Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1910-02-25

YOU give 1OI ten LlIleS LIdL SUN. Anu
we pay 5 per cent. dividends on our
stock and a little more. We have no
bonds.
This New York Telephone Company
is the most colossal robber of the g
notwithstanding anything that has been
said in its defense. As I have said
before, ten shares of stock were given
for every one held when the American
Telephone and Telegraph Company in
creased its stock not long e Mr..
Bethel knows, if he knows anything
about the situation, what I say is rue.
There is more water in the stock of
this corporation thar in any corporation
in existence. What have you got to
, show for your capitalization of $23, 000,-
900 in this State? Nothing but a few
wires and a few poles and a few build
ings. For less than one-half s2S, 000, 900
l could duplicate your whole system.
I know what poles and wires n tele-
phone equipment cost. l am in the
business.
IF a little company like mine can
furnish service over a territory forty
miles long, with hundreds of miles of
wire, at e. profit on a rate of $12 a year,
what of the rates charged by the New
York Telephone Company? In Jersey
City my telephone bill for a wire in my
office for two to use Is over $3.50 q year.
Maybe you can tell me what Mr..
Bethel was unable to; what is the cost
of a telephone Instrument" asked
Judge Heisley.
We used to get the Kellogg tele-
phone" said Mr.. Gebhardt, "the best
instrument that was ever made. The
Bell couldn't QUO it, had nothing that
was nearly as good. We paid $12 for
that. But the Bell sneaked around and
bought up an interest in the company,
and finally got control of It and stop
ped the manufacture of the Kellogg
phone. You can buy an excellent teie-
phone instrument for So each"
Mr.. S. L~eschziner, the Newark Broad
street real estate dealer, was the next
speaker. He said:
"I have had a contract with the New
York and New Jersey Telephone Com
pany for over ten years. That contract
called for unlimited service to cost $3.50
a year. Not long ago the partnership
represented by S. Lesch- .ner & Co. was
terminated and / wanted to ran for
a telephone for my new Office. / went
to the Office at 1872 Market street, where
TIL New York Telephone Company has
its name on the window, and applied
for a contract, saying I wanted I'M
limited service. 1 was told there was
no unlimited service sold and that /
could take limited service or nom at
ALL"
Mr.. Leschziner said that he signed
the contract for $22S a year as the only
course open to him. Then, turning to
Mr.. Bethel, who had spoken sneeringly
of him, he said:
II want to say to you that you can't
slur my reputation in Newark, or in
the State of New Jersey"
Mr.. Bethel attempted to break in
with a deprecatory remark. He hadn't
tried to 'slur." =
Eyes, you did," said Mr.. Leschziner.
But you can't do IL. 1t is true that my
complaint was what started this. and |
am proud of it. | went to h STAR
and put i'm an advertisement when ]
found that my service under the linn
ited-service contract would be SO linz
tied that ] simply couldn't do business.
/ tore up the contract.
81 thank heaven today that we
have In New Jersey one
that Is not afraid to speak out
against this corporation
Gustav Winkelhoffer, a minority
stakeholder in the Newark Telephone
Company. related the history of that
concern. He said:
THE Newark Telephone Company got
into operation late in 1895. 1t grew
rapidly and kept increasing it's number
of subscribers until we had over 1000.
Then the management was changed. A
| ntxF cot - NJ oArx. ,trn g e,td5oa1., Aa%
and the company Immediately began to
lose. The subscribers fell off steadily,
and have kept falling off ever since.''
Asked by Senator Alderman why
the subscribers fell off, he said:
Because the service was so poor UNI
der the new management
What was the largest number OF
subscribers you ever had?" asked Mr.,
Alderman.
"'Twenty-one hundred was the re-
ply. I'VE have lost steadily until the
present number of subscribers is about
1000. The conditions are so serious
that we are here to plead with you for
an investigation"
Mr.. Winkelhoffer said that there had
been no financial statement of the
Newark Telephone Company this year
but that in time past there had beer
such statements.
do you have conduits? ?" Mr.. Som
mer asked
yes. the Newark Telephone Com
pany owns nine and four-tenths miles
of conduits.'
Are these rented to another ON,
pany or c~ompanies?"
YES. | remember that it was stated
at this years annual meeting that tht
rental of these was something Xix,
s 81. 500. but no statement as to wht
: rented them was given. Formerly the
statement showed the rent of some o
them to the Western Union Telegraph
0 Company"
Have you been to the Office of TIL,
company this year," asked Mr.. Som
!, mer.
YES"
: Ibid you ask for a financial state
ment?"
"Yes.'
!, Ibid you get it?"
NO
What did they tell you?"
: ST was told that If the executive com
q mittee SAID ! could have a financia
statement / might have n 1t woul'
be necessary to get a meeting of til
committee before it's consent could b
g given and Won know what that means.