The daily telegram. [volume] (Clarksburg, W. Va.) 1901-1926, 1913-08-27

pendent 81 ems IN 81 z X
ated undsr aaFee1aents which result
- orc eornunou con ROT and one com
mon Interest ~ eltect making them g
single systepa,
NE he1ieve fIaat rates SHOULD ~ so
adjusted as to AFFORD the c0napany
sl1fFicienf revenue 10 pay such wages
and compensation a. Will secure the
most efIcient services to maintain fle
Eery highest and most advanced stand
ards az plant and apparat1s, % carry
on such scientific and experimental re-
search and inventions 80 TO appapstils
ana methods as TO insure the hte1eSt
standards. and to carTyyto reserve ana
debreciatlon such amounts e. Will en-
able the company at any time to re-
place old plant and ola methods - tlf
new plant ana new methods as 6as rs
they may be developed and found 90
gbe 10 the advantage Of the eFsslc g.
we believe that In addition, such GalF,
charges should be paid upon elle auT
vestment In plant as VIII eneple tIlt
company at any time to obtain money
necessary TO provide the plant ne
oI,Iled to meet the continuing denna
Of the public. and in order that waste
ana 5unIScatfon of effort may be.
avoided and upiforRntty of purpose
and common control be enforced, Gnelt
there should he q centralized, genera
administration, In close coE4Inunt sseltio on
with and having general anEntsEEey
over the whole on matters common eo
all or matters of general policy.
W. belfeve that any surplus beyond
mat necessary to equalize DIVIDENDS
on a. fair basis should be used by the
company for the benefit Of the public
and should be tnaltenable for any
other purpose, and should be either IN
vested In 1evenue-earning plant until
necessary to substitute plant which.
may become Inadequate or obsolete
or should he used to make the service
or better.
We believe that under proper gov
ernmental control and regulation the
profits from promotion or operation
alIow we'd to be distributed should not
be so large as to warrant OF tempt
complete duplication of plant and or
ganization, with its duplication of its
capital charges and its organization,
operating, maintenance and deprecta-
tion expenses; and we do not belteVeI
that utilities giving at fair rates an
efficient and sufficiently comprehensive
universal service should be subject to
limited competition, not giving such
service. Competition which ignores the
obligation to furnish a complete and
comprehensive service is not compe-
Triton, is not for the benefit Of the
public in that 1t does not reach the
whole public interested.
If, therefore, complete duplication.
with It's dual exchange connection and
dual bills for service, Is a prerequisite
to complete competition, government
control ana regulation cannot go hand
in hand with competition.
We believe that the record OF the
Bell System will be accepted by the
FULLY In accord with these
declarations. Consistent adherence to
this policy has given the public of the
United States the best, most compre-
hensive and cheapest telephone service
In the world and made the Bell stand
ards the standards OF all nations.
To remove any possible excuse for
on account Of the
many misleading statements which
have been circulated as to the alleged.
and overcapitalization
and excessive charges of the Bell Sys-l
tenn, the following statistics are given.
Except where stated, the dgures are
for the Bell System; that Is, the
American Telephone and Telegraph,
and it's Associated companies.
The entire Bell System on June SO,
1913, had outstanding In the han Dis OF
the public obligations ii. e., notes.
open accounts, bonds and shares0 to
the par value of SITS, 100000.
The book value of the total tangible
assets, which is considerably less than
their replacement value, amounted to
S $50, O0O 5000. Many appraisals OF
property included In these assets have
been made. and most of them under
the directions of public authorities. In
no case has the value as it stands on
the books failed to be sustained, and
in most cases 1t has been very largely
exceeded.
The total dividends and interest
paid during the year 1912 amounted
to only 81 per cent on the average of
its outstanding obligations, and to less
than per cent on the average value
of its assets.
The actual cash which has been paid
into the treasury of the American
Telephone and Telegraph Company on
account Of the capital obligations now
outstanding amounts to $4,000, 600
more than. the par OF such outstand-
ing obligations.
The Associated Companies collected
from the public and paid back in taxes
over $4,000. 900 during the year 1912.
The stea Oily Increasing necessities
of the public not only for additional
but for new telephone service can only
be met by new construction, involv-
ing capital outlay. To meet these de-
mands during the six and one-half
years from 1907 to June, 1913 inclu-
sive, the increase in telephone plant
was as follows: Toll line wire in
creased from / 400, 900 miles to 2,242,-
900 miles: exchange wire increased
from 5000, 900 miles to 10000 600;
the number of exchange stations in