The San Francisco call., 1909-11-08
AYear With Associated Oil

The rocketlike rise Of Associated oil
stock. a pet corporation OF Edward H.
Hartman, the dead railroadman. which
began definitely November / with sales
~ sS7 a share and climbed Saturday
noon a. s42.5O. has kept the wires across
the continent hot with anxious inquiries
from eastern capitalists and agitated
the local market as has few transac-
lions in recent commercial history.
What started the stocks on their
spectacular climb the street has pom
" s. Porter. vice president and general
manager Of the corporation, last night
sscribed the mysterious increase to the
fact that the company. its work OF
equipment finished. has entered upon a
dividend paying era This policy was
decided upon at a meeting of the di-
rectors at Bakersfield last Tuesday.
SOUTHERN PACIFIC PROPERTY
The Associated oil company is prac-
tioauy 2 Southern Pacific property. The
Hartman interests own 81 per cent of
the stock. and much Of this was held
personally by the magnate. One of the
heaviest consumers of Associated oil is
the Southern Pacific. William F Herrin
is one Of the directors and has COM
msnding voice in its councils. The east
is as heavily interested in the corpora
tion as the Pacific coast.
The stock sold as low as s27 share
in October Of last year and advanced
slowly until November 1 OF this year.
when il shot suddenly upward, reaching
$3.50 Saturday.
The Associated oil company has dis
solved the trust agreement under which
its stock was pooled and placed in the
hands Of II trustees. and. returning
the shares TO the stock holders. entered
upon an era of dividends" Porter said
last night This decision. which means
2 revolution in the companys policy,
was decided upon at the meeting Of the
directors at Bakersfield last Tuesday"
At HIGH WATER MARK
As result of the announcement the
Associated stock is climbing fast, and
with the exception of the time when
the declarat of two small dividends
sent the price soaring to $50 it is now
st one Of the high water marks in the
history of the eight>year old corpora
tion. Shares are now quoted at $3.50
on the market, while their average
price has been between $50 and s35. A
year ago. while the financial stringency
Eripped the business world. shares were
chalked up { only s27.
The 400 coo shares were pooled and
placed in trust by the share holders in
order that definite policy might be
carried out--one of building and i'm
provement. The sl2. 900 900 the corpora
equipment of all kinds. with the excep-
tion Of the two dividends paid. Steam
ers 10 carry the oil over seas were
purchased. Eight vessels are in opera
ton and q ninth is building. The cor
poration installed a pipe line from
Bakersfield to Port Costa 2s0 miles in
length; another from McKittrick to
Port Costa via Coalinga, 2eO miles long
and one from Coalinga to Monterey. 10
miles. Plants destroyed In April 1906
We're rebuilt.
CANCEL TRUST AGREEMENT
But with the era OF pioneer work over
call has come from the trustees. who
met and elected themselves as directors
10 be relieved Of their burden OF COM
plete responsibility. and the share hold
ers have agreed that the time to cancel
the trust agreement has come. The
meeting Tuesday gave unanimous an
provsl to the dissolution of the trust
arrangement, and as quickly as possible
the stock certificates are being re-
turned TO the stock holders and prep
arstions are being made for the distri-
button of reasonable dividends from
time 10 time.
The corporations floating debt is to
be wiped out by the issuance of bonds
and the annual election. which takes
place within the next quarter. will wit
ness a choice of officers by the share
holders. AS the present officers hold g
,,,a io,sfv of stock no great cban.ro -