Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-11-28
Resigns as President of Wash
ington Gas Company.
BIG CUT IN HIS SALARY
Refused to Accept Reduction From
$4,000 to $4,000.
PART OF SAVINGS PROGRAM
New Element on Board Has Been
Insisting Upon Reducing Cost
of Administration.

'Mr. John r. Mclean has rendered his
resignation as president of the Washing
ton Gas Light Company, to take effect
December l.
This announcement, with no comment
attached, and no reasons given for Mr..
McLean's action, was made this morning.
A meeting Of the board of directors OF
the Washington Gas Light Company was
held last Thursday. and in continuation
of the program Of economy that has been
pushed forward consistently by new and
progressive element in the board, the
president was informed that the program
contemplated a reduction Of his salary
from $4,000 year to $4,000 year to
take effect Immediately. This reduction
that if the cut was made he would resign
Insisted on the Cut.
Nevertheless the board proceeded and
by it's action placed the salary of the
president Of the company at $4,000 a
year.
Mr.. McLean's resignation was forward
ed to the board of directors last night.
The contest to secure change in the
methods of operation of the Washing
ming about four years ago. Interests
which late in 1907 controlled a consid-
cradle amount of the capital stock Of
the company were represented at q meet
ing of the board Of directors. and at
that time made demand that two addi-
tional directors be elected to the board.
The demand was met and Ord Preston
and Joseph Letter were selected as d.
rectors. Subsequently the progressive ele-
ment in the board was augmented by the
oil nf In NJ
And the influence Of this element pro-
duced the reduction in the price of gas,
which occurred comparatively short
time ago.
Adopted Reform Program.
Coincident with the change in policy
which brought about this reduction in
the price Of gas to the consumer, the
board adopted a comprehensive series Of
reforms in administration Of the COM
pany's affairs, not the least important of
which was the total elimination of the
one-hundred- thousand-dollar annual con-
tingent expense fund, out of which in
years past had been made all sorts Of
OUTLAWS incident to the protection of gas
company interests, both political and
financial. The $1,000 month. or $4,000
year. fund for the employment of spe-
cial counsel also was relocated to the
Other economies also were introduced.
and, following the receipt of Mr.. Nc
Leans resignation this morning, 1t was
declared that the gas company for the
current fiscal year would be able to
show saving Of more than $200, 900 in
operating expenses.
It was the beginning Of this system
Of economy which made possible the re-
duction in price Of gas to IS cents per
thousand cubic feet, and, If the program
which the board now has mapped out
is carried to it's ultimate consumma-
ton, it is almost certain that the adop-
ton of what is known as the Boston
system will be the next step forward.
Boston System Favored.
The Boston system" which is the name
applied to the evolution In methods forced
to an issue in the Massachusetts, me-
tropois following the overthrow Of the
Addicks gas monopoly. Is regarded by lat
ter-day gas experts as a practical work.
ing out of the theory Of fairness to the
gas-consuming public and fairness also
to the owners Of gas company securities.
1t contemplates the opening to the public
of gas company accounts and the grant
ing of the right Of investors in gas stocks
and bonds to receive q fair return in the
shape of dividends.
High incentive to secure economy in
the Boston SYSTEM" since its terms ape-
officially state that every reduction Of 3
cents in the price of gas to the consumer
shall entitle the company to increase its
rate Of dividend to stockholders by 1 per
cent.