The Washington times., 1907-07-19
Georgetown Company
Asks TO Increase
Its Capital.
Request Will Be Heard
by Justice Ander-
son Monday.

A question Of special interest to all
the residents Of the District will be
brought up on Monday when Justice
Anderson. in the District Supreme Court.
holds a hearing on the petition Of the
Georgetown Gas Light Company to in
crease its capitalization from $4,000 70
100000 or TO such an amount as the
actual cash value OF it's plants and the
cost Of extensions and enlargements
may be shown to be.
Whether or not the residents Of the
District are justly and equitably en-
titled to a material reduction in the
price of gas is the vital question in
volved. and these court proceedings may
reasonably be expected to throw some
light on 1t. and may be the starting
point of the final solution of the ques-
ton. If the petition Of the Georgetown
company is granted by the court. it is
generally expected that similar petit
ton will be filed by the only other gas
company doing business in the District
the washington Gas Light Company.
Actual Value to Be Known.
In this case, the actual financial son-
dition Of the two companies may be
publicly determined, for the court has
prescribed, in the case of the George
town company, In order to get at all
facts that ample opportunity shall be
given all interested TO submit informa-
ton TO the court. and this must neces-
sarily be the case in any succeeding
petition
If. by any chance, the petition OF the
company should not be granted and no
petition be made by the Washington
company, the public will still have an
opDortunity TO discover whether or not
it is paying too high figure for iIu-
minating gas. for on March = lAs1
President Roosevelt signed Dill te-
o1Iirinr both companies TO report 10 con-
gress detailed annual statements OF ulSII
condition, the first report, thet lot lle
year 1906, TO be submitted not Iater ILL., I'LL
fully worded that the information calleq
for would clearly determine in the nina
OF Congress whether or not the present
price of gas is too high
Assessed Value OF Property.
The total assessed value Of the real
estate. mains, meters, pipes, ETC. OF the
washington Gas Light Company for the
last hscal year was S1,6i6,7Si, and that
NJ the GEORGETOWN company, $SO-O4l AS
the District assessments are supposed 10
be two-thirds Of the actual value. the
total actual cash value OF THIS properly
would be 80 per cent more, or SS'4'"4Vl
and 500. So presumably
The commercial value may easily De
reckoned In the case Of the Washing- /
ton company the capital stock at the
present approximate market ptice, 80
has a value of $40. 4O5OOo. This. together
with certificates Of Indebtedness, makes
a total commercial valuation Of Sl3,OO,-
600 The Georgetown companys 8 COM |
rne-cial valuation similarly TeckOned. !
amounts 20 $40 600, making the condition
OF the two companies similar With re
spect To relation between physical and
commercial valuations. The difference
between the two c3asses Of valuations
must necessarily represent the value Of
the franchises. good will and earning
power, for which the people Of the Dis
trict of Columbia give the value.
Difference in Two Companies.
Although the Washington Gas Light
Company has increased its capitalization
several times since it's original organi-
zation in 1913. with capital of $500
the Georgetown company has never
since its charter was granted by Con-
Srcss in 1854 had it's capital stock dn-
creased, or issued any bonds. The only
other indebtedness OF the company now
Is In the form Of notes 70 the amount
of about 10000.
Why the Georgetown company finds IL
desirable now TO increase its capital
stock does not appear. for the petition
simply states that the company wishes
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