ABSTRACT
the reconstruction of the administration of the company was, as far as can be judged, successful. H. W. Macrosty maintained that, ‘The greater part of the more satisfactory results must be attributed to improved organization.’ 197 No dividend was paid for 1901 or 1902, but in 1903 a dividend of 2 https://www.w3.org/1998/Math/MathML"> 1 2 https://s3-euw1-ap-pe-df-pch-content-public-p.s3.eu-west-1.amazonaws.com/9781315016603/678f1b39-2d6d-4580-80a3-11cb2f0e6488/content/inline-math_11_B.tif" xmlns:xlink="https://www.w3.org/1999/xlink"/> per cent was possible. A capital reserve fund was created in 1902 and in 1903 £125,000 was added to it, to meet the complaints by the accountants that insufficient had been written off for depreciation. The basic strength of the Association was much increased; Macrosty said that ‘. . . it must not be concluded that the higher dividend (of Steiner’s) is proof of an essentially stronger position. The works in the Association which are actually employed are doubtless as strong as the rival firm, but they have to bear the burden of practically paying the closed works not to compete. That makes the industry more effective and Messrs. Steiner & Co. profit thereby.’ 198
