New-York tribune., 1915-03-28
BETHLEHEM STEEL
HAS RECORD YEAR
1914 Surplus Equal TO
30.59 Per Cent on
Common.

Although II had become general
knowledge in the Street that the plants
of the Bethlehem Steel Corporation are
operating at record capacity and that
earnings were never before so great
as now because Of war orders, the pub
lication of the annual report yesterday
at 10 o'clock was the signal for ano her
spectacular advance in the com non
stock, following the rise which ended
earlier In The week, when a high price
of 73 was reached.
On sales amounting TO 2S000 shares
the stock. after opening at 67&. ~ 0ped
to 76 and finally closed at IAN, q gain
Of 7& points over Fridays last quota
ton At this figure the advance over
the low price for 1915 is 2s% points
or an increase Of S4.s85. .s62 in the mar
ket value Of the sl4,862000 stock o-t
standing.
The actual earnings available 10
dividends on the common stock dis
closed In the report differed little from
The Tribune's previous estimate, th,
percentage being 3059 per cent, agains.
27.44 per cent in 1913 What was TAX
en-, however, as tangible evidence OF
marked Improvement In the amount OF
incoming business since the first OF the
year was the value of the UNI LED
orders on hand, which, like the earn
ings. were the largest in the history
Of the company. They amounted 20 S4y,-
5l3I89. against S24 .S65 800 in 1913, SZ5,-
1872 in 1912, Sl5,sS5,i9S in 1911 and
sl7,370,660 in 1910.
Net manufacturing profits last year
after deducting expenditures for ordi-
nary and extraordinary repairs and
maintenance, amounting 10 approx
mately $685. 900, were s9,37S,3o0, an
increase of SS47,677 over 1913 and a
gain of s4,53l, ,571 over 1912. A slight
increase in other income brought the
total net income for the year up tc 81
649,G ,G6S, which left surplus Of s5.5yO.-
020 after deducting charges of S4O59,-
CAT, of which Sl,500,000 was for de-
probation, against Sl,272,270 written
off in 1914. The balance after diyi-
dends was s4,S44,620, from which was
deducted S5,000.000 for improvements
and working capital In 1913 nothing
was set aside for this purpose.
President Charles NJ Schwab, In his
statement 70 the stockholders, nad3
cursory reference 10 the years bust
ness. In regard TO prospects for divi-
dend payments on the common stock hs
has reviously been quoted, however.
ss saying that all surplus funds will 30
put back into the property during the
net two or three years. His remarks
In the annual report follow:
Notwithstanding the generally de-
pressed state Of trade throughout the
year in commercial lines, the variety
Of the products OF your corporation.
which has directly resulted from irs
policy of extensive development IL
diversified lines of manufacture, en-
ables it 10 report the best record In is
history, the total net earnings OF your
corporation and its subsidiary COM
panies for 1914 being s9,649.667. as
against S8,752,671 for the year 1918.
"In view of these earnings a dividend
was declared on the preferred stock Of
your corporation Of the full per cent,
payable In quarterly instalments dur
ing 1915.
"On Juno II, 1914 the Bethlehem
Steel Company Issued $4,000 900 Of is
one-year per cent secured gold notes.
guaranteed principal and interest by
your corporation. and secured by d
pledge Of S4300000 first lien and re
funding mortgage per cent thirty
year gold bonds, Of which notes 8 L.
100000 face value have, since the close
of 1914. been cancelled or called Tor re-
demption.
The various plants Of your CORPORA
tion have been maintained throughout
the year at high standard Of physical
condition, and the effect on the cost 0f
operations of the economies which have
been introduced has been entirely salts
factory"