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To me the above plan seems to he the best fo r a l l p a rtie s concerned. The Las Vegas Land & Water (fompany paid 150,000.00 fo r i t s p rop erty and about $18,000.00 fo r i t s water system, and in ad­d itio n to th is i t spent approxim ately $50,000.00 fo r s tr e e t work, and, y e t, were a l l i t s outstanding con tracts fo r lo t s to be can celled to -d a y and no fu rth er money be received from the sale o f lo t s , i t s balance sheet would s t i l l show a p r o fit o f $100,000.00. I t C c tn , th e r e fo r e , w e ll a ffo r d to pay fo r &he pipe lin e , and i f thought ad­v is a b le pay the R ailroad Company some a d d itio n a l compensation fo r the land, in clu d in g the w ater, on the west side o f the tra ck , which has n ot, as y e t, been tra n sferred to i t . As the matter now stands the Land & Water Company has loaned to the R ailroad Company n early $90,000.00, upon which the R ailroad Company should pay the Hand & Water Company in te r e s t, unless the d ire c to rs o f the Land & Water Company were to hold a. meeting and d ecla re a dividen d. I t seems to me that i t would be very much b e tte r that the Land & Water Company should not have such an enormous pro­f i t and th at i t should not pay dividends. The earnings from the sale o f water since January 3., 1906, have been as fo llo w s : Earnings, $1167.95 Amount unpaid, 97.00 l e t r e c e ip ts , $1070.95 Yours tr u ly , (Signed) II.I .B e ttis , Auditor.