The free lance. (Fredericksburg, Va.) 1885-1926, 1903-10-10

The Action Of the Board Was Caused
BY the Falling OF Of Business, the
Statement Showing Decrease Of 81
642.669 For Third Quarter Of Year
New York, Oct. 7.-Ths dividend on
the common stock OF the United
states Steel Corporation for the last
quarter has been reduced from l peg
cent. TO one-half OF per cent. thus
setting at rest a matter that has agi-
tated Wall street aud financial circles
generally for many weeks To quote "a
very high authority in The affairs Of
the corporation. the action OF the
board was unanimous and was caused
by the falling oil of business" This
last is borne ont by the financial state
gent issued shortly after the meeting
The statement shows a decrease OF
s4642.66S september estimated) for
the third quarter of the calendar year.
compared with the same period last
year and a decrease OF Si.SS9.iS1 com
pared with the preceding quarter OF
this year On October 1. 1902 the cor
poration had untitled orders Of 1915
600 tons on hand This year the IN
filled orders ON the same date amount
ed to S,72S.742 tons.
The course OF steel common in the
last few months clearly indicated that
the cut has been largely discounted. In
fact wagers that the dividend would be-
reduced were plentiful recently and
there were predictions that it would De
passed completely. Nevertheless the
action came as a surprise TO many who
argued that it would be impolitic 40
make Any change at this particular
time.
The Importance OF the meeting
which was preceded by that of the
finance committee. was emphasized by
the atteudanco q 10 ont Of the a
directors, incmaing ]. p. Morsan.
whose presence at these meetings has
ccen very Ia,c. Among the abseniees
were ioar ID. Rockefeller and his son.
John y. Jr. William II. Moore and
t,arshall Field. Of Chicago.
TIE absence q the Rockefellers was
the subject of some comment because
of the rumors industriously circulated
for weeks past that the Standard oil
faction had arrayed itself against Mr.
Morgan and his friends and would hold
ont for a reduced dividend. The unan-
imous action Of the board on this
point. however. disposed Of these
rumOrs.
The regular dividend of "a per cent
on the preferred stock was declared.
This dividend is payable November 10.
The dividend on the common stock ia
PAYABLE December 30.
The statement for the nine months
gives total net earnings after monthly
deductions for repairs. renewals. main
tcnance and interest on bonds and
fixed charges of the subsidiary com
panies. s94.0l3. S56 Dedncting amounts
.or sinking funds on bonds OF subsi-
diary companies and depreciation and
reserve funds brings the net earnings
down TO sS2.2ll.692. a further deduc-
ton Of interest on the corporation
bonds. including the sinking funds,
leaves a balance Of s65.97S217. Divi-
bends on the preferred and common
shares for the nine months aggregate
S36. 629. AS. leaving a balance of undi-
vided profits or surplus for that period
OF S2934S.742.
Trading in the steel stocks was the
chief feature of the market The COM
mon stock sold as low as l67. advanced
a full point from that figure and closed
at 177s. a fractional net gain. The pre-
farred stock. on heavier transactions.
sold as high as o.. bat closed at 6i9s,
a one point gain on the day.