The Calumet news. [volume] (Calumet, Mich.) 1907-1938, 1913-08-20


TEN. thus giving the greatest value to
the greatest number, that the inter
dependence OF the telephone service
aud the value of complete and uni
Fersal ihtercommunicatiOn justify and
require some services partly AT the
expense of the whole for the benefit Of
The whole.
We believe that this highest COM
mercial valu" can only bee attained by
one system under one common control
and that it cannot he given by indie
pendent systems unless they are opcr-
atcd under agreements which result in
one common control ana one common
interest, ~ effect making them single
system.
We bclier" that rates should he so
adjusted as to afford the company
sufficient revenue To pay such wages
and compensation as will secure the
most efficient service. 10 maintain the
very highest and most advanced stand
ards of plant and apparatus. To carry
on such scientific and experimental re-
search ana inventions as Ia apparatus
and methods as Ia insure the highest
standards, aud to carry To reserve and
depreciation such amounts as will en-
abb" Ia company at amy time to re-
place old plant and old methods with
new plant ana new methods as fast as
they may De developed and found To
he To the advantage of the service
We believe that in addition, such fair
charges should be paid upon the in
restmcnt in plant as will enable the
company at amy time To obtain money
able the company AT amy time To re-
quircd tu meet the continuing de-
mands Of the public ana in order that
waste and duplication of effort may be
avoided ana uniformity of purpose
;nd common control be enforced. that
there should he a centralized general
administration in close communication
with and having general authority
over the whole on matters common to
all or matters of general policy.
We believe that any surplus beyond
that necessary to cuualiZe dividends
ON fair basis should he used by the
company for the benefit of the public
and should he inalicnablc for any
other purpose. and should be either in
vested in revenue earning plant until
necessary to substitute plant which
may become inadequate or obsolete, or
should be used to make the service
lh"apcr or better.
We bo licvc that under proper gov
control and regulation the
profits from promotion ar operation
allowed To he distributed should not
be So large as to warrant or tempt
complete duplication of plant aud or
with its duplication of It's
capital charges aud it's organization,
operating, maintenance ana deprccia-
ton expenes; and we do not believe
that utilities giving az far rates an
ftiicent and sufficiently comprehensive
universal service should be subject L.
limited competition, not giving such
service. Competition which ignores
the obligation to furnish IA complete
md comprehensive service is not COM
petition. is not for the benefit of the |
public in that it does not reach the |
whole public interested
If. therefore, complete duplication.
with its dual exchange connection and |
dual bills for service, is prerequisite |
10 complete competition, government |
control and regulation cannot so hand |
in hand with competition.
NNa b.Ii.,. ,hnt ,h. ,,,.,1
Bell System will he accepted by the |
public as fully in accord with these
declarations. Consistent adherence to |
his policy has given the public of the
United States the best. mos. compre-
hensiv" and cheapest telephone serv-
'ce in the world and made the Bell |
standards the standards of all nations |
To r"mov" any possible excuse for
on account of the |
many misleading statements which |
have been circulated as to the alleged |
unnecessary ana overcapitaliZation |
and excessive charges of the Bell Sys |
tenn, the following statistics are given |
Except whore stated, the figures are
for the Bell system; that is, the Am
'rican Telephone and Telegraph. and |
It's Associated Companies
The entire Bell system on June 30.
1913. had outstanding in the hands of
he public obligations q. G.. notes,
open accounts, bonds and shares to
he par value of S776,OOO00O.
The book value of the total tangible
tsscts, which Is considerably less than
heir replacement value, amounted To
c0,000,000. Many apprlisals of prop
'rty included in these assets have been
made. and most of them under the
direction of public authorities. I'm NJ
as" has the value as II stands on the
books failed t. be sustained, and in
nest ,ases IT has been very largely
The total dividends and interest
aid during the year 1872 amounted
% only G1et nn the ,rvcrage of it's
obligations. aud to less
han -, on the average value at it,
Isscts
The ictual cash which has been raid
nto the treasury Of the American Tel.
phone and Telegraph company ON ac-
'ount at the capital obligations now
amounts to So 1000 900
more than the mar of guch outstanding