The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-01-29
j. s. STEEL CUTS
EXTRA DIVIDEND
Regular Declared, but Special
Disbursement Reduced to
1 Per Cent.
EARNINGS OFF $4,000, 1000
Set Aside $50,0OO,OO0 for War
Excess Profits and Federal
Income Taxes.

The directors of the United States
Steel Corporation yesterday cut the
extra dividend paid on the common
stock from Q per cent. to 1 per cent for
the anal quarter OF 1918. making the
payments for that period at the annual
rate Of per cent. instead OF IS per
cent. which was the rate for the third
quarter, and II per cent. the annual
rate at which the dividends for the
nrst two quarters OF 1918 had been
made. The regular dividend Of IN per
cent on the common and IN per cent.
or the preferred also were ordered paid.
The preferred dividends are payable on
February ~ to stock Of record on Feb
ruary l and the common dividends are
payable on March 20 to stock of record
on February 2s.
The curtailment in disbursements 10
the stockholders was due TO the big cut
In earnings compared with previous
quarters. The net income. before de-
duction for taxes. for the quarter ended
December 80. 1918, was ss6.354,l 1865.
whereas for the September quarter the
net before taxes aggregated S144,94s.-
for the last quarter, however. was more
than so per cent under the same item
for the September quarter. 50 that the
reduction in net earnings after taxes
was a little more than $500, 900, being
sSe.S54165. against s42.961,6s9 for the
third quarter OF the year,
The corporations earnings before
charging interest on the bonds OF the
subsidiary companies, but after deduc-
ton for taxes, aggregated Sss5ss,4s0.
They were 345.2l1.7O9 for the previous
quarter. The earnings for the last three
months OF the year were divided as
follows: October, s14,405.s10; Novem-
Der. sl2,so4.0S1; December. s11,57s.5sa.
The amount set aside for the fourth
quarter OF the year for account OF Fed
eral income and war excess profits taxes
was $50, 900. 900. More than SOL 900, 900
was set aside In the third quarter OF
the year, which brings the total reserve
for tax items for the year up to S274,-
sss,795. This enormous reserve for in
come and excess profits taxes was di-
vided as follows: First quarter, SAL
6s6.lss; second quarter. Sso.7ls.25):
third quarter. Sl01 ss7, 347: fourth quar-
ter. $4,000. 900. This is about fifty mil
lion dollars in excess OF the amount es-
timated for those items for the previous
year.
The net earnings for the year after
taxes were deducted. as disclosed by the
reports issued at the end Of the quarters.
were $1ss.s34.5S9. and the total net
earnings before taxes were allowed for
A7S.123,3s4. The surplus for tho last
quarter OF the year was $2.s97.255.
against $3.s40.5s1 for the previous quar-
ter. As shown by the four quarterly
reports the total surplus for the year
was 34o.ss0.6s3
The total Of dividends paid on the two
classes OF stock, common and preferred.
during 1918 was s9s.3s2o27. OF which
s25.2ls.677 was paid on the I per cent.
preferred issue and the remaining S7l,-
ls2.35o on the common. OF the total
amount paid on the common s45.74s.225
we're paid in extra disbursements and
the balance in regular payments
The important Items Of the quarterly
statements for December and September
follow: