[D8416AEG], Letter from Alfred Ord Tate to O H Salisbury, January 14th, 1884


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[D8416AEG], Letter from Alfred Ord Tate to O H Salisbury, January 14th, 1884

Editor's Notes

We recd the letter of the 9th in regard to the electric lighjt plant. We want to say that the place you mention will require a 1,000 light plant to start with. The contract price for installation is from $22,000 to $28,000 including building. It take two and half months before receipts equal expenses , after which the station will pay from twelve to thirty per cent. The light can be sold lower than gas. The Edison Electric Light Co. charge on e quarter of the capital of the local company for the franchise. You would require a capital of about $35,000 of which the TAE light co. would require $8,750. $1,750 being a cash payment to them and $7,000 in stock. This way the TAE light co becomes a partners of the local company. They don’t sell the machinery but license the contractors to put it up and want it done cheaply. # There are sucessful operations in Lawerence,Brockton, Fall River, shamokin, Sunbury, Penna and Tiffin. There are about 12 other stations that are now being built. # the favorite mode of organizing a company is to get consumers to subscribe on a basis of $25 a light actually used. If a man used for lights he would subscribe for one share. The TAE electric light co allows a commission if 15% on the sum they receive. EATon is the person to apply to for the right and copy of contract and information.





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Thomas A. Edison Papers, School of Arts and Sciences, Rutgers University
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