CHEAPER CABLE RATES.

Dominion, Volume 4, Issue 985, 28 November 1910, Page 7

CHEAPER CABLE RATES.

"TIMES" COMMENDS SCHEME. SIXPENNY RATE TO AUSTRALIA FEASIBLE. ■■ INTERESTING ESTIMATES. By Telegraph—Press Association—Copyright. (Bee. November-2", 5.5 p.m.) London, November 26. Tho "Times" warmly commends tho important plan lately put forward for a cable , to Canada, via Iceland, and now under consideration. If is estimated that a tariff which is inadequate to earn a profit for the existing Atlantic cables, even when working to their fullest capacity, can earn a satisfactory profit for tho Iceland route if it is working only six hours a day. What was regarded as a practicable cable charge, though it need not necessarily bo adopted at tho'outsetj would reduce tho cost of ordinary messages from Britain to Montreal to 4id. a word.- The rate for Government, press, and deferred messages would in that case' be 2Jd. A sixpenny rate would cover the costof similar messages to .Australia. The capital required would bo £850,000, and the annual receipts from the lowest rates mentioned above are estimated at £148,750. . The expenditure would include— '■ - ;• " • £ Working expenses _ _ 55,000 ' Repairs '.. 12,000 ; Contingencies, canvassing, etc. .:...... 15,000 Provident fund _... 3,000 Renewal fund 18,500. Total £103,500 This would leave an annual profit of £45,250, or upwards of 5 per cent on the initial outlay. .-."',' 'It is suggested that the service would gain in security if wireless apparatus were installed on the same route. The cost- of this would be- small.