National Geographic : 1928 Sep
I Where the Bell System's profit goes An Advertisement of the American Telephone and Telegraph Company < JlOE THERE is in effect but one profit t paid by the Bell Telephone Sys tem. This profit is not large, for it is the policy of the Bell System to fur nish a constantly improving telephone service at the least cost to the public. The treasury of the American Tele phone and Telegraph Company receives dividends from the stock of the operat ing companies. It receives a payment from the operating companies for re search, engineering and staff work. It receives dividends from the Western Electric Company-makers of supplies for the Bell System-and income from long distance operations. => Only one profit is taken from this money in the American Tele phone and Telegraph Company's treasury. That is the regular dividend to its stockholders-now more than 420,000 in number-which it has never missed paying since its incorporation in 1885. Money beyond regular dividend re quirements and a surplus for financial stability is used to give more and better telephone service to the public. This is fundamental in the policy of the company. The Bell System accepts its respon sibility to provide a nation-wide tele phone service as a public trust.