A year prior to the organization of the Miltonvale Telephone Company Fredrick Koster established a rural telephone line for the use of his tenants, connecting his residence in Miltonvale with the following ranches, viz: The "Starkey ranch," six miles southwest of the city; the "Koster Home ranch," the "Fletcher ranch," and the farms of R.H. Burns and G.W Shroyer.

In June, 1901, the Miltonvale Telephone Company was organized, with Fredrick Koster as owner and manager, his daughter, Ella M. Koster, secretary, and his son, John F. Koster, treasurer. They started with twenty orders, but by the time they were ready to begin operations they had increased to thirty-five. They now have twenty-five miles of toll line and fifty-five local phones, with the central office at the drug store of George R. Bardrick. With the connection they have with other lines and companies, they can communicate with almost any point within a radius of one hundred and fifty miles, with good results. Concordia has two lines running into Miltonvale, but not connected, only as neighbors, the Miltonvale system being an independent local phone. Mr. Koster, however, has a project on to build up an exchange of one hundred and fifty phones, including a rural system much desired by farmers in outlying districts, and that will connect with all towns in northern and central Kansas; and we may add here that Mr. Koster is a man who does not inaugurate projects without seeing them through. In establishing the telephone he filled a long felt want with the people of his town and will keep the industry up to its fullest requirements. They use the grounded system and the Kellogg phone.