The Daily Missoulian. [volume] (Missoula, Mont.) 1904-1961, 1913-02-13
THE MOUNTAIN STATES TELEPHONE AND TELEGRAPH Con
EXECUTIVE OFFICE. TELEPHONE BUILDING
1921 CHAMpA STREET
Denver, Colorado, February IL, 1918.
TO THE STOCKHOLDERS:

TO THE STOCKHOLDERS:
ps Tss 5 s'ssnis,. s' ;"s n snsnc; ss' soasieon by of M" the 2 ee% sss" pse saSs Beard ss' 1911, st
t., l Is: sxshsns ss, stss s's.s 5ns'aa'9s j. lss. .,s toll stations ssan,, il s s@s ION. to , ,ssss
Stations St ias i'm service vi s'o on psesm fa%P sn'i sis' MAKING sa increase e ss' Of so a. SSstn sss ss ssas,
or oso "a tg an 1nSrsas xoo Of 49 nssns stations ms since rs,., the mss amns of the sea Colorado ole Ta Ts,s.
Ie'ephons and relegraph COMPANY o. July 81 1911; a gain of almost 2.
Pscsm5er 81, 81, 1917 II % %srs: 5ossis $ ' an t" "@ss ' Of iossssi7s ny miles for "" the s Year. n.
and the total Wire mileage sufficient to g more than twenty thnes around the
1 1s1s" were r9: lso asess OF r step4 nnes a on , sI u ~He o. a ne' san d to" ss7 7asnss s.
ueS' of the sf m tas sa%Ps sts9ss Te1 1sbsr ns' aa Tese ns e ea%ss" s1 ssn t CONTINENT f"s"a
on the balance sheet which follows, is probably essential o a thorough under
he1sers 'se a gnea rt' fneraase cH m s ms snnm15sd Of 9e ,s enm r1 'n' smse to n stG ns,
report of the Mountain States &C Company We have IA" ' acquired all thu BE Bell p proper.
cesora an A'' Usan. 80 1Sa sea' M our nnsr" Wy"mi ny Sew Mexico ss ssv sa FI Arizo saa's wt Gf
Stockholders of the Mountain states Company who were holders IF Colo
rad rad ,a taeph no 9 Ion mp ,e, stock % prior t9 the Tn merger IN n ,nl VIII T renha, that IN n
to the ADVANTAGES to be secured through a wider distribution of our
states Company has expanded. until it is today a corporation with outstanding
of of the Colorado Telephone Company at the time tn mercer a effected.
Mountain States Telephone holdings con rom their former investment in
sse han na1n ssar for mo: Mountain ta States States stosk o1n ana also to those who have invested
r.p rns'' , ~ ?";;'a "a? %snn nsfs" State. s stock 5s1': as 7n sssS" ,s Sy . "s Last q s". ss;!
ssmGa Gu eamt1 a. 1'G %hs,s for n tn ,w year Mas 5, s So. $50 , rr p",men, Of sivi-
s ssnS@ payment s"se% ' Of s t"ssS As 1 issT"s or s''Ss ssii ssa4 ss:'s:' f "a s sSsp1as ' a"d
in it tts rn1 S spr estss that At p 'sssesss o. a :s 1ss ,es asew rf fsxS o",s' t !" mn ,. SIS ss.s sS
report Ss NO, Of this i increase sasssns a issued IN Dses"1er 1912, With aNi-
The sysssss sspaai stock o"tssandins d "%" + h =: yea 1872 a ..s7ss-
snt oH 5.;,6o vs!ee sasnsS IL ssss, %eS Of s IL |as%1 leaving II 'G for
In the report o Of the Mountain States States Company or" s%nyD' "a Of December 81. 1911,
S%o" 1eteS8't q m s":H tsan sS I%s" % the aSSS"H 70 of v ss%s'' n: s'"S ct s" q Scr i.s@ea
ad delivered until january, 1879. The Mountain States System report for
coming at a time when no sue item of lash subscriptions to capital
sss"s, snees smo Sn y: t eo9 %s;s u ;e s' s35 ss deposits necessarily sno" " large
teSe u nal p ssm'e n naans ns0 s4 40 e" od 5"er er a nn5n 1s snsn of ns'g ga s 10000 m our
than s35oooo, and our stocks and bond. in connecting companies from which
70 derive business. almost ST. 100000.
With the growth of the Company, n plans under "a to continue the
policy ofd diffusion to which have above referred, our bills payable show an
increase OF something more than $225OO0. Accrued liabilities not luz ONE
s65oooo, includes dividends payable January Il, 1913, amounting to approx
mately 100000 There was a transfer of $4,000 rom urplus to the EN-
poyes Benefit Fund.
1t as never been my thought to insist upon a large surplus which might
readily have beena accumulate had n.y. invarabe policy lot been to keep
the Companys rates att the lowest possible level commensurate with goo
service, out al anvss OF the annual. reports OF the Colorado Telephone Com
M the Mountain States Company (since its inception) will nov that
policy OF carrying to reserves an adequate SUI for the arnple protection
of stockholders has beer eminenuy satisfactory, nd has worked ot e-
tremely advantageousN. Any variations in he surplus accoun from year
to year Will b found to be represented in our replacement reserves our
surplus n reserves have 10Y reached s3996943OS
manifesty difficult, if not almost impossible, without entering into sreat
detail n statement for the year 1911 was made III by combining the in
earnings oft the three merged companies pror to heir consolidation
n adding to thst total the actual gross earnings IF the Mountain States
conpany for the period of its existence il. 1911. With the rapid growth of the
entire SYSTEM urn 1912, n The accompanying necessary increase in the
amour of capital stock outstanding through issue on accoun OF enlarge
it is difficult to arrive at a Statement showing gross earnings for
twelve months, in ompariso with toalc aptal stock issued, unless arbitrarily
amount Of stock stan December 81, 1911, is taken in connection
with earnings for 1911 over against these are put figures showing ot-
standing capital stock December 81, 1912 and gross carninps for 1ao n,
this basiso Of comparison it is shown, however that with the increase in It's
capita stock outstanding, o Company is at the same time gaining in tbe
relation O. its gross earnings to capital stock. II other words, OIL his basis
OF ompar1son 1912 shows a gain OF Ia per cen over1 1911 in the relation OF
gross earnings to outstanding stock, indicating tina with increase of capital
liability there is a more than corresponding advance in gross return
There vas likewise in 1912 an increase of 90 per cen over ,e11 in III,
moun carried to reserves and surplus, after payment ofa all operatinr ey-
penses n dividends