The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1904-01-17
DAILY. JUDGES
BOND ISSUE
Management Now Has $500,
600 at It's Disposal.
SHAREHOLDERS NOTIFIED
NEW CAMPAIGN TO BE STARTED
FEB. I.

The directors of the Daly-Judge Min
ing company mets yesterday afternoon
and formally ratified the $780, 600 bond
ing proposition, as previously outlined
in these columns. Sometime between
now and the first Of the coming month
the mill viii be closed down, and on the
first Of February the plan Of explora-
tion and development work decided
upon by Manager DAILY viii be inau
gurated. As the regular annual meet
ing Of the company occurs next month,
the directors decided yesterday that de-
tailed statements showing the cOmpa-
ny's financial condition and what has
been accomplished at the property dur
ing the year would not be submitted
until that time.
The action taken yesterday will be
explained to the shareholders in a let
ter to be mailed Monday, the text Of
which is lf-explaHatory. and, as re-
leased TO the press, is as follows:
ITO the shareholders of the DAILY
Judge Mining company: At a meet
Of the board Of directors, held this day,
it was formally decided to authorize the
issuance Of $500 600 worth Of three-year
7-per-cent Understanding bonds, COW
eTing the period commencing Jan. /,
1904 and ending Dec. 81, 1906. The pro-
ceeds, or as much thereof as may be
necessary, will be applied in wiping out
the present Indebtedness and prosecut-
ing development work in the property.
1T has been generally understood
among the shareholders that such ac-
ton was contemplated, and among a
tn ha Iaro afa1z~
sary in order that the mine might be
brought to such stage of development
as to make 1t dividend-payer. Be
fore sanctioning the issue a number
Of the heaviest shareholders and men
OF ample means were asked. and they
readily consented stO take up as many
Of these bonds as necessary-even to
the extent Of the entire iSsue--withOut
calling upon the smaller stockholders
While the issue is thus guaranteed by
a few, 1t is not the purpose or desire
Of the directors to debar any stock
holder in the company from subscribing
10 them If he cares to. In fact, the
management will be pleased. TO. have
them all contribute according to their
holdings, but the guarantee of the
heavier interests is such that partici-
patton on the part Of the minority is
entirely optional
Interest on the bonds will be paid
quarterly, and under the stipulatiOns
therein contained they may be called in
for redemption a the expiration of any
Understanding period. They will be
issued in denominations of 81 ,O00 and
may be subscribed fog and issued at
any time so long as their sale is found
necessary.
1t is the purpose Of the company to
issue these bonds as funds are needed,
and it is not thought that il will ever
be necessary-to sell the. entire amount
authorized, while it is hoped that a
comparatively small proportion OF the
total viii be found ample for all re-
quirements.
THE management viii at once begin
the exploration and development Of
that portion Of the cOmpany's holdings
IN which we are convinced that the best
and richest ore bodies viii be found
The length of time and money neces- /
sary TO carry out these plans cannot
be stated with any degree of certainty.
but substantial results are looked for
by or before the close. of the present
year. AS a matter ofssound business
policy the mill viii be practically closed
down at once. There Is exposed IN the
mine values in silver, lead and zinc.
that if they could be separated and
saved, with it's present output, would
make the property good dividend
earning proposition; but, as a certain
percentage Of loss occurs in the tail
ings. which we are convinced can be
recovered, and, as another loss occurs
through the values in silver and lead
that now go into the zinc middlings, It
seems too much like dissipating the |
resources 10 allow IL TO con-
tinue
Mill superintendent Sherman, who |
has made great improvements since |
assuming charge Of the mill, and who |
is still doing great work for the COM
Dany, is now making and viii continue !
TO make tests TO determine the best /
methods Of correcting these leakages. /
and so far advanced are these expert |
ments that it can be stated as almost 1
a certainty that the problem will be /
solved. The closing down Of the mill.
therefore. should be viewed by the
stockholders as a matter of economy
and not iu the light of a con- |
fessiOn on the part of the management |
that the plant cannot be madesto pay, !
Tor such is not the case. . Gagged By /
The work done at similar plants on /
other properties, the mill is doing first /
rate as it is, earning a small sum /
monthly; but It is being done at the /
Of what amounts to very
large sum in the course of a month and 1
year, and It is 10 correct this drainage I
and waste and convert it into money 4
Tor the shareholders that the decision 1
has been reached to keep the ore in the /
mine temporarily, or until such time /
as the highest percentage of its value /
'ah be recovered. 1t should not take /
many months to settle this problem. /
md then the min viii again be operat- |
ID at capacity. The losses now being /
made win many times over pay the I
interest on the bonds to be issued. so /
he shareholders. viii reap the benefit /
IF the policy being pursued