Bisbee daily review., 1908-08-01
TIE POLICY IF SHELTERS
 TOWARDS MINER
Net Earnings of the American Smelling and Renfiing Com pany Have Been Increased By Over S, 5,0oO,O0O.

The miner who is subject to the lrs- enliaq policy of certain smelters that are in a position to demand some times more than their due for treat ing ore and generally penalize very complex ore, often wonders what ais the profits to these metallurgical works. People who have bought the shares of smelting eompaSies also occasionally question the philanthro- phy ot the management when div1- dends are declared out of profits. Even the employees of the snelters Will speculate on the results of a prof itable or unprofitable year, especially when the day arrives on which a change in the salary account usuaiIy is made
 There are other economic factors which make an analytic discussion oi smelter profits interesting; these in clude the dependence Of the local pop ulatiOn tstoreEeeper, etc) upon the successful operation of the metallurgi cal works The latter group of de penoents upon the shelter have eX- Derienced some pecuniary iuconveir fences as a result of the panic last fall. but there are signs that the sit uation has improved materially dur ins>rhe last two or three months, and Is likely to corJtinue to be bettered in tle closing months of the year by the anticipated increase in consumption Of the smeiter products. Whel ., however, the operations of a smell ter are interrupted by smoke and fame litigation, earnings are severely taxed and what would ordinarily be considered profits might well be classed as 8 reserve fund to be drawn on by the lawyers and their success- ful complaiIants against the smell ter.
 Improvements in smelting. and the installation Of labor saving devices. aid largely in attaining the success waich means profits to the operating company and its shareholders.
 Consolidation of smelters to econ omize management and regulate treat me.t charges has, in at least two cases, compounded the interest on the capital invested Technical skill and payment of bonus to employees have resulted in far greater profits than were made when the srnelters were operated individually
 Reviewing the progress of the American Smelling and Refining com pany since 1t acquired the Guggen- helm plants, at which time the cap=- fahzation of the so-called smeiter trust, was increased to S1G0,0Uu 900, the net earnings have been increased by over 5000 900 per an mum During the fiscal years fruIn 1903 to 1907 the net earnings grew from S7,576,7S5 to Sl1,509,6 ,67o. The figures for the year ending April 90 1908, are not yet available, but there is reason to believe that tle slump il metal prices has seriously affected earnings.
 The dividend payments by the smel ter combination from its organization in April. 1899, to July, 1908, amount to the large total of S43,206,553, oi which the preferred shareholders re ceived BPS, roc, ,553, or al the rate O ' per cent per annum on par, Slee and the holders of the common stock $14.500, ,000 The last quarterly divi ,dend on the common stock was al the rate of i per cent per annum. addition to these dividends there has been created by the combination fo it's employees a profit@sharing fund which from 1904 to 1907 fiscal years amounted to S1,297 PIP.
 It is noteworthy that during th' period of 1902-03 when the smelte trusts net earnings were s7,576,7S and only the preferred dividend o S3 500. GOO q per cent was paid, tn monthly average price of silver va riad from 4757 to 52.SS cents pc fine oz, and lead from f.OT5 to 4.o6 ceots per lb. In 19O3-O4 when the ne ,,strnings were s7,905,572, the div dends s4,75O 900 (of which S1.25O,0o was on common stock. and the en nioyes' notwithstanding fund was CT, afrd by the setting aside of S9l 70 inc monthly average price Of sllFt ~anqed from 52.S6 to 60.36 cents p oz and that of lead from 4.0I5 4475 cents per Ib. In 19O5-06 whe Inc net earnings were $lO16l JOS, q dividepds $6,75O,O0O, and the en nloves' profit-sharing fund increase by S449, ,204, the monthly ayersg era inrce of silver was 51.S32 to pol renfs ner oz.. and for lead, 4.50 Sso cents per ID. In 19O6-O1 wne inc net earnings were s11,5O9,6 ,6lO, U dividends s6,750 900 (of which S3,29' oee was paid on the common stoch and the proft-sharing fund of the e e ptoyes was enriched Dy so4u'VVO' V montj1lv average price of silver VI e5I1 fo 7O.Si2 cents per oZ-, ana
 load 5.69 to cents per ID
 creditable record has also pc .,.ztatrshed by the United SIau SneIting Refining and Mining col ,,anv which since it's organization
 sFarcb 1906. to July, 1908, mas pa common and preferred dividends dso
 fS tSa aggregate amount of a.s :S.45s, rlo ,622 2, an issued capital of S4l's46,ooo, |
 i -~eferred stock yields per cent ?
 aanum and the common per cen
 both $50 par value a.. opgye
 These enormous prohs9 fs' t,st rbe metaIlurgieai industry B
 saa';,. sna1 eeld for fortune of kind tn
 1anend is' ,a,e not alone on the natural
 eo,,Tees eegen@ but on the intellectual .,l,I apr
 ss.t,on sos5 ss of the principles of econoI
 .d ebrewd management