The Bamberg herald. [volume] (Bamberg, S.C.) 1891-1972, 1920-12-16
Will ANNOUNCE
DECISION LATER
COMMISSION ENDS HEARING ON
TELEPHONE RATES.
Hot Fight Develops.
Chamber of Commerce Opposes Ef-
fort of Company to Increase
Charges in This State.


petition of the Southern Bell Tele-
phone and Telegraph company for a
statewide increase in telephone rates
yesterday afternoon, reserving it's de-
cision to permit further investigation
of the question by the commission.
The company in it's prayer is asking
on increase of slightly over 25 per
cent. for the telephone charges in
South Carolina. This average increase
is not, however, to be applied gener-
ally, the town and cities under the
new schedule being divided into eigh:
groups with the same. rates applied
to all exchanges in the group. In this
way the charges in at least one town,
CoWpens, which now has a rate out
of proportion with exchanges of sim
liar size in the state, will be reduced.
The present charge in Cowpens for
one party lines is $3.50, while under
the group plan the rate for these lines
will be only 1925.
Allendale, Barnwell, Blackville,
Denmark, Honea Path, Johnston,
Leesville, Liberty, Pelzer, Pickens,
Piedmont, Prosperity, St. George and
Whitmire are grouped together, with
the following proposed rates: One
party business lines, $3.50; two par
ty business lines, 3; four party
sion telephones, $3.50; one party
residence lines, $3.50; four party
residence lines, $3.50, and residence
extension sets, S1.25. The exchanges
in this group number subscribers
ranging from 81 to ia for a single
exchange.
The proposed rates for Bamberg,
Batesburg, Belton, Cheraw, Clio, Dill
lon, Easley, Edgefeld, Greer, Harts-
vile, Latta, Marion, Mullins, McColl,
Timmonsville and Summerville are:
One party business lines, $3.50; one
party inward lines, $3.50; two party
business lines, $3.50; four party busi-
ness lines, S2.70; business extension
sets, $3.50; one party residence lines,
S2.40; two party residence lines,
S2.10; four party residence lines,
$3.50, and extension sets for resi-
dence lines, s1.25. Subscribers in
the exchange of this group range
from 107 to 369.
Only two witnesses have been
heard during the hearing, which be-
gan Wednesday morning, j. M. B.
Hoxsey, of Atlanta, first vice presi-
dent of the Southern Bell company
in charge of finances, and George j..
Youndt, vice president in charge of
operations. Testimony offered has
hinged largely upon the financial
condition of the Southern Bell sys-
tenn, particular reference being paid
to the revenues derived from and
the expenses incurred by the ex-
change in South Carolina. The COM
pany claims that Notwithstanding in
crease in rates the revenues are not
sufficient to pay the necessary cost
Of maintenance and operation of
the lines in this territory. The cor
porate afiliation of the Southern
Bell Telephone and Telegraph COM
pany and the American Telephone
and Telegraph company, the parent
company, and the contractural rela-
tions of the Southern Bell with the
Western Electric company, a subsi-
diary of the parent company, were
also discussed. Twenty Of the So
exchange points in the state were
represented at the hearing.
Mass of Statistics.
Both witnesses for the company
introduced a mass Of statistical
analyses and efficiency charts in sup
port of their contention that the
company needed more money to pro-
vide extensions and improvements,
demanded in this territory. The
Southern Bell, according to the testi-
mony, was controlled by the parent
company, which owns the stock of
the Southern company. The parent
company, according to the evidence,
through contracts with the Southern
Bell company, collects 20 of the
gross revenue of the subsidiary COM
pany for Resistance, advice and f.
nancial aid" This, the officers of the
Southern Bel: system claimed, was Of
great assistance to their company
and was also an economic business
measure. Attorneys for the chamb-
ers of commerce, opposing the in
crease, contended that the practice