December 1, 1913.] 



THE INDIA RUBBER WORLD 



133 



Columbia, by a company headed by F. . ;. i_;.;Llj of Portland, 

 Oregon, in a building to be erected for that purpose. 



The Keaton Vulcanizing Works have recently secured a court 

 decree changing their name to the Keaton Tire & Rubber Co. 



W. H. Bell, manager of the San Francisco branch of the Fire- 

 stone Tire & Rubber Co., has returned from his visit to the 

 annual sales convention held at Akron. 



O. -M. Clark, of Seattle, has been appointed chief clerk of the 

 Spokane branch of the Goodyear Tire & Rubber Co., a vacancy 

 created by the promotion of Decatur Lea to the position of ad- 

 juster and counter salesman. 



C. A. Mullcr has been appointed distributor and adjuster for 

 the United States Tire Co. of California, newly organized to take 

 over the Gorhani-Revere Rubber Co. and tlic Pacific Coast inter- 

 ests of the United States Tire Co. Mr. MuUer will represent the 

 firm in Alameda and Contra Costa counties through his stores at 

 Oakland and Berkeley. 



A. T. Smith, formerly connected with the Chicago branch of 

 the Firestone Tire & Rubber Co., where his work has been highly 

 commended, has been appointed manager of the Los Angeles 

 branch of that company, to succeed R. D. Barr, killed in an au- 

 tomobile accident in July. 



N. S. Dodge, of the American Rubber Manufacturing Co., has 

 moved his offices from the factory at Emeryville to Mission 

 street, San Francisco, where the main offices and salesrooms 

 are located. 



F. M. Steers, of the Pacific Mill & Mine Supply Co., is now on 

 a Northern trip on business for the company. 



George Hand, formerly employed with the Gorham Revere 

 Rubber Co., has accepted a position with the Diamond Rubber 

 Co. 



THE UNITED STATES RUBBER CO.'S NEW STOCK 



ISSUE. 

 /^ X November 6 a circular was sent out by the United States 

 ^-^ Rubber Co. to its stockholders announcing a new issue of 

 first preferred, 8 per cent, stock, to the amount of $9,422,000, 

 which represents an increase of 10 per cent, over the present 

 outstanding stock, each stockholder being offered the privilege 

 of subscribing for one share of the new stock for every ten of 

 either preferred or common now held. The letter is given below : 



UNITED STATES RUBBER CO. 



1790 Bro.xdw.ay, 

 Xew York, November 19, 1913. 

 To THE Stockholders or the United St.\tes Rubber Co. : 



Recent outlays in enlargements of plants and on the company's 

 plantations in Sumatra and in connection with the expansion 

 of the company's business and the desirability of providing 

 therefor without increase of funded debt, have led your directors 

 to offer to our stockholders for subscription at par $9,422,000 

 of our 8 per cent, first preferred stock, this being equivalent to 

 ten per cent, of the present outstanding capital stock, thus giving 

 to each stockholder the privilege of subscribing at par for one 

 share of first preferred stock for every ten shares of stock 

 whether preferred or common held by him. 



Under this plan the stockholders will receive the full benefit 

 of the issue without payment or allowance of any commission 

 or other like expense. 



For the fiscal year to October 1, 1913, the business of the 

 company both in volume and profits, has been fully equal to the 

 business for the corresponding period of 1912 — the business 

 of which year both in volume and profits exceeded that of any 

 year in the history of the company — which fact your directors 

 regard as most gratifying and promising. 



It is confidently expected that before long our extensive 

 plantations in Sumatra will provide the company with sufficient 

 crude rubber to meet a substantial part of its requirements" at 

 actual cost of production, and that its rapidly expanding develop- 

 ment department will lead to important economies in the utiliza- 

 tion of the crude material and in manufacturing methods. 

 Moreover, with the outlays being made, the company's plants 

 will be in condition to take care of the increased business which 



it is believed lowti j.iin> for crude rubber will stimulate. To 

 meet these developments through the co-operation of our stock- 

 holders by an increase in capital stock seems to your directors 

 a wise and conservative move at this time. 



Subscription rights will apply to stockholders of record at the 

 close of business on Friday, November 14, 1913, and, as soon as 

 may be after that date, warrants will be mailed to all stock- 

 holders, viz. : Assignable subscription warrants to all holders 

 of ten shares or of any multiple thereof and warrants for frac- 

 tional rights of subscription, expressed in tenths, to holders of 

 less than ten shares or of shares in excess of ten shares but 

 aggregating less than ten shares in excess of a multiple of ten 

 shares, such fractional warrants in appropriate amounts to be 

 exchangeable for subscription warrants on or before December 

 15, 1913. 



All subscriptions will be payable at par, in cash or New York 

 funds, on or before December 15, 1913, and certificates of stock 

 will be issued as soon thereafter as practicable. 



Samuel P. Colt, President. 



On November 19 the warrants were mailed to the stockholders 

 of record of November 14, together with a second circular letter 

 from the president, w hich was as follows : 



UNITED ST.VTES RUBBER CO. 



1790 Bro.\d\v.\y, 



New York. November 19, 1913. 

 To the Stockholders of the United States Rubber Co.: 



In sending to our stockholders warrants in accordance with 

 our circular letter of November 6 — in view of inquiries receiyed 

 from stockholders and in order to avoid misunderstanding — 

 your president thinks it well to state that in his opinion the 

 present offering of $9,422,000 first preferred stock to our stock- 

 holders at par should have no injurious effect upon future 

 dividends upon either the preferred or common stock of the 

 company, and for the following reasons : 



First — If all stockholders avail of their privilege to take their 

 ratable shares of the new stock at par, the company will receive 

 and will have the future benefit of the full proceeds therefrom. 

 without diminution for commissions or otherwise, namely 

 $9,422,000. The 8 per cent, dividend upon this sum amounts to 

 $753,760 a year, while the same sum if borrowed at 6 per cent, 

 would cost the company $565,320, a difference of $188,440, which 

 difference is paid pro rata to the stockholders subscribing. As 

 last year, before paying interest and dividends, the net earnings 

 of the company were $9,509,193.30, it is manifest that this 

 increase of $188,440 is relatively immaterial in its bearing upon 

 dividends. 



Second — Furthermore, in the opinion of your president, the 

 purposes for which this money will be used will result in in- 

 creasing the revenue of the company far beyond the 8 per cent, 

 dividend thereon. 



.Should the privilege offered our stockholders of subscribing 

 not be availed of by all. the stock remaining, having once been 

 so offered, may by the directors be otherwise disposed of at the 

 same or a higher price than that at which it is now offered to 

 stockholders. 



Samuel P. Colt, President. 



KEEPING TABS ON TIRES. 



Corporations using a large number of trucks equipped with 

 rubber tires have found it much to their advantage to keep an 

 accurate record of the service secured from the tires. The New 

 York Edison Co., which uses a great many service trucks, em- 

 ploys a system which enables it to tell with extreme accuracy 

 just how every tire purchased by the company performs. It 

 has a double card system, one card devoted to each individual 

 tire and 'he other card devoted to each vehicle. In addition to 

 this, there is a daily report that summarizes the whole tire serv- 

 ice. The card devoted to the tire gives the tire number (each 

 tire when purchased is numbered by the company, the number 

 appearing on a metal plate fastened to the spoke of the wheel, 

 where it cannot be effaced by wear), records the maker's name, 

 the type of vehicle on which it is used, the maker's serial num- 

 ber, the date purchased, the date on which its use begins, the 

 position on the vehicle, date when removed, cauae of removal, 

 the mileage, and number of days in service — besides general re- 

 marks. 



