Tonopah bonanza. [volume] (Butler City [i.e. Butler], Nev.) 1901-1909, 1905-11-04

S 1904, at which time Vice-president Ellis
i asked that they be discontinued. With
a high regard for his personal wishes
t and the large interest which he repre-
sented, the reports were discontinued
consented to this action at the time
2 with reluctance, and ever since have
regretted that the reports were abol-
/, ished.
The general manager is now required
to make a quarterly report of the
/, physical condition of the mine, a copy
Of which-is mailed to every stakeholder.
l believe in dividends and have worked
for them increasingly. They should be
paid as soon as possible, should be as big
as possible, paid as often as possible,
but a reserve fund of not less than
500, 900 should be maintained, and if
the quarterly dividend exceeds that
amount the reserve should at least
least equal it.
The present controversy in the Board
over the dividend question is very un-
fortunate and injurious. If the injury
is commensurate with the amount of
stock n owns ! i'm by far the great
est sufferer, as | own more than 95, 900
shares of the stock, and the next
largest holder is credited with less than
35, 900 shares.
For three years | have given Mon
tana-Tonopah my undivided attention.
Owing to sickness in my family it has
not been possible for me to have them
with me, and it has been necessary for
me to make frequent trips to and from
the mine, aggregating a total of about
300, 900 miles which | have Travelled
since the organization of this company.
| have not received one cent of salary.
and have paid the greater portion of
my expenses, because | felt that Mon
tana-Tonopah was not in any way re-
sponsible for my domestic misfortunes.
have refrained from dealing in the
stock, being financially unable to in
crease my holdings, and unwilling to
reduce them. The stock ledger will
show that my stock balance has not
varied 5000 shares in two years past,
with the exception of a 10, 00O-share
block exchanged for Tonopah stock
with a Philadelphia friend in October,
1902; but not transferred to his name
until about January, 1904.
When ! organized the company in
September, 1902, l purchased 100, 900
shares of the treasury stock for $50, 600
of which amount l furnished S26, 900,
and my esteemed and lamented asso-
ciate, Mr.. w. w. Morris, $24, 900. In
addition to the above amount, it became
necessary for me to purchase from the
original owners {, 041 shares to protect
the treasury stock. Although the
original owners of the claims now com
prising this property, having received
for those claims SAL, 900 shares, agreed
not to sell at less than 81 per share I'M
til | had supplied the treasury, a portion
of them disposed of 225, 900 shares dur
ing the first three months, and before |
had been able to place half of the $780,
600 pledged, in the treasury. l have
at the present time more than $50, 900
invested in the Montana onopah, and
of all the original c~orporators, | am the
only one who has 81 invested in the
property. This is a strong statement,
but it can be verified. OF the Sal, 900
shares received by the original owners
only So, POI stand in their namesYtoday;
of this amount Sc, 376 shares are held by
the original owners of the Lucky Jim,
for which they received 2O7, 500 shares.
When the dividend question was first
discussed with Messrs. Dickson, Ellis,
Macdonald and Gillies, June I'd, last, l
opposed the declaration at that time,
and asked them to defer action until
October LIST. | have never, at any
time, advocated or stated that the
action would be deferred beyond that
date. My reason for opposing the
dividend were that the condition of the
treasury would not justify it at that
time, and that the conditions in camp
were not sufficiently settled to justify
us in depicting our treasury and obli-
eating ourselves to pay 500, 0OO
quarterly, until we had operated for a
time under conditions which we could
reasonably expect to be permanent;
such as broad-gauge road, unlimited
water supply and electric power. After
a lengthy and heated discussion of the
question, | defined my position by Civ
ing the four following requirements
which | considered necessary before
dividends were paid: First, that we
should develop a tonnage of good ore or
the lower level, this we did not have
; at that time. Second, we should have
a surplus of at least 500, 900 after the
| dividend was paid. Third, we should
select and try out Mr.. Gillies' successor