The Portland daily press., 1897-06-03
$69,296.o9

Balance manufacturing acct, 81, 009. "a
Balance Welsbach lights, 772. Sc
Interest on temporary loans, 1,S47.97
Annual income from surplus, II, 53o. 40
Rent from Maine Central, 200 90
Balance charged surplus account, 1897 .43
$69, 296. 90
Your committee desire to state that the
financial affairs Of the company have been
managed with the most scrupulous
honesty and that the diff Guilty and OBJ
security in understanding the books of the
company arise from the manner OF keep
ing the accounts underssan obsolete system
and not from any intention of the ON GERS
TO conceal its exact financial condition.
10 state the matter briefly the net in
come OF the company has been $65, 90.
From this has been paid two dividends
amounting to 1914, $50 and the balance $3O,
1886 has been used to pay
in part for new construction,
renewals and repairs which cost $34, 366. 09.
The balance, So, 927. 43, has been charged
to the renewal fund In other words, from
the profits Of the year, above all cost of
manufacture, taxes and salaries, the regu-
Lar dividends have been paid and there re-
manned the sum of $50, 43S 66 to be applied
to renewal of the plant Your committee
have examined the securities and invest
ments OF the company and in their judg-
ment the real estate, manufacturing
machinery, street mains, meters, supplies,
and sund1y items of personal property
at the works, with the franchise, are
equal In value to the full amount of the
capital stock now outstanding which is
s349, $780, III shares of it's own stock are
held by the company and they have the
right to issue the further number of 1014
shares. These 1185 shares constitute in
the opinion of your committee an amply
sufficient insurance fund. In addition to
the plant the company have certain
securities, the value of which on April 80,
1897, with premiums and interest to and
including that day, your committee esti-
mate to be 1896, 6651S. A list of these
securities accompanies the report.
Your committee have visited the works
of the company and inspected the plant,
and In the course of their investigation
have been requested by many of the large
stockholders and by the officers of the
company to make such suggestions as
seem to be necessary for the proper man
agement of its affairs. A communication
to the president from the engineer of the
company which is herewith presented
points out certain renewals, repairs and
construction which should be made
during the present year. We consider
them proper and necessary.
Your committee respectfully recon-
mend:
q First-That the renewals, repairs and
construction mentioned in said communi-
cation be made during the present year.
Second-That no further reduction be
made in the price of gas.
. Third-That an expert book5eeper be
employed to open new set of books of
the company. The books of a corporation
should explain themselves and show
clearly all it's business transactions and
it's exact financial condition.
We emphatically condemn the present
books of the company which cannot be
understood without an interpreter.
Respectfully submitted.
EDWARD M. RAND,
SIDNEY W. THAXTER.
EDWARD Fl. YORK.
Committee.
d Mr.. Rand read from the communication
of the company's engineer summary of
the repairs and renewals deemed necessary
during the coming year. The total is
$58, $50. The changes include improve
ments as well as repairs at the company's
works.
William HI. Moulton, Esq, moved, and
it was voted, that the thanks of the stock
holders be extended to the committee for
their labors.
Then Mayor Randall called attention to
a discrepancy between the committees
report of the company's financial stand
ing and statement furnished to the
mayor by President Daveis prior to the
May meeting of the city government. In
the statement given the mayor there ap-
peared in the list of the company's assets
$17 ,402 % described as interest. This did
not appear in the list of assets, as reported
by the committee. Mayor Randall said
he called attention to it as there seemed
to be discrepancy in the two reports.
MIR. Daveis said that he did not himself
make up the statement. He procured it
from the office and presumed it was all
right. There was evidently mistake in
it.
Mr.. Rand, when asked if the members
"All 1 can say is that we saw the item
and have inquired what was meant by it,
what it represented and if 1t was an asset
where it was. We have yet to learn if
there is any such asset. The only explana-
ton was that it was q matter of book
SIC. 900 anywhere"
Secretary Moore explained how in keep
ing the books certain entries were made
on both credit and debit sides. This ac-
count was one of them. 1t was only a
matter of bookkeeping.
In the discussion of the committees re-
port which followed. Mr.. Rand said that
the treasurer's report and the books We're
kept as they had been kept for many
years. The treasurer's report, for in
stance, does not mention all the income.
There is no mention of interest on the
surplus fund. These were the faults of
the system, however. The committee had
found no intention on the part of the
officials of the company to make it's report
obscure or to do anything but to exhibit
its affairs fully.
Mr.. Daveis said: ST don't question at
all but the system has been a poor one.
1t was introduced when the company was
small and ha been kept on the same