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Show IIIEWffflBlI ' For First Time Since Reorganization of the Company Montana- v Bingham Finds It Necessary to Levy Assessment Directors Issue Lengthy Report Which Shows Company to Be in Good Financial Condition. , 1 , The MontanaflJinghem Consolidated Mining Company has made an assessments assess-ments ten cents a share on the stock which Is the first to be made since ho company was reorganized. President Presi-dent Ballyntyne and the directors express ex-press regret at the necessity of having hav-ing to do this,' but in the interest of the comrany and for the purpose of putting the property on a dividend-paying dividend-paying basis at the earliest possible date they thought it the only expedient expedi-ent course to pursue. In connection with the assessment they issued a report re-port which shows the company to be in a healthy financial condition and with the proper development it will doubtless eoon be numbered among the big paying companion of this camp. The report is as follows: "Your directors regret the necessity of levying this assessment, yet, in view of the fact that the rticlos of incorporation empower them' to do so, they feel they would have been remiss in the performance of their duty had they failed to take timely action to protect the stockholders' equity in the company's property. The financial conditions existing at this time throughout the continental United Stater make it impossible to raise any considerable amount of money either by louns or otherwise, and as small advances, even If they could have been obtained, would not effect the purpose .he directors have in view namely, to place the property in the pront-.pey.iDS. .-lae' at aotruJi possJ. ble and meanwhile protect the stockholders' stock-holders' interest against creditors, the assessment, therefore, however much to be regretted, was thi only alternative. alterna-tive. Assuming for the moment the assessment had not been levied, that ruits had been Instituted, judgments obtained and the property sold under execution, to the utter loss of every stockholder, what possible justification justifica-tion could the directors plead for neg- lect of a duty so clearly, If not legally, devolving upon them?" While the developments on the Tle-waukee Tle-waukee and Valentine properties have demonstrated their value as mining propositions, it is not proposed to expend ex-pend any money on them In the near future, but rather to allow them to remain re-main as tbey are until the otluer big; development has been completed and! brought into a dividend-paying basis. The following statement' shows the financial condition of the company as of, April 1, 1M8: Capital stock authorized,' 3,000,000 -share of the par value of 1 each. ASSETS. , Mining properties .......$3,000,000.00, Tunnel developments and ' , water facilities .471,000.00, Mine and mill buildings, ' equipment and. sundry plant 85.2K5.65. Stocks in-interest in net, ore returns of the Blng- . ham-Anialgamatod Cop- ' per Co. 126.000.00 Accounts receivable 2,614.90 . Ore in transit and at smelter smel-ter 4,000.00- General office equipment . 650.0 -Cash in office 208.88 ' - Total ....$1,639,720.43 LIABILITIES. Capital stock outstanding, at par value .$2,298 668.00 ' Assessments paid in prior to assessment of ' March 18, 19!8 '27.153,14' Bonds outstanding' ..'.. ' " 1.77.100.00- Bonda in escrow 7.C00.0O Bills payable 60,243.50- Accounts payable 42.317.91 Contracts , ll,r,00.00 Balance due on contracts ' for purchase of mining properties , 190,497.05 Accrued Interest on pay ment due on Fortuna 'mine 5,000.00 Overdraft on treasurer's account U.865.00 Net present worth 857,875.23 Total '.. $1,6X9,720 43 ,' From the liabilities side of this statement it will be seen that after deducting the liability to the stockholders, stock-holders, made up of stock outstanding, outstand-ing, three assessments, levied several years ago, and the present net worth. ' aggregating $3,181,696.37, there is a. balr.nce of liability against the company com-pany of $.'06,024.06. This Is not a serious as might appear at first sight, . as S196,4?4 ftfi, made up as follows: Bills payable $35,24.3.60 " Contracts 11,300.00 Payment account Fortuna principal 2.".000.00, Payment account Fortuna interest H.OOO.OO- . Payment account Tiewau- kee group 37,.00.0O" Paj-ment account Valentine Valen-tine group 27,937.05 Accounts payable 42,317.91 Bank overdraft 11 ,865.60 will bo taken care of out of the proceeds pro-ceeds of the assessment and leave a. V working fund of $33,448.74. The balance bal-ance of liabilities, $309,600. is made up of bonds outstanding, $177,100; bonds In escrow to secure payment on the Tiewaukee group, $7"00; balance on Fortuna group, payable in 1919 and 1920, $100,000, and due Honolulu parties on six months' notes for moneys mon-eys advanced in February last. $25,- 000. The- bnlance to be paid on the '"ortuna mine, $100,000, is pavahle. $25,000 January 1, 19,19; $25,O(0 July 1, 119; $25,000 January , 1920, and" S25.O00 July 1, 1920; all of these payments pay-ments are to be taken care of out of net earnings. Hones, $177,100, due June 1. 1918, Jt Is proposed to have extended to June 1, 1919, when they will be paid by the sale of so much stock as may be necessary in exs of available cash, the stock In the-meantime the-meantime having acquired a nibstan-Mal nibstan-Mal value by reason of the company's excellent financial condition and mine-prospects. mine-prospects. Bonds In escrow, $7500, will be released re-leased and returned to the treasury upon payment of the bnlance of $37,-501 $37,-501 on account of the Tiewaukee purchase, pur-chase, Included In the foregoing statement state-ment showing tho disposition of the-proceeds the-proceeds of the assessment. This leaves only $25,000, advenced by Honolulu Ho-nolulu parties, du ; August 14, 1918. The notes covering this advance carry the privilege of. taking stock of 25. cents per share In lieu of cash, anf as the stock at the oue date of these? notes will undoubtedly be worth eo-nlderably eo-nlderably more than this price, the-company the-company can either deliver the stocky !f note holders should elert to accept it, or sell sufficient to redeem the obligation. ob-ligation. Thre is now In the treasury treas-ury 701,332 shares. |