Newport daily independent. (Newport, Ark.) 1901-1929, 1913-09-16

har. that the inter-dependence OF 'he
-taionbone service and the value OF
connlete and universal intercommunl-
cation Justify and require some serV-
ices partly at the expense OF lhe
whole for the benefit Of the Whole.
We believe that this hlghst COM
,oarcial value can only be attained
nv one system under one common
control and that it cannot De given
bv independent systems unless iley
( are operated under agreements which
result in one common control ana one
common interest, in effect making
them a single system.
We believe that rates should be so
adjusted as to afford the company
/ sufficient revenue to pay such wages
and COMPENSATION as will secure the
most efficient service; to MAINTAIN the
very HIGHEST and most advanced
t standards of plant and apparatus, 10
carry on such scientific and expert
mental research and Inventions as 10
] annaratus and methods as to insure
+ the highest standards, and to carry
+ to reserve and depreciation such a
mounts as will enable the company at
any time to replace old plant ana
f old methods with new plant ana ne"
methods as fast as they may be de
veloped and found to be to the ad-
vantage of the service. we belleVe
that in addition, such fair charges
! should be paid upon the investment
/ in plant as will enable the company
at any time to obtain money necessa-
nv to provide the plant required to
meet the continuing demands OF the
public; and in order that waste and
duplication of effort may be avoided
and uniformity of purpose and com
mon control be enforced, that there
should be a centralized general ad-
ministration 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 be-
yond that necessary to equallze dlvl-
dends on fair basis should be used
bv the company for the benefit of the
public and should be inalienable for
any other purpose, and should be
either invested in revenue-earnlng
plant until necessary to substitute
plant which may become inadequate
or obsolete, or should be used to make
the service cheaper or better.
We believe that under proper gov
ornamental control and regulation the
profits from promotion or operation
allowed to be distributed should not
| be so large as to warrant or tempt
complete duplication of plant and or
ganization, with it's duplication of its
capital charges and it's organization,
operating, maintenance and deprecia-
ton expenses; and we do not believe
that utilities giving at fair rates an
efficient and sufficiently comprehen-
sive universal service should be sub
ject to limited competition, not giving
| such service. Competition which lg-
! nores the obligation to furnish COM
plete and comprehensive service is
not competition, 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
to complete competition, government
control and regulation cannot go
hand and in hand with competition.
We believe that the record of the
Bell System will be accepted by the
public as fully in accord with these
| declarations. Consistent adherence
to this policy has given the public OF
the United States the best, most COM
prehensive anG cheapest telephone
service in the world and made the
Bell standards the standards of all
nations.
To remove any possible excuse for
misapprehension on account OF the
many misleading statements which
have been circulated as to the over
Capitalization and excessive charges
of the Bell System, the following sta
tistics are given. Except where stat
ed, the figures are for the Bell Sys-
tenn; that is, the American Tele-
phone and Telegraph, and its Asso-
ciated Companies.
The entire Bell System on June 80
1913, had outstanding in the hands
of the public obligations H. e., notes,
open accounts, bonds and shares) to
the par value of $776,000,000.
The book value of the total tangl-
bic assets, which is considerably less
than their replacement value,
amounted to 100000. Many APP
praisas of property included in these
assets have been made, and most of
them under the direction of public au-
thorities. In no case has the value
as it stands on the books failed to be
sustained, and in most cases it 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
it's 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 Ameri-
can Telephone and Telegraph Compa-
nv on account of the capital obliga-
lions now outstanding amounts to
S22, 100000 more than the par of such
outstanding obligations.
The Associated Companies collect
ed from the public and paid back in
taxes over $10,000,000 during the
year 1912.
,,oooccit;ao