Eureka daily sentinel. [volume] (Eureka, Nev.) 1871-1887, 1878-11-26

ter to the San Francisco Stock Report. We
reproduce it with explanations for the in
formation and benefit Of other Eastern
shareholders
THE EASTERN LETTER.
New YoRK, November ~, 1878.
EDITOR STOCK REPORT, SIR:-The Engi-
neering and Mining Journal has just pub
lished the figures Of the annual report Of
the Eureka Consolidated Mining Company.
aud they are, to say the least, very unsat-
isfactory indeed to a stakeholder. As such,
l am entitled to know how so vast o sum
AZ 81, 2i2, $40 has been spent in operating
the mine for the past fiscal year. will the
stockholders not take action in this very
serious matter and appoint a committee to
examine the books and accounts of the
Company and investigate every item Of
those enormous charges and let daylight in
upon them T; but in advance OF this / wish
you would get from the officers Of the
Company in your city IN explanation of
the charges in the above, Of two very large
items, viz Advance on bullion, j. w.
Seligman & Co., 1851 1851 Laidlaw & Co.,
S485. 1913 ; amounting to 81 ,167 ,944. Now
what has been done with this money ?
When was the debt contracted and for
what purpose was the money borrowed.
and to what use has it been appropriated
IL not in the treasury Of the Company?
The third point which l wish to call to the
attention Of the stockholders, to your
readers, n also 10 the public gener-
ally. is the dividends out Of IS, 23S, 458,
only 81 800. 900 have Leeh paid to tic share
holders, or less thar two-fifths OF the pro-
duct OF the property. That is, in other
words, for every five dollars taken out
shareholders are permitted to get about
two dollars. The fourth point is balance
on hand. $27 ,8G5; and makes up the grand
Eureka Con. Mining Company take out Of
their rich property in n year more than
the amount VI their capital stock, which
has probably never been done before by
any mining company, yet only have two
fifths Of 1t for shareholders. Will they
accept without a murinur statements like
the one just made public, or will they ell
quirc into the merits or dement's Of the
report and give the results accordingly?
A SHAREHOLDER.
OF THE "srocK REPORT"
Our puzzled Eastern friend is not prob
ably aware that when the bullion market
IL depressed, the system Of this coast is not
TO sell bullion at reduced rates, but to bor-
row o "a against it. That We presume Is
what the Eureka Con. did in New York.
That part of the report then, that includes
the item OF advances by Laidlaw 4 Co. and
Selisman 4 Co.. is therefore perfectly cor
rect. II our puzzled Eastern friend will
look on the other side Of the account he
will probably find that these advances were
repaid when the bullion was sold. As to
the ~disproportion Of dividends to gross
receipts, we have only to say that silver
mining ID by no means an inexpensive
business, and that the leading Eureka
stockholders here seem to be entirely sat
isfied with the result Of the years work.
OF THE SENTINEL"
The Stock Rcport's Eastern correspond
ent seems to desire an itemized account
covering the entire business of the COM
pany for the fiscal year. That would be
out Of the question, as it would involve
the publication Of an annual report as large
a. Wcbstcr's unabridged dictionary. Dupli-
cate vouches are taken for every bill, one
of which is kept IN the Office here and the
other forwarded to the San Francisco Of
lice. These are all entered in the books at
each end OF the line, which are always
open to the inspection Of the Trustees and
stockholders. When the yearly statement
ID made up, the Secretary necessarily deals
in aggregates, ~ do governments IA all
other i~ustitations where the transactions
are voluminous. An itemized account Of
every pound Of nails, and candles aud pow
der. including lumber aud timber, and ex-
pressage and freight, aud Office expenses
and labor far q whole year would necessi-
tate the publication o such = vo.uminous
report, As we imagine. not oven an Eastern
shareholder would care to wade through.
The Eureka Consolidated has the reputa-
ton, and We know justly, of being one of
the most economically managed mining
companies ON the Pacific Coast. Eastern
stockholders and all others will find its af-
fairs. under the present able management,
as straight as q string in every depart
ment.