ion charge of some 47；000；000 yearly there will be an annual appreciation credit of 5％； or 50；000；000。 This will increase earnings by no less than 97；000；000 per annum。
这样做法的效益相当明显，随着工厂逐渐折减，所代表的负债也相对地减少，因此以往每年4；700万的折旧费用不但可以免除，以后每年还可以有5；000万美元的折旧利益，一来一往等于让公司的获利至少增加9；700万美元。
2。 Reduction of Par Value of mon Stock to 1￠； and 3。 Payment of Salaries and Wages in Option Warrants。
将普通股面额减少到1美分。所有的薪资与奖金一律以认股权的方式发放。
Many corporations have been able to reduce their overhead expenses substantially by paying a large part of their executive salaries in the form of options to buy stock； which carry no charge against earnings。 The full possibilities of this modern device have apparently not been adequately realized。 The Board of Directors has adopted the following advanced form of this idea：
许多企业早已将本来应该支付给经营主管薪水奖金的大笔支出改以不必认列费用的股票认股权方式取代，这种现代化的创新做法很明显地还没有被充分运用，所以董事会决定采取一项更先进的做法。企业所有的员工将发给认购价为50美元的认股权作为薪资的替代，而普通股面额则减少到1美分。
The entire personnel of the Corporation are to receive their pensation in the form of rights to buy mon stock at 50 per share； at the rate of one purchase right for each 50 of salary and/or wages in their present amounts。 The par value of the mon stock is to be reduced to 1￠。 The almost incredible advantages of this new plan are evident from the following：
这项计画很明显的有下列好处：
A。 The payroll of the Corporation will be entirely eliminated； a saving of 250；000；000 per annum； based on 1935 operations。
A公司将不再有任何的薪资支出，参考1935年的情况，每年估计将因此省下2。5亿美元。
B。 At the same time； the effective pensation of all our employees will be increased several fold。 Because of the large earnings per share to be shown on our mon stock under the new methods； it is certain that the shares will mand a price in the market far above the option level of 50 per share； making the readily realizable value of these option warrants greatly in excess of the present cash wages that they will replace。
B同时，所有员工的报酬将因此增加好几倍，因为在新的会计原则之下公司帐上显示的每股盈余将因此大增，从而使得公司的股价远高于认股权所设定的50美元认购价，于是所有的员工都将因为认股权的行使而受惠，所得到的报酬将远比他们原来领的现金收入要高的多。
C。 The Corporation will realize an additional large annual profit through the exercise of these warrants。 Since the par value of the mon stock will be fixed at 1￠； there will be a gain of 49。99 on each share subscribed for。 In the interest of conservative accounting； however； this profit will not be included in the ine account； but will be shown separately as a credit to Capital Surplus。
C透过这些认股权的行使，公司因此还可以实现额外特别的年度利益，而由于我们将普通股面额设定为1美分，因此每认购一股便能产生49。99美元的利益，虽然就会计学保守的立场，这些利益可能无法显现在损益表之上，但却可以在资产负债表上以资本溢价的方式单独列示。
D。 The Corporation's cash position will be enormously strengthened。 In place of the present annual cash outgo of 250；000；000 for wages （1935 basis）； there will be annual cash inflow of 250；000；000 through exercise of the subscription warrants for 5；000；000 shares of mon stock。 The pany's large earnings and strong cash position will permit the payment of a liberal dividend which； in turn； will result in the exercise of these option warrants immediately after issuance which； in turn； will further improve the cash position which； in turn； will permit a higher dividend rate and so on； indefinitely。
D企业的现金部位也会因此大大地增强，每年不但不再有2。5亿美元的薪资流出，透过行使500万股认股权的做法，每年还可以创造2。5亿美元的现金流入，公司惊人的获利能力加上坚强的现金部位将使得我们可以随心所欲地配发股利，然后我们又可以透过行使认股权的方式补强现金实力，之后又可以有更高的配股能力，如此一直循环下去。
4。 Inventories to be carried at 1。
4。帐列存货价值调为1美元
Serious losses have been taken during the depression due to the necessity of adjusting inventory value to market。 Various enterprises notably in the metal and cotton…textile fields have successfully dealt with this problem by carrying all or part of their inventories at extremely low unit prices。 The U。 S。 Steel Corporation has decided to adopt a still more progressive policy； and to carry its entire inventory at 1。 This will be effected by an appropriate write…down at the end of each year； the amount of said write…down to be charged to the Contingency Reserve hereinafter referred to。
在经济衰退时因为必须将存货价值调整至市价，公司可能会因此蒙受钜额的损失，因此许多公司，尤其是钢铁与纺织公司纷纷将其帐列存货价值压到相当低的程度，而成功地解决这方面的问题，有鉴于此美国钢铁公司决定采用一种更积极的做法，打算将存货价值一举压低到1美元的最低限度，在每年底都会进行这样的动作，将存货予以调整，差异的数字则全部摆到前面所提到的或有准备科目项下。
The benefits to be derived from this new method are very great。 Not only will it obviate all possibility of inventory depreciation； but it will substantially enhance the annual earnings of the Corporation。 The inventory on hand at the beginning of the year； valued at 1； will be sold during the year at an excellent profit。 It is estimated that our ine will be increased by means of this method to the extent of at least 150；000；000 per annum which； by a coincidence； will about equal the amount of the write…down to be made each year against Contingency Reserve。
这种新做法的好处相当的大，不但可以消除存货耗损的可能性，同时也可大大地增进公司每年的获利能力，每年初存货因为帐列价值只有1美元，所以将因出售而获得大笔的利益，经估计透过这种新会计方法的运用将可使我们每年至少增加1。5亿美元的收益，而碰巧的是这个数字与我们每年冲销的或许准备金额相当。
A minority report of the Special mittee remends that Accounts Receivable and Cash also be written down to 1； in the interest of consistency and to gain additional advantages similar to those just discussed。 This proposal has been rejected for the time being because our auditors still require that any recoveries of receivables and cash so charged off be credited to surplus instead of to the year's ine。 It is expected； however； that this auditing rule which is rather reminiscent of the horse…and…buggy days will soon be changed in line with modern tendencies。 Should this occur； the minority report will be given further and favorable consideration。
特别委员会的一项报告建议为了维持一致性，应收帐款与约当现金最好也能够将帐面数字调整为1美元，同时也一样可以有先前所提的好处，但这样子的提案现在被驳回，因为我们的签证会计师认为，任何应收帐款或约当现金若冲回，最好还是先贷记原有科目，而不是直接作为损益表上的收入，但是我们也预期这种老掉牙的会计原则应该很快会更新，好与现代趋势做接轨，而等新原则一通过之后，我们一定会马上将这份报告的建议列为优先执行的方案。
5。 Replacement of Preferred Stock by Non…Interest…Bearing Bonds Redeemable at 50％ Discount。
5。将现有特别股改成不必马上支付利息50％折价发行的公司债。During the recent depression many panies have been able to offset their operating losses by including in ine profits arising from repurchases of their own bonds at a substantial discount from par。 Unfortunately the credit of U。 S。 Steel Corporation has always stood so high that this lucrative source of revenue has not hitherto been available to it。 The Modernization Scheme will remedy this condition。
过去许多公司在面临景气不佳的时候，大都利用买回自己原先发行大幅折价的债券来弥补其营业上的损失，不幸的是由于美国钢铁公司的债信一向都还算不错，所以没有类似这样的油水可以趁机捞一笔，但现代更新计画解决了这样的难题。
It is proposed that each share of preferred stock be exchanged for 300 face value of non…interest…bearing sinking…fund notes； redeemable by lot at 50％ of face value in 10 equal annual installments。 This will require the issuance of 1；080；000；000 of new notes； of which 108；000；000 will be retired each year at a cost to the Corporation of only 54；000；000； thus creating an annual profit of the same amount。
报告建议原先发行的每一股特别股全部换成面额300美元不必支付利息的债券，并且可分为十期以面额的50％赎回，总计将要发行面额10。8亿美元的债券，每年有1。08亿美元到期，并由公司以5；400万美元的价格赎回，同时公