The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-05-09
UNCLE SAM AND
THE MAY DAY
Directors of Each Company
Meet and Agree on Terms
for Consolidation.
SHAREHOLDERS MEETING
TO RATIFY WILL BE HELD IN
NEAR FUTURE.
SHAREHOLDERS MEETING

The directors of Both the Uncle sam
and May Day companies met yesterday
afternoon and decided that the Uncle Sam
and May Day mines should be consoii-
dated on an equal basis. The plan de
cided upon was that a company should
be formed to take over both the May Day
and the adjoining property of the Uncle
sam Consolidated company, without ref
erence to the Humbug ground and the
company's four-fifths interest IN the Rich
mond x Anaconda, which will be held as
at present and by the existing Uncle Sam
Consolidated company. IT is proposed
that when the new company is formed
one-half of its stock shall be delivered
to the Uncle Sam Consolidated company
Tor the property il turns over. the other
half to go TO the shareholders of the May
Day company. The name of the proposed
new company, its capitalization. etc, are
matters that viii be left for Getermna-
ton of the stockholders of the two COM
panieS, who Will be called i'm special ses-
sion right away for the purpose of ratify-
ing the agreement at the directors meet
ings yesterday. In case it is decided to
give the new company a capitalization of
100000 shares. for instance. the present
shareholders in the May Day company
would get IA shares for each share of
their stock in the present company, while
the other 500.009 shares would go to the
Uncle Sam Consolidated company to be
held either as a treasury asset of that
shareholders pro rata. as may be deter
mined at the special meeting.
1t is conceded by the directors of each
company concerned in this deal that the
combination of the two properties mem
toned is desirable for many reasons, and
it is conceded. too. that the intrinsic
worth of each property is practically iden-
teal The Uncle Sam claim and adjoining
fractions are located on lower ground
than the May Days property of about an
equal acreage. From the Uncle Sam
workings. therefore. it is going to be an
easy matter to open the May Day at
greater depth and take the ores from both
properties out at a point close to the
property deal and which will become an
asset of the new company. Both mines
contain large quantities of milling ore and
considerable high-grade and the proba bill
ties are that the Uncle Sans mill capac-
ity will be at once increased to handle
the ores of the combined mines. New and
heavier hosting machinery will also be
provided and the properties opened on a
more extensive scale than has ever pre-
viously been attempted.
The Humbug property and the Rich
mond & Anaconda lie to the south of the
May Day and thanking each other and in
themselves constitute group not favor
ably located for operation from the other
mines. That is one of the reasons why
the Uncle Sam company is willing to part
with the Uncle Sam ground and permit il
to go where it properly belongs, with the
MAY Day.
Day stock on the exchange yesterday
afternoon is to be taken as q reflex of
I the sentiment on the proposition. il is
certainly viewed with favor. for both
stocks advanced on the strength of the
information that had leaked out concern
ing the plans of the directors of the two
companies. The calls for the special meet
ings will likely be published tomorrow.