Full Discussion on Points Raised by the Utilities Committee: Council's Position Made Clear Subject to the dale on which the message rate schedule shall take effect Being March 1. 1988, the Council, reported last week, al a special meeting on Monday, Nov. 11, adopted the report of the Special Committee of Telephone Experts on the recommendation of the Public Ullities Corzmittee, The Council had before it the minutes of the Public Utilities Committee meetings of October 28 and November 7, a precis of which has been published in the "North-China Herald." To explain why—the experts in their additional report, gave it as their opinion that under the flat rate $1550 would have to be charged for business lines instead of the original application of the Telephone Company the chat ed, $15.08, Major Brown stated there hed been a substantial change in the conditions In the meantime. The Tele-Phone Company had based its cal culations on an increase of 4,000 stations and instead of that Increase Tt had suffered a loss of 4,000 stations, and their desire was not to increase the residential rate to such an extent fag to prevent a certain amount of growth, as residential subscribers had already borne more than their share for many Major Brown mentioned further the 2 per cent, royalty had to be paid to the French Municipal Council and the Shanghai Municipal Council only for part of this year, from August onwards but the Company would have to pay this royally for the whole of next year. He was of opinion the fat rate system had undoubledly tributed to the loss, and if the rate continued, they would have further loss of stations.
Text read from the printed page and cleaned; old type leaves the occasional error.