New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-06-10
FURTHER CUT PLANNED
Mutual Reserue VII No1o In0eSti-
gate It's Industrial Business.

The Mutual Reserves new management, it
was learned yesterday. is quietly planning 4
drastic system of retrenchment throughout its
entire provident or industrial department, one IF
the most important branches N this companys
business. The present plans involve ruthless
application of the pruning knife to the cost of
obtaining new business and of retaining old
business in this department. Some Of the drec>
tors, indeed it Is said are in favor of the total
abolition of this feature of the company's bust
ness, declaring that it is as much hindrance az
a help to the Mutual Reserves prosperity. Be
fore resortnG to any such extreme measures,
however, the company is devising ways and
means to transfer much of the industrial busi-
ness to other departments. to close some of the
dozen or more industrial branches scattered over
various cities In this country. and to reduce the
industrial" working force if need be, by two
thirds.
The industrial branch of the business is that
devoted TO small policies, where to obtain for
friends or relatives at a policyhoIder's DEATH
the sum OF. say. $500 or 5000. a policyholder
pays in a few dollars every month, instead Of
annually or semi-annually the industrial policy
small as It is closely resembling the other
Mutual Reserve policies, except, of course, that
1t Is entirely free from any assessment. Al
though all these industrial policies are for small
amounts, the total annual income which tho
Mutual Reserve derives from them. Il is said
runs we'll into five figures
the Company's Industrial department has only
been in existence half dozen years or So
George d. Eldrdge. now the company's actuary
but until few weeks ago one of its vice-presi-
dents being responsible it is said for its incep-
ton. William Z Eldridse, Mr.. Eldridge's son,
at a salary of about $1,000 a year is a super
lntendent in this department. which in the
Mutual Reserve is known as Mr. Eldridges
pet The departmental business, it is said. IS
not disshmilar to that of the industrial depart
ment in the Metropolitan Life.
Conducted for long after its inception at a
dead loss, ii IS said. this department is now on
a paying pasis, but only barely SO The re
tTenchment' forces in the cOmpany's new man
aBement as told exclusively in The Tribune last
week, have already cut down the salaries OF
the three former principal officers to the tune
or N3oNo, and haV" reduced the home office
force with further saving Of $1,000 In seek
whiting down home office expenses and cur
falling counsel fees, these interests have now
come to the industrial department and are de-
termned. il IS said that il shall either WELD 4
fair annual profit or else disappear 1t is he
lieved that special committee viii he appointed
soon 10 investigate and report this depart
ment.
In view of the large number Of policvholders
OF relatively small means throughout this Coun-
try insured in the Mutual Reserve and falling
INTO this 'ndustrial' class, any changes I'm this
department are likely 10 he far-reachiug i'm their
erect At present, however. these changes are
still in more or less nehulous condition I'm
less the reform" committees undergo a COM
plete change Of heart their retreuchIuent plans
II Is thought will not involve the resignation If
Superintendent Eidridge. who. It IS expected
VIII remain with the company SO long as does his
father the resignation Of Frederick X Burn
ham, the eX-President's son. Notwithstanding.