The semi-weekly messenger., 1906-07-27
TELEPHONE c0EPAhr's SIDE
Figules Showing Its Losses and
Gains in the State
Rate of Net Earning on Average IN
yestment i 5 Per Cenf-Rsieigh and
Some Other Exchanges Operated at
a Los-Au but $4,000 Secured for
Wake Forest College Infirmary.
Messenger Bureau,
Raleigh, y. C, July y.

naleiSn, " T., July IL
I Figures that will be Of utmos. in
terest throughout the state are the
following which were put in evidence
| BY the Southern Bell Telephone Com
pany, as showing the gains or losses Of
| the company at its various stations
| throughout North Carolina
In the course Of the hearing Mr..
! Hoxey filed a number Of statements,
one Of which showing the earnings and
expenses by exchanges in North Car
| olina for the year ending March 81,
| 1906 being really a detail showing of
| the first general statement filed Nota-
ble figures by exchanges follows:
Davidson: Total revenue 81 $50 Il,
| total expenses s1,7s4.S4, net revenue
| s17410.
Goldsboro: Total revenue $13,0I5.3 SO,
! total expenses ss,740.1o, net revenue
s4,27552
Greensboro: Total revenue, $50 6679.S7
total expense s40,035.39, net loss s4,-
225.52
Hamlet: Total revenue s2,713.46, to-
tai expense s3,093.61, net loss S3S0.15.
Mt. Olive: Total revenue s3,143.93.
total expense s2,322.27, net revenue
sS21.1.
Raleigh: Total revenue s17,S12 60,
total expense s19267z7, net loss ST.
45467.
Rockingham: Total revenue S365.S2,
total expense $231.S6, net revenue
s133.36.
Statesville: Total revenue s4S3.55,
total expense s361.0S, net revenue
s122.47.
Laurinburg: Total revenue s605.55,
total expense s377.57, net revenue
s227ss.
Gibson: Total revenue s26e.02, total
expense S23596, total revenue $33.06.
Reidsville: Total revenue s6210.3S,
total expense s5,052.27, net revenue
S1,15S11.
Salisbury: Total revenue S12,731.35,
total expense $12,927S7, net loss s19S.52
Selma Total revenue S1.990.13, total
expense s2,1S3.62, net loss s19349.
Spencer: Total revenue s2,1S9.5G, to-
tai expense S2,54O.29, net loss s5496S.
Wilmington: Total revenue S4S,194-
$1S,315.3S.
WinstonS Salem: Total revenue $780,
1862, total expense $1S,993.90, net rev.
enue S7,4O2.59
Burlington: Total revenue SS,23409,
total expense S5,SS573. net revenue
s2,34S.36
Charlotte: Total revenue S60,24S.49,
total expense s37,34GS0, net revenue
$22, $500.
Concord: Total revenue S1,21111, to-
tai expenses s2.540.29, net revenue
$1,329.1S.
The first witness in the telephone
hearing before the corporation COM
mission this morning was Mr.. N. B.
Spier, district superintendent for
North Carolina and South Carolina.
Mr.. Spier testified that the elements
that enter into the computation of an
exchange rate are climate, altitude,
density Of population, area of city,
character Of the system to be operated,
size Of subscription list and charac-
ter Of subscription list. that is the pro-
portion of business and It sidence sub
scribers to the total list: but that even
with these elements Of the cOmDuta-
tion known a rate could not be COM
pleted with any degree OF certainty,
unless the records of the actual opera
tion OF telephone plants for not one or
two years but for seven or fifteen Or
even twenty years; or. in other words,
a term Of years sufficient to have COW
cred two or possibly three reconstruc-
tiOn periods.
Mr. Spier testified that the rates
charged in North Carolina are not
more than is fair. just and reasonable, |
for the reason that the commercial |
service is necessarily Of great expense
and requires the most careful and ex-
perienced operation. II costs more to |
construct long than short lines. It
would not be possible for the Bell Com |
pany to charge less rate in North |
Carolina for toll and exchange service |
and maintain plants, provide for re-
pairs and renewals and yield reason
able profits on the investment
Mr.. Spier explained the loss of time |
in long distance service, showing that |
the longer the distance covered and
Of loops required TO serve the
patrons the greater the possibility of |
loss of time by encounrering loops Of |
line busy. He testified that in furn- |
ishing a three minutes commercial
conversation seven minutes were re |
quired on the part Of the company TO |
furnish the service. This was an aver
age estimate of experience in North |
Carolina.
He said the rates in Raleigh ex-
change had lost s11 600 a year for five |
years A Mr.. Mcleod had made an
examination al the same tine for the |
city of Ashevile and his figures only
differed from those by the witness by
$400.
The statement shows average invest |
ment for the year s72o, 701 .05 exchange
property. $34s,134.34 toll property. to-
tai $1.06s, 1883. Exchange gross |
earnings for the year S1s2. 2.259.16. toll |
gross earnings for year SCI .9s7 60. to- |
tai $3.50, ,246.76. General expense $780, |
5e9.7. operating expenses Sol .9S2.9s,
maintenance expense $s7,S90.20, total |