Tulsa daily world. [volume] (Tulsa, Indian Territory [Okla.]) 1905-1919, 1915-10-10
In the the Oil Fields
COSDEN & COMPANY
FLOAT BOND ISSUE
Financial Statement Show,
Company is in Splendid
Condition.

A syndicate Of Baltimore, Philadel-
phia, New York and Chicago banking
interests, heated by Equitable Trust
company Of Baltimore, has underwrit
ten an issue of 81 1000, 900 fiye-year 6
per cent convertible bonds of COsdeu
~ CO., the Oklahoma refinery,
These bonds are secured by an abb
rUlute first mortgage on the plant.
The bonds run five years and are
callable at lO1 at 80 days notice, and
gre convertible at any time before
maturity or before they ere called
INTO common stock.
The mortgage provides "A sinking
fund under which bonds are retired
at the rate of $1,000 monthly, on
VOC, 600 q year.
The company is engaged in the re
filming of crude oil and the manutaC-
ture Of gasoline, naHltha, kerosene,
fuo. oil, etc. incorporated in Okla
home in 1913 as a consolidation OF
the s. w, Refining company, Colonial
Refining company aud j. 5. Cosdcu
4 Co. Since hat date interests close
~ affiliated with the company have
organized the Cosden Pipe Line com
pany, which has built pipe lines to
the Gushing field. the Bixby field, and
"a the now rapidly growing Boyntou
field, together with all necessary
gathering lines.
1t Is now the intention of the com
pany TO purchase all the capital stock
of tIc CoSien Pipe Limo company,
thus assuring an oil supply for years
to cOme. The pipe line company has
been earning approximately $3.50
net per month lhaying handled in
August, 1915, about gao, 600 barrels
of crude OLD. The company also
owns interests i'm several large pro-
ducing properties in the famous Cush-
ing field and in several O'hcr fields
in Oklahoma.
The company has in the past SIX
months doubled the capacity of its
main plant at West Tulsa (present
total capacity of 5000 barrels per
day., making, with the other two
plants, a total refining capacity Of
$4,000 barrels per day. 1t is also
erecting a large iubTiCating oil and
wax uant, which will cast about
$2OO,O 600 covered by the mortgdge)
to enable it to turn into cylinder oil,
automobile oils and wax, vast guam
titles Of oil which are now being sold
as fuel oil.
The new bords are an absolute
first mortgage on the modern refining
plants Of the company located at West
Tulsa Cushing and Bigheart, Okla,
tho luO'a Pipe Line. all Of the pre-.
ferrcd and common capital stock Of
the Cusden Pipe Line company, all
other pipe lines, storage tanks and
various valuable productive leases,
also all the company's title md inter
est in 315 tank cars, some of which
are owned by il and the balance are
subject To equipment car trust notes,
which mature monthly. Value OF
tangih'o property oyer two and one
hi.f times the mortgage.
The bonds are convertible at any
time before maturity at option Of
holder into common stock at $6.5C
per share on a par value of IS.
Sinking fund: in cash $202, 600
per annum for the purchase and re.
domptiOn of bonds at 1O1 or less, in
equal monthly installmcntJ Of about
$4,000, commencing November /,
1915. This should retire the issue in
five yorrs.
Thu common stock is receiving .
per C,n quarterly; preferred stock
or p, cent quarterly,
Dur X the calendar year of 1871
the net earnings were S55d 600, or
over nine times the interest charges
on this issue of bonds. The net earn
incs for the present year Ending No
vcmbcr 80, 1915, based on earnings
to September I, and estimated earn