The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1888-12-30

$751;. 500 on $4,000 capital. The Gran
lite Mills cleared Sl35, 200 and distributed
$4,000 on 100000 capital. The Saga
more Company, capitalized at 5000, 900,
earned 1888, 900 and divided S7S,0
The balance between the earnings and divi-
dends, save what is carried to surplus,
represents. allowance for depreciation OF
plant, improvements, etc. The Amoskeag
Company, the great Manchester concern,
which, ON the whole, is probably the most
profitable corporation in New England,
has cleared Si25,000 this year, out OF
which it has paid 20 per cent dividends,
leaving over per cent. in addition to
surplus"
These figures are worth studying by
Southern men OF means, enterprise, and
who are devoted to the present good and
the future prospects of their section in
prosperity. Some OF these dividends reach
so per cent OF course large sums are in
each case carried to the reserve fund to
meet repairs, extensions, etc, and to en-
able managers TO tide over dull seasons
without borrowing. When coupled with
the statement that no less than twelve
great mills are now building in Massachu-
sets and as many more in the rest of the
ANtN biiSi'iu Ettttot tht DttOultS
doubly interesting. Here We have il
OF the Northeast, where water courses are
held in the wise OF frost for four
or five months OF every year, neces-
stating vast expense for warming fac
tories, where the air is so arid that the
weaving and spinning apartments must be
permeated by steam the year round, rend-
ering them unhealthy and entailing con-
siderable expense OH the owners. In adj
dition to these drawbacks every great
New England mill must keep an expert
cotton buyer in the South during the
market season; some OF them have two or
three buyers in the local markets and
another in New York. The raw material
bears the heavy cost OF shipment and in
surance in transit, and 1t is well known
that the cost of preparing compressed
cotton Tor the cards is no small item.
II under these circumstances OF remote
ness burdening their business with in
itiatory OUTLAWS and the hindrances OF
their surroundings, the New England cot
ton masters net from 10 TO 80 per cent on
their investments, what ought q mill
among the cotton fields in climate OF the
precise humidity to make the manipula-
ton easy without artificial appliances
where the mill can do most OF its
own ginning, save expense OF baling
transport and Insuranco-what ought
such mill to do for its proprietors? The
expenditures OF New England spinners on
the raw material before Il reaches the cards
make in the aggregate profit on the BUSH
ness for Southern mills. The latter pay
about 20 per cent. lower wages than their
New England rivals They run the year
round on an expenditure for fuel for warm
ing less by 80 per cent. Of that item TO a
Massachusetts mill. The living expenses
in the South arc little more than half those
in New England must bear. The item OF
fuel ia the South is about third the cost
OF it in the East. In fact, our Southern
spinners have the advantage OF lower cost
OF production atevery point, and they have
vast home market for goods in which no
competitor can disturb them.
IL should not excite wonder that, con-
sidering the surroundings OF both the
Southern cotton mill industry has in.
creased at much more rapid rate in the
last few years than that OF New England.
A statistical return OF cotton mill opera.
tions in the South shows that there were
for the year ending September 30, 1855
235 mi lis running, against 2l9 last year, Q
gain OF l6; that the Southern consumption
for the year lsS7-S was II3,37S bales
against 1903, 400 in 1867, gain OF 50,0OC
bales. The gain in spindles was 81, $50, in
looms 5000, and the gain in pounds o.
cotton consumed 22,50O,000. There were
l6i mills in the South in 1850, showing q
gain OF more than 30 per cent
All that Is needed In Southern cotton
mill management 10 make the mills ia,
most profitable plants OF their kind in the
world, ~ something more OF the thrift and
system displayed in New England ant
copied by the old Augusta factory. the
Eagle and Phenix OF Columbus, and the
Wesson OF Mississippi.