The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1919-04-10
REPORT INTERSTATE.
CALLAHAN YEAR 1918
Makes Good Show
ing for a Diff
cult Year
LARGE ORE RESERVES
Report of Manager Gives In
teresting Details of
Operations
LARGE ORE RESERVES

Consolidated Interstate Callahan
Mining company for the year
ending December 81, 1918, has
been received. The report Is a hand
somely printed pamphlet which en-
braces review of company affairs
during the year by the president, John
A. Percival; comprehensive report
of development work accomplished,
condition of the mine and betterments
ger; and a complete financial sta =.
ment by Mile Bunnell, treasurer. A
picture of the summer home Of James
f. Callahan, the discoverer of the CAL
lahan mine, and the largest Individual
stockholder in the Interstate Callahan
company Is presented as an appro-
pirate frontispiece for the publication.
This summer home is a modern cot
tage built Of logs and stands on the
site of the old cabin in which Mr.. CAL
lahan lived for many years while de-
veloping the mine which brought to
him well merited riches.
Presidents Report.
In his report for the year President
Percival says:
THE total gross earnings from op-
eratlons for the year were $1,228,-
616.47. After deducting the operating
expenses, including royalties general
expenditures, there was surplus for
the year Of $26028S.57. Adding to this
surplus of $556,991.79 as Of December
81, 1917, gives total of $817 ,2SO.36.
Deducting from this the 1917 taxes
and other charges, we have a total
accumulated surplus of $710774.78.
During the year two dividends, total
ing $125 per share, or $456,222.25 were
paid. This brings the total dividend
disbursement of the company up to
$15.25 per share, or $6,966, 0S2.25 since
April l, 1915, when dividend payments
We're inaugurated.
"The decrease in the companys
earnings as compared with 1917 is due
to the enormous decline in the price
of spelter, and to the abnormally high
cost of all operating expenses. For
comparison: In 1916 the spelter mar
ket averaged 1854 cents per pound;
in 1917 it averaged S.S13 cents per
pound, and in 1918 it averaged 7.89
cents per pound. During 1918 the Ia
Dor wage scale advanced to s525 per
day, in comparison with $3.50 per day
in normal times. Our decreased earn
ings were also attributable to the fur
ther fact that we were operating for
the greater part of the year on half
production basis, while the overhead
charges remained the same.
THE cost of all supplies entering
into mining operations also advanced
nearly 100 per cent. The scarcity Of
labor, brought about by the heavy
draft into the United States war SER
vice, and the marked decrease In eff
cheney of labor obtainable, also handi-
capped us greatly in our mining OPP
erations. However with the peace
treaty signed and the return Of more
normal conditions in this country, 1t
is certain that these difficulties will,
in time, be largely removed. We also
look for an increased use of spelter
when the galvanizing business of the
United States (Which was nearly sus-
pended during the period Of the war),
building operations and other normal
business are resumed.
American Metal Company.
Since the fall of 1915 nearly all our
tn fha Avn
I erican Metal Company, Limited. un-
, der contract, to which we were ship
q ping an average monthly tonnage Of
q 5000 tons Of zinc ore and concentrates,
at rate which gave our company a
splendid profit up to the time the
United States entered the world war,
!, However, with this country at war,
= the situation became entirely chang
ed Smelter costs, as we'll as mining
:, costs, increased very rapidly, and we
were soon faced with insistent de-
mands from the metal company for an
increase in treatment charges, and a
reduction in tonnage shipped. Desir-
II ing to be fair to the smelter company
n under all the changed conditions
n (and Notwithstanding our contrac')
e this company agreed temporarily
It from month to month to reduce ite
e shipments to so per cent Of the con
Is tracted tonnage. We therefore, In
e June of 1918, discontinued mining op-
1t erations in the property and took oui