May I, 1907.] 



THE INDIA RUBBER WORLD 



249 



Rubber Goods Manufacturing Co.'s Annual. 



THE eighth annual meeting of shareholders of the Rubber The new plant of the Morgan & Wright company at Detroit, 



Goods Manufacturing Co., on April u, at the registered Michigan, referred to in my last annual report, has been in 



offices of the company in Jersey City, New Jersey, may complete operation since last summer and is, without doubt, the 



prove the last in the history of the corporation. As has been most modern and economical plant in the world for the manu- 



reported in these pages, the shares of the company having been facture of tires and miscellaneous rubber goods, 



acquired by the United States Rubber Co., its liquidation has -All the plants of the subsidiary companies of the Rubber 



been determined upon. The annual reports of the officers of Goods Manufacturing Co. have been maintained at the same 



the Rubber Goods were read and approved, and are here given high standard as in previous years, and in many instances large 



in lull : additions have been made in order to keep pace with increasing 



PRESIDENT DALE'S REPORT. business. 



To THE Stockholders of the RcitnEK Goods M.xnufacturinc The mf.chanical rubber goods manufactured by those of our 



Co. : The annual report of the treasurer of your company, sub- subsidiary companies engaged in that branch of the business 



niitted herewith, shows this year quite a large increase in the have established such a superiority that they are regarded in 



volume of business, as well as in the profits over all preceding the trade as standard, 



years. Your companies engaged in the manufacture of automobile 



This good showing of the company is largely attributable to and vehicle tires have made great advances, more than doubling 

 the advantages derived from the close association of this com- in a few years their percentage of the total tire business of the 

 pany with the United States Rubber Co. through the latter's country. This results largely from the fact that they have been 

 large holding of stock in this company. During the past year pioneers in bringing out the more important improvements 

 the selling forces and distributing agencies of the United States which have been made in the art — notably the "Midgley de- 

 Rubber Co., both in this country and in Europe, have been tachable rim," which was the first rim of its kind placed on the 

 availed of for the marketing of the products of the subsidiary market, and the "Midgley wire grip" or "anti-skid," which is 

 companies of the Rubber Goods Manufacturing Co., thus afltord- becoming very popular and finding a rapidly increasing sale, 

 ing to your company a greatly enlarged selling organization Besides these reasons, however, there is the fundamental one 

 without additional expense. that the "Dunlop" and "Clincher" tires as manufactured by the 



Another important advantage in connection with this com- Hartford, Morgan & Wright and G & J companies are not ex- 



pany's co-operation with the United States Rubber Co. is in the celled by any other make, whether American or European, 



purchase of crude rubber through the joint ownership of the Reports from subsidiary companies on business done since the 



General Rubber Co. I stated in my last annua! report that the close of their fiscal year. December 31, 1906, which is not covered 



benefits to be derived from this source warranted the expecta- 'n the reports appended, show that such companies have main- 



tion that your company and the United States Rubber Co. would tained the ratio of increased sales shown during the year cov- 



occupy a position of unique advantage in this most important ered by this report, and the orders for future delivery are 



branch of the business. These expectations have been sub- greater than ever before; all of which would indicate no abate- 



stantially realized, so that to-day it may be confidently stated nient of the past year's prosperity in the rubber business, at 



that no other company in the world manufacturing rubber goods 'east so far as concerns the business of the Rubber Goods Manu- 



has such a well equipped organization for the obtaining of sup- facturing Co. Respectfully submitted, 



plies of crude rubber; and it is believed that no other company j^„^y ^ity, New Jersey, April :i. 190?."'^''^^^ "' ^'''^^' ^'""^"'^■ 



is able to obtain a comparable advantage in the acquisition of its 



'^ . ° ^ BALAUCE SHEET. 



requirements of the crude material. 



, ASSETS. 



While, as above indicated, large benefits have already accrued Mar. 31, '07. Mar. 31, '06. 



to our company through its co-operation with the United States Cash $ 483,819.92 $ 383,593.65 



Rubber Co., there has not yet been time to realize the fullest Mortgage notes (for property sold) 18,000.00 19.000.00 



possible measure of benefit. In this connection a committee has -'Accounts receivable. 88,709.21 7,792.26 



f . , , , > , _ , Investments, stocks of allied corn- 

 been appointed for the purpbse of effecting the liquidation under panics 27,639,722. 15 27,458,779.69 



the laws of New Jersey, where the company is incorporated, of 



the Rubber Goods Manufacturing Co., thus bringing our sub- Total assets $28,230,251.28 $27,869. 165. 60 



sidiary companies into still closer relation with the United States liabilities. 



Rubber Co. Mar. 31, '07. Mar. 31, '06. 



T-, , ^ I J- J J jr 1/ .. 1. 1. u Preferred stock $10,351,400.00 $10,351,400.00 



The usual quarterly dividends of iM per cent, each have been ^^^^^^ ^^^^^ ^6.941.700.00 16:941.700.00 



paid during the year on the preferred stock and a dividend of Working capital 576,065.60 



I per cent, has been paid on the common stock. The question Bills payable 160,000.00 



of paying further dividends upon the common stock has been _ ,.,.,.. ~Z~^ T^Z !Z 



the subject of consideration by your board of directors, whose T°'^' habilities $28,029,165.60 $27,293,100.00 



decision was that further dividends upon the common stock Surplus $ 201,085.68 $ 576,065.60 



should be deferred for the present. j^.^^^,^ ^^,^ Disbursements for Year Ending March 31, 1907. 



With the aid of the president of the United States Rubber j^^^^^ j^^,^ dividends declared by allied companies 



Co. and Mr. Anthony N. Brady, your president has effected an for year $1,226,248.98 



amicable settlement of the controversy with the Pope Manu- Less total expenses for year 131,148.30 



facturing Co., which has been in litigation during the past three .^, ~ ~ 



T-. J. . ^ . J J .i ui • J ■ Net income $1,095,100.00 



years. The adjustment is deemed an equitable one and gives p^^^ dividends paid to March 31, 1907, 



entire satisfaction to both parties, the result being that your com- Preferred $724,598.00 



pany now has the Pope Manufacturing Co., one of the largest One dividend paid to March 31, 1907, 



manufacturers of bicycles and automobiles in the country, as Common 169,417.00 894 ,01 5.00 



firm friends and customers. Balance surplus $ 201,085.68 



