The Mitchell capital. (Mitchell, Dakota [S.D.]) 1879-1918, 1911-01-05

ASAAo W W. . Soo osOS
sulzberger & Sons -. 1,6oo,ooo.oo
The National Packing Company
which is owned Jointly by Armour,
Swift and norris, has 100000
capital and does a gross business of
500, 100000 a year, the same as
that of the Sulzbergers. If its progts
are the same the total profits of the
six concerns aomunt to 100000
a year, The Cudahys, doing a SMALL
er buiness than the Sulzbergers,
made bigger profits.
Compelled to Disclose Secrets.
For years the profits Of the pack
ers were known only to themselves
and the public had nc way of ascer-
tanning whether the profits were I'M
duly large. Since the packers, to
raise money to etend their business,
began to offer bonds and other Sc
curities for sale to the public, they
have been compelled by rules of stock
exchanges, in which the securities are
listed, to make an annual statement
of assets and liabilities. Swift & Co.
have made statements for several
years, but the Armour and Morris
companies only began last year to
give the public a bookkeeping view
of the packing business.
Armour & Co., have a capital stock
of only 100000. This does not
include the grain or elevator bust
ness, which is separate and has a
capital stock equal to the packing
business. The stock of the packing
department is not held by the pub
lie and is not listed on any stock ex-
change. 1t is closely held by the
family and a few employees. What
the public holds is a portion of the
100000, 600 4 1-2 per cent bono is
sue which was put out more than a
year ago. This issue is listed on the
New York Stock Exchange.
The Armour Details.
The statement just issued shows
that more than 20 per cent was earn
ed on the capital stock. Dividends
of sac 1000 or 10 per cent, We're
paid on stock.
Income.
Net profit of manufac-
ture and sales ....$7,927,206.43
Net earnings of Ar
llOuI CdI 1lnCS zee. OooJOoO.oA
Net receipts and in
come from allied
companies -. 49,. 1,111,462.9 90
Net miscellaneous earn
ings and storage. S5,647.36
Total .ss,sos,3o5.e
Expenditures.
Interest on bonds ...$1,350,000.OO
Interest on borrowed
money ........... 4%22,1O5.64
Administrative ex-
pense .......... 1,415,90O.44
Taes, insurance, etc.. ~S02,678.40
Dividends paid 5000. 1000, 100000
Surplus for the ear. 3,817,721.21
Total .s9,sos,ao5.
The capital assets, which include
plants, lands, buildings, equipment,
lines and investments in allied
companies, are put at $780,
453.93. Current assets, which in
clude product, material, accounts and
bills receivable and cash, are put at
62,766,250.29. The liabilities total
up 1O,791,637.5O. They include
bills and accounts payable.
Besides the bonds and stock there
is a surplus capital investment of
s73,9S3.313.28. This represents big
profits of past years. Mr.. Armour
says: 1.-THE earnings equal about
6 1-2 per cent on the net capital in
vestm -1t,' which e the stock
and surplus.
If the Armour organization has
made enormous expansions with sur?
plus and bonds, Swift & Co., have
amazed the financial world with their
strides. But the Swifts work differ
emily, preferring the stock route.
From a s10.00O,0O0 corncern less
than sixteen years ago the company
has annually or biennially issued
stock until it now has out $60,000,-
600, and next month will offer an ad-
ditional $15,0O0,0 O0. On this stock
it pays Z per cent dividends. There
is also $5,0OO,0OO on bonds. This to-
tai of $SO,0OO,OOO bonds and stocks
means a net income for dividends,
sinking funds and surplus of at least
$S,0O0,0 600. Swift & Co., do not pub
lish an income account, nor does the
National Packing Company, which is
owned jointly by Swift, Armour and
Morris.
The first public report of the fan
cial position of Morris & Co. is made
in the application to the New York
Stock Exchange to list $4,000, 900 4
1-2 per cent bonds. The income ac-
count shows net profits of $2,171,339.
Besides the bonds Morris & Co., have