The Daily Alaska empire., 1934-12-08

misunderstanding of the facts.
 "The company pays to the Ter ritory of Alaska a substantial amount annually in taxes and the Territory in turn assists the City of Juneau ill the upkeep of it's schools. The company pays to the Federal Government a very large amount annually in taxes and the 1 City of Juneau in turn has re- ceived from the Federal Govern ment large amounts of money Gin proportion to its population) for the betterment of the city streets, etc.
 Thus, it will be seen that while these taxes depend on profits and are indirect, nevertheless the City of Juneau derives very substantial benefit from the taxes paid by the company.
 Lucky" Phrase Hit
 "The most casual knowledge of Alaska Juneau operations whi h may be obtained from the com pany's reporfts, from the public daily press, and from technical journals, shows that the company is not a lucky and wealthy cor poration.
 Prom the time the mill was built until late in 1927, no profit whatver was made. In fact, an in debtedneSS of some three million dollars was accumulated This three million dollars was advanced by the nonresident officials and stockholders in an attempt to keep 1.-the enterprise from being a fail- lure. A large portion of this three million dollars was spent in Juneau for wages.
 After the profits began ir 1927, it took until December 1880 to pay eff this accumulated indebtedness of three million dollars. At the be- ginning of 1927, with an accumu- lated indebtedness of over three million dollars, it seemed doubtful if the enterprise could survive. The mill at that time was as much of a liability as an asset Only by the strictest economy. up to and since that time, has the enter prise been able to operate at a profit. The tax exemption was not, nor has it ever been, entire.
 Profits Not Large
 "At no time have the profits, as compared to investment, been huge, nor even out of proportion with a reasonable return on the invest ment. The dividends do not all go to large stockholders in New York or elsewhere. There are about 5000 small stockholders living in various parts of the United States.
 During the period January |, 1915, to November l, 1884, the AL aska Juneau has paid $17,00O,000 in wages to employees living in the City of Juneau. Most of this money has been spent in Juneau and large proportion of the taxes paid has come directly from this payroll.
 The total dividends paid by the Alaska Juneau Gold Mining Com pany to date amount to $3,749,- 900, the first payment of divid- end having been made in 1881.
 Money Re-Invested
 Tn addition to the dividends paid, a surplus was accumulated which made possible the purchase of the old Gastineau property from the Alaska Mining and Power Con- pany. This shows that instead of the profits being at once carried out of Alaska by nonresident of- ficials and stockholders they have been very materially reinvested in additional property for the stab- ilization and continuation of op- erations by the company; all of which is very substantially bene- ficial to the taxpayers and resi- dents of the City of Juneau.
 Without the benefits derived rom the Alaska Juneau operation and the tax agreement referred to. property in the City of Juneau would be of much less value than 1t is today. The city would have difficulty in maintaining itself at all and the taxes in some form or other would be much higher than they now are.
 All of the people who have re- sided in Juneau for ten years or longer, will remember the condi- ton of the city from 1922 to 1927 The operations of the Alaska Cas- tineau mine had been stopped, never to resume as such. The Alaska Juneau was having a des-
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