St. Johnsbury Caledonian. [volume] (St. Johnsbury, Vt.) 1867-1919, 1913-11-12
PAssUNGPsIC TELEPHONE COM
PANY
Facts Brought Out at Public Service
Commission Hearing

were spread out before the public
service commission at Montpelier
Thursday. When adjournment was
taken the attorneys for the company
had not completed the presentation
of their side of the case. This COM
pany was organized in 1907, and
has outstanding common stock TO
the value of $l5O,S75, and preferred
stock to the value of $l16,25O. II
paid no dividends from 1907 until
1911. In the latter year and in
1912, six per cent dividends were
declared on the preferred stock.
During 1913 two quarterly dividends
OF Il u per cent each were paid but
the dividend for the third quarter
was passed. No dividends have even
been paid on the common stock.
During 1912, the net income was
$11,163.O9, on property valued at
S336,217.S7. This was the sub
stance OF their presentation.
When the cross-examination is
reached II is expected to be particu-
larly interesting because Attorney
Cook, one of the counsel for the state
was one of the original complainants
against the raising of rates by the
Passumpsic Telephone company.
The balance sheet of the Passump-
sic Telephone company was presented
showing the following assets: Land
and buildings, $1,575.46; outside
plant and equipment, $500, 74O.69;
office furniture, etc, $4,211.74; sup
plies, S14,613.54; working capital,
S15,0T6.44, making a total of as
sets amounting to $336,217.S7. In
addition there was presented a fig
ure of $4,000 as representing the
cost of establishing the business.
The total revenue for the year
1912, was given as $9S,0S1.31,
made up as follows. Exchange rev
enue, $79,7S926; other exchange
income, $32S.26;; tolls, $17,SOS.24;
other toll income, $163.17.
The total expenses were $50, 92O.-
"a, divided into the following items:
Executive, accounting, financial and
legal, $1,53S.3S; operating, $42,-
2O9.S1; repairs, $32,0S9.25; station
removals, $2,495.36; rights and
privileges, $3,O59.28; insurance, ST.
214.S2; taxes. $2,264.O1; deprecia-
ton, $2,05O.O3.
The net revenue represented
2.57 per cent on the total invest
ment.
The net earnings by years were
given as follows: For 1907, $4,514,-
SO; on property valued at $50, 900.
For 1908, $92.l6, on a 1000
worth OF property. 1t further APP
peared that there was really a net
loss this year of $4,422.S2. which
left in the surplus account only
1892.
In 1909, the earnings were swal.
lowed up by expenses and no profits
we're shown on property valued at
$154.364.10.
In 1910 the loss was $S7O.2S, on
an investment of 1921, 1854.
In 1911, the profits were $4,S62,-
10, on property amounting to S24S,-
695.O4.
In 1912, the net income was SILL
$1,000, on average assets amounting
to $336,217.S7.
The amount Of Indebtedness out
standing June 80, 1913, $12S,727.-
IL. The amount laid by as a depre-
citation reserve as of the same date
was $12,432.13. This was smaller
than for the preceding year, and the
explanation Of the smaller figure
was the construction of a new
switchboard at St. Johnsbury.
The new additions made 10 the
Passumpsic property from 1907
were given in detail and amounted
to SSO,43S.94. On May /, 1907 the
Passumpsic Telephone Co. bought
of the New England Telephone
and Telegraph company properties in
Newport, Lyndon, st. Johnsbury and
a dozen other towns in that vicinity
and paid $15O,150 in common stock
issued to the amount of $3.50, $50,
on which no dividend has been paid
since organization.
On December 80, 1910, it bought
10
company of Orleans and paid $62,-
600, divided $4,000 in preferred
stock, and $4,000 in cash for stock
taken by the New England company.
On May 4, 1911, it bought the
Essex Telephone company Of Island
Pond and vicinity and paid TOR it
with $500 preferred stock of the
Passumpslc company, $500 in COM
mon stock and $500 in cash fur
nished by the New England company,
which took preferred stock in the
Passumpsic Telephone company, an
der permission of the Vermont pub
lie service commission.
On May l, 1912, it bought the
Citizens Telephone company of St.
Johnsbury and vicinity for $41,250
for cash and money was furnished
by N. E. Tel. Co., which took stock
going concern" values appeared in
the appraisals made by Mr.. Hagger-
man.
On May 1, 1912, it bought the
plant OF ID. L. Mcclure in Hardwick, !
Craftsbury and vicinity for $15,5
cash.
On Nov. Is, 1912, was bought
poles and current outside OF Newport |
and Troy to the Canadian line for
$1,436.32 for cash.
On April II, 1913, was bought of
r. o. Buchanan the Greensboro and
Glover Co. for $4,000 in cash.
On April II. 1918, was bought |
the pay station at Craftsbury of the |
Citizens Telephone Co. for SS1.G7.
On April II. 1913, was sold by
Passumpsic to the Citizens Tele- !
phone Co. part OF the Mcclure plants |
at Hardwick, Wolcott and Crafts
bury for $12, $1,000.
At this point in the case adjourn