Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1915-03-11

Of the Wells toWn AAor
main leading through Weiis anu
so that territory can De serseo
out inconvenience should this pin
enacted. Now bearing In mino tiia. ~.
town of Kennebunk, as 1 saio,
narrow. about three miles and man,
taking the easterly course there are
-wo mains that lead across the to"n
of Eennehunk. one which supplies tne
| three Villages that / have mentaoheo'
and ,ha other a direct main, puiIl
soma three years ago, leading ofectis
INFO Kennebunkport and supplying
that territory, built at an expense Oh
| scrna sos 600. as the Water Company
| tells me- ! cannot help feeling that al
| ,re time the mains were accepted thS
Water Company had in mind that TINS
situation would probably arise anu
that Kennebunk at the END OF the'f
contract period would request wa
Ter district, and that, anticipating that'
they built this direct main into Ken
nebuukport. This bill does not ask ior
| the taking over Of any OF the water
| s,,nnly il does not ask for taking over
| the pumping station, and il does not
ask for taking over any Of the water
| mains. 1t merely asks for the pipe
within certain territory in Kennebunk.
have brought here a few figures
taken from the testimony of the pres
idsnt Of the Water Company ana L
am therefore going To assume that
| they are correct realize that hgures
| are always dry and hard 10 digest; out
| / have made these very few, ana as
| water company matters must neces-
| sar.Iy deal entirely with figures.
| cannot help presenting you with 1ust
! a few. The total amount OF indebted
/ ness Of the Mousarn Water Company
/ and included in this are the accounts
PAYABLE. is s34e. $50. There is capital
stock OF 500, 90, and they told US at
the committee hearing that at the
time If the orga nization Of the COM
gany, S1.e, 300 was given away Tor
contract work and engineers pronts.
l am going to assume that that por-
: ton OF the stock is the amount OF
water. although they told US that the
I stock at that time was S35 share.
Assuming that the whole Of the stock,
/ including the water, was Sli9,e-, at
SIS share, being the highest price
] which the company has ever received
! for any Of their stock, then you would
have total capitalization, including
+ accounts payable. bonds, stock, out
standing water and all, Of s553650.
Now the president Of the company
and I think his figures were very fair
stated that the value Of the plant
IN kennebunk is 1900, 90. Taking that
; s3"o. 40 from the total bonded indebr-
! edness and stock, and you would have
left for the total capitalization, &C
! counts, and everything else. 1913 opo.
/ Should Ksnnebunk be taken out you
would still have a plant OF $3.50 cd,
with a total capitalization, including
warered stock and all. standing mere
! " at s253,s50; SO that from a monetary
standpoint 1 cannot see how any
; hardship would be inflicted upon the
/ stockholders or the bondholderS OF
/ the remaining portion Of the company.
/ II fact. should 100000 b. paid by the
] citizens AZ kennebr1k for this dis
: trict. il would wipe out every particle
( OF the bonded Indebtedness Of the
! Nousam Water Company. would pay
all Of their accounts payable with the
exception Of s+3 $50: and surprising, as
! say, that The wateresi stock Nas TAX
en- Out under these same figures the
present stock would be worth az least 10
collars 4 share. showing that the
stockholders. should the 8Iousam Wa
ter Company be divided could not ana
would not receive any injury So
much for tie figures with reference 70
the capitalization The only other fig
uers which intend 10 present to you
are II regard 10 the earnings. The
7jre- - 10
Company for the past year were $40.
5'-,@e: the bonded Indebtedness Wa
$4,000 in round numbers. ! don't At
tempt 10 give the exact figures Tn
operating expenses were Sll1n0 leav-
ing balance OF s1..94I..0 for the pay
nlent Of dividends. replacement fund
and reserve. Dividends were paid at
the rate Of three per cent. or sl2 V0p
leaving surplus of s2e,04l40 unde-
the present figures Of the Mousam
! Water Company.
/ Now with kennebunk taken out We
would have this situation: The in
come from kennebunk is given to Us
as sl..Isc. So with Kennebunk taken
out. the total revenue Of the COMPANY
would then be s25.SS2e0, with operat-
ing expenses reduced, according to
, their figures. from $1,000 to s9.400
leaving balance for bonded indebted
ness and dividends of s15,4s2.90. Bear
! in mind that if kennebunk is taken
out, the bonded Indebtedness would
/ pc practically paid so that there
would be merely interest on their ac-
( counts payable; and that. as l figure
/ il would be s196225, leaving bal
ance for dividends Of sli5aO55. and
I supposing they made the dividend on
I their "atered stock and all at the
same, Ratio as they have been pavir.y
] IT. at $4,000. you would then have
! balance OF s2520.55 should the distric-
i De formed and KennebunKport. taken
| out So. taking these figures either
! way, | do not see how the company
/ Is going to be ruined the stockhold-
ers' interests practically wiped out. OF
| course II is we'll known to every one
OF you that should the Kennebunk
| water District be formed, they couI5
not inflict any hardship on the stock
holders and bondholders, for under tho
| rules of eminent domain and undar
the rules that apply to this bill tbei-
| interests will be amply taken care OF