New-York tribune., 1905-03-03
HUDSON'S BAY PROSPERS.
The Oldest Corporation in North
america Enjoys Big Profits.

Winnipeg, Manitoba. March 2-The remarkable
strength in the shares of the Hudsons Bay Com
many ,n the London market in the last few weeks
and the buying of these issues by substantial
Canadian investment interests naturally have Gre
ated a demand for information regarding the conf
pany which by the way. is the Nestor of corpora
lions I'm the Western Hemisphere. Over 80 years
old full of the vitality of youth, the COM
pany owns than royal domain and retains
its prnacy in the great Canadian fur trade. Its
capital which is 100000 divided into 100000 f10
shares, is employed in fur and store trading Land
How stands IN the compary's accounts at the nomi-
nal OF 100000 which sum is certainly sufif-
cient TO cover the value OF the lands the stores
stand on, alone. The fur and store trade is now
interrnixed to great extent, although kept sep
aTate in capital and revenue accounts. The out
lying posts all do good store trade. and so 1t has
developed that, where formerly the steamers and
portages only for for the fur trade. they
carry fer the stores we'll, and this branch
OF the business must necessarily always be on the
Increase. as tho country is becoming more pop
ulaied.
The company owns three ocean steamers, which
carry the surs from Canada and bring back the
stores besides twelve steamers the rivers in
Western Canada. At all the important towns In
the West and Northwest the company has good
stores such those at Winnipeg. Calgary Ed
monton Prince Albert, Lithbridge, Mcleod. Nelson.
Vancouver and Fort Simpson. In all, the company
has 2l5 stores and these must increase largely in
number. and in time pay handsome dividends on the
whole capital and relieve the far trade, which
must eventually decline, though probably not ap-
preciably for fifty years The present profit from
fur and store trade amounts to about 100000. and
can be safely put down at that figure on the aver
age. One hundred thousand pounds is 10 per cent
on the capital and makes the 80 shares worth
say f20. This should in time increase in value as
the store trade grows. The company is entitled
20 a twentieth part of all surveyed lands up to
1920 IN the fertile belt" There is little doubt
that it will be surveyed by that time. This is equal
10 100000 acres. Of which the company has sold
10000 leaving 5.SOO.OO0 acres.
Il is difficult to gauge the value of these lands
a great many town sites, which, of
course, vary in value greatly, the country is
divided into thirty-six sections, oil square miles,
and the company is entitled TO sections Nos. and
26 in each township In any town which is created
the company either has two square miles 2SO acres)
IN the itself or within three miles of It, Now
there at present just about thousand towns,
The number of which will increased as the rail-
ways grow in the fertile belt" Supposing
pany has its square mile in the centre of half and
this IS generally the case, as the company and the
railway companies-the only big corporations in
the country-must work together. This makes 1000
square miles of town sites. $4,000 Now.
10 the value of this acreage AT Edmonton last
year the Bank of Montreal paid e. 600 quarter
OF On February II this year the National
Trust Company purchased lot on Main and lst
sts, Edmonton, for $4,000 or over $3.50 square
foot. Generally speaking, it varies but, taking a
low fG0 acre. there is fSs OOOOo,
the equivalent of f3S4 share. There then
main about 100000 acres of farm lands, of which
4 part. say. 100000 acres. through being a great
distance from railways or being swamp lands. etc.
OF little value this leaves 100000 of good
farm land.
The present price of lands is Is shillings an
acre and IL is certain this will decrease as the
countrys future is assured and the Northwest is
sound financial basis; so. If the farm put
Y at . shillings an acre they are worth 10000 (9r
~ slafeB, ana when 1t Is recalled that lands
across the border are worth anywhere between IS
twenty bushels an acre in Manitoba, this 25 shil-
and beyond these two assets equal to OO the
company, at the time of the deed of surrender, in
1873. allowed TO select $1,000 acres around its
trading pests. which it did to its great advantage,
1000 acres at Edmonton and $50 at Prince Albert
on both Of which stand the companys stores. The
tons at both points. There also $500 acres at
Simpson terminals required by the Grand Trunk and
Canadian Pacific aggregate 5000 acres These 5000
The railway company's developments are of the
e create e aS Tn ieSy 9P 9Pem mean ap new new ands
The Canadian Pacific Railway is pushing exten-
ssions every where. The Canadian Northern main
line from Winnipeg will reach Edmonton and
open up next fan, and, above all. the Grand Trunk
once. AS regards the land sales, the prospect
was that the Hudson's Bay Company would prob
ably sell less land this year than last. in the
last two years American agents and investors
% is @ cos to %i6h a6 ehd 5y e Are ec ssn of ag
E rshd s R Rnf Psn a f m ad be sfsF bISn in ts he
pany's land through which it has to pass. With
regard TO revenue in sight the company has COM
ing in from land already sold 1902 .956. on which
per cent interest is payable annually.
The sales for the nine months to December,
Is0 amount 10 f0S,00D and the receipts
fl55.09a. and allowing for land
sold to March the receipts and interest on
land should then amount 10 about. $4,000
Deduct disbursements. 32o0O
Ado fur and trading. 100000
Deduct % per cent dividends ............. $1,000
Total
This is sufficient 10 pay final dividends of e
share. with bonus Of SO, f. los. for the year
The receipts 10 come in on land already sold indi-
Gated total Of about 10000, but later reports Of
sales show the amount has been increased TO
fl,g0Q0.
REHABILITATION.
Per share.
6I90o acres. town 1884
Farm lands . shillings per acre............... so
eSu acres, terminal
Profit capital valuation Of stock ............ 20
Increased present value of stock. 1872
The striking feature Of the company's variety of
valuable assets is its right to l2S0 in every
town laid out in the Hudsons Bay Companys ter
Titory. These will. no doubt. realize many hundreds
Of pounds an acre more than the moderate estimate