Evening star. [volume] (Washington, D.C.) 1854-1972, 1910-04-05

|
| course that would not be fair except TO
include as one element in calculating the
| average. Kingston. n. Y. was stated as
% cents per thousand. while the average
price. correctly determined. was 81 10
Columbia. Mo. they had down as ~
| cents. because under certain circum-
stances certain amount could be sold
| for co cents. but the average price was
80. Then. again. Escanaba. Mich. was
down at 80 cents. while the price was
| $1.1211 Detroit. Mich. was stated at so
cents. when the average figure is 50
| cents. 1 merely state this so that you
| will not allow those low prices to mis-
i lead you.
Mr.. Cary-Don't you believe that the
Washington Gas Light Company could sell
gas at sixty cents and make an honest
Mr.. Humphreys-What do you call an
| honest profit?
Mr.. Cary-More than per cent.
| Mr.. Humphreys-On the actual invest
ments, no, l do not. Nor do 1 think that
would be a fair return, & per cent on a
business of this kind
! Mr.. Rothermel-I understood you to say,
Mr.. Humphreys that the earnings of the
gas company here were s647.oOo.
| Mr. Humphreys-Yes. sir.
| Mr.. Rothermel-What did you say the
capitalization was9
Mr. Humphreys-s26 100000. plus 1890.
CO., plus in round figure 100000.
| Mr.. Rothermel-How much is that?
] Mr.. Hunlphreys-$5.S 100000.
Mr.. Rothermel-Now. then. on that they
have net earnings of $4,000.
| Mr. Humphreys-Yes. sir.
| Mr. Rothermel-What does that s., 500,
coo represent?
| Mr. Humphreys-Just what it says here
| referring to statement. document No.
$3.50. 1t represents the actual capital stock
Of 81, 100000. then dividend certificates of
indebtedness of s.. 100000, representing. no
doubt. surplus earnings. and improvement
| bonds of $5gs. 7OO, which I called in round
| figures 100000.
| Mr. Rothermel-Are the betterments in
cluded in that?
Mr.. Humphreys-Some of them are, yes,
| sir.
Nh Rothermel-Just enumerate them,
please?
Mr. Humphreys-Do you mean by tell
ing you whether this
| Mr. Northumberland betterments do
you refer to?
| Mr. Humphreys-I refer to it in this
way: You would have to make an ap-
praisal as l have made. of the plant as
a whole and then make a comparison be-
tween the assets as determined by that
Appraisal and the securities issued
| Mr.. Rothermel-But is the plant. the
entire plant, Included in that: the value
of it?
Mr.. Humphreys-In the figures that l
| have given you?
Mr.. Rothermel-Yes.
| Mr.. Humphreys-Are you an account
| ant, and are you looking at these figures
| in the same way that l am looking at
| them?
| Mr.. Rothermel-Just answer my ques-
ton, and that will be all right.
| Mr.. Humphreys-No; not included. and
| it is not all right. 1 am not trying to
bubble, but / am trying to make state
| ment that can be understood.
Mr. Rothermel-how are these amounts
| for services-these connections made
| with different people. are they included in
| that?
| Mr. Humphreys-I will tell you in a
| moment.
| Mr.. Goldsborough-I think so; l think
| the services are included.
Mr.. Humphreys-My recollection is,
| however Mr.. Goldsborough, that there is
| a difference. Part are included and part
are not.
Mr.. Hazelton-I object to this. This
| witness is being tested as to what his
personal knowledge is. and do not think
Mr. Wiley-I think the members of this
committee should be permitted to ask
such questions as they choose. l do not
propose to have any outsider come in
here and tell US what we shall do. and
you will oblige me, Mr.. Hazelton. by
sitting down.
Mr. Hazelton-But when he is being
tested as to his personal knowledge. I
think it is fair to have him answer in
| stead Of having MIR. GOldsborough come
in and aswer for him.
Mr.. Rothermel-I wanted to know
whether that was included in the S.
10000.
Mr.. Pearre-Mr Goldsborough says that
it is.
Mr.. Humphreys will tell You just
hew much service is included. At the
time this report was made
Mr.. Rothermel-When was'that?
Mr.. Humphreys-At the end of 1907
there was $3.50. coo. for services. money for
services put in by the company
Mr.. Rothermel-But the property own
ers pay fer that.
Mr. Humphreys-Not in all cases
Mr.. Rothermel-But 1t was testified to
that the property owners pay for that.
Mr.. Goldsborough-In part. but not al
together.
Mr.. Rothermel-What proportion?
Mr.. Goldsborough-I could not tell you
fer to the case of the gentleman who
testified here the other day and who
| stated that he paid $685. l have the ig-
ures, and he paid $25. and he paid pre-
cents a foot for the pipe. When / come
to that matter 1 think l can make it
entirely clear to the committee that it
| was proper charge.
Mr. Rothermel-Now, you say that the
dividends were IL per cent and a frac-
| ton?
Mr. Humphreys-I think so; yes. sir
Mr.. Goldsborough-Not dividends, but
| earnings.
| Mr.. Humphreys-Yes; earnings, not
| dividends.
Mr. Rothermel-Eleven per cent on their
investment.
Mr. Humphreys-No. sir. I distinctly
! stated my figures, and l left no oppor-
| tunity for misunderstanding as to what
amount this II per cent was figured on
| 81, SOC, 600 plus 81 600, 600 plus 100000
Mr. Rothermel-Then what is this IL
| per cent and a fraction?
Mr. Humphreys-On those securities
Mr. Rothermel-On the investment?
Mr. Humphreys-No, sir.
| Mr. Pearre-YOu must learn that what
| Mr.. Humphreys stated as capitalization
| is not always what the capitalization is
OF course, an ordinary man would
think that that is the capitalization.
| Mr. Humphreys-Now, we are all try
| ing to get at the truth. Take this
! Mr.. Pearre-I think. Mr.. Humphreys.
| that you are very much better prepared
gentlemen. You seem to have oppor-
tunities for defending your opinions that
others have not had.
Mr.. Humphreys-I am not prepared in
| this case to
Mr.. Pearre-Am correct, that you are
employed by the Washington Gas Light
| Company to make this presentation?
Mr.. MISUNDERSTANDING.
Mr.. Pearre-I just wanted to know
that.
| Mr. Coudrey-In regard to the cost of
| laying the pipe does 1t not cost more in
climate like that of Milwaukee. where
there is deep frost line than it costs
| here in Washington?