The morning times., 1896-02-13

you may charge S1.5o for your gas?
Mr. McIlhenny No, sir.
The Chairman-Thc last law on the stat
ute books fixes itat So so.
Mr.. misunderstanding was the last re-
duction made by law in the price of gas
in the District?
Mr.. McIhenny--I cannot recall that.
Mr.. sands-April IL, 1874.
Mr.. Harmer-What per cent of your con-
sumers pay $3.50 for their gas?
Mr.. McIihenny-About Per cent of them
pay 81 so. That, of course, would be
matter of reference to the books. 1t is
very small proportion of them.
MIR. DODGE ANSWERED..
Mr.. Dodge, tie first speaker, comes here
and tells you that Congress is holding the
people and the gas company is robbing
them. OF course he says, he acquits the
Officers of any such charge as that. l
would just like TO state TO you that there
are 26,600 gas consumers in this city. The
government and the District pay about
$4,000 for all the nghtth they get here, and
the people pay about $3eeD00 altogether.
About 1000, we will say of these people
are large consumers, but the other &c, 600
do not pay an aycra ge ofover eight cents
a night for the gas consumed in a year.
If that is an extortion, if that is Iobbing
people, do not understand it. There is
nothing that they buy in this District as
cheaply as they buy gas; 90, 200 of these
consumers out of &c, 500 do not pay over
eight cents night for gas the year round
about $32 year.
The stockholders OF this company, too,
are nearly all in this District. There are
about $50 stockholders in the company.
The large majority OF them are In the Dis
trict or in the city of Washington, and they
are small holders. 1t is true they have re-
ceiyed their returns for their money, fig
ured upon the face value of the stock but
when you come 10 consider that nearly all
those holders of stock have bought the
stock at between 40 and so, they are not
getting over four and a half or four per
cent. bought the stock that toid at 90,
and realize out OF a ten per cent dividend
on it four per cent.
AS TO DIVIDENDS.
The Chairman-What was the entire divi-
uNiih puih III 800 oub VI thC VI
that year?
Mr.. McIlhenny-I cannot tell. I think
there was an extra dividend paid. but
even at the price at which / bought my
stock / would only be getting 10 per cent
on it, and it may be many years before
there is another extra dividend.
The Chaiunan-You say there was an
extra dividend paid?
Mr. McIlhannv-YaS Sir
The Chairtnan-When was that paid?
Mr.. Mcnhenny-Mr. Leetch can tell you
that exactly.
dend?
Mr.. McIlhenny-I have forgotten exactly.
What was it, Mr.. Leetch?
Mr.. Leetch-It was three or four dollars a
share.
share, you say?
Mr.. Leetch-Yes, sir. l am not sure
whether ii was So or S4.
Mr.. McIhenny-I Will state TO the com
nittee that the stockholders living in this
city are far larger constituency than the
associations represented by these gentle
| men who come here to address you.
s~The Chairman certainly think that if
company of this kind l should be able 10
| remember what il was.
| Mr.. Mcilhenny-I have forgotten exactly
iThatIt was. Mr.. Chairman.
! Mr.. sSands-If you VIA permit me Mr.
HrfhSsny having zEtagsad th;tt last year
about 81 100, 600 was pau TO the com
psuy for gas consulted. il he can tell what
! proportion OF that aIIdunt was consumed
| of
| can get at the atnountof fiie dividend.
Mr.. McHhenny-M -Mr.Ieeteh is prepared
to answer all those questions. 1t is un-
fortunate sometimes fnr people TO have
| property in this condition.. The money of
the people who hold the stock OF the Wash
ington Gaslight Company9fs just as i'm
| portant TO them as If they had it in a
house or lot. 4 greaLmally of them look
forward to it from y:rar ato year, and if
you reduce the price of gas or introduce a
new company you wiz be sure TO destroy
the value of this stock. The price of gas
has reached the point now, considering tho
cost of producing it, which necessitates re-
| duced dividends.
VALUE OF STOCK.
Mr.. HuHck-What is the market value of
| your stock today?
| Mr.. McIlhenny-I think it is about IS
today, according to the newspapers.
Mr.. Riehardson-$45 for a $40 share?
Mr.. McIlhenny-For $50 share; yes, sir
Mr.. Hulick-To what extent has the orig
inal stock been increased, if at all?
Mr.. McIlhenny-I think the original stock
was about $500 ,0Go, and it has been in
creased to SO 100000.
Mr. Sands-The original stock was $50,
600.
Mr.. McIlhenny-That was when they first
| started.
Mr. Hulick-Why was it increased?
Mr.. McIIhenny-It was increased to keep
pace with the growth of the city. In fact
you viii find that it takes great deal OF
the earnings of any corporation like this
who have to borrow money, to keep pace
with a growing city.
Mr.. Hulick-was that increase actually
i'll money invested in the plant?
Mr.. McIlhenny-Yes sir; all of that stock
Mr.. Huick-Then am to understand that
there was no watered stock put in it?
Mr. McIlhenny-No, sir; not a dollar
That has been stated here very often. but
it is not true There was no watered stock
in this gas company. II has been stated
here also that the method of making gas
was by putting oil into it, and that that
could be done very cbeaply. The fact is
that the oil gas costs as much sthe coal gas
to make, and the reason Oil was used was
that the residuals could not be sold here
in Washington. That was the first mo-
tive that induced the company to go into
making coal gas. Coke was not salablt
here. Tar could not be disposed of.
These residuals, and the ability to dispose