Show FOUR AND A HALF MILLION PHONES EMBRACED IN THE BELL SYSTEM SYSTEr S Almost four and a halt half million tele telephones telephones telephones phones were embraced in the Hie Hell Dell system In the United States at the close of the year IMS 1008 according to N K Valls Vails report to the stockholders American Telephone Telegraph com corn company company pany party which was made public at Boston Doston yesterday The total wire mileage of the companies was and the number of conversations for tor the year ear was about six billions or a daily dally average of o 18 or Of the telephones phones in service 1103 HI were operated by local cooperative cooperative tive the and rural independent companies that had connections conn with the Bell Dell system Plant additions in 1008 included for exchanges toll lines and for tor land and buildings making the tue years cars total 6 and bringing the total for the last nine years enlargement of or Bell fiell properties to The total assets of oC the Bell companies Is shown shon to be with a surplus of n tl JO and and other reserves of o and anti the report shows that the real or replacement value of the Bell Hell plants is largely in excess of all aU out outstanding outstanding outstanding standing obligations The rhe maintenance of oC the properties Is wH well provided for and the plants themselves are assuming more per permanent permanent permanent manent character due chiefly hlen to the in increased InI Increased creased proportion of oC o copper wire and un under I der conduits and cables The Bell lIeu business as alS a whole excluding excludIng excluding ing duplications and treating it as if op operated operated orated by a single sIngh company showed a substantial improvement says the re ro report ro port The total earnings showed an In Increase crease crese over the previous year ear of the Ule total expenses es an increase of The balance of o net earnings was and after deducting for or inter interest Interest est eat and 1 for dividends dIvidend there was left in undivided profits The number of shareholders in the American Telephone Telegraph com corn company company pany increased to with an average holding of ot 60 g shores each In explaining the tIle relation of ot this company to the asso associated associated companies the report r port says Primarily manly marily a holding company it also owns and operates the long distance lines Unes which connect the systems of the associated companies In addition to these two functions functions unc it assumes what might be termed the centralized administrative functions of all the tho associated companies The fhe Bell Belt I system is one system telephonically in iii interconnected Interconnected I Intercommunicating and In Interdependent It was built up on the pol I icy that any any am one of oC over subscribers ers era can talk taik with any other one within i the tho carrying power of oC the voice olce over tho the wires New ideas inventions and I ads are examined perfected and made tint uni universally available With reference to the Bell companies relations to other companies the report says There has lies not been sufficient distinction dIstinction distinction tion between the independents In and the opposition in the minds of the public We Ve have no quarrel with either With Ith many of the Independents we wo arc are working in complete harmony and for or all alt practical purposes our system is a part of o theirs and their system is a part pert of ours outs President Vail Vall says ISS there is a decided t tp dency deney on the part of or the public to fa favor favor a avor vor consolidation and speaking further on public relation he lie says sa S During the year we have havo had many questions before the tilt courts state com commissions commIssions commissions missions and other public bodies We Ve hav ha hamet met them in a R spirit of absolute frankness s sand and candor The results have been on the whole satisfactory and the treatment we weI have received has been fair and consUl comil orate crate and we have hac found an evident de do desire desire I sire to ascertain the real conditions condition and anci to meet them fairly |