:-'
The Commoner
JANUARY, 1914
21
Bell Telephone Divorced From
Western Union
The following press dispatches tell
the story of the proposed dissolution
plan of the telephone trust:
Washington, Dec. 19. The Ameri
can Telegraph and Telephone com
pany, better known as the Bell sys
tem and telephone trust, has agreed
to drop its control over the Western
Union Telegraph company and to re
organize immediately, at the sugges
tion of the department of justice. It
has voluntarily agreed to adjust its
business to the conditions of compe
tition. Attorney General McReynolds, with
the assent of President Wilson, has
accepted the reorganization plan pro
posed by the American Telegraph
and Telephone, and will not proceed
with the contemplated suit under the
Sherman anti-trust law against that
organization, which is one of the
largest corporations in the country.
The Bell Telephone capitalization
at the time of the merger, in 1912,
was $500,000,000, and its bonded in
debtedness $105,000,000. Of the
$100,000,000 capital of the Western
Union the Beli company acquired
$29,000,000. Since 1906 the Bell
company has paid 8 per cent divi
dends, and since 1909 the Western
Union has paid 3 per cent.
PRESIDENT GRATIFIED
Fprmal announcement of the action
of the American Telegraph and Tele
phone company was made at the de
. partment of justice tonight by Attor
ney General McReynolds. The attor
ney general gave out the text of a
letter written today by Vice President
Kingsbury, of the American Tele
graph and Telephone company, volun
teering to "set its house in order."
At the same time he made public a
letter from President Wilson express
ing gratification over the action taken
by the telegraph and telephone com
bination. The president wrote:
"My Dear Mr. Attorney General:
Thank you for letting me see the
letter from the American Telephone
and Telegraph company. It is very
gratifying that the company should
thus volunteer to adjust its business
to the conditions of competition.
"I gain the impression more and
more from week to week that the
business men of the country are
sincerely desirous of conforming with
the law, and it is very gratifying in
deed to have occasion, as in this in
stance, to deal with them in complete
frankness and to be able to show
them that all that we desire is an op
portunity to co-operate with them.
So long as we are dealt with in this
spirit we can help to build up the
business of the country upon sound
and permanent lines. Cordially and
sincerely yours,
"WOODROW WILSON."
The reorganization plan originated
with the company, although it fol
' lowed many reports that a suit
against it might be brought. It was
regarded by department of justice
officials tonight as the most striking
indication offered in a decade that
"big business" has come to the con
clusion that it is better to follow the
Sherman law than fight it.
Coming on the heels of the an
nouncement that Postmaster General
Burleson was seriously interested In
government ownership of telephone
lines, the action of the department of
justice took on added significance.
Some officials went so far as to ex
press the opinion that it indicated
that legislation to acquire the coun
try's telephone business would not be
pressed by the administration at the
present session.
TERMS OF AGREEMENT
In brief, the agreement provides
that:
"The American Telephone and
Telegraph company will dispose
promptly of its holdings in the West
ern Union Telegraph company so that
each concern shall be under distinct
management.
"The company will not hereafter
acquire control of other telephone
companies, and where control of tele
phone companies has been acquired,
but no actual physical union has been
effected, the American Telephone and
Telegraph will submit the course it is
to pursue to the interstate commerce
commission, and to the department
of justice.
"The company will promptly make
arrangements by which all other
telephone companies in the United
States shall have a' cess to its toll
lines.
Representative Lewis, of Mary
land, who js leading a fight for fed
eral ownership of the telephone facili
ties of the country, said the dibsolu
tion would not alter his determina
tion to continue his fights.
MR. BRYAN'S MUESSAGE
However strong the effort may
have been to create an impression
that there was a sordid side to the
welcome extended Mr. Bryan, and
that much of its volume was duo to
the hunger of his party followers for
partisan preferment, it did not en
tirely divert attention from- the real
purpose behind his address before
the Commercial club.
The purpose was manifestly to as
sure the people of Nebraska that "the
president is on theii side." Mr.
Bryan's masterful exposition of the
relation of the people, as disin
guished from the special interests, to
all that has been done by the Wil
son administration "was wonderfully
cheering and convincing. His fore
cast of what the president still pro
poses to do was comforting and up
lifting to the heart.
What he said of President Wilson,
of his servitude to his conscience and
his right impulse toward the conser
vation of the rights of all the people,
while it may have seemed like a
studied eulogy of his chief, was little
more than a heartful expression of
what Is in the minds of the people of
all shades of partisanism.
In listening to the words of the
distinguished speaker, which may
have seemed to many just a little
more eloquent in their simplicity and
earnestness than any of tho former
words of one whose words are al
ways marked by simplicity and
earnestness, one did not have time to
remember that there were a few
among his hearers who were think
ing of their chances for personal
preferment through his kindly offices.
They were able to discern a higher
purpose in Mr. Bryan's visit to his
homefolks than to bring comfort to
the office-hunters of his party. Lin
coln (Neb.) Star.
OVERCHARGED
The attorney for the gas company
was making a popular address.
"Think of the good the gas com
pany has done!" he cried. "If I
were permitted a pun, I would say,
In the words of the immortal poet,
Honor the Light Brigade.' "
Voice of a consumer from . the
audience: "Oh, what a charge they
made!" Labor Digest.
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Accomplish!!!
reat reform
THE HUGHES IN
SURANCE IN
VESTIGATION of
1905, found that all life
companies were heavily
burdened by agency
expense which came out
of the pockets of policy
holders, of course.
Press and public
agreed that tho elim
ination of the agent
was the great reform
needed.
The Postal Life In
surance Company was
organized that same
year to help work out
this very reform.
It has done its part
by demonstrating that
the business of life in
surance can be done
direct; it has thus done
business successfully for
more than eight years;
it does not employ
agents atall but gives
the public t the benefit
of the saving thus effected.
THE FIRST YEAR,
policyholders receive a
guaranteed commission-dividend
corre
sponding to what other
companies pay their
agents, less a moderate
advertising charge.
This dividend
ranges up to
40
of the premium cm
whole-life policies
In subsequent years
policyholders can de
duct the entire agent's
renewal commission of
7Vz and an office-expense
saving of 2,
making up the
Annual Dividend of
Guaranteed In the Policy
AND IN ADDITION,
the Postal pays every
year after the first,
the usual contingent
dividends earned by
the Policy.
Agents, of course, find
it hard to compete with
the Postal: they fight it
and get certain easily
influenced insurance pe
riodicals to help them.
The public Is there
fore warned not to
take the word of any
such agents or to
believe the framed
up " articles that
may appear in such
periodicals.
The Postal Life Is a
highly-accredited in
stitution and enjoys
the confidence of the
well-informed insur
ing public.
4 e ypf
iji J
POSTAL LIFE lUILDINfl
3SKassaaSt New York
j',bssbsssj
Write bI fiad" eat tke exact tarn
Ike Ceapaay will tare .you at yer
age ob any ttaadari feres ef coa
tract Wbolc-Life, Liiaited Pay
eat Life, Eadewneat, Jeiat Life
r a Meauily-lBceaie Pelicy.
Call at the Company's office If con
venient, or write for lull official infor
mation. Simply say;
Mall me Insurance-particulars,'
se per advertisement in
THE COMMONER for January
In your letter be sure to give:
1. Your full name.
2. Youroccupatloa.
3. The exact date es your birth.
Na ageat will be seat te visit yoa:
the benefit of his commission
goes to you because you deal
direct.
STROM rOSTALfOiNTS
First: Et&n4ar4 mKm-
retervei, now marly
Ctn.OOO.OOn. Intttraneei
foTuntarlv $50,000,000.
Kecnad : OtdAime letal r-
scrve insurance not fra
ternal or aaseaamest.
Third: Standard jMHey-
pTotUlons, approval ny
the Bute Insura&ee De
partment. Fourth: Operate uefler
Uriel State requirements
and subject to the United
BUte postal authorities.
fMftfei Utah medical
standard ia the selection
01 risks.
Sixth : FoltcyhcMtT
tftnlih limtau tM-ovklea
one free medical examina
tion eacu year, u otsm.
Postal Life Insurance Company
WM. R. MALONE.PraIdent . ,
1. ." 3S Nassau Straatf 'jNEW YORK mSm2ji
400 Acres of Good Nebraska
Farm Land at a Low Price
I am offering for sale 400 acres of good farm land in Perkins
county Nebraska. This land is a dark sandy loam, very produc
tive and is increasing in value. Will sell all or part Write for
price and terms to
T. S. ALLEN, Fraternity Building, Lincoln, Nebraska
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