New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-02-01
TO PAY BACK DIVIDENDS
Preferred, Shareholders Will
Get S13,5OO.OOO Cash.

The holders Of tho 1883 shares Of pre-
ferred stock Of tho American Can Com
pany are soon to receive checks aggreSat-
ing Sl5500.Cco in payment OF back diyi-
bends. This was detcrpincd Yesterday
when the directors authorized an issue o.
sl5.eo.cO fifteen-ycar ) per cent gold Ge-
benture bonds. the proceeds OF the sale
Of which are to be used FOR this purpos"
Preferred stockholders of the compary
have never received the full : per cont
disbursement since paymcpts were begun
IN tho fall Of 1903. and AZ the scnior share
we're issued under cumulative clause al
the time Of organization In the spring %:
1901 the present announcement; H. regard
ed as an indication that the company isi
now oh firm flnsiciaf basis anil abie To
maintain its regular, annual a!mcnts a
we'll as meet the added bond charges
which will approxhnat, 10000 yearly.
OF tho neWly author lied debcnturcs 81.
10000 have been sold 10 the Guaranty
Trust Company OF this city and Lee, Hig-
ginson & Co. of Boston. The bonds are
redeemable at l022 and interest, and tho
terms of issue provide for an annual sink
ing fund OF $500 600 annually. which at the
date of maturity will amount to half the
original issue The difference. OF 100000
between the total issue and the amount
sold TO bankers will be put into the COM
pany's treasury 10 be used for corporate
| purposes. and the $4,000 minus commits
sion charges to the underwriters, will be
| used for similar purposes.
/ Daniel G. Reid. chairman of the exec
D A. 49, (sxs,.-
pany. stated at the conclusion Of yester-
days meeting that net earnings for the
! fiscal year ended December 81. 1872, were
| in excess Of 100000. and that net quick as
sets were more than $4,000 on the basis
OF his statement OF income the company
earned II per cent on the outstanding W,-
$4,000 preferred stock, which, allowing for
| the full rate on these shares, is also equiv
! alent to 10 per cent on the same amount
of common in the hands Of the public.
1t is stated the company has put more
than 81, 10000 Of earnings back into the
property.
! Stockholders of the company will meet
! next Tuesday at the annual meeting TO
ratify the action Of the directors and to
| approve the annual report, which will
then be made public. The American Can
Company has been the subject OF much
! criticism recently because or numerous
] predictions that the back dividends on
the preferred stock would be met from
! earnings At the last dividend meeting
! II was believed in Wall street these pay
mcnts would be inaugurated by the dec
laration Of the usual quarterly dividend
of T.. per cent and an additional distri-
button OF like amount on the arrearage
| on the preferred shares. When an extra
disbursement Of only !. of per cent was
announced the disappointment of the in
vesting public was shown by sharp de-
cllre Of the preferred and common shares
OH the exchange.
| Wall street is now predicting. however.
that with the full payment Of the back
dividends on the preferred stock and the
establishment of the full per cent rate.
payments at the rate OF per cent an
nually on the common stock will be begun
within the next six months. The officers
Of the company are Daniel q. Reid. chair
man; +. g Wheeler president and treas
urer:. +. Rudolph. yice-president. and X.
r. Ismon. secretary ard assistant treas
urer. The directors include ID. q. Reid.
W. F. Dutton. o. II. Bogue. T.. {. Con-
verse. +. J.. Hire. James MacLean' Il.
q McMurtry, w. n. Moore. n. W.
| Phelps. p l.. Skofeld, T. :. Wheeler D.
II. Moore, T.. Rudolph and r. H. lsmon'