The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1907-03-27
STARTLING FIGURES
CONCERNING PHONES
Animal Report by President of
the Bell Companies Shows
Rapid Growth.

NEW YORK, March o6.-President
frederick p. Fish in the annual report
Oh the American Telephone and Tele-
I graph company, which has inst been is
sued, shows that the Bell Telephone
companies had n total Of 3,06s, ,s33 tele-
pnonc stations in the United States ut
inc inc END of the year 1906 as against -
, 2nSS,fIo stations at the close of 1905,
fe mere wore In use for the exchange and
Ioii service, 7,46S,905 miles of wire. Of
w,hich l,oSS,9S7 miles wcro added dur
/ ing INC year, these figures not includ-
ing the mileage of wire operated by
Sup,hcensee companies. In 1906, the
hei, companies handled a daily average
"t l9'9ao,oOo connections, or at the rate
81 toPo apout o,4oo,0oooOO per year, being
of telephone calls for each man, woman
ana child IN the United States. There
was expended by the Bell companies in
!ho united states, for new construction,
including exchanges. toll lines land and
DnnlloIngs, Si9.366,949 as against $50.
'ao'oo6 In 1905. The grand total of
expenditures upon the properties during
has been S29S,014 ,255.
Durlng the year, the Bell companies
IN tho United States offset the depre
cation, which would otherwise have
taken place in the value Of the lines
ana equipment, by eypending S32,SlA.-
2nS Tor maintenance and renewal of
planc This expenditure was indcpen-
aent OF that for new construction 1t
was made from the earnings of the
properties, and was charged to expenses
l ne report states that as a result of this
expenditure, the plant is in a better
condltlon than ever before. and could
not now he reproduced for less than
Niu,oOU,oUO in excess of it's cost Year
by year tho plant is becoming OF a
II.
All or II is now of type which need
not be replaced until it is worn out
throughout the country, the business of
the Sell companies is supported by
satisfactory plant good organiGa tion,
and good service.
Growth of the System.
President Fish devotes a portion of
the report TO a statement Of the WAY
IN which the growth of the system is
being provided for. lie says that in
the earlier stages of the system S de.
Veiopment, IL seemed consistent with
sound policy to assume rate Of growth
not greatly IN excess of that then pre-.
Vall1ng; but if, under present condi-
tons, buildings were erected and cen
tral olhce equipment installed sufficient
only for the business in sight at the |
time. 1T would not be long before they
became inadequate. In many cases,
they could be enlarged at au expense al. |
together out of proportion to the in
creased facilities gained, The same is
lrue even to created extent Of the |
l1nc construction whcih connects the |
exchange with the subscribers stations. |
For these reasons, the Bell companies, |
particularly in the last year. have built .
Tor the future as far as was consistent |
with sound economy They have pro-
vlded for growth that is sure To come,
and have not limited their construc.
ton 10 the business actually in sight
In line with this policy is the increa sed
use OF cables upon pole lines. made
possible by improvements in the cables
and securing increased maintenance cX-
Densc. The extent to which the COM
oanies have thus built for the future
S shown by the fact that $50 900, 600
IRE now invested in circuits in cable
hat are not yet in use, but all of which
POINTS out that adequate provision for
he future is made possible by systc-
matte engineering, and that engineer
ng of the kind now characterizina the
work is of great assistance to the com
,anles In meeting promptly and salts
.actoriIy the demand for good service.
Competitors Are Behind.
In reference TO competing indepen-
lent telephone companies. it is stated
nat, AS far as can be learned, they
're with few exceptions making no rel
tive gain; that comparatively few COM
'etitivc plants have been established
within the past few years, and that in
,estors are apparently less inclined
nan formerly to place their money in
hese undertakings.
In rccounting the financial opera
ions of the year. the report says that
he gross revenue of all the Bell com
'anies In the United States, taken as a
whole, and including Implications, was
ver Slll,0OO,000. These figures do not
include the revenues of The Bell com
amy of Canada, nor the Western Elcc-
ric company. In spite of the abnormal
nancial conditions, which involved un-
sual interest charges, the very great
Investment in construction, much of
which did not become revenue produc" |
ng during the year, and the high cost |
+ labor and material. the net returns |
rom the business as a whole were not |
educed, although there was not the in.
rease which would have been made If
he conditions had been more nearly
ormal, All things considered the fin.