The Calumet news. [volume] (Calumet, Mich.) 1907-1938, 1911-01-07

The new shaft Wolverine rs now sinking the
osceoa vein has attained depth OF about lao feet
The company plans do some lateral work at the rst
level $50 feet SO far the vein has shown
no commercial values but the management has hopes
OF a satisfactory enrichment being encountered when
greater depth will have been attained
CALUMET & HEcLA-
BY Ear the feature OF the copper mining world dur
ing the past week matter during the past
year was the announcement the details Of the pro-
posed consolidation Of Calumet Heca with eleven OF
its subsidiary companies. Those included in the pro-
posed merger the Seneca, Ahmeei Aiouez, oseeoa
Centennial Tamarack Iaurum Iasale Superior.
Gratiot and Isle Royale Companies.
The new Company 10 be known as the Calumet &
Heca Mining Company will be formed with the capital
of ten million dollars divided into 100000 shares OF
par value Of s25 each. The Consolidation along the
terms outlined will call for issue Of s373ss shares.
The basis Tor the exchange stock will be-
sO-1OO shares OF Calumet Hecla stock for l share
Of Seneca.
5000 shares Of Calumet Heca stock for share of
Ahmeek.
1900 shares Calumet & Hecla stock for share
Of Anouez
5O-1Oo shares of Calumet Hecla for share Of os-
ceola.
6-1OO shares Of Calumet Hecla for l share of Cen
tennal
22-1Oo shares of Calumet & Hecla l of
Tamarack.
1O-iOO shares of Calumet & Heca for 1 share OF
Laurium.
2-lOo shares Of Calumet Hecia for l share of La
Sale.
shares of Calumet Iecla stock for share Of
Superior.
and 4O-iOO shares of Calumet s. Hecla stock for
share Calumet & Hecla.
In addition 200 shares of the new will be
for
share of Gratot
The first ten companies above named are organized
under the laws OF the State of Michigan, and in or
der TO dissolve corporation three fths vote is all
that is necessary The last two named are organized
under the of New Jersey and Maine respectively
1t has frequently ntimated in our previous let
ters J. Parlke Claiming employed TO make an
independent examination of all the properties 10 be in
cluded the proposed merger and his report was
used as a basis the plan outlined.
The official announcement calls attention the
large number of economies that be brought about
by reason the unihcaton of the several properties.
and goes into detail concerning them 1t is intimated
that several the mines be included can be profit
ably operated only when copper sells at higher prices.
and such mines be worked only at a loss.
will be closed down until improvement the metal
price is noted.
In the circular announcing the merger the following
paragraph $ of much interest
THE history Of lake mining shows gradual decrease
of copper contents the lodes the distance from
the surface increases This decrease is accompanied
by an in the cost Of getting out rock II Is
only bv the application of the most improved appli-
anoes and the economic development and opera
ton that the lake successfully compete with
the districts"
The advantages to gained by consolidation are
ntimated as in mining milling smelling, Transport
general equipment and supplies administration
and in the financial departments.
Appended to the merger report is brief resume or
operations at the properties The statements
contained unfortunately the darker side of each
properties, and while 1t is true that IN
a number of instances OF the mines to date have
been extremely Disappointing yet it is hardly consid-
cred fair 10 them their worst such as now
TO be the case.
The consolidation will not be effected without some
vigorous opposition. Shortly after the announcement
of the details of the merger made large interests
in Isle Royale it known that they would object
to the terms offered Company, Calumet & Hec-
la owns less than twenty per cent of this Companys
stock 1t apparent that failure to secure Isle Royaie
in the deal will be rather unsatisfactory in as much
as the Company expects Superior Isle Royale's
stamping facilities eventually.
Later in the week. osceola shareholders particular
y in the Lake Superior district. made IL known that
they were not satisfied with the proposition, and it is
likely committee viii be appointed to get the share
holders this district cooperate with those in
the East to take united action opposing the
There was marked weakness in the issues included
in the merger in the Thursday, Calumet &
Hecla itself being conspicuous feature contributing
decline of twenty-five points. There will have to be
adjustment of prices according to the terms of thu
merger outlined.
When tho details of the consolidation made