivery, and where
there were abundant telegraph facilities
This was the way the postmaster-genera
proposed 10 supply the needs Of 5s,0000oO
people. This WAS the entering wedge of
the movement 10 break down the present
companies and establish n complete govern
ment telegraph, and against that he
protested. DIR. Green then made a COM
parison between The American and English
telegraph systems ind maintained that our
rates in reality, taking into account the
free addresses and signatures and the enor-
nous area of territory covered, were much
lower than the English low rate: yet 1t WAS
proposed TO reduce these rates arbitrarily
still lower. II would require u $40 miles OF
wire 10 supply single connection 10 the l37
places comprised within the postmaster
generals plan, and TO do the business prac-
tically would require at lerst 10000 miles
Of wire. AZ press contracts the rental of
this wire would be $3.G0O.OO. Whoever un-
dertook 10 do the telegraph business for this
system would do il at a loss.'
In this country there were moro telegraph
offices than post Offices; IN the older part OF
the country IL WIS fifty per cent? ,grcater.an
yet Great Britain Owne q both the telegraph
and post offices, Did that look as If theMest-
ern Union was not keeping abreast Of the
times. In North Carolina the Western
Union had telegraph Offices that did
not pay twenty-five cents in gross
receipts. AZ the AZ places named
in the postmaster generals plan
IA telegraph offices, the government owned
but 10i postoilce buildings; II WAS beoom-
ing a pnve question as tu whether IL now
proiited the Western lnion 10 continue its
NnIlIhtlH with INC fhllfOdu companies,
Originally they were the sources OF great
revenue. but now the railroad business was
increasing to such an extent that II was
doubtful II the telegraph company which
handled their business free, did not lose by
the agreement. The chairman asked how
much Of their business the Western Union
did in the free delivery citicsy
DR.. Green replied that about 30 per cent.
would have covered II. That business was
more largely speculation than the remnin-
der of their business, rs il would involve
the great money centres Of the country.
The chairman said that IL Was proposed
10 pay the operators out of the two-cent
charge for the postage stamps; be would like
TO know what The operating cost was.
DR.. Green replied that close estimate
placed II az , cents per message. IN cnses OF
long distance messages Il ran mp TO 8 cents.
The average compensation of hrst-cla6s
operators was SIS per month.
The chairman wished to know how the
rates suggested by the postmaster-gcneral
compared with the present rates.
DR.. Green replied that generally they
were two-hfths lower. In the case OF long
distance messages they were one-half
lower. The average message was twenty
one words. including addresses and sig
natures. II was preferable to continue the
system Of free addresses to secure accurate
delivery. Under the English system, where
the address was charged for, the addresses
we're cramped and messages failed indeliyery.
10 the broad question as 10 how the post
master generals plan appeared to him, as
business proposition, DIR. Green said that OF
course IL could be carried out. but the busi-
ness could not be done By the government
OF a corporation at a profit. and somebody
would have 70 make up deficiency.
Representative Cram wished TO know why.
II ths bill was impractioable, DR.. Green aud