28 T II E C U B A R E V I E W 



Your Company, having begun the installations in 1916, has them completed now 

 with machinery which today it would lie most difficult to duplicate. 



As a result of the aforesaid delays in the delivery of the machinery, the estate 

 "Lugarefio" did not start to grind until February 17, 1918, and at no time dur- 

 ing that crop did the factory grind at full capacity. This resulted in the pro- 

 duction at that estate being disappointing, namely, 117,2<ki bags, or nearly 1.30,000 

 bags less than had been estimated. "Moron", another esfale where the capacity 

 of the factory had been materially increased, also started late to grind, but was 

 able to make 315,439 bags, about 70,000 bags less than had been estimated. 



Notwithstanding the higher, yield obtained, the Operating Profit of your Com- 

 pany this year was lower than that of the previous year. This was due to: 



Higher salaries and wages; 



Higher cost of general supplies, such as coal, hags, etc.; 



Deterioration or falling off in test on sugars so long kept in warehouse; 



Increase of 25-30$ in Cuban railroad freights; 



Cuban taxes of 20c a bag; 



Late start of grinding at the Eastern plantations because of late arrival of 

 machinery and because of these factories not being able to grind at full 



capacity. 



LANDS 



Your Company acquired through ownership during the year 578 caballerias 

 (19,300 acres) and through lease 986 additional caballerias (32,800 acres), so that 

 now your Company owns in fee 11.215 caballerias of land, equal to 373,800 acres, 

 and holds under lease, many of these leases being for long periods, 0,932 caballerias 

 of land, equal to 231,000 acres, the total lands owned and leased being 18,147 

 caballerias, equal to 004,800 acres. 



RAILROADS 

 Y'our Company now owns and operates for the transportation of its products and 

 supplies, 1,061 kilometers (663 miles) of railway, of which 758 kilometers are standard 

 gauge and 303 kilometers are narrow gauge ; together with equipment consisting of 

 111 locomotives, of which 77 are standard gauge and 34 narrow piuge, and 3,450 

 cane and other cars, of which 2,213 are standard gauge and 1,237 are narrow gauge. 



PROPERTY ACCOUNT 

 Original cost of the 17 Plantations, including taxes, Notary fees, etc... .$48,083,296.68 

 Additional Purchases : 



Central "Stewart" $8,400,00< U N > 



Warehouses 159,600.00 



Lands 2,236.330.98 



Taxes, Notary fees, etc., thereon 119,371.10 



.$10,915,302.08 



Less sale of Central "Asuncion" $425,000.00 



Sale of Machinery, etc 485,267.43 910,267.43 



$10,005,034.65 



Add Improvements, etc. : 



13 Western 4 Eastern 



Fiscal Year Plantations Plantations Total 



1915-1916 $264,608.13 $155,131.08 $419,734.21 



1916-1917 2.376,123.!).", 2,657,229.86 5,033,353.81 



1917-191S 1,835,050.42 8,246,313.70 10,081,364.12 



$4,475,777.r>< > $ 1 1 ,058,074.64 $1 5,534,4r>2. 1 4 25,530,486.79 



