permanent assets dividends 1 marcona mining company a nevada corporation holding a 30 year concession to mine the marcona iron ore deposits this company mines the ore and sells it at the peruvian port near the mine 2 cia san juan s a a panamanian corporation which buys iron ore from marcona mining company at the peruvian port and in turn sells the purchased ore to steel mills in the united states or elsewhere this company arranges for ship transportation and serves as the sales organization 3 associated ocean freight services a nevada corporation which operates in the united states in a capacity of a freight broker and service organization to associated companies the investments in these new affiliates give promise of providing an excellent return to your company the com panies have made a good beginning and the long range outlook is favorable since the marcona iron ore deposit is substantial in size and contains high grade ore which can be produced at relatively low cost with a continued reduction in the reserves of high grade iron ore in the united states there is every indication that the marcona deposit will prove to be a very valuable asset in the years to come at the close of the fiscal year the company had invested in permanent assets a total of 7,647,993 this was a decline of 1,640,908 from the close of the last fiscal year which resulted from our depreciation and amortiza tion charges exceeding the amount of our investment in new permanent assets during the year our long term debt was reduced 726,547 during the year and stood at 2,941,467 at the close of the period on october 31 1953 of the total long term debt 2,400,000 was due to banks our five-year bank loan agreement expires june 16 1957 this provides for a revolving credit of 3,000,000 and a term loan in the original amount of 3,000,000 the revolving credit can be borrowed and repaid at will during the life of the agreement but none of the credit was in use at the close of the year the term loan calls for installment payments of 300,000 annually with a final payment of 1,800,000 the initial installment was paid when due and the second installment of 300,000 is carried as a current liability dividends paid during the fiscal year totaled 702,030 equal to 4.00 per share in the preceding fiscal year the company distributed 2.50 in cash and l/20th of a share of permanente cement company stock for each share of utah construction stock outstanding again in 1953 utah construction company was employed by columbia iron mining company a subsidiary of united states steel corporation to perform stripping work at its iron ore prop erties in the vicinity of cedar city utah pictured above is the deserf mound pit where we have been working for several years this year columbia opened up its neighboring burke property and awarded us the contract to perform the stripping a 1 0-yard shovel was purchased for this work