June 1, 1911.] 



THE INDIA RUBBER WORLD 



311 



United States Rubber Co. 



ON May 16 the nineteenth annual meeting of the United 

 States Rubber Co. was held at the company's registered 

 offices at New Brunswick, New Jersey. The annual 

 reports of the officers, which were read and approved and are 

 herewith reproduced, indicate the company's operations and its 

 present condition. 



REPORT OF PRESIDENT COLT. 



To THE Stockholders of the United St.\tes Rudder Co. — 

 The operations of the company during the past year show a 

 net profit less than that in the preceding year. This is due to 

 the decline in general business during the last six months to 

 the mildness of the winter, and to the erratic fluctuations in the 

 price of crude rubber, which, since April 1, 1910, has fallen 

 almost one-half, necessitating 

 inventory valuation below cost, 

 not only of crude rubber in 

 stock but also of manufactured 

 goods carried over. 



The report of the treasurer 

 appended hereto gives the Con- 

 solidated General Balance 

 Sheet and the Consolidated In- 

 come Statement of the United 

 States Rubber Co. for the hs- 

 cal year ending March 31, 

 1911. 



The operations of the Rub- 

 bers Goods Manufacturing Co., 

 the Canadian Consolidated 

 Rubber Co., Limited, the Gen- 

 eral Rubber Co., and a me- 

 chanical company, are not in- 

 cluded in the Treasurer's Re- 

 port, but only the sums re- 

 ceived by way of dividends de- 

 clared upon the United States 

 Rubber Co.'s stock interest 

 therein. The share of the un- 

 divided earnings of such com- 

 panies for the year which ap- 

 pertain to such stock interest 

 is computed to be $1,312,166.11. 



VOLUME OF DUSINESS. 



The aggregate net sales of the 

 company for the year were 



$40,888,724.25 as against $38,711,051.43 in the previous year, an 

 increase of $2,177,672.82. 



PROFITS. 



Tile net profits for tlie year, after adjusting inventories to 

 correspond to the lower level of crude rubber, are $4,349,825.73 

 as compared with $5,535,163.15 the previous year, showing a 

 decrease of $1,185,337.42. Should we add to these net profits 

 $1,312,166.11, the company's estimated share in the undivided 

 profits of the companies in which it is a stockholder, which, as 

 above mentioned, are not included in the Consolidated State- 

 ment, the profits for the year would be $5,661,991.84 as against 

 $7,235,000 upon a similar estimate for the preceding year. The 

 company's profit is reached after deducting all interest charges, 

 including coupons on the $19,000,000 outstanding funded debt. 



EXPORT BUSINESS. 



The year's experience has justified last year's expectation 

 of growth in the export business of the company, such sales 

 for the past year having been larger than in any previous year. 



RUBBER GOODS MANUF.\CTURING CO. 



The sales of the Rubber Goods Manufacturing Co. for its 

 last fiscal year were $35,188,295.40 as against $25,629,592.71 the 

 previous year, this increase being mainly in tires. The net 

 profits were $2,122,247.62 • as compared with $2,369,971.61 net 

 profits the previous year. The profits would have increased 

 substantially in proportion to the sales had it not been for the 

 reduction in inventory values necessitated by the lower level of 

 crude rubber. 



TIRES. 



Recently the distribution of tires manufactured by our com- 

 panies has been consolidated through the organization of the 

 "United States Tire Co.," which company hereafter will market 



the "Continental," the "G & 

 J," the "Hartford" and the 

 "Morgan & Wright" tires. This 

 action was taken after much 

 consideration on the part of the 

 jiresident and directors of the 

 Rubber Goods Co. It is be- 

 lieved that it will prove highly 

 advantageous in the future de- 

 velopment of this important 

 branch of the rubber business 

 and that it will place the United 

 States Rubber Co., through the 

 United States Tire Co., in the 

 front rank as the largest 

 manufacturer and distributor 

 of rubber tires in the world. 



The company has recently 

 leased for a long term of years 

 the premises on the southeast 

 corner of Broadway and Fifty- 

 lighth street, New York, con- 

 taining 10,638 square feet of 

 land upon which a building 

 is to be erected, the primary 

 object of which is to obtain' 

 adequate facilities for the 

 tire business of the company, 

 the probability being that the 

 principal offices of the com- 

 pany and its subsidiary compa- 

 nies will also be transferred to- 



Colonel Samuel P. Colt. 



[President United States Ruhber Co.] 



this new building ulien it is completed. 



CRUDE RUDDER. 



The fluctuations in crude rubber have been violent during the- 

 year. At the beginning of the year (April 1, 1910) the price 

 of fine Para was $2.7i a pound, while at the end (March 31, 

 1911) it was $1.43, it having sold in the meantime as high as $3- 

 and as low as $1.13. 



With a view of relieving our company from the future neces- 

 sity of purchasing crude rubber at a market price which, though 

 sometimes the result of supply and demand, not infrequently 

 is that of manipulation, your directors have taken further steps 

 during the year toward ourselves producing a substantial part 

 of our requirements of crude rubber, and to this end have made 

 additional investments in the Far East. 



REVIEW OF BUSINESS FOR PAST TEN YEARS. 



As it is now ten years since your president's first election to 

 that office, a brief review of what has been accomplished during: 

 that period may be of interest to our stockholders. 



