198 



THE INDIA RUBBER WORLD 



[March i, 1903. 



footwear in the United States for their long continued loyalty 

 to the United States Rubber Co. I assure you it is appreci- 

 ated. We hold you as our friends, and we are yours. We ask 

 you to cooperate with us in the future as you have in the past, 

 to the end that we, by our united efforts, may bring to the con- 

 sumer the best articles of rubber footwear that can be manufac- 

 tured, at the lowest prices possible, and with a fair margin of 



profit to us both." 



* ♦ » 



The officers of the Shoe Wholesalers' association are : 

 George Hutchinson, Boston, president; O. C. Smith, Chicago, 

 Daniel P. Morse, New York, and J. K. Orr, Atlanta, vice presi- 

 dents ; George C. Houghton, Boston, secretary and treasurer. 

 The plan of organization includes a " rubber committee," com- 

 posed this year of Irving R. Fisher, of Nathaniel Fisher & Co., 

 New York; A. H. Berry, of A. H. Berry Shoe Co., Portland, 

 Maine ; J. IV. Craddock, of Craddock, Terry & Co., Lynchburg. 

 Va.— all of whom served last year — and William Logie, of 

 Grand Rapids, Mich. 



GERMAN ELECTRICAL WORKS COMBINING. 



THE work of amalgamating the electrical industries of 

 Germany has made marked progress of late. In Decem- 

 ber a working agreement was reached between the AUgemeine 

 Elektricitats Gesellschaft and the Union Elektricitats-Gesell- 

 schaft, both of Berlin. Each is to retain a separate corporate 

 status, but directors of each company will sit on the board of 

 the other. Each company will confine its efforts to the special 

 field for which it has proved itself best fitted, instead of both 

 competing in the whole electrical trade. The new arrangement 

 is to be effective for 35 years from July i, 1903, combined net 

 profits to be distributed in the ratio of 3 to 2 to the sharehold- 

 ers of the AUgemeine and Union companies. 



The AUgemeine Elektricitats-Gesellschaft, founded in 1883 as 

 the German Edison Electric Co., assumed their present name 

 in 1887. The capital now is 60,000,000 marks. The dividend 

 was 15 per cent, in 1897-98 (on 47,000,000 marks) ; 15 per cent, 

 for the next two years on the present capital ; 12 per cent, in 

 1900-01, and 8 per cent, last year. The average rate for nine 

 years has been 12. 56 per cent. 



The Union Elektricitats-Gesellschaft was founded in 1892,10 

 control the Thomson- Houston patents in Germany and several 

 other Continental countries. The capital is 24,000,000 marks, 

 and there is an issue of bonds of 1,000,000 marks, the proceeds 

 of which have not been drawn upon. Dividends for nine years 

 past have averaged 8.89 per cent. 



Now, it is reported, a decision to unite has been made by the 

 boards of two other great companies, subject to the approval 

 of their shareholders — the Siemens & Halske Actiengesell- 

 schaft (Berlin) and the Elektriziials-Aktiengeseilschaft vormals 

 Schiickert & Co. (Niirnberg). The capital of the Siemens & 

 Halske company is 54,500,000 marks, and there is a bond issue 

 of 29,230,000 marks. The dividend rate was 10 per cent, for 

 the lour years ending 1899-1900; 8 per cent, in 1900-01, and 4 

 per cent, last year. The capital of the Schukert company is 

 42,000,000 marks, plus 28,000,000 marks in the Continental 

 Financing Co. Though the profits amounted to 6,240.000 

 marks in 1900-01, the company were obliged to pass their divi- 

 dend, and no dividend was declared last year. 



The two companies last named, it is understood, will share 

 equally in a new company capitalized at 90,000,000 marks, the 

 arrangement to take effect in April. 



It is now felt that bottom has been touched in the depression 

 which the electrical industry has shared with many other 



branches of business in Germany. In order to be better pre- 

 pared for taking advantage of the improved conditions in pros- 

 pect, the electrical concerns seem disposed to wipe out their 

 "watered capital," and to check the reckless competition 

 which, in former years, has prevented the realization of profits 

 commensurate with the volume of business. One considera- 

 tion of weight is that most of the companies mentioned have 

 invested capital in electrical works in Russia, without the re- 

 sults hoped for, and by concentration of interests in that field it 

 may be possible yet to develop a profitable business. Besides, 

 the management of the companies under the new regime is 

 likely to be directed less by the banking interests concerned. 

 The prospect is that more uniform prices will be fixed by 

 agreement between the two great combinations. 



It appears that the Russian Siemens & Halske Co. (St. Pe- 

 tersburg), with a paid up capital of 7,000,000 rubles [=$3,598,- 

 000]. closed the business year 1901 02 with a loss of 299,690 

 rubles, after having earned a dividend of 2% per cent, in the 

 previous year. Sales were smaller last year, and prices lower. 

 The Russian Schiickert Co. (St. Petersburg) also has failed to 

 fulfil its anticipations. Net profits for 1900 01 amounted to 

 143,516 rubles, which amount was carried forward, instead of 

 being disbursed in dividends. The balance sheet for last year 

 shows this amount to have been lost, and 13.690 rubles in ad- 

 dition. The Schiickert company were lately considering the 

 forming of a new company to take over a concession granted 

 for erecting and operating a central station at Warsaw, to avoid 

 the loss of a forfeit of 200,000 rubles [=$102,800]. One trouble 

 with the Russian factories, based on German capital, is that 

 they have been undersold by other firms in Germany, and the 

 Russian ministry probably will be asked for an advance in duty. 



Nearly all the German electrical firms have joined a new as- 

 sociation for the protection of their common interests, which 

 has shown favorable results already in the promotion of their 

 export trade. Relations have been established with the gov- 

 ernment, whereby valuable communications are received from 

 various quarters, and the efforts of the association are sup- 

 ported in other ways by the authorities. 



From the returns of the imperial statistical office the follow- 

 ing items of German exports for two years have been selected, 

 as representing the chief lines of production of the electrical 

 manufacturing companies for foreign consumption : 



1902. 1901. 



Electrical machinery marks 25.520,000 19,935,000 



Telegraph and telephone supplies 11,020,000 9,549.000 



Rubber or Gutta-percha insulated cables. .. . 3,358,000 5,600,000 



Other insulated electric cables 10,429,000 14,523,000 



These values, for each of the two years, aggregate about 

 $12,000,000 in American currency. The figures were even larger 

 for igoo, the last year before the "jusiness depression. 



In this connection may be mentioned the exports of electrical 

 machinery from the United States, by fiscal years, which have 

 been separately listed by the customs officials only during five 

 years past as follows: 



1897-9S 1898-99. 1899-00. 1900-01. 1901-02. 



$2,052,564 $2,736,110 .$4,340,992 $5,812,715 $5,371,746 



Exports of electrical apparatus, other than machinery 

 amounted in value in 1901 02 to $3,631,759, making a total of 

 electrical wares for the year of $9.01 1 505. Exports of electrical 

 apparatus, prior to last year, were embraced with other goods. 



British official returns relating to "electrical goods and ap- 

 paratus" evidently do not embrace machinery, which is in- 

 cluded in the same tables with other machinery. So far as the 

 returns are available, the figures show : 



1900. 1901, 1902. 



Imports ;,ft,265,946 £ 849,257 £ 684,974 



Exports 2,801,401 3>i47i<<85 2,835,905 



