OCR Text |
Show LOOK FOR SILL Although It Is the policy of the Knight intorosts not to make long distance predictions In relation to dividends, so that nothing positive can be ascertained in regard thereto until the actual meeting of directors, there is a disposition among the shareholders of the Colorado Mining company to believe that the present dividend rate will be reduced soon, possibly at tho coming quarterly meeting scheduled at Provo on September Sep-tember 10. It is not questioned hut what tho Colorado management with each car of ore shipped is that much closer to the necessity of conserving its cash It is well known that the ore now being be-ing marketed is oa-low grade, what development work is being done is not as satisfactory as could be desired, de-sired, and there are those who believe be-lieve the company would be perfectly Justified in reducing 'the dividend Irom six cents a share before the i Colorado Mining affairs are reduced to the unfortunate situation in which the i Beck Tunnel company, for instance, has found itseli 4 It v,ould not occasion much surprise, sur-prise, therefore, lit tho next dividend should be reduced, while many believe be-lieve the compajiy, should stop divl- , (lends altogether until the property is placed in a better position to produce more proiltably than at present. The officials believe that it is pursuing the best policy that could be adopted in awaiting results on neighboring mines before starting the exten'si development campaign that Is tho on salvation for the Colorado from a dividend divi-dend standpoint. The Beck Tunnel to the north is opening an entirely new ore, body which gives promise of coming south into the Colorado The Colorado might spend hundreds of thousands of dollar and unlimited time and still not bo able to. find this ore at present, pres-ent, for the safest way in Tlntic to keep your In sight Is to follow it throughout its windings. It will bo more economical and certain to wait until the Beck Tunnel follows the oro to the Colorado line, then proceed accordingly. ac-cordingly. The Yankee. Sioux, Utah Consolidated and other properties surrounding the Colorado are doing oxtensivo work seeking now ores, and results in any of these will present an Index to which tho Colorado management man-agement will have acceBs for guidance. guid-ance. It Is certain that the Colorado officials of-ficials will be criticised for this pol-icyN pol-icyN of patience, just as they would bo blamed for going to work blindly In new ground should the results not justify the means. Thoy will be criticised crit-icised for ceasing or shaving down their dividends just as they will-be If they pay out all the company's I cash and then bo unablo to develop the mine without assessing the stock. They doubtless believe that the safest course to pursue Is the one to tho best Interests 'of all, and this will without question he the ceasing of dividends div-idends when thoy are not being earned. It is only a question of when dividends nro to be conserved, and, as stated, many expect that change in the profit sharing policy of the Colorado will date from September Sep-tember 10, nn. |