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Show 10B Sun Advocate, Price, Utah Wednesday, March 9, 1983 Wflny rilaes FftmnimtLsmini Fnnefl adlwerttnse? " " As a public utility, we have an obligation to the public, our customers, our employees and our stockholders to answer their questions and keep them informed. To rely solely on the news media to disseminate utility information would be inadequate. The news media do not have the time or the space to devote to many of the complex issues with which we are frequently involved. Misunderstandings, distortions and omissions are often the result. As a customer of Mountain Fuel Supply, you have the right to know the facts behind these complicated matters. In this current series of messages (which has been paid for by our stockholders), we have reviewed why natural gas rates have escalated, what were doing to keep our rates in line, how our rates compare with those paid in other cities, how the price of natural gas compares with the price for other forms of energy, what percentage of your income goes to pay for natural gas service, and how we utilize the income we receive to continue serving you. What amount of each dollar goes for natural gas? Expenditures of Median Family Income How do MFS rates compare with those in other cities? Annual Residential Gas Bill (Dollars) 51482 Oklahoma City Salt Lake City 537 44 la 585 28 Butte 3 Chicago Las Vegas Transportation 31C 14C Medical Care 4C 3 643 07 679 60 686 4 Albuquerque Great Falls - tainment 2C 3C Food and Beverage 719 96 Houston Denver Cheyenne Fnter- Mountain Fuel Supply Taxes 1 rrrrs 71624 Phoenix 81004 825 79 827 86 Z3 854 98 856 76 945 36 :z:y.rjza 3 Milwaukee fcaSvii Seattle Reno Portland Nw Housing mssgassssosBgiaga Boise York I i 0 015 75 091 46 200 400 000 800 600 200 Annual Residential Gas Bill (Dollars) 4rb Quarter 982 Based on Rates in Effect m Cities Shown Applied to Usage of T ypicaf Customer on Mk S S stem ( 400 7 her ms) How does the price of natural gas compare with the price of other fuels? Energy Cost Comparison :0 Coal Natural Gas 2 Fuel Oil 325 0 384 0 733 Propane n rq Firewood 1 034 Electricity l 04 02 08 Ob 12 10 1 1 4 Your Natural Gas Payment: Where Does It Go? Dollars Per Therm 4th Quarter 1982 What of median family income goes for natural gas? Annual Natural Gas Bill Percent of Median Family Income Operating Costs Phoenix Las Vegas Houston Oklahoma Gas Costs 1 66. 20. 1 City Salt Lake City Chicago Albuquerque Cheyenne Wages and Salaries Portland 8.4 Seattle Denver Milwaukee Butte hew York Great Falls Boise Dividends i " r y- - 2.8 Reinvestment r 2.6 6 Annual natural gas bill percent of median family income 3rd Quarter 1982 imost recent comporiwns Source 1980 Census Has warmer r limate than Salt Lake Citv s available These are questions you, our customers, are asking, and we have a responsibility to answer them for you. In addition, we have an obligation to communicate valuable safety messages to you, to show you ways to conserve and keep your bills reasonable, to discuss our service programs and to communicate various other messages of importance to you. Some of our advertising, such as this present series, is paid for 100 by our shareholders from their earnings. It is not included in the rates you pay. Other messages are charged as an essential part of doing business, the same way every other business in America accounts for advertising. Like every other business, we must also compete for your business. While we are the only gas company in town, we are not the only energy company. And the way we compete is to keep our prices as reasonand well below our competitors. able as possible JJb That means being efficient in everything we do, including the manner in which we get information to you, our customers. Our business advertising amounts to only about $ 1 .20 per year per customer, or about 1 OC a month. We couldnt send you even one letter for that amount nor could we answer your questions and keep you informed and current on our programs in any other more way. We believe you have a right to have your questions about Mountain Fuel answered completely and accurately. In this series of messages we have tried to and to answer the questions we are most do that frequently asked. We hope it has been helpful. And we hope it has shown you that our rates are fair and reasonable, and that you receive a good value for the price you pay. Thats why the shareholders of the company have paid for this series. cost-efficie- MOUNTAIN FUEL Supply Company |