Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1912-04-03
G. a. Drawn
298 Water ST., Gardiner, Me.

subscriber should be entitled to the
use OF the Instrument placed in his
hoase III the rate of SIS a year; and
that such use. free of any charge in
eyeess Of SIS, should be extended to an
exchange including the cities of Gar
diner, Hailowell and Augusta To Mr..
Nickery representations by Mr.. Han
son, in behalf of the New England Co.
We're also made, and insisted upon
by Mr. Tiekery. as a part of the con
sideration for transfer of the Dirigo
Co. that the proposed exchange should
include Gardiner, Halawell and Au
gnsta.
While direct and positive evidence
Of the above negotiations and agree
ments can he produced. il is perhaps
sufficient 10 say, that the very best
evidence Of such an agreement, is the
fact that the New England Co. during
al these years mas been operated in
precise accord with the agreements al
legged
In lew of these contracts volan-
tarily made by the New England Co,
at the time when their business in this
territory was comparatively small,
we are unable To discover any good
reason why at this time. they should
raise their rates. when the exchange,
which has existed all these years in
stead of being feeble. has subscrip-
ton list Of more than two thousand
We think it fair presumption that
when the company established rates at
SIS per year over the present eX-
change. they acted upon the business
rule of expecting fair profit on their
investment, upon the rates establish
ed. And. inasmuch as there was no
c0mpnlsion on the part of the COM
pany To continue its business in the
city of Gardiner at loss, it may also
be regarded as fair presumption
that, during all the years. it has OPP.
Grated the exchange at fair profit up
on the business done
Now the company seems to arbi-
tarily assume tie right to change
these rates and limit the exchange.
Put before doing So we think the
burden is upon it, in justice To itself
and to the people To produce reliable
evidence Of the necessity of its action,
sufficient To overcome the presump
ton that it has been receiving rea-
sonahle income upon its capital in
vested. The company may claim that
il has fairly sustained this burden, in
the figures and statistics it present
ed through its agent to the Board of
Trade some weeks ago when this
matter was under eonsidera ton. But
ii hardly seems credible that the fig
ures presented and calculated to fur
nishc evidence fer a justification of
raise in rates and a division OF the
area ct The present exchange, could
have been genuous 1t was repre-
sentcd that the company had operated
its business in Gardiner. last year. at
a loss of over $1,000 in its expenses
over its receipts.
1t is hardly to be presumed that 4
great institution, like the New Eng
land Telephone Co. would misrepre-
sent as to FACTS or employ misleading
methods. Yet we are unable to com
prehend uoon what basis of computa-
| ton il is able to present honest fig
ures that will reveal the amazing con
dition which Il claims to have found,
| IL upon Watered stock it is an unfair
| basis, If upon capitalization Of its
former expenditures. including depre-
citation. it is equally unfair
| lhttlPlole, III view of the anomalous
situation alleged and the calculations
| as claimed being improbable il not
| impossible. Your committee are com
! PEELED to the conclusion that no valid
| reason. whatever, has yet been fur
| nished why the company should raise
| its rates or put Augusta and Halo
We'll upon a toll basis Also. in view
of the figures already presented to
the Board of Trade, it would un-
| doubtedly be os no avail for your
committee 10 "ely upon any represen-
! tations that might be made as afford
| ing any trustworthy basis upon which
| to act.
! Our opinion is that the only
successful method of investigation
that can be employed, is tC
bring the whole question OF
telephone rates, and the area of the ex
changes. before some tribunal, havinf
the power to compel the attendance o
witnesses and the production of book
and papers, and force obedience to il
DEGREES There is no public service com
mission in this State to which the right
and duties of public service corporations