The Dawson news. (Dawson, Ga.) 1889-current, 1919-04-08

creased rates will be directed by Mr..
Vail and not by the government be-
cause what Vail says goes with Bur-
leson."
The article, entitled ga Gigantic
job" reads in part:
That the control of the telegraphs
and telephones by Mr.. Burleson was
q job to increase the Bell Telephone
rates by $3O,OOO,0OO is proved by
the annual report of the Bell Tele-
phone Company just issued.
The outstanding feature of that
report for the year 1918 is the publ
cation of an estimate Of the net reve-
nue. of the government from the COM
pany's properties August / to Deem
Der 81. 1918. 1t shows that the net
-sSul; o. Nh Burlesons operation
q ire Be-. lines from August l I'M
e., December 81. 1918, would result
IN a<@>-: - the government of
s. So BOZ. The compensation finally
s--tfa4 81 .s IRE pos,office cOmpensa-
t.ssa :4zsza .1St would reduce this es-
...as,z .- St.S+4,775.
Eases - Increased Rates.
Then .>s-s 5 an estimate show
- r-r. 90 re government of S12,-
+-.S. from the operation of the
Sell lines turing 1919. This estimate
9s-z< conditional on the government
Increasing the telephone rates by
$S0.775,000."
At this point the article quotes
from the Bell company's annual re-
port, especially one portion, which
quotes Judge Lamar in a statement
handed to the Bell officials Septem-
Der 3, 1918, which reads in part:
Il have made four hypothetical in
come statements which are designat-
ed by the captions at the head of
each column. The income account
prepared by the company shown in
column l is based on the following
assumption la That revenues will
increase SO per cent. as a result of
the natural growth in business, (b)
that the company will secure rate in
creases amounting to S30,775, 900,
(c) that operating expenses will in
crease at the rate of SO per cent"
The article continues Hence it
will be seen that while Mr.. Burleson
was publicly declaring that he was
going to decrease rates he had al
ready committed himself to a policy
of increased rates for the Bell Tele-
phone Company which was to net
during the year 1919 the sum of
$30,775, 200. Comment on an ar
rangement Of this kind is superfu-
GUS"
knew There Would Be Loss"
when the postmaster general
made his award of compensation to
the Bell company he knew that from
the estimate prepared by the Bell
Telephone Company he was going to
conduct the lines at a loss for the
five months ending December 81,
1918, which would have to be horne
by the United States government
through income and other taxes.
Mr.. Burleson is committed to an
increase in the telephone rates dur
ing 1919 which will increase the tele-
phone revenues by $30,000,000 and
therefore there will be more increas-
es to come, and they are coming, be
cause Theodore N. Vail says in his
report, just published, that tele-
phone rates should be increased dur
ing 1919 by twelve per cent, and
what Mr.. Vail says goes with Bur
Lesson.
THE following is what the Bell
company has gotten out of the peo-
pie of the United States through its
contract with Mr. Burleson: An an
nual compensation of $65,148,641,
which is more than the Bell company
could have earned had it kept its
lines; $16,OOO,OO0 rake off from
the subsidiary companies, represent
ing four and one-half per cent. of
the gross receipts of the latter; all
interest, expenses, depreciation and
taxes to be paid by the government.
Truly Mr.. Burleson has done much
for the Bell company"