The sun. [volume] (New York [N.Y.]) 1833-1916, 1916-03-07
DEFENCE PLAN AIDED
BY RUBBER BOARD
Directors Of T. 8. Company
Want Employees to Join
National Guard.
NET EARNINGS INCREASE

Samuel p. Colt. pfcsii' NJ Of the United
States Rubber Company. and the directors
Of the company have come out strongly
for preparedness. In making tho report
for the year they tell stockholders that
they approve the joining Of the National
Guard by employees. They have agreed
to give employees the necessary time
for camp and other military duties. In
addition TO this the company has done
some research work in aeronautics for
the navy.
The report for the year ended De-
csmber 81. 1915. shows net sales by the
company amounting 10 ss?.SS1.of5. as
asainst s~s3,S7s.sl: In tho preceding
gear. Cost OF manufacture was $79.243.-
ISL, as compared with s71,590.343
Total income for tho year amounted to
Si3,slO,91s, as against s12,0Ss,4 Sa IN
1914. and net profits were ss.357,oso. Ar
compared with net profits OF s7.S6s.:ei
the year before.
The profits. II applied in full to divi-
donds, would cover the DIVIDENDS on the
preferred stocks and leave a sum cquiva-
lent to about 10 per cent. on the COM
mon stock. The year before a . per cent.
dividend was paid on the common stock.
The surplus that remained was equal
70 about . per cent. additional on tho
common
bonded Debt Nodded.
President Colt. IN his remarks to
stockholders. said: "puring the past
year the boided indebtedness OF the
compan has been modified as follows I:
Mn million dollars of debenture bonds
Of the General Rubber Company tour
crude rubber company which Tell due
July 1. 1915. were paid by the issue or
$4,000. 900 ) per cent. debcnture bonds or
the same company maturing December
7. 1918. Two million fiye hundred thou
sxnd Of 8 per cent. debenture bonds OF
the Canadian Consolidated Rubber Com
pAny. Limited (whose stock Is largely
owned by us). maturing December J,
1918, were issued and sold. and $1,000
900 Of an issue OF $1,000, 900 Of . per
cent. debenture bonds of Morgan and
Wright Jour largest tire manufacturing
company, maturing December 1. 1918.
were sold. the proceeds OF the two latter
issues being used In reduction OF the
floating debts and for extensions OF the
plants OF those companies.
The object of having these obliga-
tons mature December !. 1918. that
being the date of the maturity OF our
collateral trust Is. which through sink
ing fund will then be reduced TO $15.-
600. 900. is that then we may issue one
class of security for such amount and
on such time as then may seem desir-
able for the retirement OF all these
obligations.
Full dividends upon the preferred
stocks for the year were paid and II.
pef cent. was paid upon the common
stock in April. 1915. Any further APP
plication OF profits to dividends under
existing conditions would be most un-
wise and against the permanent inter-
ests of all our stockholders.
steps to Aid In P~reparedness.
your directors believe tina. the I'M
selfish efforts Of every corporation are
needed to achieve adequate preparedness
IN the United States. whether for peace
or defence. Accordingly they have APP
proved Of our employees joining the
National Guard and have agreed 10 give
them the necessary time for camp and
other military duties without prejudice
to their salaries or 20 their positions
with the company. II Is also believed
that through the fostering OF trade as
sociatione and the cooperation Of such
associations much may be Accomplished
In the direction OF industrial mobiliza-
ton. without which true preparedness
10 impossible. Finding that the Navy
Department of the United Statee was Ia
need OF some research work IN a.ronau-
ties but was without aA appropriation
for carrying oil the investigation your
company volunteered 20 do this work for
the Government. This was done and
has proved a useful and practical cosi-
tribution to preparedness.
AT no time in the history OF our
company has there been greater activity
IN It's business. All our factories are
now being operated AT full capacity and
steps for enla rgenient Of certain plants
and for increase OF production are being
taken and the work pushed forward with
all despatch