The daily banner. (Cambridge, Md.) 1897-2008, 1921-07-27
STEEL EARNINGS
HIT LOWEST MARK
Trusts Report Shows Worst
Quarter Since 1915.
DOWN TO $21,892,O16.
Regular Dividends Are Declared, But
Only by Drawing Upon Big Undivid-
ed Surplus.

New York, July 27.-The United
States Steel corporation rep"rted that
its earnings for the quarter ending
June 80 were So, ,S92 ,O16, the smallest
Of any quarter since March, 1915,
lust prior to the war b0, III. when they
fell to $l2,457 800.
Regular dividends of IA per cent Oh
the preferred shares and Ia per cent
en- the comm We're declared, but in
order to meet the requirements of the
common dividend, on which only %
cents was earned, it was necessary TO
Graw from the corporations huge I'M
divided surplus.
Analysis of the corporations month
Iy business shows earnings of little
rtore than $S,00OO00 in April, about
SS.4OO.O00 in May. and a drop to slight
" less than $7,50O,000 in June.
Net income of the corporation fer
the second quarter amounted to $l3,-
126. 800. against S20,656.339 in the pre-
ceding period. This item would have
shown more drastic reduction but for
fhe fact that charges and allowances
for depreciation were much smaller
than in the first quarter of the year.
Chairman Elbert H. Gary issued Il
statement after the meeting of the di-
rectorS, in which he stated that the
business results for the quarter were
not surprising to anyone familiar with
General conditions.
He added that many manufacturing
oncern< have been operating at
loss. This, he declared, is no less cen
>urable than insisting upon "uncoh-
~cionable profits" and cannot be long
continued. Commenting upon the flu
ture, he said:
.:As stated at the meeting of the
American Iron and Steel Institute last
May, industry is headed in the right
direction. This means great deal,
for at some date in the future, there
awaits the biggest business this coun-
try has ever witnessed. The funda-
mental facts for this conclusion are
assured. The undisputed figures
amount to a demonstration.
Just at present there are many rea-
sons for believing our conditions are
illlpEON lllS- even tllOuSii w 'AhN' N-'
as vet have experienced, to a large eX-
tent, the rood results. ReadjuStmentS
we're neceS -1ry, and they have been.
and are, progressing with benenc~
effect. During the war, extravaganza
in expenditures, in many ways and de-
partments, from the government down,
was stupendOus.
apparently, we shall soon have ac-
rual peace throughout the world. Con
Struction, cooperation and wisdom Will
Supplant destruction, conflict and folly.
LEGISLATION will be calculated to assist
rather than obstruct, legitimate prog
ress. Taxes, which now burden al
most to the point of stagnation, will
surely be gradually and reasonably
modified Our president has said pub
licly that business is the biggest thing
in the world, which is equivalent to
saying that as food, shelter and cloth
ing are the first to be considered in
discussion, therefore, prosperity Is es
sential to the progress and happiness
of the nation. International, national
| and industrial peace will become sta
| blized. not as the result of combined
} force. but because of the goodwill
| aa,! honest desire Of righteous-mindeC
| eeopss.