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THE CUBA REVIEW 



THE CUBAN-AMERICAN SUGAR COMPANY 



THE ANNUAL REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 1913 



The annual report of the Cuban-Ameri- 

 can Sugar Company was issued on Decem- 

 ber 12th, for the year ended September 

 30, 1913. 



The production of raw sugar by each of 

 the seven estates in Cuba and one in Loui- 

 siana exceeded that of the previous year 

 considerably. The figures are : 



1912-13 

 1,363,292 bags 

 Eight factories 



1911-12 



1,143,596 bags 



Seven factories 



In detail the annual production of the 

 factories compares as follows. Bags are 

 320 pounds. 



1911-12 1912-13 



Bags Bags 



Chaparra 435,528 475,373 



Delicias 182,157 327,438 



San Manuel 60,623 



Tinguaro 168,287 216,084 



Unidad 66,258 96,816 



Mercedita 84,558 104,836 



Constancia 119,037 120,365 



Grammercy, La 27,148 22,380 



The refinery's output at Cardenas was 28,- 

 826 barrels in 1911-12 and 23,473 barrels in 

 1912-13. 



The increased production efifected a ma- 

 terial reduction in operating costs. The 

 cost of administration grown cane also de- 

 creased, while "Colonos" cane, constituting 

 much the larger proportion of the com- 

 pany's supplies, showed a decided reduc- 

 tion in price because of lower markets gen- 

 erally, resulting in a decrease of 44 cents 

 per 100 pounds in the cost of raw sugar 

 manufactured as compared with the pre- 

 vious year. 



These economies were important for the 

 prevailing price throughout the year for 

 raw sugar was extremely low, selling at one 

 period below 2 cents per pound, cost and 

 freight, to American ports. However, the 

 average cost and freight price received by 

 the company for its sugar was 2.13 cents 

 per pound, as compared with 2.73 cents re- 

 ceived in the season before, and a manu- 

 facturing profit of nearly 1.50 per bag of 

 sugar was realized. 



These low prices were superinduced by an 

 increased output in Cuba of a half-million 

 tons of sugar and a record crop in Europe 

 and other large sugar producing countries, 

 and by the contemplated changes in the 

 tarifif. 



The unusual harvest effected labor per- 

 haps more than in any former year, and 

 for the purpose of concentration the fac- 

 tories of Chaparra and Delicias were op- 



erated to the exclusion of San Manuel by 

 extending the grinding season of these two 

 houses into September. 



The net profit for the fiscal year was 

 $356,887.66, after making the fullest provi- 

 sion for doubtful Colonos accounts, after 

 providing $707,172.54 for depreciation and 

 after having written off the yearly propor- 

 tion of the original cost of the plantings 

 and all cane fields where renewed plantings 

 were required. 



The quarterly dividends of 1% per cent 

 on the Preferred Capital Stock were paid 

 at regular periods during the year, that pay- 

 able October 1, 1913, completing the accu- 

 mulated dividends on the Preferred Cap- 

 ital Stock to September 30. 1912. 



There were retired by the operation of 

 the Sinking Fund provision of the Collat- 

 eral Trust Indenture $144,000 of the Com- 

 pany's Six Per Cent Collateral Trust Gold 

 Bonds, making a total of $556,000 of these 

 bonds retired in this manner, and leaving 

 at the close of the fiscal year $9,444,000 

 outstanding. 



A time honored sign still suspended over the door 

 of Messrs. Davison & Newman, a London coffee 

 and sugar house, established in 1650. The sign 

 shows three golden sugar loaves dependent from 

 a crown. _ Sugar has peen sold along with other 

 commodities for generations, and one learns that 

 there is still a demand for the loaves now so 

 rarely seen, each loaf representing as in bygone 

 days, a weight of 28 lbs. 



