Albuquerque morning journal., 1907-02-17

present dividend on the common
shares. after naying the full dividend
on the preferred shares. All surplus
earnings are left in the treasures OF
the subordinate companies for extern
sions aud the development Of the
business and the increase of reserves.
During the year 1906 the earnings of
the Commercial Gable company
which has paid regular quarterly diYi-
dends for over seventeen years, have
shown substantial gains in gross re-
Ceipts and net profits, on both the
ocean and land systems After paying
the dividend on its stock, largo
remaining was carried to re-
serve in accordance with its long-es-
tablished nolicy. The Commercial
Pacific Gable company during the
wear 1906 laid submarine cables to
China and Japan, and those cables
are now I'm complete working order.
The land line system the Postal Telc-
graph. is being constantly extended.
and also shows substantial Increased
gross receipts and net profits over the
previous year on December s. 1900,
the forty-ycar monopoly Of all tele-
graphic and cable business between
Cuba and the United States, granted
by the Spanish government in 1860
to the International Ocean Telegraph
company. and later acquired by the
Western Union Telegraph company,
came to an end by the expiration OF
the forty years The report states that
the trustees, deeming it important
that part Of the world should also be
reached by the cable and telegraph
system. applied to the American gov
ernor in charge of the provincial gov
ernment Of Cuba for the usual permit
for the landing and operation OF a
submarine cable between the two
countries. and such permit has Just
been granted. The first plan was to
pursue the same route as that of the
Western Union Telegraph company
namely. land line system from New
York city to Florida, and a submarine
cable system from Florida to Havana.
In order. however to make this Gu
ban service equal to the service of the
Commercial Gable company in the At
1antic ocean, and the Commercial Pa
cific Cable company in the Pacific
ocean. and the Postal Telegraph COM
panv throughout the United States,
the trustees have decided to lay sub
marine cable direct from New York
to Havana, thereby giving a three
minute service, as against an average
thirty-minute service. The entire cost
of this important extension TO CUBA
will be paid out Of current profits At
toution Is called to the fact that on
January |, 1907. all free passes were
abolished on the Postal Telegraph
company system, and that during the
past year there has been inaugurated
and put into successful operation a
plan whereby the employees of the or
anizatiOn are given an opportunity
to purchase preferred shares IN the
Mackay companies and to make pay
mcnts therefor by installments. A
large number of employees have avail
ed themselves of this opportunity and
the plan has been so successful thai
arrangements have been made to con-
linue IT i'm order that the relations be-
tween the employees and the compa'
nics may be that Of cordial Co-opcra-
tion and mutual benefit and support
According to the profit and loss aC
count the income from investments il
other companies for the year February
I, 1906 TO February /, 1907, wal
$3,31r.32T92 of which $2,9S5,S74 Wa'
paid out in dividends $24,G24S3 foI
various expenses, and $299S29.l0 was
carried forward as balance. Tht
balance sheet is as follows, Invest
mcuts i'm other companies, &9lSSE.
1890; cash, $22oI59.32; total, S92,
l0TgiL22.
Preferred shares issued $5O.000,000
Common shares issued, Sil.3S0. 400
Surplus. $727l47.22. Total S92.
lO7.9iT22. The books Of the Nacka,
comranlcs are audited by chartered
public accountants