In reply to the charges which Mr. Washburne brings against the Western Union Telegraph Company, of compiling information for the Postmaster-General with an intent to mislead, of exaggerating the cost of construction of lines, and misrepresenting the value of its own, we respectfully present the following facts respecting the organization of the company, the amount of its capital, the number of miles of line and the number of miles of route, together with a statement of the number of skilled persons in its employ. THE ORGANIZATION OF THE WESTERN UNION TELEGRAPH COMPANY. In the spring of 1866 there were three telegraph companies, covering vast areas of territory in the United States. Two of these companies operated lines over separate divisions of the country, but worked in connection with each other, while the third, which covered some portions of the territory of the others, was a competitor for the business of all sections. These three companies were the Western Union, with lines extending from New York to California, and throughout the Western States; the American, with lines extending from the Gulf of the St. Lawrence to the Gulf of Mexico, and through the lower Mississippi and Ohio Valleys; and the United States, with lines extending from Portland, Me., to Richmond, Va., and from New York to Kansas. The necessity for direct communication between the East and the West, and the economy of one set of officers and employees instead of two, demanded the consolidation of the American and the Western Union; and the still greater saving to all the companies by the uniting of the lines and offices of the United States with those of the other two equally necessitated its amalgamation with the others. Par Value. Market Value. The capital of the Western Union Telegraph Company, which had sold at par and over in $22,000,000 $22,000,000 1865, was The capital stock of the American Telegraph Company, which sold at $180 per share in 4,000,000 7,200,000 1865, was The capital stock of the United States 11,000,000 11,000,000 Telegraph Company was ——————————— ——————————— $37,000,000 $40,200,000 The proportion of lines and wires to the capital varied with each company, the American company having the greater number; and in the terms of consolidation these differences were equitably arranged, and the capital stock of the consolidated company was established as follows:— FINANCIAL STATISTICS OF THE WESTERN UNION TELEGRAPH COMPANY. CAPITAL STOCK.