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44 same stock are estimated for this year. In the fiscal year ended April 30, 1915, the company earned 10.6 per cent; in 1914, 13.9 per cent; in 1913, 5 per cent; and. in 1912, 3.4 per cent. On April 30, 1912, the net assets of the Cramp company, applicable to the common stock, were estimated at $194 a share. The only outstand- ing fixed charge was an item of $75,- 000 annual interest on an issue of $1,500,000 one year 5 per cent notes placed as a temporary financing step to take care of the company’s require- ments for handling the large volume of new business. The company has so improved its equipment that it has greatly reduced its cost of produc- tion. Important changes were made recently in the interests owning the Cramp company and it is believed Fabulous Profits A vessel recently was sold for 200 times her value several years ago. As a shipping investment the deal represents the largest profit made during the war. A few years ago a British steam- er, which had stranded on_ the South American coast, was sold, as she lay, to neutrals for 1,500 pounds (about $7,500). The purchasers had her refloated and repaired, and em- ployed her in trade. She has now been resold for 320,000 pounds (about $1,600,000), being 200 times the price paid for her as a wreck. This price takes no account of the cost of salving and repairing the ship, but presumably these ex- penses would have been amply cov- ered by her earnings since she was salved, including two years of ex- tremely high freights. The present price merely represents the current value of tonnage. =] that this company may figure in a merger before long. The American Ship Building Co., which makes a specialty of building bulk freighters for the Great Lakes iron ore carrying trade, although it now has contracts for many ocean going vessels, some time ago made public its report for the fiscal year ended June 30, 1916. Its net profits during that year were modest, amounting to $579,307, as the com- pany completed only four boats with a total carrying capacity of 37,000 gross tons. If the full 7 per cent dividends had been paid on the $7,- 900,000 preferred stock, only a frac- tion of 1 per cent would have re- mained for the $7,600,000 common shares. But the American Ship Build- ing Co. entered its new fiscal year with a flying start, for it had 33 boats under contract with a total carrying capacity of 174,000 gross tons. The current fiscal year will be by far on. Oct, 3; THE MARINE REVIEW the best in the history of the company. These few ship builders are repre- sentative of the industry as a whole. Practically all companies could tell a similar tale of remunerative activi- ty—if they would. Investors have not altogether overlooked their oppor- tunities. Capital amounting to about $93,000,000 has been taken from private pockets and put into shipping or ship building enterprises since the war began. The American International Cor- poration is a war-born’ enterprise which has come to play a prominent part in American shipping affairs. This company launched by big busi- ness men affiliated with the National City Bank of New York, was formed primarily to build up American for- eign trade, with the financing of for- eign customers a chief object. But the company immediately encountered the problem of transportation. Of what use were foreign orders if the goods could not be shipped? So the American International Corporation, with affiliated interests, acquired con- trol of the International Mercantile Marine Co., and also of the~ Pacific Mail Co., the latter being on the verge of dissolution. Then, with the characteristic thoroughness of big business, the American International stepped in and bought the New York Ship Building Co. outright, express- ing intention to increase its capacity 25 to 50°-per-cent: Other ship yards have passed to the control of powerful interests. Per- haps the most powerful group is that ‘owned by the Bethlehem Steel Cor- poration. As a ship builder, this com- pany has attained complete integra- tion, controling almost the entire proc- ess of production from mining iron ore to fitting out the completed ship. Bethlehem owns the Fore River Ship Building Corporation, the Union Iron Works, the. Maryland Steel Co. the Harlan & Hollingsworth plant. It has yards both on the Atlantic and on the Pacific coasts. These yards, 1916, had under contract 68 steel merchant ships of over 400,- (00 gross tons. At present Bethlehem is understood to be conducting ex- periments, at Sparrows Point, Md., in standardizing ship building. The Beth- lehem organization is so well oiled a machine that it is expected to be a most important element in after-war competition. Government officials at Washington assert that Bethlehem’s operations are typical of the change that is coming over American ship building. This is true to a certain extent. Unhappily, all ship builders do not own their own ore mines, blast fur- naces, steel works and other links in and ~ February, 1917 the manufacturing process, as Bethle- hem does. But the profits from the war time business are enabling all companies to modernize their me- chanical equipmént to the last degree and to build up cash balances which will stand in good stead in future competition. It is believed that this competition, when it does develop, will be as severe as any ever witnessed in any industry. For years the United Kingdom has led the world in ship building. Brit- ish makers have attained highest effi- ciency through standardization of types and sizes of vessels, thereby increasing their production. There has been excellent co-operation be- tween British steelmakers and _ ship yards. But the basis of England’s supremacy has been her advantage Lake Freight Movement Shown Graphically The two-color chart inserted op- posite this page shows graphically the total bulk freight movement on the Great Lakes for the past 21 years. As revealed by the top line, the total movement has grown from 24,300,000 tons in 1896 to 102,200,000 tons in 1916, an increase of 321 per cent. The Marine Review expects to make this graphic record of the bulk-freight movement on the Great Lakes, an annual feature of its an- nual ship building number. The chart 1s especially adapted for fram- ing. The size of the chart will re- main unchanged from year to year. Unfolded copies of the chart will be furnished free to subscribers on application. For the data from which this chart was compiled, The Marine Review is indebted to Charles E. Cole, superintendent of the C. & P. dock at Cleveland. in the matter of wages. As the*New- port News Ship Building & Dry Dock Co. at one time pointed out, American wages were from 50 to 100 per cent above British wages before the war. It is impossible to predict what the labor situation in Europe will be after the war, but it is hardly likely that British wages will approximate Amer- ican wages. But from the standpoint of materials, America will be fairly matched with her foreign competitors. Ever since August, 1910, ship plates have been as cheap—or as dear—in the United States as in England. In July, 1914, the Pittsburgh price was $25.09, and the Middlesbrough price $29.20 a ton. Present prices are treble these figures but they are as high abroad as they are here. With labor costs more fairly balanced and ma- terials on an equitable basis, it would seem that United States ship builders have a chance to win out in equal J