in june 1952 the company replaced four separate bank loan agreements with a single loan agreement the new term loan agreement makes available to the company a line of credit of 6,000 000 of this amount 3,000,000 is in the form of a five-year serial loan which is repayable in yearly install ments of 300,000 at the end of each of the first four years with the balance of 1,800,000 maturing at the end of the fifth year on june 16 1957 the remaining 3,000,000 is available as a revolving credit until june 16 1957 as of october 31 1952 the company had actually borrowed the 3,000,000 term-loan portion and an additional 500,000 under the revolving credit a total of 3,500,000 leaving 2,500,000 of credit avail able but not in use under the term loan agreement the company covenants that it will maintain certain financial ratios and that it will not reduce its net worth below 10,000,000 by the payment of dividends during the year your company continued to engage in diversified engineering and con struction activities the company was interested in the construction of tunnels industrial plants dams earth moving mining housing shafts commercial housing military and atomic installations outside of the united states we also performed engineering and construction work including building of high ways irrigation projects and industrial installations during the year 1952 your company continued its policy of favoring private work and government fee work over government bid work during 1952 only 2 of our gross revenues were derived from fixed price work for government agencies and virtually all of this work was initiated in prior years with the expectation of greater stability of the dollar and the decline in private construction government bid work may again become more attractive to us , , . during the past decade there has been a demand for all types of construction of unprece dented proportions there is every indication that this high rate of activity for private construction has passed its peak and has begun to decline your company's experience conforms to this pattern at the end of each of the last several years the company had on hand a backlog of uncompleted work greater than that which it had at the end of the preceding year however the situation reversed itself during the current year and the company's backlog of uncompleted work declined substantially unless we are unu part of standard oil company's north salt lake city refinefy utah construction company is doing on-the usl be kept in a-l ducts of standard quality ah construction company is building a zinc fuming ant for american smelting and refining company at irpus christ texas this plant is similar to the plants selby california and chihuahua mexico where o ot k olso retained our company as contractors utah coi pi " at selby coli a s & r