B6 - Sunday, July 8, 1984 - North Shore News Gl business UP, UP AND AWAY Interest rates take an expensive trip . money talks higher? Conversations with people in the financial field provide some interesting food for thought. David Levi, of the brokerage firm C.M. Oliver, Suggests we are approaching a ‘‘crucial point’’ in interest rates, and that we should know in two or three months a a NEW RULES governing customer ownership of telephone equipment came into effect this month, following a recent decision by the Canadian Radio- television and Telecom- munications Commission. The decision allows single- line residential and business customers to choose between continuing to rent their telephone equipment, or pur- chasing equipment outright from B.C. Tel or other suppliers. This decision applies to single-line customers only The CRTC stipulates that party-line subscribers must continue to rent sets from the company, since non-B C Tel equipment could cause cir- cuitry problems that might affect the quality of service to others sharing the line As a result of the CRITIC decision, monthly telephone bils will be broken down into two separate charges = the monthly charge for accessing the telephone network, and an applicable equipment ren tal charge. This separation of charges means the basic network ac- cess charge will be reduced by $1 35 for single-line residen tial and business subscribers. Equipment rental charges will vary according to the type of equipment tnvolved Party-line customers will also see then monthly bills broken down into two scparate charges, but thas separation is for information purposes only Customers who continuc to rent them equipment from B¢ Tel will contunuc to teceive maintenance and tepan of the lines and sets at ho cxtra charge Customers assume responsibility for the maintenance and repair of customer -owned equipment Ihe following are answers to some questions subscribers may have about the impact of the CRTC deciston: What options subscribers now have? Stngle line residential amd business subscribers can con tinue to rent telephone cquip ment from BC Tel — they can purchase new or in place from the company, of they can purchase equipment trom other supphers do sects by Bill Ryan S this the peak — or are interest rates going — ‘‘by the fall’? — whether they have peaked or otherwise. He points out that U.S. is in a= very recovery mode.’’ Govern- ment, consumer and _ cor- porate demand for money 1s high. In contrast, in Canada corporate demand for money *‘the strong is flat, consumer demand has picked up a littl and — it will be no surprise to anyone — government demand is high .. . as in HIGH. Richard Allen, senior economist with B.C. Central Credit Union, provides this assessment: ‘‘Iinterest rates are not going down. The question is how far are they going to go up.’” He does not believe they will skyrocket to the levels of 1982 (remember Tel chan How are party-line subscribers affected? For technical reasons, CRTC has stipulated that party-line subscribers must continue to rent equipment from B.C. Tel. However, their monthly bills will also be separated into two separate charges. This separation will not result in the an increase to monthly charge for party-line customers. Why will some monthly charges increase and some decrease with this rate separation? Many equipment rental rate will be reduced to reflect market conditions In some case, the prices will increase However, the rate restructur ing has been designed to en. sure that) total company revenues remain unchanged. Increases In any customer’s bill can be eliminated by choosing other rental or pur chase options Will I osull pay extra for touch calling ? Yes, but touch calling set charges have been reduced. The touch calling line charge will continue as a separate charge. Other rates for exten- sions and premium sets have also been reduced. In today’s competitive environment, a set is a set — and the distinc- tion between main and exten- sion sets no longer applies. Each set will be priced separately, based on the style and whether it is rotary or touch type. Do 1! still receive maintenance and repair at no extra charge? Customers who rent their telephone equipment will eontinue lo Teceive maintenance and repair at no additional charge. Customers who purchase their equip ment are responsible for maintenance and repair of that equipment. When a customer initially reports a service problem, BC. Tel repair statf will ask if customer-owned equip ment will be involved They TRAIN FOR A CAREER | IN WORD PROCESSING t “Enrol now: in the full time, four month Word Processing Certificate Program. | /., ‘\naddition to learning Word "Processing skills, students will receive por training in Electronic Typing, Communications, Machine Transcription and Interpersonal Psychology. You are Invited to hear more about the program at an information meeting ‘on Wednesday, July 25, at 10:30 am in H210. Please call 986-1911, local 426 to tell us if you are planning to attend. 22 percent!) $$$ One can never, of course, overlook, the prospect of political intervention to {do something about interest rates, as well as the equally absorbing subject of /the weak Canadian dollar in rela- uon to the U.S. buck. High interest rates are supposed to be a ‘‘no, no”’ in an election year. Which raises the ques- tion of whether thé new prime minister is prepared, or iS preparing to act. A speculative opinion? Continued high interest rates, perhaps even slightly higher, until at least September- October. As this is written (Thurs- day, July 5) the Bank of Canada rate has just risen to 12.76 percent, an increase ges its ru will then ask a series of ques- tions designed to determine if the problem could be in the set or the line. Customers should be aware that if a repair visit is made and the fault is found to be in the purchased set, a $46 service charge will apply. This charge does not repair of the set. Can customers take their sets to a Phone Mart for repair? Sets purchased from B.C. Tel can be taken to a Phone Mart and, depending on the warranty, you may or may not be charged for repairs. BC Tel will not” repair equipment purchased from other suppliers. However, the Company will continue to provide line maintenance APPOINTMENT Realty Corporation announce the C4ude tn part WH. yetats Mr include The Board of Directors of Sussex is pleased to appointment of ALLAN TAYLOR to the position of Vice President Operations Repor ting duectl to the Board Mr Taylors) fesponsibilities will in oales Management and Corporate Marketing Taylor yomed mortgages coming up for from 12.36 percent, or 40 basis points, as those who deal in money call it. Two weeks ago Thursday the bank rate was 11.98 percent. That’s a shade over % of one percent in two weeks. By most standards, that’s a fair- ly hefty increase. As a result the chartered banks’ prime rate, which was at 13 percent, promptly mov- ed up one-half of one percen- tage point to 13% percent. The prime rate, as you know, is the rate at which banks indicate they are prepared to lend money to their best, and most solid, customers. What does this mean to the average individual? Obviously it adds up to bad news for those who have AmI responsible for retur- ning rented equipment if 1 move or choose not to con- tinue renting? Yes, single-line residential or business subscribers with plug-ended (jacked) sets, are responsible for the return of renewal and for those who have floating loans, that is loans which rise and fall in relation to certain standards such as the prime rate. They have little choice but to reach for the crying towel. However, for those who have cash, liquid assets or term deposits which are maturing, new oportunities are emerging. Some _ yard- sticks: As of June 19 one- year certificates and deben- tures were offering approx- imately 11% percent; 12% percent is now available. About the middle of June if you locked your money up for five years it would earn you some 13% percent; now 13% percent og better is available. : sss es. rented sets if they have reasonable access to a Phone Mart. A’ set replacement charge will be assessed when rental sets are not returned or when they are returned in a damaged condition beyond normal wear and tear. OIL & GAS INDUSTRY Making a Comeback? Our oil analyst has covered the industry over the past- 30 years. Call or write for his report with specific recommendations. YORKTON SECURITIES INC. 221 West Esplanade (BC. Rail Building) N Vancouver Horn and cased ta North Vancouver Allan Taylor graduated from the faculty of Lawin 19/0 After practising law tor approximately 9 Wy 1980 as a sales representative and was later elected to the Board of Dmectors where he served as Chairman of the Board and President of the Company SUSSEX | Allan Taylor has served on many Community organizalons nc huding the Nott Vancouver Gity Council tions (Gaate Hospital Board of Management the Advisory Planning Board of the City of North Van couver and the North Vane over Chanrniber of (Commerce 984-9371 V7M 3J1 Cohen ee cee Susser Meally (Corporation ts ar eMployetr Owned ofgarsalion whieh has comsstentty been the Number 1 MLS Volurnie Sales the Nocth “Shore