Every evening, Wilmington daily commercial., 1918-07-27
P.O. AND WIRE SERVICE
MAY Be COMBINED
New Plan to Prevent Congestion
and Facilitate Business of
Both Branches.

Washington, July 27. Conferences
were held Yesterday bv Postmaster Cen
eIal Burleson, who was appointed
AS director of the telegraph and tele-
phone systems by President Wilson, and
the men he has selected as his chief ad-
visers, and while the point was en-
phaSlzed that nothing would bc done to
change existing conditions without
careful consideration, there was a
strong intimation that certain measures
which MIR Burleson has had IN mind
for some time would become effective
soon after the government assumes
control at midnight on July 81.
Among these, 1t was said were the
merging of long distance and Telegraph
wires, so as to prevent congestion IN
ceI tain areas; the use by the telegraph
of branch offices of the postofhce IN
large cities, at least for receiving sta
tions. and a closer cooperation IN many
ways of the telegraph, telephone and
the posto'fice facilities. Developments
along these lines II was said would result
only where II was shown that better or
cheaper service 10 the public would be
obtained
Financial problems we've taken up at
todaYs conference, IT was sad, ana the
assurance was gwen that the rights OF
stock holders in the companies affected
hy government control would be cafe
fully protected As far as could be
learned il is not contemplated TO reduce
the dividends which have been paid and
for the present ~ least, the different
companies will be permitted to pay the
regular dividends and meet maturing
indebtedness as the prevailing rate Of
interest,
The Presidents proclamation taking
over the telephone and telegraph com
panics did not specify ON just what basis
rentals would be paid by the govern
ment In the case Of the railroads the
average Of the three years pIior to
America entry into the war was taken
as the basis and this course may TIC
followed in the present instance. IL IS
probable, however that the basis OF pay
ment Will be determined only after a
thorough investigation has been made
bv the postmaster-general
The only definite assurance which
could BE- obtained today was contained
in statements to the effect that the gov
ernrncnt would endeavor to deal with
the companies in the matter Of rentals
on q basis which would protect the IN
tcrcSts of these who had invested thcir
money in tic corporations. Officials
familiar with tho situation believe that
an agreement acceptable TO practically
All Of the companies can be arrived at
which will permit Of large profit IN
der government control
TO Just what extent the equipment Of
the Postofficc Department Will he used
to bring about reforms, which Mr. Burle-
son is said "a believe. should be made
in the telegraph service, is another 9uos-
ton. That postothcc employees will be
used in the other services to any large
extent il not considered probable, at
least not in the early stages Of govern
ment control But there Is apparently
every reason 10 believe that the physical
properties Of the department will be
brought into use wherever II Is believed
that economic or increased efficiency
will result
There was much speculation today as
Ia whether additional legislation will be
requested when the government has
worked out it's plan Of oTeration, but II
i probable that this point will not be
decided until Mr. Burleson has consulted d
with the present managers OF the telc-
graph companies and discussed the basis
Of cooperation between the government
and private corporations