The sun., 1910-01-22
POSTAL WILL GO IT ALONE
.nFaCKAY SAYS IT'LL BE INDE-
R.ENDENT WHATEVER HAPPENS.
Mrs. Mackay Win Him when He TestIfies
N before the Legislative COmmissiOn
--ThInks That n Public Service Cor
"a marathon should Make 3 Per Cent.


toint legislative committee. which is
trying to find out whether it is advisable
4 u put telephone and telegraph COM
hanies under the supervision OF the Pub
Be Service Commission, that the Postal
Nelegraph Cable Company is going to
/. Maintain its identity as an independent
<crporation. He added that he didn't
&ars whether or not the Postal was put
H0der the supervision OF the commits
4ton, though he somewhat questioned the
Fxpediency Of the step in the case of tele-
kfaph companies, inasmuch as only an
H(xkth of their business in done within
& Me borders of this State
4 IL took most Of the day for Mr.. Mackay
70 answer all the questions that Ephraim
D Page OF Syracuse. counsel to the COM
11sttee, put to him. Mrs. Mackay appeared
et the City Hall with her husband when
~ came to the morning session and she
S x4ayed as long a. he did. At the afternoon
3ession she sat beside Senator Davis at
I Ne presiding officers table.
Es This Is the emphatic way Mr. Mackay
X denied that the Postal contemplates
toining forces with the American Tele-
phone and Telegraph Company, which
fecently acquired control OF the Western
Enion:
Knowing the vital interest of the public
NJ the maintenance OF competition l wish
" make the statement that the Postal
"
Rom the time Of its organization in 1885
end proposes to remain so. IL has not
Z The slightest influence or control over the
american Telephone and Telegraph or
he Western Union Telegraph Company.
~ took no part in the recent purchase OF
NE Western Union Telegraph Company
Nj the American Telephone and Telegraph
Connpany and was not consulted and knew
13thing about Il until sitter 10 had been
Hrcomplished. The Postal company will
row have to compete with both OF them
KlEtead Of competing with the Western
NniDn alone. as heretofore. The recent
ttztenient tn the press that the change
~ name Of the Postal Telegraph Cable
/pmpany to Transcontinental Telegraph
EDfnpany ls a part OF the combination is
Wcorrect. Confusion has resulted from
1He fact that we have n company known
VI the New England Telegraph Company.
< while the Bell Telephone interests have a
fompeny known as the New England
IeIephone and Telegraph Company. with
which company we have nothing what
Aa.Et6f 10 do. We are proceeding now TO
change the name OF our company. the
New England Telegraph Company. TO
Postal Telegra ph-Cable Company, so that
tho business may continue to be done in
the Postal name.
With respect TO Mr.. Mackay's remarks
about the American Telephone and Tele-
u the stock held by the Postal IN the
& telephone company.
1t is the Mackay Companies which
hoid.the stock. said Mr.. Maclay. Their
holdings amount to 1900 shares
Mr.. Page asked IL the telephone COM
pnny and the Postal held any lines in
common.
yes said MIR. Mackay. They do.
For instance. six or seven years ago a
line was constructed between jackson
n villa and Tnuuna Hrhinh TnuAA
\ Jointly and which is used jointly by the
4 Two companies"
Mr.. Mackay said that the only arrange
nnent which the Postal has with the
pNsIy Tor the delivery and a acceptance OF
tlcssages was made at the Eeg1lar tele-
pnpne rEtes OF the latter corporation.
Reverting to the matter OF competition
between the two telegraph companies
Mr. Mnckay eaid that II the Postal
y1rs 70 be absorbed, reconstituting an
other ccmpeting company would be an
tDpoeBibtlity. The Postal Telegraph
Company will be the last competitor in
teiegraphy.' said he. -and when that
oompetition ceases there will be a choice
opiy between monopoly and Government
owmerehip." The Postal had been in
strumental in reducing telephone rates
frorn 20 TO SO per cent, and he intimated
thAs return 70 monopoly qight cause the
recurrence OF former conditions.
Mr.. Page asked MIR. Mackay what he
\ thought was a proper return for a public
/. service corporation TO expect ON its in
vesfmeut after having made due allow :
aAce for depreciation, maintenance sink
ing fund and other similar charges.
Eight per cent said Mr.. Mackay
without hesitation.
i, see from the schedule which has
h9tn handed TO me, went on MIR. Page,
that the gross receipts OF the Commercial
!, Cable Company amounted to g .22O, ,701
! Hrwr tho rRrinA Of tho 10 81 -
states proportion OF that was $4,000.
How do you arrive ct the proportion
lgit the amount OF cable within the borders
of the State as compared with that in the
ooeen7'
Mr.. Mackay didn't know and he was
I, not sure whether one could say that his
company paid taxes on cable laid ON the
bQttom OF the ocean anyhow. The Com
n1ercial Cable Company pays terminal
ckArges IN England and France, but as
70 New York he wasn't sure what the
basis OF taxation was.
Then. with an apology. Mr.. Page asked
/. MIR. Mackay what salaries he got from his
various companies
my position is unique. said Mr. Mackay
! Il don't receive any salaries at all
4 am q director in the various companies,
but get only the usual fees Of director.
When MIR. Page was through with
his Examination Mr.. Mackay invited
him and the committee to look over the
pient OF the Postal any time they pleased
n Edward j. Eally, vice-president of the
4. Postal Telegraph Gable Company. read
q detailed report OF the oompany's fisca
! history and submitted it to the com.
mittee. -,-
The hearing was adjourned until mex
Friday at IL o'clock. The long post
ponement. Senator Davis said. was OWNS
70 the fact that he was serving as presi
dent pro tenn. OF the Senate during tn,
disability OF Senator Aids.
Senator Davis said that the examina
tion OF the companies doing business her,
was about over. The committee will
look, into the affairs Of some OF the up
State independent telephone companies
and will be ready to make it's report Il
the Legislature about March I.
T, KINGSLAND ESTATE SETTLED