The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1896-05-17
THE MERcUR IN NEW YORK.
This Camp Floyd Producer Enjoys
IL High Standing in Gotham.

This Camp Floyd Producer Enjoys
High Standing in Gotham.
If the people want to put money into
Utah mining stocks, says the New York
Recorder eli the 18th, there are plenty
of opportunities for making good in
vestments in those of dividend paying
companies. There is no necessity for
paying fancy prices for speculative
stocks. and it is not good judgment to
do so. Neither is it wise to pay pre-
MUM on the price of recently placed
shares of companies whose capacity
for bullion production is as yet con-
jectural. and based wholly upon the
results attained with small mill
ing plant. The prices of some of the
Utah gold stocks appear to be lower
than the reported favorable condition of
the companies justify. For some rea-
sons the quotations on the best Utah
gold stocks show a wide range of fiuct-
uation that are effected by what might
be considered trifles.
Where ordinary business precaution
is exhibited by the directors OF a min
ing company, and a decision is reached
to pass monthly dividend, the price
of the stock drops number of points.
For instance. Mercur stock fell off from
S725 to s6.25 a share last month when
announcement was made that no profits
would be distributed in April. The
stock climbed back again to the neigh
borhood of 81, and there it remained.
But. in the meantime, some of the
smaller holders may have been tempt
ed to sell on falling market when
there was absolutely nothing to war
rant them in sacrificing their stock
That has happened before, and may be
repeated again.
An advance of Mercur may follow the
official announcement of the declara-
ton cf the May dividend, for it is I'M
derstood enc will be paid on the Goth.
1t will be 1914 cents share on the 200,-
600 shares of capital stock, amounting
to $4,000, and bringing the total divi-
dends up to $3.50, 600 No wonder Lon
don syndicate was ready to take block
of stock. though the correspondent of
the Engineering and Mining Journal
incorrectly stated that the contract for
it had been closed. Fun was poked at
the holders of the majority interest in
the Mercur mine by Utah people sever
al years ago. when operations were first
commenced by the company. The prin-
cipal stockholders were spoken of de-
risively as Nebraska grangers but they
set good example to other mine man
ayers in the new state.
sentative that the caution observed is
regarded as excessive. That led them
to pass the April dividend, when there
were accumulated profits and an ample
surplus to justify q distribution, if they
so desired. But extraordinary expendi-
lures We're called for last month. and
the company makes it rule to pay
cash for everything. A payment-one
of the final ones-was made ON account
of the $4,000 purchase of the Matte
group OF claims adjoining the Mercur
property proper. Two new HOSTS were
bought, which means increased facil-
tiles in working the Mercur and great
er development if not production. The
revenue of the company for April was
below the average, on account of the
closing down of the mill for about two
weeks. The machinery broke down and
repairs were necessary. and during the
enforced idleness the profits were lost
on 200 to 800 tons of ore that are ordin-
arilv treated daily. The company in
tends to erect new mill-with a much
greater capacity and utility as to
improved methods of treatment-but
that will not be likely to interfere with
the payment of dividends regularly in
the future.