South Bend news-times. (South Bend, Ind.) 1913-1938, 1918-05-03
BIC PROFITS FOR
HARVESTER CO.
New Jersey Corporation Made
Many Millions During
Last Year.

CHlCAGO, May 0.-ACCOTuluB 10
official announcement made last
night the annual report of the Inter
national Harvester co. of New Jersey
shows net profits for 1917, after de-
Quoting taxes interest, deprecia-
tons, extiD guishments and reserves,
! of $14,000,0OO, or IL per cent on the
actual working capital employed.
which was $125.OOO,OOO. including
surplus retained and used in the
business. Nearly half of these prof
| its resulted from the operations Of
| the companys steel properties.
which shared in the abnormal pros
perity Of the steel industry. About
| sc per cent of it's steel output was
sold in the general market.
Excluding steel the percentage of
| profit on the volume of sales and
| capital invested in the business was
Substantially the same as in former
years.
1T is gratifying to note" the re
port says. that the purchasing
power of farm products has more
than kept pace with the increase in
prices enforced by war conditions
upon the GlllAIt lliBltAAlEnN AAhAoNA .
This is reflected in the noticeable
Improvement 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 pre-
scented by the report of the Inter
national Harvester corporation,
which purchases large quantities of
farming implements from the New
Jersey company and sells them in
| foreign countries. While the vol
ume or 1917 sales shows an increase
over the preceding year of about
| % per cent, due to larger produc-
ton of farm tractors and motor
! trucks and to the higher prices for
products enforced by increased
manufacturing costs, war losses
sustained in Russia and the coun-
| tries dominated by the central
powers have exceeded the total 1917
/ earnings.
Americas entrance into the war
and the Russian collapse have com
pelled the company. the announce
/ ment says, to charge off s13,S41,-
| 16S. of which S1O,120,000 repre-
seats unquestionable losses in Rus
! sian funds and S316,S25 in the value
/ of equipment Communicated by
/ Germany at the Croix works near
Lille. France. These losses absorb
/ ed the whole of the corporations
/ 1917 earnings and caused a deficit
of s1,35O,721 for the year"
/ OF the remaining loss. it is eX-
planned, S2,556.175 represents an es-
| innate of so per cent of receivables
in Russia. Roumania. Belgium
Serbia and enemy countries; $685.
16S represents inventory goods. ma
teriaIs and other property COM
Wandered by Germany at the
French works.
Both companies report three
wage increases of approximately 10
per cent each, making total in
/ crease in average hourly earnings
at the domestic works since Jan. l,
1915. of rs per cent.
The New Jersey company, accord
ing to the announcement, bought
and holds as assets 100000 of the
first and second Liberty loans Of
1917. Through the two co.. Danies,
and largely by their aid 1loyes
made 10000 subscriptions 20 these
loans. aggregating $2.25c.c0O. It
is further announced thai employees
subscriptions 10 the third Liberty
loan probably will exceed the figures
| for the first two.
Employees OF the two companies
1 in the United States and Canada are
/ in army or navy service TO the
number Of $3.50.
Positions will be kept open TO
them on their return" says the re-
ports. and the companies are keep
/ ing in close touch with them dur
! ing the period Of their service"