The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1921-03-11
ANNUAL PHONE MEETING
Yearly Event Mankato
Citizens Company
THE MANAGERS REPORT
Work Taken Up During Past
Year Explained In Detail BY
p. M. Ferguson

Stock holders Of the Mankato Cit
izens Telephone company held their
annual meeting this afternoon in the
basement of the Mankato State Bank
for the purpose Of eiecting five direct =
ors whose terms expire this year.
Other routine business was also taken
I'D. The customary annual banquet
was not held today on account or the
fact that the company did not make a
very good financial showing, and II
was thought better to cut out that
The annual report of Manager P. NJ
Ferguson explains in detail the york
taken I'D by the company the past
Manager Ferguson's Report r
The following Report OF Manager
P. NJ. Ferguson was read:
ITO the Directors: The purchase OF
the Tri- State plant in Mankato, Mad
ison Lake and Eagle Lake, the con-
solidation of these three plants with
our present plant, the installation OF
our new switchboard equipment which
virtually meant the rehabiltating 0l
the entire switchboard, the various
labor difficulties affecting wages and
later the rate increase granted al
our various exchanges September LIST
last year, all contributed to the max
ing of the year 1920 by far the most
eventful year in the history of the
Company.
Additions to Plant Not Attributed
to Purchase
In addition to the number OF tele-
: phones added to the plant by reason
Of the purchase, we have had very
healthy growth. A total OF 616 tele-
phones have been added during the
fnlu CSn he safe
iy said were acquired by the pur-
chase, the balance would have prob
ably been acquired whether or no We
purchased. Seventy four OF these
were added to our rural plant and "a
to our sub exchanges. The balance
to the Mankato Plant.
The Rate Increase.
1.-THE increase in our monthly rem
tails caused little or no stir In Man =
kato SO that only very few tele-
phones were removed for that reason.
At our sub exchanges where the in
crease was somewhat greater than al
Mankato, we lost quite a few tele-
phones, particularly at Madison and
Eagle Lake where in addition to the
increase in rentals there was placed
In effect a toll charge on messages
to and from Madison Lake and Eagle
Lake and Mankato. Some OF these
Telephones have been ordered back
and / am quite sure the balance will
follow Just as soon as the present
depression in business Is adjusted
As the increased rates here have only
been in effect for the last four
months of the year, it is difficult to
rived therefrom is going to be ad-
eQuate for the company's needs;
certainly not, If the present price
levels for materials and labor are To
Continue.
Expense Accounts.
THE increased price OF materials
and labor is reflected in the various
expense accounts which are abomin
ably high when considered with pre-
war years. 1t was then possible to
operate the plant at practically 81
percent of the gross earnings. There
is some hope that the materials used
In the business which have increased
from percent to 230 percent viii
possibly. fall off during the coming
year but do not look for a very
decided decrease on account Of the
demand for telephone service whicr
Is acute at the present time in al
sections Of the country. The Bel
Company alone state that they are
10000 orders behind for which they
are unable to get the telephones.
look for very little, if any, decrease
monty recognized that telephone mer
and women have been underpalt
when compared with other lines o
endeavor The minimum wage com
mission have fixed by law the wages
of operators so that no decrease car
be looked for in operators wages
and the switchboard men and tele
phone repair men are only now re-
iceiving the prewar wages of machin
lists and other mechanics, SO l car
only look for a decrease in the cos
of common labor which only enter:
to any large extent into new con
struction costs. During the past yeal
we had large crew in the country
engaged in overhauling our rural anC
toll lines. This was found necessary
as we had not done any patrollint
for three years and the pole line:
were In such condition that immedi
ate attention was imperative. We als(
were required to move great many
poles on both the st. Clair and Map
Teton roads and several other place:
throughout the County on account o
the roads being graded. This particu
lar item of expense we will have Il
contend with more as the good road!
program progresses. This expense i:
reflected in the maintenance account
Traffic Expense.
1.-THE minimum wage scale is prln
cipally responsible Tor the aDnorma
increase in this account which is So
15147 more than year ago. The
orders of the Wage Commission mo-
only increased the salaries, but also
decreased the working hours whicf
increased our forces at all our ex-
changes. At Mankato the increase II
operators salaries over a year ago is
S5,314.04; at Mapleton $530.70; a
Good Thunder $42115; at Madison
Lake $429.50; at Eagle Lake $773.15
There is very little hope OF any re.
duction in these salaries as fixed by
the Commission.
General and Commercial Expense.
"The principal reason for the In.
crease in these accounts as shown
aside from the abnormal increase IL
general Items such as heat, light
stationery and printing, etc., is the
fact that the salaries and expense o.
the Manager and Superintendent, in
stead Of being allocated to the vari
Gus accounts as formerly, are nov
charged to General Expense, the
auditors having ruled SO because o.
their work being general in character
Maintenance Account.
"This account discloses an increase
Of s11, 623.46 over year ago which
A. ranoad Irv ha fnnrooCn IN Iah