57
40
No. 9.1
Rates of
TELEPHONE.
IA.D. 1925.
the Colony as the requesting party may require, and shall connect the same with the nearest exchange and accord to the requesting person a good and continuous telephone service for so long as any such person continues to pay the Company's usual charges on due date. For the purposes of this section the Company shall be given such time as the Governor in Council may decide to be reasonable within which to obtain adequate plant.
34. The Company shall be entitled to charge its subscription. subscribers rates of subscription which shall not exceed Matters covered by
those specified in the Schedule or such revised rates subscription. as are hereinafter provided for. Such subscription shall include the cost of erection and fitting up of the lines and the installation of all necessary receivers, transmitters, switches or other appliances and the connection thereof with the nearest exchange and also all necessary repairs and renewals requisite for the maintenance of an efficient and continuous service, with the exception of damage, not occasioned by fair wear and tear, to telephouic apparatus which is inside a subscriber's premises.
Computation
35.-(1) For the purposes of section 36, the net profits of net profits. of the Company shall be the gross takings of the Company less the moneys appropriated for the following purposes, namely:
(1) Interest on moneys borrowed by the Company, including interest on Debentures; (2) the sums payable yearly to the Treasurer in accordance with section 7: (3) working costs: (4) reason. able management expenses: (5) superannuation and provident funds: (6) maintenance and removal of works, apparatus and other property of the Company (7) depreciation of buildings, plant, apparatus and other property of the Company and (8), the appropriation authorised sums to Reserve,
:
of
(2) The amount to be written off or provided annually for depreciatiou shall not exceed ten per cent of the cost of the Company's plaut and equipment other than land and buildings. The depreciation on land and buildings shall be such a sum or sums as shall be fixed by an architect approved of by the Director and the Company.
(3) The Company shall be entitled to appropriate anually to Reserve a sum not exceeding fifty thousand
A.D. 1925.]
TELEPHONE.
[No. 9. 41
dollars, and the Company shall (save that it cannot capitalise the same without the previous consent of Legislative Council) have power to deal with the Reserve in such manner as it shall think fit.
(4) The cost of making provision for the maintenance of an efficient service shall not include any sums expended on works where such expenditure is in the nature of capital outlay.
(5) Notwithstanding that in any year or other account- ing period no allowance or a less allowance than that hereinbefore authorised shall have been made for deprecia- tion or appropriation to Reserve, it shall not be lawful for the Company to make in any succeeding year or account. ing period any greater allowance for those purposes than that hereinbefore authorised,
36. The net profits of the Company as defined in Authorised section 35 shall be dealt with in the following manner, dividend and namely
(1) In payment of a dividend on the paid-up Capital for the time being of the Company which (save as in the next sub-section provided) shall not exceed twelve per cent per anuum:
(2) If the net profits be such that a larger dividend than twelve per cent per annum on the paid-up capital for the time being of the Company could be paid, the sum representing an amount not exceeding a further six per cent per annum upon the paid-up Capital for the time being of the Company shall be paid as to one-half thereof by way of increase of dividends to the shareholders of the Company and as to the balance thereof be set aside for the benefit to subscribers by way of reduction of the rates as are hereinaftor provided for, and any further profits in excess of the said further six per cent per annum shall be applied by the Company solely for the reducation of the rates payable by sub- scribers, so that the maximum dividend payable to the shareholders shall under no circumstances whatever exceed fifteen per cent per annum upon such paid-up capital as aforesaid.
disposal of surplus profits.
58