Salt Lake Tribune | 1908-01-08 | Page 6 | Why Silver King Stops Dividends

II! StLVEH KINS Xotico Soil! to Stockholders iu Which Action of Directors Is Made Plain. BETTER METAL PRICES WILL ALLOW WORK Then Dividends Will Be Paid as Usual by Noted Profif-v Profif-v Maker. fi Frank J. Wcstcolt, secretary o tho l B' Silver Kinjr Coalition Mines company, ' H is busy mailing to tho numerous stock- H holders of this organization a notice ,acfc tIl;it' 1,10 directors, fc a ru- S cent meeting, had decided to pjiss tho U , usual quarterly dividend of $1S7,- 500. The properties of this compuny ( at Park City, ns is well known, aro H pr.icticall' closed down, with ship-H ship-H ments stopped, on account of the pro-H pro-H hibitivo prices of the metals produced H by tho mines,, and coupled with .this H reminder in (he notice is the more cheering assurauce .that the resump-H resump-H tion of dividends is only a matter of . B normal conditions again. The notice is m Kigned by President David Keith and Secretary Frank .1. Westcott, and is as follows;" f "At a meeting of tho board of di rectors of the Silvor King Coaliiton Mines company, held on tho 2Sth day of December last, it wns unanimously resolved that the payment of dividends bo suspended until the further order of the board. ''This action was taken for tho reason that,' in the judgment of tho , ., board, the condition of the metal mar ket 16 such that it. is impossible for the :onipan3 to realize a fair price for its ores. The unfavorable condition -' of tho metal market and the low price of tho metals has rendered it inadvisable inadvis-able to sacrifice the ores of the company com-pany in order to continue the payment sf dividends. "As soon, however, as the prices reach a normal stage, dividends will bo resumed. Tho physical condition of your properties has never been better, sad it is not at all for lack of re-pources re-pources that dividends bavo been Kuspcuded. During the suspension of . dividends the min'o will be shut down, iM s-o that no great expense will bo II incurred. The board is of tho opinion 9a that better prices will be obtained m u3 :he near future, when the operations will be resumed, resulting in the pay-jfijf pay-jfijf uieut of dividends."