136 THE WORK OF THE STOCK EXCHANGE 
of Washington; 15 between New York and Montreal; 25 between, 
New York, Pittsburgh and Buffalo; and about 25 from New York to 
other nearby cities . . . 
The private wires now in operation are mainly employed by those 
who are engaged in business on the great speculative exchanges of 
the country, the New York Stock Exchange, the Chicago Board of 
Trade, the New York Cotton Exchange, and the smaller stock and 
commodity exchanges of the country, of which there are about 
afty +... 
Then there are many large industrial and financial concerns that 
operate private wires in handling their business. The Federal Reserve 
Banks have a private wire system connecting them and their branches 
with each other and the Federal Reserve Board in Washington. The 
United States Steel Corporation and most of the big packers have 
their own private wire systems. Many of the large banks and banking 
Arms lease private telephone circuits between New York and their 
20me offices. 
Incidentally, not merely the figures relating to the exten- 
siveness of these wire systems should be noted, but also those 
respecting their large annual cost. When those who may con- 
sider that the Stock Exchange brokerage firm’s commissions 
are easily earned, or that the business is a royal road to fortune, 
realize that the house engaged in it must, in addition to earning 
interest upon a valuable Exchange seat and upon its business 
capital, bear this heavy overhead cost of its leased wires, a 
more just and accurate idea of what the average commission 
house does for its customars can be obtained. 
The Modern Wire Room.—In the investment transaction 
traced in an earlier chapter,® Jenkins & Co. was a typical wire 
house, with a branch office in Baltimore and its main office at 
500 Wall Street and a private wire connecting the two. In 
addition, the firm probably had other private wires, reaching 
out from the New York headquarters to branch offices and cor- 
respondent houses at other points. In the Wall Street office 
of the firm, if these private wire connections were numerous, 
the order department might well occupy a whole room by itself, 
"TW See Chapter VI.