Evening star., 1939-10-27
Bethlehem Doubles
Common Dividend
As Profits Rise
Firm Also DiscIoses
Largest Backlog
Since World War
BY the Associated Press.

oS lHe ASSUtldltd 1859
NEW YORK, Oct 27.--Coincident
with the disclosure Of large gain
in the September quarter earnings,
Bethlehem Steel Corp. directors yes
terday ordered a dividend of ST a
share on the common stock and re-
ported the company had the largest
backlog of untitled orders since the
World War.
The third quarter net profit of
S5,377,470 was equal to $l.10 share
of common stock after deducting
dividends on the preferred stocks
It compared with $3822,927, or 81
cents a common share, in the pre-
vious quarter and $446,8 1866, or AZ
cents a share. on the per cent pre-
ferred stock in the 1888 September
quarter.
The ST dividend on the common,
payable December l to holders of
record November TO- doubled the
previous distribution, the company
having paid so cents last September
Is. These are the only dividends
paid on Bethlehem common since
December, 1887. The usual quarterly
dividends were declared on the 7
per cent and per cent preferred
stocks.
Operating at Capacity.
Eugene G.. Grace said the COM
pany was operating at capacity that
incoming orders so far have con-
tinued in excess of capacity, thereby
increasing the backlog of untitled
business which totaled 1858 1857 OFT
on September 30. That, said Grace,
was a peacetime record, and COM
pared with $184,92l ,08l on June 80
and s1O1 ,528,356 at the September
date last year.
Grace intimated Bethlehem would
make no move to increase steel
prices if operating volume remained
satisfactory and costs were con-
trolled
He thought Bethlehem's export
business had been stimulated by the
war but he declared:
Il would like to see the war stop
today. Bethlehem Steel Corp. would
be better off if it did"
Commenting on the orders Bethle-
hem has received for guns, projec-
tiles and other war implements for
the United States Government, the
executive said.
Il wish that was not necessary. l
would rather see the expenditure
going into normal domestic chan
nels"
Advocates Repeal.
Touching Steel's place in war, in
connection with the prevailing con-
troversy over offensive and defensive
weapons. Grace asserted that If we
were called on to make guns and
projectiles we could not stamp them
for defense as contrasted with Of
fense.'
In answer to reporters questions
as to his sentiments on the Neutral
ity Act, Grace said his personal feel
ing was that repeal of the embargo
would be a definite step toward
peace.
I believe repeal is sound" he
added, 'it should have been done
at the regular session of Congress
But that is no reason for not doing
it now"
Regarding the steel price situa-
ton. the Bethlehem head said:
I'VE are not ready to forecast or
try to anticipate a long time ahead
We don't want to see and we will
not be party to any profteering
We believe in fair prices and fair
profit If nothing occurs to increase
our costs with current high opera
tions if we can correct low spots
with the volume we have. then we
see no reason for increased prices
We don't want an inflated situation
built up and have the bubble burst
later. We believe it best to keep the
ship steady"
Bethlehem's announced current
operating rate of 95 per cent of ca
pacity. Grace explained, represented
the estimated average figure fol
October but at present operations
are at 100 per cent.