The Union times. [volume] (Union, S.C.) 1894-1918, 1918-05-02
HARVESTER
co. SHOWS NET PROFIT OF
IL PER CENT FOR 1917

CnlcaSo, May -(COrreSpOnQence
of The Associated Press)-According
to official announcement made tonight,
the annual report of the International
Harvester Company of New Jersey
shows net profits for 1917, after de-
Quoting taxes, interest, depreciations,
eXtnguishments and reserves, of $14,-
100000, or ii per cent on the actual
working capital employed, which was
100000, including surplus re-
tanned and used in the business. Near
ly half of these profits resulted from
the operations of the company's steel
properties, which shared in the abb
normal prosperity of the steel indus
try. About 60 per cent of its steel
output was sold in the general market
Excluding steel the percentage of
profit on the volume of sales and cap
ital invested in the business was sub
stantially the same as in former
years.
at is gratifying to note," the re-
port says" that the purchasing pow
er of farm products has more than
kept pace with the increase in prices
enforced by war conditions upon the
entire implement industry. This is
reflected in the noticeable improve
ment in percentage of cash collected
in the last two years. Of 1917 sales
more than 80 per cent was collected
in cash during the year."
Quite another picture, according to
the official announcement, is present
ed by the report of the International
Harvester Corporation, which pur-
chases large quantities of farming i'm
plements from the New Jersey COM
pany and sells them in foreign coun-
tries. While the volume of 1917 sales
shows nincrease over the preceding
year of about % per cent, due to
larger production of farm tractors
and motor trucks and to the higher
prices for products enforced by in
creased manufacturing costs, war
losses sustained in Russia and the
countries dominated by the Central
powers have exceeded the total 1917
earnings.
Americas entrance into the war
and the Russian collapse have COM
PEELED the company, the announce
ment says to charge off 13,941, ,168, of
which $40, 100000 represents unques-
tionable losses in Russian funds and
$316,825 in the value of equipment
commandeered by Germany at the
CroiN works near Lille, France. These
losses absorbed the whole of the cor
poration's 1917 earnings and caused
a deficit of $1,35O,721 for the year" !
Of the remaining loss, it is exa
planned, $2,556, IT'S represents an es1
innate of so per cent of receivables
in Russia, Rumania, Belgium, Serbia
and enemy countries; $948,168 rep
resents inventory goods, materials and
other property commandeered by Ger
many at the French works.
Both companies report three wage
increase of approximately 10 per cent
each, making total increase in ave-
rage hourly earnings at the domestic
works since January l., 1915, of rs
per cent.
The New Jersey company, accord
ing to the announcement, bought and
holds as assets $9,OOO,OOO of the First
and Second Liberty loans of 1917.
Through the two companies, and
largely by their aid, employees made
30,4OO subscriptions to these loans,
aggregating $2,25O,OOO. 1t is fur
ther announced that employees sub
scriptions to the Third Liberty Loan
probably will exceed the figures for
the first two.
Employees of the two companies in
the United States and Canada are in
army or navy service to the number
of 1880.
Positions will be open to them on
their return" says the reports, "and
the companies are keeping in close
touch with them during the period of
their service"