Bisbee daily review., 1910-04-10

ERRORS MADE
George l. Walker. in his weekly
Copper letter published in the Bos-
ten Commercial. points out what he
regards as damaging mistakes made
by several prominent mining men in
the following: Mistakes OF manage
ment at times constitute factors to
depress copper share prices, and as
a rule they cannot be seen in advance
by even the most careful students
of mining values and the stock market
These mistakes of management usual
ly have to do chiefly with mining and
smelling plans. the purchase of sup
plies, the employment of inefficient
superintendent and wasteful expend-
iture of money in innumerable ways;
but now il develops that there is still
another classification. Tle coppers
have been discredited recently by an
entirely new form of managemental
mistakes. Those entrusted with the
direction of the affairs of several of
the good producing companies, placed
In a position where they have the
benefit Of first information concern
ing favorable and unfavorable devel-
ppments have either failed to impart TO
stockholders knowledge walch the lat
ter have felt 20 be highly important
or, in bungling efforts at honest
publicity, have put out vague. .ndef-
mite statements which have tended
TO spread alarm broadcast. II would
seem that their sin of omission have
brought as disastrous results as those
OF commission.
When Thomas F. Cole inspected the
North Butte mine. a year or more ago,
and found the first evidence OF d.
minishing ore values at depth. he re-
fused to make a statement of any kind
TO either stockholders or the press.
BY so doing he made a mistake that
has since lost stockholders of the vari-
GUS Cole-Ryan and affiliated compan'
les many millions OF dollars. At that
time North Butte was selling above
$40 and its later decline shows
shrinkage of s1e.O00.GG0 or more.
The vague statement in the circu-
lar issued TO stockholders by Presi-
dent Broughton of the Utah Consol-
dated company. indefinite as TO ore
reserves and future earning capac-
itv. and discouraging and pessimistio
in every line and sentence. was an
other bad mistake Stockholders feel
that President Broughton said things
which should not have been given 10
the public in that form, and at the
same time withheld facts TO winch
they we're properly entitled 1t may
no said for Calumet & Arizona offie-
iaIs that so far as they committed
themselves at all, they were outspoK-
on &, defense OF the property ana
gave encouragement TO the atockhoid-
ers when the stock sold at its low
est price
The seemingly unfair disorimina-
ton AGAINST PARROT in the Butte meT-
ger has tended TO revive the old feel
inc of bitterness and distrust OF the
Aralgamated management when io9-
merlv existed in the public mind
/ The fact is being recalled by many Of
those who write me that in the clo
DAYS when Parrot was paying divi-
bends of $3.50 per share quarterly
the stock selling between $50 and so
ana IT'S ore reserves being rapidly eS-
barsted in order to maintain those
ravments, nothing was heard ron
Apealeamated officials concerning de
eiin.ng values; and in those days Oh
gieials never publicly called the prop
I ertv the lame duck" Of the Butte
district.
President Amster made a mistake
lin fa-Iing to give cut for publication
ME, the new shelter went into con
,,iss.on. the fact that Arizona Con
S ,,ereial had been obliged to incur
$ ,,s,de-ate floating Indebtedness
! rbo,,eb this was clearly an Oversight
ON Mr. Amster's part. he taxing
E for Granted that the stoekhoiaef
,-opld expeot this in view al the cor
s,r,ct,on Of a larger smelling plaI
! tba, originally planned and the III
e. avoidabie delay in beginning rrodn'
e ton. the publication Of the inicrnatio
came as a shock TO many stccknoH
l. ers and precipitated wholesale hqu
e da,,on which carried the price e u
etock TO a redicuiously low figure.
Il Tbe latest manage~ontal m;stak
and one that seems TO me inezcuSaoi
q as that Ct President Lansloth
III cra,tv Consolidated In referring
re the forthcoming report Of an engine'
De emnloved TO examine the property
H. unfortunately said that I would Se al
&c so,oiatiar as 10 the tonnage Of o
now available fcr stopping and
failed to say whether or not there "
any more ore probable or demons'i
al ted in the ccmpany's extensive pro
en- ertiaa II was the word ~aisappoii
dy Inc which worked the mischief.
en- .,ro,,ahiv not one stockholder ia ]
supposed that there was as mucn
N & oee 600 tens Of ore. a four CT 2
an res-s, suoplv. blocked cut in the m;
wo ready for stopping
ire have reviewed a few Of the rec'
Id mistakes of management which "a
Tef worked a most pernicious iniiuei
nd in the copper share market. NO