OCR Text |
Show of new bonds issued at a substantial substan-tial savings in interest. "Electric service is unrationed and its quality unimpaired," the report states. "The increases In total operating revenues have come from war-inspired activities. Higher High-er operating costs have accompanied accompan-ied the increased revenues, and the earnings which remain are largely drained back into the federal treasury through the federal taxing tax-ing system." The report pointed out that com- , pletion of 50,000 kilowatt steam-electric steam-electric generating plants at the Geneva Steel works and by the Utah Copper company further strengthen the power resources of the area. The Power company and its subsidiaries sub-sidiaries employed 1951 persons as of last December and 537 had been with the organization 20 years or more. The report lists the names and branch of service of 365 employes em-ployes now with the armed forces. At the close of 1943 the three companies served 140,372 customers with electric service, an increase of 5,551 over 1942. Its miles of electric lines, all voltages increased 111 miles to 7,688. During 1943 the system's generating gener-ating station output, including purchased pur-chased power, was 1,482,824,000 kilowatt hours of energy, an increase in-crease of 163,625,000 over 1942. Power Company Issues Report Utah Power & Light Company earned the equivalent of $9.40 per share on its outstanding perferred stock during. 1943 but because of bookkeeping entries ordered by regulatory bodies found it illegal to pay any dividends after July 1, according to ' the concern's annual report to stockholders just off the press. These book entries, the report shows, left an earned surplus deficit de-ficit of $32,541,830.64 as of December Decem-ber 31, 1943 for the company and its subsidiaries, the Western Colorado Colo-rado Power company and the Utah Light and Traction Company, and so long as it exists it will be illegal ille-gal to declare dividends. However, the Securities and Exchange Ex-change Commission has ordered the company to restate its present capital structure consisting of common and preferred stock into one class of stock, namely common stock. The report points out that this restatement of capital will remove the book deficit by charging it against a capital surplus to be created by writing down the stated value of the company's stocks. "This will be done as soon as due protection of the stockholders' interests in-terests will permit," the report continues, as "Your directors are anxious to clear away these accounting ac-counting troubles, fully realizing that the preferred stockholders should receive earned dividends at the earliest date consistent with the safety of their investment in the Company." The report, signed by George M. Gadsby, president and general manager, listed the income from the combined companies for services ser-vices at $18,766,383. Against this were expenditures of $3,615,257 paid in salaries and wages, ?2,-686,209 ?2,-686,209 paid for fuel and power purchased, and $1,847,611 spent for other supplies and expenses. These, with appropriations to reserve re-serve and for interest, brought the total spent to $12,886,033. The year's taxes amounted to $3,512,293 leaving $2,368,057 available for preferred pre-ferred dividends or retained as assets. as-sets. Mr. Gadsby detailed events of the past year, including hearingi before various commissions whicn he estimated accounted for 74,'ino manhours of officers and employees employ-ees time. He explained refinancing proceedings whereby S44.000.000 of bonds were retired and $42,000,000 |