22 THECUBAREVIEW 



THE CUBAN-AMERICAN SUGAR COMPANY 



ANNUAL REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30. 1917 



The production of raw sugnr for the year was 298,208 tons (of 2.000 lbs.) as compared 

 with 268,310 tons for the year ending September 30, 1916. The quantity of cane ground was 

 fifteen per cent. (15?c) greater than the year previous, while the quantity of sugar produced 

 was but eleven per cent. (11%) greater. Our operations were interrupted during the year 

 through a political disturbance, resulting in a prolonged and irregular campaign on the Cha- 

 parra Estates; under normal conditions the yield and output of sugar would have been sub- 

 stantially increased. 



The tonnage of cane ground and the year's output of raw and refined sugar for the last 

 two vears appears in the following table: 



1916-17. 1915-16. 



Cane ground 2,525,491 Tons 2,188,047 Tons 



Raw Sugar Production: (Bags 320 Lbs.) (Bags 320 Lbs.) 



Chaparra 612,055 Bags 623,040 Bags 



Delicias 553,438 " 436,889 " 



Tinguaro 267,346 " 248,536 " 



Unidad 108,607 " 116,547 " 



Mercedita 153,282 " 76,521 " 



Constancia 169,074 " 175,407 " 



Total 1,863,802 Bags 1,676,940 Bags 



or or 



298,208 Tons 268,310 Tons 

 Refined Sugar Production: 



Cardenas Refinerv, Cuba 30,612,907 Lbs. 24,996,597 Lbs. 



Gramercy Refinery, La 145,321,142 " 117,513,196 " 



The net profit of the company for the fiscal year amounted to S'0, 893,998. 94, after setting 

 apart §2,500,000 for such excess profit, war and income taxes as may be finally determined, 

 and after deducting S762, 030.24 for depreciation of buildings, machinery and equipment; 

 ample provision has also been made for doubtful accounts and for the year's proportion of 

 the cost of original plantings. 



The capital expenditures during the year on the company's properties amounted to 

 SI, 396, 8] 3.98, including the purchase of new lands, extension of factory buildings, new ma- 

 chinery, construction of railroad, additional warehouses, dwellings and schools, all of which 

 contribute to the progress and increased efficiency in operations. The lands purchased 

 during the year embrace some exceptional parcels of virgin soil adjacent to Chaparra. but 

 the principal acquisition was for the account of the Tinguaro Estate to strengthen and secure 

 an independent cane supplj' com.mensurate with its needs. The total acreage now owned in 

 fee simple and leased bj' your company is as follows: 



Acres. In Cane. Per Cent. 



Owned 452,268 153,000 .34 



Leased 16.713 7,825 .47 



468,981 160,825 .34 



At the close of the fiscal year the company's contemplated program of betterments, 

 increased railroad lines and new plantings is in process of completion. The estimated outlay 

 for this added equipment to care for our increased business will involve an expenditure of 

 $1,500,000. 



Regular quarterly dividends of 1 ^i per cent, were paid on the preferred stock and quar- 

 terly dividends of 2} i per cent, and an extra dividend of 10 per cent, were paid on the common 

 stock. 



During the year $538,000 of the Cuban-American Sugar Compan}- six per cent. (6%) 

 bonds were retired by the operation of the sinking fund provision, making a total of 81,789,000 

 of these bonds retired in this manner, leaving outstanding on September 30, 1917, S8,2ll,000. 



