Evening star. [volume] (Washington, D.C.) 1854-1972, 1907-12-11
". U. 7. DIVIDEND DECLARED
DIRECTORY MEETING TODAY
MR.. CLoWRY COMMENDED,
Report by Head of the Company Elk.
plotting Its Financial Status and
Story Of the Recent Strike.

| NEW YORK. December 1.-THE direc-
tors of the Western Union Telegraph
company today declared a quarterly divi-
oend or per cent, payable in stock
OF the company. The company has ST.
6'o'oo0 of unissued stock and the divi-
dend will be paid by issuance of this
stock to the amount of dividend.
The board adopted the following reso-
luton:
Resolved, That the appreciation of the
board of directors is due to Col. r. c.
Ciowry and the executive officers of the
company for the tact. discretion and pru-
dence with which they treated the situa-
tioh arising from the strike Of opera
tors
The net revenues for the quarter to
end December 81 are estimated at 81 900 =
ooo This is S650,0S7 less than is re-
CURED to pay the interest on the bonded
oeot and the usual dividend of IA per
quarter ended September 80, 1907, also is
noted. After paying interest on the
bonded debt and the issuance of the new
stock for the dividend the surplus bal
a an OF the company is placed at s14,-
2"3'll2 This is a decrease of s2,611, $50
as compared with the surplus of July 1
last.
On the subject of the strike of oper-
ators the report of President Clowry says:
In consequence of the confusion aris-
ing from the telegraph operators strike,
which began early in August last and
ended November Z, reports and remit
tances from the offices throughout the
country have been greatly delayed. and
accounts have not yet been fully made
up.
THE strike extended to all parts of
the country, the aim of the strikers being
to force the company to recognize and
deal with the teegraphers' union, main
tain a closed shop and thus practically
transfer the management Of the business
to the officers of that organization. For
some time previous to the strike many
of the operators in the company's en-
mission of traffic, handling 25 to 40 per
cent less business than that now handled
by loyal employees of the same ability
on similar wire circuits.
Loyal Operators.
"a sufficient number of loyal operators
remained in the service to move the de-
their posts. The ranks of the loyal oper-
ators were gradually supplemented by
additions to the force: the strike was
completely and thoroughly defeated and
such strikers as were restored to the serv-
ice were accepted on individual applica-
tions and with the distinct understand
ing that in the future they must be single
in their allegiance to their employer.
Sufficient returns have been received
from the offices by this time to show that
the revenues of the company wei re greatly
decreased during the strike, and owing to
the depression of business, which set in
~ ,k,,tlr Ill <I@ Il
crease has continued up to the present
The expenses of the company were largely
increased by the 10 per cent advance in
the pay of all operators from March I.
1907. This increase was voluntarily
granted to the operators without the
knowledge of the union. and Influenced d
large number of them to remain loyal in
the service.
The Loss of Revenue.
I'm addition to the loss of revenue
caused by the falling off in business
and to the increase in expenses caused
by the 10 per cent increase in salaries
a very large expense was necessitated
by the extra pay or bonus allowed
the loyal operators and linemen during
the strike, and by the cost of board
and lodging which were furnished free
to employees who ate and slept in the
operating departments or adjoining
rooms. These employees rendered heroic
service day and night during the strike,
and have all been retained in their
positions.
1.-The property of the company is in
first-class condition throughout the
country, the present employees are faith
full and efficient, and with the passing
of the financial depression our revenues
will rapidly increase.
Although it is believed as indicated,
that business will soon resume and
earnings become normal, nevertheless
in view of the present depression it
seems the part of conservatism not to
pay cash, but to make a dividend of
N per cent, payable in stock
LARGE INTERESTS INVOLVED.