Mr. Scudamore proposed to open telegraph offices in all places which had a population of 2000 and upwards and which already had money-order offices. All other post offices were empowered to receive telegrams, which were to be sent by post to the nearest telegraph office for transmission. The charge was to be made uniform at 1_s._ for twenty words and 6_d._ for each additional ten words, or part thereof. He judged that the whole of the property and rights of the telegraph companies might be purchased for a sum within £2,400,000, and £100,000 more would have to be spent in the extension of the service. His estimate for gross annual product was £676,000; annual charge, £81,250; working expenses, £456,000; surplus, £138,750.[801] Finally, his reply to Lord Stanley's question was in effect that the telegraph system might be beneficially worked by the Post Office, that there would be advantages thus obtained over any system of private ownership, and that the Post Office would have to bear no expense not amply covered by the revenue.[802] In fairness to Mr. Scudamore, it should be remembered that his original low estimate of the probable cost of the telegraph companies did not include Reuter's and other important companies. In addition, the strict monopoly conferred in 1869, with the necessary accompaniment of the purchase of all inland telegraph companies, entirely upset his original estimates. Finally, the decision to include the public telegraph business of the railways and the excessive price paid to the railway and telegraph companies should not be forgotten in contrasting the estimated price with that eventually paid for the acquisition of the telegraph systems in the United Kingdom.[803] Mr. Grimston, the Chairman of the Electric and International Telegraph Company, contended that the extension of telegraphic facilities to any considerable number of small towns and villages would involve a loss to the state by greatly increasing working expenses, that village postmasters and postmistresses were totally unable to work the telegraphs, and that consolidation could be effected more advantageously by the companies themselves.[804] [801] In another place his estimate for gross revenue was £608,000; annual charge £105,000 on a purchase price of £3,000,000 with expenses for improvement; working expenses £425,000, and surplus £77,750 (_Acc. & P._, 1867-68, xli, 202, pp. 145-47). [802] _Ibid._, pp. 7-39. [803] _Parl. Deb._, 3d ser., ccxxviii, col. 215; cxcii, coll. 747-751. [804] _Acc. & P._, 1867-68, xli, 202, p. 131.