El Paso herald. (El Paso, Tex.) 1901-1931, 1912-02-05
BY FREDERIC ]. HASKIN

during that fiscal year. had collected
S2O,146,O00 for messages handled, and
S1,502,000 for press business carried.
The net profit Of the years operation
was s3,402, 600. The usual rate charged
the big neWSDa perS for leased wire
service is $50 per mile per year The
fiat rate between New York and Wash
tngton was estimated at $4,000, between
New York and Chicago at SIS, 600, and
between New York and st. Louis at
$Zl,OOO- Many large private corpora
tons. as well as the metropolitan news
papers, frequently make use of leased
wire service.
Perhaps the cheapest telegraph ser
vice in the United States today avail
able to the general public is that Of
the Chicag O-lIilWaukee Telegraph
company. This line was built in 1878.
and the company put IN a rate Of
with minimum charge OF 10 cents
The business was largely a board OF
trade business between the two cities.
Later, the Western Union sought to
overcome this competition and TO put
IN rate OF One-haH cent a word
with minimum charge OF five cents
This rate was met by the Chicago Mil
Waukee line In 1904 the Western
Union raised its regular rate to 25
cents Tor a 10 word message and made
a special rate to board OF trade mem
berS Of Is cents. The Chicago Milwau-
kee line now handles business at the
rate Of a cent word, with minimum
charge Of IS cents. At this rate, how
ever, IL will not deliver messages, eX-
cept by telephone.
Claim 1t Would Be Bad Bargain.
1t IS asserted by many that the
United States would be making a bad
bargain to acquire the telegraph com
panies Of the country at their present
day capitalization It is cOntended by
LnOSe who take this view that the cost
or reproducing all the lines now in ex-
lstence would be much less than the
cost OF buying those now in operation
II Is claimed that no stock in the cOun-
try represents a greater amount Of
water than the telegraph stock, and
those who hold this view point to many
striking Illustrations OF finance in the
pa1my days OF stock jobbing a quarter
OF century ago. In 1882, the execu-
tive committee Of the national board
OF trade reported that the capitalize
ton OF the Western Union Telegraph
company was $3.50 900 IN 1853 In eight
years II had increased to $50 GOO 600
and the board Of trade committee de
ciaFeQ mat SIS, COO, 900 of this consisted
OF stock dividends The friends Of the
telegraph companies assert that the
conclusions OF the national board Of
trade were extremely unjust to the
telegraph companies They say if the
time ever comes that a set Of disfn-
terested engineers are called upon to
make an appraisal Of their properties
u VIII be found that the capitalizatfon
Is based on Intrinsic value rather than
on earning power
There are many people who believe
that the present agitation viii 20 the
way OF those which have gone before.
Upon nine different occasions commit
tees OF the house OF representatives +
have reported in favor OF the govern
ment ownership OF control OF the teIe-
graph business OF the country Like
wise committees OF the senate have
made similar reports in eight different
sessions Yet the net result OF Il all
has left the telegraph compan MES &c
firmly entrenched in the mastery OF
the telegraph business Of the country
as ever before. The telegraph com
panies feel that their provision Of
night and day letter service has served
to meet most OF the arguments offered
by the advocates Of government own
ership or operation.
Tomorrow-Canned Food.