Oxford eagle. (Oxford, Lafayette Co., Miss.) 1876-current, 1920-10-21

This expense, both Federal. State, County,
and City, has increased every year we have
been in business the increase this year being
unusually high. There is no probability of this
expense being reduced.
We do not pay any excess profit tax be-
cause we have never earned enough to be sub
ject to that tax.
BUILDINGS
1t is common knowledge that the cost of
erecting anv kind of building now. well as
making alterations and repairs which con-
stantlv confront the TELEPHONE COMPANY and
which involve material. labor, freight. and
hauling, is on an enormously higher plane
than ever before. Insofar as the cost of ma
terials may be reduced will this total cost be
reduced.
The only wav we can furnish adequate ia
cilties for your use from year to wear is by
constructing the buildings in which to house
the central office apparatus in the larper CEN
tiers: as well as charging existing buildings
to serve the increased needs. and this work
must be carried on from wear to wear without
delav. This involves hundreds Of thousands
of dollars in expense to the Comnanv.
There are of course. n'anv Other items OF
EXPENSE All of which are now at tho highest
level in prices and none Of which show any
SIGN of reduction for fundamental reasons.
Until these necessary costs Of oneration
are materially reduced we cannot reduce the
COSTS Of f1rnishine telenhone service
%I,n
advertised reduetion in n'i"es and find that
thew are rron articles of which we make but
little If arv use Arnlnd TO tho te'enhone
bns;ness All known rednrtiore in nricee would
not redrce the cost of ft1rr,ishiro +elenhone
service orn-twertieth of one ner cent.
This is r,anv times offset hv the increase IN
1vaoes which in MANY places. we must make
DURING the current year
O,r nrncent onnratinp revenues are practical
w enualled nv our oneratno evnensns. II the
nreeon+ lot down in GENERAL business con-
times for anv anhrnciahle TING will lose
q material ,,art of the gross rever'1e now re-
ceived which will make a still higher rate
necessary If deficit is avoided.
wa GRO not asking hioher rates for the
SAME SERVICE we furnished one, two or
five voars aoo. but for much GREATER
SERVICE which we now furnish consisting
of facilities to add manv additional tolenhones
IN orr system during the past one. two and
five years.
This feet should be considered when compar-
mo the increase in rates ask with the IN
crease in +he CHARGES of railroad exnreSs and
other ruhlc utilities for the same quantity OF
service.
We hone. as every one does. that in the rela-
tivelv near future prices and the costs Oh
oneration. EXCEPT labor will be lower. but we
see no immediate prospects of this result as
far as the TELEPHONE Company is concerned.
The increased rates we are now asking are
based in a measure upon this hope. Ii the
nresent level of costs of operation 90 higher
THROUGH causes bevond our control the pro-
nosed rates will not yield fair profit.
II is important to remember that no rate FOR
a public utility is permanent IT condiuons
and prices so change in the future as to make
the rates we are now asking yield too high
return and if the Telephone Company should
not reduce the rates voluntarily, the Public
Service Commission would.
Conditions as they are must be met, not as
they may or should be.
The highest and best interest of the public
is conserved in having the Telephone Com
pany in position to supply facilities adequate
to the demand for telephones and service, and
in this way be prepared to render at all times
an adequate service. No community can ex-
pand and grow without adequate telephone
service, which in turn adequate plant
facilities.
With inadequate returns upon the bare cost
of the physical property already in service
the Company's credit has disappeared
With no credit the Company cannot secure
the millions of dollars required to provide the
additions and extensions of its plant, which
must be provided if the public demand for
telephones is supplied.
4E,,1Ix