The Sun and the New York herald., 1920-09-29
.SMELTERS GAINS IN
FIRST HALF or 1920
Shows si,OsO,SiO Net Income
Against ss,IIO,l59 for |
Same 1910 Period,
----------.~A---
MINES EARN SS,O7O,77O.
Improvement Says President,
Due to Better Operating
Conditions In Mexico.
MINES EARN ss,O7O,77a.

A biz Improvement IN the earnings
of the American smelling and Rehnlha
company for the first six months Of
THIS year M compared with those OF
Tho corresponding 1919 period was dis
closed yesterday whom that corporations
hemi-Annuhl report was made public II
showed that during tho first half OF
lVaO net Income after all charges. in
tereht, Federal tenea. depreciation, &c.,
amounted 10 it,0ao,sio, which. after de-
duotion OF dividends on all elaahes OF
the company'h preferred stock. amounted
10 tS.ia a share earned on ltA outatand.
lng common stock. IN the irAt half OF
1919 tho companya net income waa
only ~, iAe,lbe, or about centn a share
earned on ita common stock after III
preferred dividends.
The report shows net earnings OF
smelling ana refining plants ana In
dnhtrleh Immediately dependent thereon
OF Ro,s1S,tia. against $685.. .0pS IN tho
corresponding period OF last year.
Net earnings from mining properties
amounted TO t2,070,1TS, against ll2s,-
OsO. Other Income was s9tl, ,902, against
sSQ7O0A, making gross income for the
half year 1e,09i .0S7. In contraat 10 So
Vsi,SSa year ago. Charges for eX-
pensea, research. taken. interest. depre-
clation. 40, totalled $1,000. $40. against
tS,els,bsJ In 1918, leaving net lnnomo
available for dividends OF ll,OsO. $40.
aEalnht '2,itS,ib9, For dividends on
the company's preferred btocm t2.ti5,-
~ was paid out and ,l.ai0S6 was
distributed on ita common, leaving a
nnh surplus for the period OF SGS5, ,aOs.
In tho first halt OF tho preceding year
dividends on the common had been paid
out OF surplus, leaving a deficit al the
end OF the period OF ti,ipH.4e3.
The biz Improvement. according 10
simon GuEgenhelm. president OF the
corporation, was due largely 10 better
operating conditions In Mexico. IN.
creased volume OF bumnana and better
prices. In hla remarks 10 the stock
holders accompanying thu income ac-
count Mr., uuggenhelm said.
The Increased earnings have been
due 20 tho better conditions OF the Mex
lean operations, the Increased volume OF
business In tho United states and 20 In
creased treatment charges on many
ores moro nearly comparable With our
present costa. There are still some old
long time contracts which arc unsat-
isfactory.
THE usual charge has been made 10
the profit and loss account for depre-
olation and depletion OF ore reserves
and provision has been made foA the
estimated Federal income taxes for the
period. Mexico ls now experiencing the
general increases IN wages and other
costs which have been 80 prevalent IN
tho United States during tho last few
years The company IA. however glad
TO note that the prospects OF n stable
Government In that country look bright
or at tho present time than at any Pc
rIod since the revolution OF 1919. Itl
ID believed that at least n steady OPP
eratlon OF Mexican properties IA roa-
sonahly certain. Incidentally, Il may
be remarked that tho military Actlyi- |
ties attending the end OF the CarranIa
Government commandeerod most OF the
railroad equipment owned by the COM
pany. with consequent disruption OF SER
vice md loss OF earnings for n con-
siderable period. The equipment has
now been restored and railroad condl-
tlons are as good as can be expected"