New-York tribune., 1908-03-21
STEEL TRUSTS BIG YEAR
GREATEST IN HISTORY.
Also Reports 4dudnces an Business
Since January /.

The sixth annual report of the United States
Steel Corporation. covering the fiscal year ended
December 81 1907 which issued yesterday.
shows the biggest earnings in the history OF TINS
greatest of industrial corporations. despite the
trade reaction suffered toward the close Oh last
year. and also announces decided Improvement
in the volume orders received since the hrst Oh
the year and expresses confidence in the future-
Gross receipts for the year 757.o14.76s an
increase OF $50 257 s42 the preceding year ana
operating expenses and manufacturing ana pro-
ducing cost, which were included charges or ap-
proximately $50 coo 600 for ordinary maintenance
and repairs, 1854 166,777, or s41OS2S22 larger
than in 1896 The total income was sZoZ'osos4l'
against slss S32, ,s35 for the preceding year.
General expenses s., 5,Ss53I9, an increase OF
81 4s7oo and the deduction of prolts OF suosldlary
companies yet in hand amounted to Ssfi46s2,
against s. 739, 404 year previously The net cam
ines were $50 964614 an increase of only s4SioSSs
The sum of s27 7l9 IA deducted from net earn
ings for depreciation and sinking fund account OF
s. 93 5s less than in 1906 Deductions Tor diVloeuS
on common and preferred stock. which were SUD
stantaily unchanged from the preceding year. ana
an appropriation of s54 100000 for additional con-
struction which compares with the 1906 appropria-
ton Of $50 0oO0 600 for that purpose resulted IN a
balance of surplus for the year OF sloI's's0'' o'
s. 456.s7 than in 1906. Adding to TINS surplus
the original capital s25 900 900 and the undivided
profits OF subsidiary companies s27 90 753, the ag-
gregate profit and loss surplus is found as Sl-Z-
s45.2A.
The expenditures during 1907 for maintenance ana
renewals were the largest since the corporation
formation and amounted S55 S28,253 an increase
of s7.4s5164, or 15.5 per cent over the preceding
year. This amount was charged TO current operat-
ing expenses and replacement funds reserved from
earnings The book valuation Of the inventories OF
all the properties December 81, 1907, aggregated
s36,1SsS7i. in comparison with total at the close
of the preceding year of s119,s 4o1, an increase
Of SIG 2s1 407 This in the total figures Is
due in part to including this year the Tennessee
inventories,
amounting to 81 s04, but principally TO the In
creased quantity Of iron ore in stock
The average number of employees in the service
of the Steel Corporation and its subsidiaries dur
ing 1907 was 21O ls0 TO whom the total sum OF Sloo
sa5 500 was paid comparing with 202,4ol employees IN
1906 whose aggregate compensation was si4''oo'of'
Early in the of about TO per cent OF 'ne
ernployes were advanced on the average about
$40 uoer cent. The average rate paid IN 4"' was
more than per cent higher than in 1900
Referring to The purchase of control OF the
Tennessee Coal, Iron & Railroad Company the re-
port says:
In and since November 1901 the corpo5aont ntoc ac
and Of common stock subscription receipts OF i Inc
Tennessee Cos Iron Rar0add issed s3d ostanding
On Decen1ber 81 1907. OF the foregoing aggregate
mas ITnent fherefoT at its oSoyea
per sinking fund gold Of 3, PGgdS 6 IS as paP sPe vsne e2p'f Of
said bonds for $4,000 par value OF denaessge afSs
&c, Goa apnee p9n Of a2Ga Of said stock
paid for in cash, being the t1stalment OF ~ Per
cent payable december 10, 1884, on the coiiiiii'
stock subscription receipts.
The report says Of the progress of the Work
at Gary Ind. the great new industrial city "llich
is being constructed the lake front near onl-
csgo:
Substantial PROGRESS 81 was e aas nss pant at GaT
Ind the building Of the city OF aacent ana to
tIa steel plant The expenditures made in con-
nection with the foregoing to December 81 Isd IsV
neigdns the fe i2st S5 SGaI S. This
pT9yda sRrey t 5apsz M
was reserved in the special fund and set ASIDE ASIDE
anf baiance of So SIS The balance
pended at January l., 1908 on appr0prlas.t995Hs .95
81 900. 1t is believed about .1so99ooo of this
amount can be expended during lSUs.
Discussing the operations of the last year
and the trade outlook the report says;
During the first ten months in the year 1907 lso7
nagies We're operated at substantially their maxi
mum capacity The production DS tite s I q',r
ing the period from January l TO November !,
s9- S60Tsd an Period IN 1856 Owing RWv
to the sudden and severe check 10 genera IS@I
conditions which took place IN the 1aii OF 80 80
the volume of business of the subsidiary com
panies was materially curtalled TesulLnS d agail8 B
the last months of the year In a GecTedse 5 al
production of finished products Whlcn eAceesieu
The 7s fa1R produeon 6g nise products sale
in the entire year OF l9oa shows qeSFease cIl ar
cent The decrease in actual shipments of prod
ucts made customers showed a soneWhass
larger falling off 1O.45I.4sS tons of all kinds OF
manufactured materials Gncluding furnace prod
11cfs and scrap having been shipped IN 1917,
against 10 s62425 tons in the preceding year.
During the first six months OF 1907 orders for
steel products were received equallng substan-
tally the maximum capacity OF the mill SUP
se0IieutIy there marked falling on IN tIe
~ h!Isiness offered. AS result the tonnage
Of untitled orders the books at December 81
! 9OS was only 46c4553 tons of all kinds of man
ufac+jred steel products. In common with otner
lines of industry. there was q material reduction
in sales during the latter part OF 1907 However,
the bookings for January were 20 per cent better
than December, and for February 20 per cent
herter than January. AS this report goes TO
I.ress the bookings a day are at least % per
dlar+ larger than those of February. The man
agernent express hopeful views of the future
Putting IN for Hiram is, OF course another
Cbor-v NrIabe story by sewelI Ford And, OF course,
;,'s a rood one. See next Sundays Tribune