The Filer record. (Filer, Idaho) 1919-1930, 1920-07-15
POWER COMPANY
OPENS RECORDS

. crates extensive electric power ana
Hight properties in southern and cen
trail Idaho and a section OF eastern
Oregon and also all the Issued capital
stock. except the directors shares. OF
the Boise Valley Traction company,
issued Friday a financial statement
OF the Idaho Power company and the
Boise Valley Traction company.
The Idaho Power company and the
Boise Valley Traction company are
at present petitiCnlng the Idaho pub
lie utilities commission for Increases
Ia rates.
Issued Financial Statement
Following II the statement sent 10
all stockholders OF the company and
signed BY W. x. Putnam. vice presi-
dent and general manager:
I'VE are enclosing herewith flnan-
cial abatement OF the Idaho Power
company and Boise Valley Traction
company. containing balance sheet OF
December 81, 1919, and comparative
statements OF business done by the
respective companies for the three /
years OF 1917. 1913 and 1919. This /
statement is ordinarily only furnish
cd to the stockholders or the com
pany who reside In II different srafe~
and can only keep Ia touch with the
affairs OF the company In this way.
Notwithstanding this widely scattered
ownership OF our stock, over SO per /
cent OF all OF our stockholders live
in the territory served by us. IL Is
furnished you for the purpose OF ac-
quainting you with the activities OF
these companies and their financial
condition, and particularly OF the Ida
no Power company.
Earnings Show Big Increase
You will note that the earnings
Of the Idaho Power company have
increased. keeping pace
With the growth OF southern Idaho
and eastern Oregon. but that there
mas been like Increase In operating
expenses. taxes. interest. etc
According to the public utilities
OF Idaho and eastern Or
,gon, the accrued depreciation on our
property which should be earned by
he Idaho Power company each year
rom our customers IL at least five
hundred thousand dollars per year. :
he report shows that the earnings
I the company, after paying bond In
crest, preferred stock dividends and l.
lmilar charges In 1919 were not
ute sufficient 10 provide this sum.
D say nothing OF return on the
alance OF the investment not repre-
rnted by the above securities.
What Balance Sheet Shows
Referring TO the balance sheet,
ar plant account was nearly twenty
We million dollars and our actual
orking capital required for cash. a
ipplles. customers accounts. etc,
as nearly one million dollars, rep
senting an actual investment APP
twenty-six million dol
RS. Against this the Idaho Power -
mpany owes In the form OF bonds,
ties and accounts payable. approx =
ately nine million eight hundred
ousand dollars. and has issued one
Illion one hundred and sixty thou
nd dollars or preferred stock. De-
citing the total of these obligations
the company from the total In
stment leaves an additional invest
int In the property OF the company
approximately fifteen million dol
-. which Is the amount OF the com
IN stock OF the company, and thus
> common stock represents actual
,ney put into the property, or it's
sdecessor properties. which money
! been spent for the purpose of pro
ny's customers and Is entitled to
IN eight per cent per annum. but
actually earning less than two per
n.
Under utility regulation. com
ny such as the Idaho Power com
ny becomes an agency working for
customers. Its function Is to pro-
% money TO construct power plants
nsmission lines. substations and
1 distribution systems and to hire
labor and purchase the supplies
ulred 10 operate same. The Gus
ners using the service OF such
lity are required TO provide funds
flcient to pay for the operating la
,. the operating supplies. the taxes
| whatever rent must be paid upon
money secured for the purpose OF
Wing It's customers. and small
nt In addition thereto.
The Idaho public utilities com
uon. IN its decision of June 2,
0 pointed out the dependence OF
community. or set OF communi-
(. upon securing adequate service
N tho utilities supplying Il. and
!, pointed out that such utilities
Ia not properly function aud thus
y apace In the providing OF serv-
With the growtns demands OF the
itory unless the rates for service
by the customers OF the utility
slded all OF the above costs.
he Idaho Power company Is at
tent confronted with the necessity
pending during the uest twelve
this period approximately two
ion five hundred thousand dol
upon new construction work so
o provide adequate facilities for
rapidly growing territory. This
truetion expenditure nscessitRtes
securing OF money at high cost
. spent Tor high cost construction
arials aud construction labor.
We are presenting this informa-
TO you and not for the purpose
seurlng Publicity. but SO that you
personally acQuaiut yourself
the affairs OF the company, aud
be IN better position to sppre-
a