The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1911-09-06
EFFECT Of SALE
Of RAY SHELTER
Eastern Comment Favorable to
Company for Having Sold
Smelling Plant.
SHOULD SAVE MONEY
BY THE TRANSACTION
Large Custom Business Will BE
Done by the American
Smelling Company.

Tha wall street Journal has the tol-
,or,ir7 10 say abou; the sale Of the par
TALLY completed Ray Consolidated smeIicE
,o the American Smelling & Refining
company:
Criticism is heard among certain hold
ers OF the Ray Consolidated OF the s"'Vuo'- -
900 tcn-year, first mortgage. per cent
sinking fund bonds, over the sale OF the
rompany's partially constructed smeiter
10 the American Smelling & Refining
company and By these tho decline OF b
points in The bonds during the iast Ten @
days from l0S 10 los. with 700 Did 20. on
Wednesday. is TO large degree a'tt'D
utcd to that transaction. -,
While the issue OF these bonds Iast
November was Intended to cover lne
cost of s.uclter construction. the issue
wss not solely for that purpose. as the
money raised is sufficient To bulld three
smcltcrs such as the company .n n
planned, Actual expenditures on ',e
smcltcr totaIed about $4,000, and is 10
be refunded 10 the company by the Amer
lean Smelling * Refining company, "hich
VIII complete an enlarged snletcI ara
converting plant AT Hayden. aud VIII IN !,
vest probably between $l,ooo'oVo ana
81 $50 900 for that purpose.
Cannot Harm Owners.
lnasmuch as the security for the bonds
Is ia the nature OF a first Hen on all inc
Ray properties IL docs not appear that
the position OF the DonunoIdttS Hds pctN
seriously affected by the sale OF the
smclter. unless the bondholders care 10
estimate upon such uncertain factors as
profits from the smelling OF custom ores
American Smelling G. Refining made an
offer To smeit the Ray ores at figure
which was AZ low as the company cstl-
mated 10 could treat its own ores IN It's
own srneter. and tho contract providoS
that Raw Is to share in lowered smelling
costs arising from new processes or im-
proVemcnts. In short. Ray is guaranteed
that its ores Will be smelted about as
cheaply as il could trcet them iIseli. ana
in addition is relieved from the opera
tion. maintenance and depreciation
charges In connection with a smelling
plant.
American Smelling & Refining company
will have found that IL has a white eie-
phan, ON It's hands, as Arizona is now
tho greatest copper producing state IN
the Cnion. Those who direct Rays at
fairs hold that the business OF the conf
pany is primarily tho mining OF ores and
that II Is the better policy 10 stick 10
The last whenever practicable
Field for Smelters.
American Smelling 6 Refining ex-
poets 10 do 4 large custom business al
the Hayden smelter. the Ray and Globe
camps. with Ray Consolidated, Ray
Central Arizona Hercules, ]nspirati ton
Miami, Live Oak and Keystone having a
total development OF 10000. 900 tons.
The proposed cutt-off from San Carlos To
The Arizona. Phoenix & Eastern, already
surveyed, will place Hayden on the main
line Of the Southern Pacific.
The decline of the stock. into which
tAc bonGE are convertible at 20. TO be-
low u. is sufficient reason for the de-
cline In the bonds. According 10 those
who arc closest to RAYS affairs there
have been no developments at the proper
ties 10 warrant lower prices for the stock.
but The decline Is y movement In sym
pathy With tho rest of the market.