478 



THE INDIA RUBBER WORLD 



[June 1, 1913. 



cided to make a similar offering this year, the price fixed for 

 the stock, however, being $65, instead of $45. at which price 

 with increased dividend the yield will be as great. 



OUR OFFICE BUILDING. 



Our new twenty story office building, corner of Broadway 

 and Fifty-eighth street, Xew York city, was completed last 

 summer. In point of location, beauty of arctiitecture, utility of 

 layout and thoroughness of construction, it is a most gratify- 

 ing success. Our company itself occupies at present ten floors, 

 as well as the basement and sub-basement, and all of this 

 space is fully and economically utilized. Nearly all of the 

 remaining space has been rented to good tenants and we ex- 

 pect that the unoccupied residue will also be let before the end 

 of the present renting season. It is further believed that as the 

 years roll around higher rents will prevail in our locality, thus 

 making our investment increasingly profitable. 



MAINTEN.VNCE OF PROPERTIES AND RESERVE. 



It has not been the custom of our company to make specific 

 charges for general depreciation of properties, but on the other 

 hand our many plants, here and in Canada, are maintained in 

 the highest degree of efliciency, all repairs and replacements 

 being charged to expense account. The setting up out of sur- 

 plus of a reserve available for depreciation of $7,000,000, will, 

 it is believed, commend itself to our stockholders, especially 

 when taken in connection with the fact that the fixed surplus 

 of $14,504,714.54 may be similarly applied when deemed ad- 

 visable. 



CONCLUSION. 



Your president desires to express his appreciation of the abil- 

 ity and fidelity shown during the past year by the officers, heads 

 of departments and employes of the company. The importance 

 of this spirit cannot be overestimated, as it is only by the loyal 

 co-operation of all connected with the company that the best re- 

 sults can be obtained. 



It is with deep regret that we record the death of Mr. Ed- 

 ward R. Rice, who was an able and faithful officer of the com- 

 pany for many years and who was a member of the board of 

 directors, and also held the responsible position of manager of 

 sales at the time of his death. 



The present condition of the business of the company is very 

 satisfactory and the outlook for the future is most promising. 

 Our sales of merchandise have substantially increased the past 

 year over any previous year. The lower prices prevailing for 

 crude rubber and the certainty of an ample supply of the crude 

 product of the best quality from the cultivated plantations of 

 the far east would indicate a future expansion of the rubber 

 manufacturing industry to a far greater e.xtent than would have 

 been possible if the source of supply of the crude article had 

 continued limited, as in past years, to the wild growth of the 

 rubber tree in the forests of Brazil and elsewhere. 



Confidence in the unselfish patriotism of our government 

 creates the conviction that whatever shall be finally done by 

 it with respect to the tariff or otherwise will be done for the 

 welfare and prosperity of the whole people. Towards this pros- 

 perity your company must contribute a helpful part and of its 

 benefits will have the full share that it will deserve. Respect- 

 fully submitted. 



S.vMUEL P. Colt, President. 



treasurers report. 

 United St.^tes Rubbeb Comp.xxv .xnd Subsidi.\rv Comp.vxies. 



(Not including assets or liabilities of General Rubber Company. Canadian 



Consolidated Rubber Company, Limited. United States Tire 



Company and Rubber Regenerating Company.) 



ASSETS. 



Property and plant (including shares of Canadian 

 Consolidated Rubber Co., Ltd., and Rubber Re- 

 generating Co.) $105,687,667.88 



Inventories, manufactured goods and 



material $30,384,520.03 



Cash 7.456.8(M.2S 



Bills and loans receivable 1.281.808.97 



Accounts receivable 28,292.273.11 



Stock owned in General Rubber Co. 5,000,000.00 

 Securities, including stock and bonds 

 of U. S. Rubber Co. held by sub- 

 sidiary companies 6.439.680.55 



Sinking fund cash in hands of trustees 382,759.61 

 Miscellaneous assets 845.313.09 80,083,159.64 



Total assets $185,770,827.52 



LIABIUTIES. 



Capital stock, first preferred $57,281,300.00 



Capital stock, second preferred 981,200.00 



Capital stock, common 36,000,000.00 94,262,500.00 



Minority Rubber Goods Mfg. Co., 



preferred stock 1,596,100.00 



Minority Rubber Goods Mfg. Co.. 



common stock 60,000.00 



Minoritv stock subsidiary of Rubber 



Goods Mfg. Co 37,500.00 1,693,600.00 



Ten-vear 6 per cent, collateral trust 



sinking fund gold bonds 18,000.000.00 



Bonds of subsidiary companies 1,975,500.00 



Loans and notes payable 17,750,696.03 



Merchandise Accounts Payable 2,840,191.02 



Accrued interest, taxes, etc 759,054.50 21,349,941.55 



Due General Rubber Co 8,125,141.76 



Reserve for dividends 1,700.344.00 



Reserve for redemption of bonds 423,348.87 



Iveserve for depreciation 7,000,000.00 



Fixed surpluses (subsidiary companies) 14.504,714.54 



Surplus * 16,735,736.80 



Total habihties $185,770,827.52 



The contingent liabilities for certain guarantees, which are offset by 

 corresponding contingent assets, are not included. 



$2,000,000 of the original issue of $20,000,000 bonds have been can- 

 celed under Sinking Fund provision. 



Those Companies whose fiscal year ends on December 21 are for the 

 year so ended. 



*Of this surplus $190,107.48 pertains to minority stock interests. 



Consolid.\ted Income Statement for Year Ending March 31, 



1913. 



Xet sales, footwear, tires, mechanical, misc $91,782,861.87 



Deduct : 

 Cost of manufacture, selling, general 

 expenses and taxes 81,307,154.90 



Operating profits $10,475,706.97 



Other income (net) 84,123.49 



Total income $10,559,830.46 



Less: 

 Interest on funded and floating debt. .$2,170,598.63 

 Interest allowed customers for pre- 

 payment 736.459.35 2,907,057.98 



Xet' income $7,652,772.48 



Deductions for bad debts 108,554.81 



Xet Profits $7,544,217.67 



Dividends— U. S. R. Co $5,594,332.00 



Dividends to minority R. G. M. Co. 

 and Susidiary Co 205,623.00 5,799,955.00 



Surplus for period *$1, 744,262.67 



.Additions to surplus — adjustment R. G. 

 Mfg. common stock from cost to par 



value $6,909,275.00 



Capital gain in conversion of second 



preferred into first preferred stock.. 2,254.700.00 



Transferred from reserves to surplus 390,891.98 9,554,866.98 



$11,299,129.65 

 Surplus U. S. R. Co.. April 1, 1912, and R. G. Mfg. 

 Co., January 1, 1912 17,436,607.15 



$28,735,736.80 

 Common stock dividend 5,000,000.00 



$23,735,736.80 

 Deductions from surplus — reserve for depreciation 7,0(X),000.00 



Surplus March 31, 1913 $16,735,736,80 



Respectfully submited, 



James B. Ford, Treasurer. 



•Of this surplus $13,307.31 pertains to minority stock interests. 



