Evening star. [volume] (Washington, D.C.) 1854-1972, 1918-12-15
OWNERSHIP OF TELEGRAPH LINES
AND TELEPHONES NOW AN ISSUE
Proposal for Continuance of Government
Control Indefinitely Brings Question
Squarely Up in Congress.

with the backing of the President. 1t
is understood, as we'll as that of the
Postmaster General. Chairman Moon,
who approves the bill, will ask his COM
mittee to give it prompt consideration.
It is contended that the Postmaster
General is justified in asking for con-
tinuation of the government operation of
the wires, If for no other reason than that
1t should have fair trial. The wires
were taken over last July %, and the pc
Rod OF government operation has been
far too brief in which to demonstrate to
the country either the wisdom or I'M
wisdom Of government operation. Par
ticularly Is this true because of the
war conditions which have made it
impossible for the Postmaster Cen
eral to put into effect many economies
and extensions of service which other
Growth of the Telegraph.
When the government gave up its
operation Of the telegraph in 1S47 the
system" covered a matter of forty
miles. Today the telegraph systems
include more than $4,000 miles of
pole line, carrying close to 100000
miles of wire. The capitalization of
the land wires is about $4,000, 900,
and, including ocean wires and sub
marine cables wires. the total CAPT.
LdllZdClOH IedCUc6 SOIuc w uClC al ouIiu
1920, 900, 900. The latest available data
show that the capitalization Of the tele-
phone lines is approximately 81, 1886, 000,-
900, of which 1910, 000,0 900 represents the
capitalization Of the Bell system and
s410. 900, 900 that Of the independents"
The Bell system has about 1000, 900 tele-
phones and the independents about
5000, 000 The total capitalization Of all
the wires, including telegraph, cables
and telephones, therefore, is around ST.
600. 900, 900.
It has been recently estimated that
the commercial telegraphers number
$4,000; that there are $4,000 more in
branch offices of various kinds and
that there are 100000 telephone en-
ployes. a total of $4,000 employees
cables and the number will reach
nearly 100000. The present number
of employees in the postal service is
approximately 100000.
Less Than Original Cost.
The government would not have to
pay, in all probability, the cost Of
the entire capitalization to obtain
the permanent control of the wires
real estate of the various telegraph
and telephone companies. but could
lease offices and consolidate others
Postmaster General Burleson points
out that the entire purchase could be
financed by the issue of bonds. and
that the returns from the wire sys-
tenn could easily pay the interest. the
running expenses, and in time pay
off the principal or q great share OF
it, and at the same time provide for
wide extensions Of the service. In a
review of the situation recently pub
lished in the American Review OF
Reviews the Postmaster General says:
mot only is a privately owned
service restricted to where it may be
operated on a paying basis, but its
patrons must pay all its operating
expenses, overhead charges and cost
of expansion. and besides provide
dividends to the stockholders on the
- 1Torfj,,,ei ~, Tshfrd PaRAl