Newspaper Page Text
IN WHOLE NATION,
Telegrams from All Parts
Of the Country Optimistic.
INDUSTRY PICKS UP
William FeDowes Morgan Sees
Better Tone in Commercial
I; HAROLD D. JACOBS.
XE WTORK, Aug. 1? ? Basic businesa
conditions are improving.
This opinion was reflected in telegraphic
statements to the United
Press today by commercial organllations?diagnosticiana
. tilments? in all parts of the country.
The general feeling appeared to
fee that the industrial revival will
e well tinder way by fall, although
some were inclined toward the beief
that material progress will not
be made in that direction before
Represented in the symposium
were New York, Chicago, Boston.
Bridgeport, Atlanta. Memphis. Indianapolis.
Milkaukee, St. Paul. St.
t.ouis, Dallas. Denver and Portland,
will iana Fell awes Morgan.
"A better tone is apearing in the
business world.* declared William
Fellowr* Morgan, president of the
Merchants' Association of New York,
*'ho discussetfthe country-wide situation
as well as conditivns in this
"Although few industries have yet
>?neflted by an increased volume of
>usiness, there are indications that
'be country is beginning slowly to
?ull out of a serious business and
"The crop outlook, with one or
w'o exceptions, is good. Many of
he railroads arc reporting increased
Rediscount rates of the Federal
Reserve banks have been lowered
tnd there are other indications
Df easier money. Price revisions
in many lines have proceeded rapidly.
and prices of certain commodities
are even showing a slight increase,
indicating a stabilization of
"Deflation in building materials
? proceeding slowly. Coal produc:ion
has declined somewhat. The
large stock.* of goods in the hands
5f merchants last year have now
been greatly depleted, making It
- f cessary during the coming months
or them to buy on a much larger
That the "tide has turned in New
England" was the statement of Me).s
ill? E. Liming, secretary of the
Bureau of Commerce and Industrial
Affairs, Boston Chamber of Commerce.
"Orders and inquiries are coming
*1. and while there Is still p?em>
f room for improvement, a more
ptimi?tic tone generally prevails."
other statements were:
Seward II. Price, secretary Bridge- I
?ort Chamber of Commerce: "Busi- ]
nesa in the Bridgeport district is I
picking up steadily. We ought to'
fce tasting real prosperity before;
Atlanta Chamber of Commerce: j
'Business in this section looks bet- 1
:er today than in many months. In I
?ractically every line conditions jus- \
Vify a more optimistic feeling for j
J. M. Walker, president Memphis]
.hamber of Commerce: "Diversifi-|
ration of crops has saved the South ,
from bankruptcy and will mean!
prosperity for this section. Fall
irlll witness a great revival in trade !
John B. Reynolds, secretary In- j
lianapolis Chamber of Commerce:';
I believe conditions will begin to j
improve in the fall. 'However, It!
nay be a year before business is
wholly on a normal basis again. :
Some factories are increasing their
forces oven now."
W. L. Ware, trade commissioner.
Tbicago Association of Commerce:
'Fundamental business conditions
ti Chicago point toward Improvement
in practically all lines. Recovery
Is noticeable in dry goods,
millinery. women's and men's cloth-'
tag. shoey and building materials.
Sach day the feeling Is gaining
strength that we have reached the
sottorn of the period of depres?lon
and may now reasonably expect
business to be very much bet:er
Oa Firmer Baals.
F. W. Dickey, economist of the
first Wisconsin.National Bank. Milwaukee:
"With retail prices at a
tew and fairly permanent low level.
with stores cleared of surplus
itocks. with cheaper raw materials.
with lower wages and with- the
tanking situation on a?flrmer basis.
American Industry is .preparing to
lo business again."
E. G. Quamme, president of fct.
'aul Federal Reserve Bank: 'Generally
speaking, we have a fair
;rop in the Northwest which, if
fold at once, will make business
Good Shoe Demand.
R. D. 84ngster, Industrial commissioner.
St. Louis Chamber of
?omaserce: "The wholesale market
s full of out-of-town merchandise,
ho# manufacturers have a capacity
lemand. Industries generally retort
prospects bright for a good
evival of business."
Secretary Black. Dallas Chamber
f Commerce: "Conditions in the
Southwest are getting back to normal
as farm money an<\ credits
oosen up. Good grain and fruit
rops are bringing fairly good
rices. Building so far this year
eats the total of the last two
Portland. Oreg.. Chamber of Cojnneree:
"Merchants are stocking
heir shelves for a good winter in
he belief that the heavy crops will
esult in plenty of money. Theuture
outlook la bright."
Oopyrickt, ifltl, by United Pram.)
nirt Iw ,'W
** i S.u? 3 KttSM
BIG TOBACCO ?
Great Increase in Taxei
Prices of Finii
V.'ith large stocks of leaf tobacco
In th? band! of manufacturers and
dealers, and the Arade buying from
day to daV the tobacco market is In
an unsettled condition. The encouraging
features are',the reduced
acreage of the currant crop Indicating
a greatly reduced production,
and the decltno of Imports. These
conditions promise to allow consumption
to absorb the large surplus
an(J prices- to producers to recover.
The large stocks of leaf held by
i the factories and dealera Is Irtdl<wted
by the following comparison
or the cenaurf data for a few yearn:
STOCKS or LEAF TOBACCO, 19U-19S1.
(Is millions of pounds. April 1.) .
Cbcwisg . Clgsr Total I
i?* ..: ?su m re*1
191S 1.024 3M 1.4&1
1918 I.ni* Sift 1.46S
imt i.afc m ijzi
It* 1.179 328 v
i 1*21 1.368 367 r t.818
The surplus has been growing
' steadily, but the rain in 1921 over
1920 was the greatest in any one
year. This surplus did not' come
from the increased production alone,
but partly from the decline in con- ,
.sumption and from heavy imports
; during the past year, particularly of
thevlower grade leaf.
production' and consumption op
(la million* of poaads.)
1918. 958 BSi
1915 1.0ft! MS
1916 l.ist 619
1917 1.24ft SS4
1918 1.4S9 742
1919 1,41(4 678
iftm i .am
The low prospect for the current j
crop would threaten a shortage
were there not foreign supplies, I
produced at low cost awaiting im- i
port demand from this country and j
the large surplus. To eheck this]
movement American tobacco grow-!
er? have asked for an increased!
The emergency tarifT raised thej
rate on leaf from |1.85 and $2.5*0 i
to $2.3.'? and $3.00 per pound. The i
J Vordnev bill as reported to the j
: House makes these rates $2.10 and |
$2.73. It is believed that this new j
rate will aid American growers, j
The very cheap labor in the foreign '
tobacco-producing sections will so j
reduce costs, however, that our)
market will still remain attractive;
even with the increased tarifT.
Of our domestic tobacco about 24 j
per cent is used for cigars. 26 per j
i cent for cigarettes and 50 per centi
for chewing, smoking and snuffj
( forms. The amount of tobacco used
I in cigars has held s^pady for several j
r years with no Increase since 1913.1
| In fact the amount used in -larger!
cigars ha* decreased. Cigarette'
manufacturing has increased three \
(times since 1915 and doubled since |
1916. Of the cheaper forifls there!
has been a decrease in plug, twist
and fine cut since 1913. The amount!
of smoking tobacco Js about the:
j samp, while there has been an in-j
I urease in snuff. 1
[ TIMELY WALLS
NEW YORK, Aug. 10.?Enough
weak spots developed in today's
stock market to give the industrial
list an appearance of heaviness. Mex[
ican Pearoleum broke below par and
| carried other oil stocks down with
j it, notably Royal Dutch, Houston,
! Sinclair and Cosden. The decline in
I American Sugar following the omis- [
sion of the regular dividend brought j
selling into other sugar stocks.
South Porto Rico declining 5 points
on a single transaction. Other soft
spots were Western Union, Baldwin,
Studebaker. Corn Products, Sears
Prices Remain Either at Recent
Lows or Establish
NEW YORK. .Aug.- 10.?The New j
fork curb market showed a fairly i
steady tone, but with business either
at recently established low levels)
or at further declines to new low
records. About the heaviest trad-'
ing during the morning wan in
Csrib Syndicate, which sold down
around midday to 3%. Tobacco
Products was steady, selling at 5,
equal to the low record recently
made, and British American Tobacco,
which had been steadily held
at and above 12, yielded to 11%.
Farreil Coal showed a firmer tcne
for a time after yesterday's de-!
clines, sales being made today at j
12U tp 12. Glen Alden Coal was
steady, selling at 34%. There was!
a moderate amount of business inn
Chicago and East Illinois preferred i
at 29. Columbia Emerald was trad- 1
ed in during the first half of the
day at 62 cents a share. Swift Incorporated
was under pressure from
the opening, falling 1 point to 24)4.
United Retail Candy reflected sup- i
port and rallied H to 5%. Radio
common was firm, selling at 1% ,
and 174. Intercontinental Rubber
was traded in at 7, and Heyden
Chemical was unchanged at 2. A i
sale of Packard Motor was made L
at 7. Acire Ccal sold at 96 cents <
a share. %
There whs little feature to ths s
petroleum group. Tropical stocks be- 1
ing in moderate supply at around I
their recent low levels. Maracaibo '
selling at 19% and International j
Petroleum at 10%. Imperial Oil Was
flrtn. with sales at 9%. Simms Pc- i
troleum was unchanged at ?%, and i
Elk Basin sold at . Mining stocks 1
continued actively traded In. but <
v<ith irregular movements. National <
Tin maintained a strong tone, and j
Ooldfield Florence was also In good ]
demand, while Eureka Croesus was
in supply at a decline.
Washington Bayers in N. Y. m
NEW YORK, Aug. 10.?Washing- '
ton buyel-s are registered here as <
follows: Woodward A Lothrop 1
Mrs. M. McClure, girls' wear; Mrs. '
A- Thornton, Infants' maternity '
wear; J. W. Gray, women's, chll- dren'a
shoes; Mrs. O. Allen, extra I
else wear; Misa U Johnson. mllll- i
nery. Kann. S. Sons Co.?Miss A. i
Hasan. coats, suits. Llsner. A.?B. '
U, Bolts, ready-to.-wear, S'O Filth |
avenue. Ooldenberg. < M.?D. u I
Krank. laces. Pennsylvania, f
G OUT O
up. ? i
, Reflected in Sustained
hed Products. j
Herald ?!??.> \
The reduced consumption of the
tn tu. ch?p.r
(orm hss been more than absorbed
in cigarettes. The amount of clg^r
leaf seems to hold it. own- It Is
difficult to estimate whether tobac
CO consumption la really
hot owing to ^e dWurtH^ ?>ndltlon
of world trade, the influence
of war on large number* of men
consumers and the disturbance to
There is little doubt, however.
that the higher prices of ci?ar? ?*
tended to reduce the consumption
on hjcher grade leaf tobacco
and direct the demand toward
cigarette*. The imports of wrapper
leaf, while larger in 1921 tha* In
1919 or 1920 has not resulted in a
very great Increase In the output of
Imports of unmanufactured tobacco
declined in ISIS to the low point
3< several years, but doubled In 1918
and remained high in 1J1I and 19-0.
Imports of cigars, etc- on the other
hand increased greatly in 1920 over
?ny previous year reaching a total.,
three times that of 1913 in both quantity
and value. The foreign
manufacturers appeared to regard
the expansion of American consumption
as probable following the
war. Tobacco as a luxury met a
less steady demand In Europe.
Exports of manufactured tobacto
were very high In quantity In 1919
but in 1920 returned near to the j
level of previous years and In 1921
exports have been declining steadily.
The exports of finished tobacco ]
in the form of cigars, cigarettes. |
etc., increased about six times from,
ISIS to 1919 and was still high in,
1920, but began to drop off "sharply
in 1921. The balance In trade In
value of tobacco Is shown in the
IMPORTS AND KXPORTS <* TOBACCO.
tfValae of ill form* la thouMndt ?f dollsts.l
i?is ..., ??*.#i? mm
HIT 41.810 62.0144 I
,I!i " ?2.-ia is2.??8 :
' 86.484 306.861 I
1?20 98.562 2SS.693
This shows the greater balance of
exports in terms of value during tne
last few years. Previous to 1913
the United States exported about <0
per cent of the total of the worlds
trade. Other surplus producing
countries were the Dutch East Indie*.
the Philippines and India.
Most of the exports of the United j
States are now going to England,
France. Italy. Australia. Belgium. |
Holland and Argentina.
There is abundant opportunity for j
e-ifiansion of tobacco growing of the |
cheaper grades in the United States;
but the suitable section for the cul-I
ture of the best cigar tobacco Is j
more limited. The revenue from to-l
bacco taxes has Increased steadily!
from about $30,000,01X1 in 1909 to,
1107.000,000 in 1917 and J295.000.000 j
in 1920. The industry Is carrying a j
heavy tax load and at present rates j
of consumption the tax rate on,
tobacco has almost reached the
point of diminishing returns. ,
TREET TOPICS |
Roebuck, Heading and General Electric.
Steel common held up wan
following the statement of a reduction
of 2S7.544 tons In unfilled
orders during July. The Street had
been prepared for a loss running up
as high as 350,000 tons.
Brokers are complaining that the
market has had no sustaining
strength; that It has lacked the
power to go beyond certain set
limitations. One brokerage house
offered as an explanation today the
tfieory that in the recent past every
additional fraction of appreciation
brought selling from business men
who have been carrying stocks for
months watching for the oppor-1
tunity to liquidate. This was de-1
signed as voluntary liquidation in |
contradistinction to the forced kind |
that came just prior to the last
three Federal income tax dates and.
in a less Intensive form, during the
intervals between those dates. The
house which brought forth this explanation
believes that there is a
gleam of light ahead in general
trade for the first time In months
and business men are liquidating
quietly because they see greater opportunities
for profit In thelt own
business than In the stock market.
This must be a different class of
business men, from those who arc
said to be investing In the bond
market, or were doing so while the
bo lid market was moving forward
from the last week In June to the
middle of the first week in August.
There was nothing sensational
about today's market. General
Electric movement might be charactered
exceptionally weak, although
while It was declining the
whole market presented a hfavy 1
appearance, it closed at 116 yes-1
terday and declined to 114** today i
on offerings of less than 4.000
shares. This price represented a[
new low record for a period be- j
ginning with 1912 and compared
with 138Vi in March of the current!
year. The stock sold as high ; as
176 in 1919 and 172 In 1920. Today's
decline was accompanied by
no definite rumor pertaining to the
Mexican Petroleum was another
stock which moved downward at a
faster pace than the general list
?f Industrials and In this case there
>yas no apparent reason for the
selling. The stock broke through
par around 11 o'clock going to 99
before finding support. There ware
reports of stop loss orders being
-cached Just above 100. For three
weeks previously the stock haa remained
above par. selling as high
is 110H Jast week. Weakness de-*
reloped in other stocks beside Mexi:an
Petroleum. Sinclair. Houston,
Cosden and the smaller priced t
hares declined In proportion to the
With the passing of the American
jugar coalmen stock dividend tolay,
the affairs of that company
trill probably pass out of the minas
>f speculative Wall Street as coin- ,
jletely as the Pennsylvania Railroad
retired from # the limelight
vhen Its dividend was reduced last
April. Up to that time of the
lugar announcement around midlay
Wall fttoeet opinion was divided
on the subject of this dividend.
The stock declined to the lowest
>rlce at which the stock had sold
Jlnce <f?93. Large blocks of the
itock came out at tho decline. I
''! ' '. i g jj
i. Ojrden Armour Claims &
Business ou Upward Road
CHIC*CO,""Afci. 1*.?Thr tMe
?( butam ku ItraN m lfcat,
bil "?nrtk?lMn It |? KiinMt
? keep all haata at tkr ?m"
Tfcftp was tkr ronrlaalw advance*
titer ?r * o?ri Anaear
wkn ka M*r??a? J the eaaveatte*
at <1tr laktltatr af AacHeaa Meat
Packers aa ikalraaa af the < >
Mr. Aia??ar eaaaMera narktaac
kaaae wagra ratlrety taa hl(k,
dora aat like ta par T aad b f
eat fag' haak laaaa ?Ma ha
fonMrlr paM 1 aa4 vaasldeira
that It la tlaaa (ar the aaeat ladaatry
ta * mom* careful Marias.
whlefc he nali haa heea a
?>( la the belief e( the lnatltate
aaaee caMmlttee thai eaaaarvatjaa*
aad eaatlea ataat he the
watthaaria darlag the rosala*
year." aaM Mr. Anaear. The
fart that periosteal bulaarra am
agaia appearla^ la black. oagh<
aat ta he takra that the red lak.
wklrh Waa had roaataat aae far
taa reara pan. eaa he aaa
thrana aaar. Jaat aa the packlas
ladastr? na> the (rat ta
aaSer froaa peat war readjaatatraa.
aa It > ta he haped that
It will lead the proeeaalaa aat af
the apeuatalaa af adveraltr lata
the eallej of^aroalerlty'.1
FAIL TO HOLD
Free Selling Wipes Out Gains
Made by Bullish Element;
Buyers Filled Up.
CHICAGO. Aug. 10-?A bullish
conetructlon placed on the government
report wai responsible for an
advance of about 1 cents over yesterday's
flalah early, but on the
bulae th*re was free selling by
strong interests which filled buyers
up und a reaction of around 3 cents
followed. Outside trade remans
light and the market is in"
(luenced. Demand for cash wheat
is keen, with millers and shippers
buying freely at unchanged prices
as compared with the September
for the winter?, and higher
for hard with No. 2 hard 1 Vta2*4
cents over the future. Export demand
at the seaboard waa reported
as slow, as a majority of offerings
to ^Europe over night were on a
high bat-is in anticipation of a
bullish government report. There
was a little buying of September
by houses with Eastern connections.
however, country offerings or
winters are light. Threshing of
sprlnV wheat is progressing with
dlaappointiug yields ?o far from
part? of Minnesota. South Dakota
and Southern North Dakota. A foreign
authority estimates world's
import needs, including 40.000,000
bushels for Russian relief, at 632.000.00"0
bushels, whil# exporting
countries are credited with having
*64.000.000 bushels. The latter include
the rcw Indian. Australian
and Argentine crops, which are
nearly fix months from harvest.
Coarsa grains wero firmer early
on the government report, but
weakened quickly and broke below
yesterda>'s finish with some of the
early buyers over on the sellin*-;
side. Outride trade is light and It
took but little selling to check the
advance. September corn went to
a fractional premium over the December
against H cent discount nt
the close yesterday. Basis in the
sample market was unchanged ou
both cash corn and oats with eotm*
try offerings of corn arrivals rathsr
Open > 124*4 1.20*
Ilitli 1.25H 129
C'tose 1-22 1-24%
Previous close 1.23* a 1.2?*
Hifh " 2?
Previous > close -57*a -S7 *
Hifli ? 4"^
dose 34J*? 9?K
Previous close 37** .40*4
Previous close 11.60 .
Open HV82 10.0.1
nigh 11 25 11.40
Cloee 10.03 10.SO
Previous close 11.43 11.37
Previous flose 10.84 10.12
(Furnished by W. B. Hlbbs * Co.. Member*
Weakness Develops in Nearly
All Active Foreign External
NEW YORK, Aue. 10.?There was
no reflection In the market . for
I.iberty -31|s today of the WashlngtoiK
forecast of a provision for a
lower tpaxlmum rate of Income tax
to be inserted in tbe Congressional
tax measure. This particular Issue
did no Vorse than the other war
Issues In a market where declining
price* were tho rule. Weakness
developed In nearly nil the tct've
forelrn external Issues except the
Brazil 8s. which advanced a ouarter.
point to par. T>anlsh MunMoal
Ss were off a half point to 1W?I,
French 7%s at 93 were a full
point under the highest price of
yesterday and the 8s showed a net
loss of K at 99%. Chilean gov#nment
8s declined a half point to
18 and Cnlted Kingdom 5?4s. of the
Issue due In 19S7, were off a half
point at 97U.
The volume' Of transactions hero
me much smaller as the slow Recuse
continued, the great majority
of total sales again being accounted
for by the war group. Exreptions
to the general decilnlar
trend were noted In the case of
Bltlmo're and Ohio refanding 5?,
which advanced a half point to 71,
an?l Dupont 7Hs. n-hlch went tip a
half ?o'nt to 90*4. Canadian Northern
Railway 7* declined a half point
to and the new Great Northern
7s Were down \ to IW',(. The
averse less In the more active .rsurs
was soethlne like a quarter
RAILWAY PROFITS JUMP
IN MONTH OF JUNE
Net Increase for Montk
151,778,000, Figures Just
RECORD FOR YEAR
Earnings Amount to 3.1 Pqf
Cent on Valuation Fixed
By Commerce Body.
The net railway operating income
in June of the railroad* of
the United State* amounted to $51.778.000,
which was 114,697,348 more
tlian It ?vaa In May, according to
report* Just riled by the carrier*
* lth the Interstate Commerce Commlsaion.
v The earning* for June, on the
Iwals of the tentative valuation
fixed by the Interstate Commerce
C'on-.mlsslon for rate.maklaO purposes
under the transportation act,
I would be at the annual rate of return
of J.i per cent compared with
;4 per cent the previous month.
f'abu!atlons show, however, that
j the railroads fell short I47.SSS.000
| or 47.7 per cent of earning the t
j per cent contemplated by the act.
Best Heath Tel.
This waa. however, the largest
amount earned during any one
j n.cnth since last November, when
' their net* operating Income waa
j t34.343.793. Seventy-two roads?
twenty-four In the Eastern, nineteen
m the $puthern and twenty>:me
In the Western districts?had
oi.eratlng deficits In June compared
v ith u total of eighty-two In May.
j The tabulations are based on Tenons
from 202 "class one" railroads
having a total mileage of 235.548
That the carriers, through eMi;
clencies which they have inatij
tuted since the traffic alump began
| laU" 'ast '<yi. as well as retrench,
menta which declining revenues
forced them to make, have a better
j,hold on their expenditures now
' thr for some months la revealed
! by the reports, which show that In
JuKi. 82.34 cents out of every dol;
lar of revenue went for expenses
, compared with *5 43 cents In May
II" lune last year-It was *(.84 cents
; and in May. one year ago. 95.69
Operating revenues in June for
th.! railroads of the United States
Utaled 1461.127.000. which was a
decrease of S.7 per cent compared
vith those for the same month last
I ic?r- Operating expenses were
I 5379,688.000 or 20.7 per cent less
ti an in June one year ago. The net
operating income was $5l.77S.?t'0.
[compared with an operating deficit
' f $14,612,000 during the same
dcnth in 1920,
Oa Teatallve Valaatiea.
I-rom September 1. 1920. when the
guaranty period ended, to June 30.
last, the net operating income of
the rail carriers was >368.445,000.
which on the basiji of their tentative
valuation, would be at the annual
rate bf return of 2.5 per rent.
I This amount falls short $516,626,000
j oi that contemplated to be earned
I under the rates established by the
While the carlrers In each of the
- districts f?l! short of earning a return
of SH ?r ? per cent In June,
the reports show a very slight Improvement
in each compared with
May. The net operating income of
those In the Eastern district was
at the annual rate of 2.9 per cent
tompared with 2.8 per cent the previous
month; In the Southern It was
also 2.9 per cent compared with 2.5
icr cent in May. and in the Western
it was 3.4 per cent compared with
2.3 .per cent the preceding month.
Complete reports except for the
r*etroit and Toledo Short Line, sli .w
that the total operating revenues
of the carirers In the Eastern district
in Jane were <211.173.000. or a
I decrease of 4.1 per cent compared
j with the same month last year.
(operating expenses were 8174.SDt.*00.
which was a decrease of 22.4
per cent compared with June one
>ear ago. while the pet operating
I i:.come totaled J22.724.000 compared
! w"l' a deficit of $19,706,000 during
| tl.at month last year.
Reve??e Jsnpa Greatly.
| . In the Southern district complete
lepor's showed operating revenues
* ' be $72,501,000, or a decrease of
*s.S per cent under those for the
Eame month last year, while operating
expenses were $62,846,000. or
-1.2 per cent below those for June.
192. The net operating income for
me roads in the Southern district
$5,90?.000 compared with an
operating deficit in June one year
; ago of $7,280,000.
Railroads in the Western district
Itepotted their operating revenues
I as being $177,453,000, or 10.S per
' lesa than they were during
the eame month in-1920. Operating
expenses were $141,946,000. or 1S.2
per cent under those for June last
year. Their net operating income
was $23,149,000. or S7.I per cent
more thai during that month one
year ago. ,
Rail Director General
Asks Security Shifting
Shifting of railroad securities
now held by the government to the
j investing public will be made possible
under the administration railroad
bill,-James O. Davis. Director
Cener^l of Railroads, told the Senate
Committee on Interstate Commerce
Mr. Davis 'said he believed the
failure of the transportation act to
fcive authority to the Railroad Administration
to sell the securities
must have been an oversight.
Charles A. Livingston, of Chicago,
representing the Ulinoi* Manufacturers
Association, filed with the
c?,mmittee a statement urging on
the association prompt passage of
the bill 'In order that the railroads
and industries may immediately
be relieved, that transportati6n
troubles may l>e averted and
unemployment be lessened.
lUrcfcuts- Exokaaca. tt Chloage. Bo.
Baud tf Tmde. Xaaaaa Waaaapelia.
rnaue Uckup. In OvhiU. Boa
B?,? W Trade, hMt *
Beard ef Trade, Dmlatk. ?? >
Preface Enkaw. TaMe. ekaaga.
Cka?i>ar ef PaMmam. Milwaukee.
^ T COm*^
Finance Committee t
CHICAGO. A?l ?J- ??d "
Armoar. .In m statement m*du today
before tS? annual .ronventlon of the
tnatltute of Am?r<ca:i Meat PucWera
u chtlrmu of the Ann nee commiatoe.
"Your oommllice I* among those
wtio are optimistic. We see imI
provement In the put few month*,
and believe firmlv that the tide of
bualnaa* ha* turned. Xeverthelek*.
It la dealrabln to keep alt hand* at
In this connection . Mr. Armour
"It <a the belief of your Usance
committee that con*ervatl*m and ,
caution mutt be the watchword*
during the coming year. The fact
that periodical balance* are again;
appearing In black Ink ought, not >
to be taken to mraa that the red
Ink which ba* bad constant use for
two year* paxt can now be thrown
away. Just a* the packing Industry
was the drat to suKer from
post-Tar readju*tment. so It I* to
be hoped tfcat It will laad the procession
out of the mountains of adversity
into the valley of prosperity.
The meat packers did not fgkt
liquidation. Many other basic Industries
<Ud. however, and aome of
them- bare succeeded In Htavlag It
off even to this time. They cannot)
continue to do* w. however, send
| eventually they vil' have (.o go j
! through the M>mt proce** ,thi? in- I
dustry haa gone through. The re-j
i suit will be that when many other !
industries are in the throe* of re'
adjustment, the packing industry,
j will again be out ^n the ?lear^ with
SINKS VERY FAST
Cotton Enjoys Early Rally, i
But Outburst of Selling
Brings New Losses.
j NEW YORK. Aur. 10.?'There ? m i
! a strong and active market for coti
ton contracts on the opening duej
j to Liverpool's good advance fol-|
j lowing a sharp rally of late yes-1
j^erday and the circulation of fur-1
\ ther bad crop reports. The latter.
were of a general character and!
frightened many local short* into;
covering in contraction with Liver- j
pool-* rise. The market started I,
to 10 points higher and advanced!
to about SO point* over yesterday's
i closing before the end of the first
hour. This brought October con-1
tract* up to about 13'^j cents. I">e-1
cember and January to 13S and <
March to HI. A* on former octagons
when the market reached |
the' basis of 14 cents for December!
there was. however. much fresh.
Southern selling of a hedging char-I
sic.etr and profit taking hv local, j
Wall Street and trade bulls, the
demand at that level was so rapidlv
filled up many local traders
I again switched to the selling side.
I This caused the market to slump
t dering midday until all the earlv
advance was lost. Then considerable
reselling by early buyers',
caused a further decline of 10 to
I IS point* from yesterda> s closing
: quotations. A good deal of the
latter was infill* need by the renewed
weakness in the general
stock market bringing in considerable
further liquidation for Wall
Street accounts, and also by the
'disappointing manner 1n which the)
Chicago grain markets responded |
to the very bullish government]
crop reports of yesterday, particular'.?
on wheat and oats.
In this decline October contracts?
went back to near the basis of 1JV.
cents again, while December and t
January receded to 138? and March
j to about 18% cents. There was a.
] good deal of Southern selling dur- i
ing most of the day. This came
! ehieftv from New Orleans and
Memphis. It somewhat nullified
! the bullish influence of the bad
crop reports. In this connection!
i a rumor was circulated early in
the day the National Glnners' Association
had put out a crop r?1
port making the condition- a* lo?r
'as 59.4 per cent against S4.7. .he
| condition stated for July 25 in the
last government crop report Issued
on August 1. This, however, was j
later on denied. Jajwinese inier-'
lefts who had been good buying of I
! cotton contracts during the werkj
periods last month were good sell-l
! ers on the early advance evident!*!
! taking profit*. Liverpool houses j
bought the near months hut sold!
! the distant deliveries. After the j
! break the principal buying support
came from profit taking by
shorts and some further scattered
buying on the scale down by some
of the trade houses and bullish lc!
cal commission houses.
At Liverpool cotton futures
'closed steady at IS points net adI
vance for October and ? to 11 for
the later months over their final
i quotations e.f yesterday against the
' opening advance of 10 to IS points
! and the rise of i to 11 which had
i been due from that market to have
i met our closing advance of yestcri
day. v Spot cotton there was ad-!
vanoerf 9 olnts early in the day to|
8.53d for middling with the spot
I sales going up to S.000 hales for
! the day. As private cable* said
| the advance thtt had been aymI
pathetic with our rise of yester;
.lav and bad sfop reports from this
I this side, it was assumed the Ltvi
side, it was assumed, the Liver!
pool markets would react tomorrow
in sympathy with our setback
Pec. Jan. M*r. May J*ljr
! .18.8# ia ?t 13.M 14.10 14.15
nigh 1* 48 u ?4 n.Ki i4.no 14 y.
J.w 1*15 18.81 18.H4 13.01 18.9ft
Close .....18.14 18.-1 18-4 1800 140S
Iter. Oom.18.31 18.73 18.78 1480 14.05
,r?r*W?d kr W. B. K1M? * 0... Member.
! Itw York Cotton Exakaag*.)
iROSL & CO.
I Sfsec I8TI ^
ird ?f Trade, lew York. Fr*4a*e t?
Sattiswre. OkaakM 1
H ct Trsd*.
aia Exaaaage. TmU**. Vndae* F? * ? .
larakaau' Ca> Ditmt, hoard g ttmda.
Itw YerS. IM EaOksakM
3S HAS TURNED
Head Optimistic in
Meat Packers. j
a reasonable chance for doing irtwlness
on a profitable baits." ; '
ItaMNtr DNMMtn(?i " I
At another point Mr. Armou* i
"the stability of the meat packing
industry whk demonstrated
during the past Vaar All of Ut
difficulties pictured m the rcitoiC
of the finance committee s? Atlantic
City were encouatored: Money was
cares and high-priced. volume*
fall off materially, export trade was
practically nil. operating coats remained
at unreasonably hi** JeveU
?yet "there Were few If any faitorca
among meat pacts era They wean 1
ered tHe readjustment storm tic
ecus fully. because' their past gnconJ
Of buSincMi efficiency and the- cc?tidencc
which Unking eirok-* imposed
in them . enabled them" to ti
nance themselves over man/* ftu> cessive
months of lossca -We
are on the same r^ad today
that w* were a year ago. but with
this difference. The end of th? road
seems to be in sight. At any. fate,
there are evidences that the worst
part of it has been traveled an4
that the going wil? be lea.* difficult
from this poltn on, especially if the
lessons which have been learned
in the last few yeara are not lor.
After statins that dicing business
jon a manufacturing basis Is prefer*
able to doing business on a basis
iof possible prospective profits, Mr.
-As parkers. we have long fol!<
wed the practice of buying hogs
fretiy in the fall and truating to
Providence to assure satisfactory
selling prices in the months follow.
Inf. There never was any really
dose figuring to see what hogs
*ere worth or would be worth as
Ihe months rolled by. Today the
Industry is seeing the need of closs
figuring. A greater effort must be
made to get cost and a profit out
cf the products that are sold.
l>emaad? \? Ul-sp.
"The continued successful iinane*
nt of the packing business demaros
that there be no let-np in
the program of economy and retrenchment.,
Packing house facilities
and capacities, the nation over,
are greater today than is necessary
Present consumptive demand and
current livestock offerings do not
require the full use of existing
equipment and consequently, overhead
and fixed expenses are undu.y
large and militate against the
; rofitable conduct of business. The
packers are among the greatest
borrower* of money because of the.
tiaily cash market aspect of their
business and it is a matter of grave
concern to them when borrowed
money coKts 7 and S per cent where
ft formerly ?o*t 5 per cent. This
situation calls for more rapid turnover
of products so that borrowed
money will not be tied up as lonpr
as in the'pust. Quicker turnovers
and manufacturing-profit margins
are needed. Kfforts to cut overhead
must be matched by efforts to en*
courage normal consumption of
meat and normal produc-tioii of live
snfnals. * " ' j
"Wages."too. must "~be *iv.ade to 1
conform to present day standarda.
War-time living costs compelled
great wage advances, but the move,
ment ba< k to normalcy shown by
l:\ing costs In the past year has
not been reflected to any noticeable
dcrree in packing house; wages.
V% hile all other major industries^
have been getting their wage rates,
readjusted to pr-ace-tiim* living
costs, the packing industry wage'
fates have remained almost* stationary?mere
than twice their prewar
height. The industry mus( not
\lind itself to the fact that the
ratios evoived out of centuries be-,
tween live costs, operating costs and
sale. prices cannot be permanently
wiped out even bv a world war.
Economic laws c?nnot tjius be overturned.
Social and sentimental readjustments
must be tempered by
Federal Tent of Ooiry'
Farms of Virginia
?'LAKCXiX>X. Va.. Aug. 1<?.? I>r.
J. A. Mailman, veterinary i*?*pevtor.
t*. S. Bureau of Animal Industry,
working in co-operai^on with the
Arlington County board of health,
completed the ^ inspection AT t??e
cows in Washington dtstrlct ror
symptong of tuberculosis.
Of the M3 tested only five have
reacted, or about 2'4 per cent.
Similar inspection is now under war
in Arlington^and Jefferson districts.
Dr. Ilailman has found the owners
ready and willing to comply with
the new ordinance of the supervisors
requiring tests. - Arlington is
believed, to be the first county in
the State to take this advance step.
For Fair This Month
nOCKVILX.E. Md.. Aug 1* ?
Preparations for the annual fairt..
be held here August S". 24. 23 and
26 are in full swing. Fencesvarc
being repaired and whitewash C.
and the "bleacher" seats adjoining
the grandstand, which will a? commodate
650 people, sire under
construction.- The work on a new
horticultural building will .soon b?.
f Capital and Snrplut, $200,0#<
1-fif ? TTKis ach
0<ll6 yOU in pa
Deposit with ^40
Boxes H We wanl
yr. up ?nd a s*?
I. Saving* dq
SCr. 9tk Street
EARNINGS IN STEESO
SHOW LOWER RAH!
OF BUSINESS DOW
Reports of Four Companies
For Pmrt Half.
ONE HAS PROFIT
Bethlehem and Cradhle
I - Earned Con mob Die- ?-\ 9
bursemenU. ' ^
Comparison of earning ftatemi flj
of the largo steel companies In
Prft *lx monlhi of ] ?! IntfictUi .
ii?alJ|tit?rtu tiini^divldrnd* at
rates of .operations under WW?i?*
coi.ditions in the steel trade.
AW Mr of the larger* *?eel
panies which Issue quarterly earn!jng
statement*. 1' S Steel. MidvaJf*Republic
and Iaekawanna. r*"P"fiW?
deceits after common dividends'
'? And is addition "t". t> Steel *M
the only one of the four wkgo1*
showed 3, profit after fixed ? has#**. '
and preferred dividend*, but
< ommofi dividend* X". K. Weel. Incidentally.
was also the jr.!)- <"*?
, of the four companies .vhieh ms'tetalmd
th# diab'iranmern on the.
; common storks for both qu*rtera
Tin Other l*fee fdMVNlf? V"^lehem
. and Craclble, earned
common divdends. Neither com*.
pany Issued formal earning statements.
but at tlie time tho l^s*
dividends were deMarod. officials of
both companies Issued sUteirohW
to the effect that tha coaanfon dlfU
'dends had been earned. ?
Both of the latter ronpaniHl
however, did not depend entire**
upon general steel business ( ?"
their profits. Bethlehem was ald?d
to a large extent by her shipyard*
and Crucible benefited from .tins;
manufacture of special steels wfcjc* ,
command high prices ??*.a3
Coaiparf?SM of Karnia**. . .
Following table gives a ctij
parlson of the net earnlnr*. th*jS&r
for common stock after fUal
charges and preferred dividends
and surplus rafter all . charges snd
ali dividends, of C. S. Steel. Vlisvale.
Bepuhlle and Ucks* ;inia ISr
the first si* months of 1921; - a
* Net Net f.ir tVf
FurniUS" < Stork (oa
! S StssT *i4.l7*.7I?> SHl.-SS2.ieS
MMmh Maxim r.SM.ia:. Jl.enMNi
. ST.KJS 2.104.^,
' La<*a??aa? L-tC.VSS inu?2 15?VS>
Deficit. * ?* *
In spite ?*f the poor showing, of
the companies In the first half->j ,
of i>;i, however, the policy ??f wk - a
ing liberal depreciation charges fnd ?
writing large "f f?T"
tion of .llaeru!. ctc.. was cgj|?<
tinucd- In fa?t lh?>c ^harae?
but slightly beb w the toiafs of l|ipt
high carnlns f?erl??ds of 1*20. . m.t
A* a rule dividend* suffered. \l?:
though each company at the en^;
of J,ad a large furpliis. it armj^
! suon founA In each ?ate. with .thn
^exception of tlic Slrel roTjwrathJi
that the P?> of * ^he r^ufaf,
dividends on the ^omrdlonmade
too' heavy inroads Fnto
supplies.. .Conseauently b? fore
end of the first half eaeh eotnpsay^
except lT- S. Steel, had dis^onon^
; its regular quarter*- ^distmrsebiaat ?
, on the common gtock?^ . 1 ^
Fixed < targe*,
j. Fallowing tabic gyves a : '
I pari son of the -kxad ? ha??.c$ Vftr
eluding depreciation. depletion.^fiteres^
etc.). and dividend* on
i commua at?< k of liie four roBIM~
: nies in tho first six months, of Iffi.
! with the corresponding perioAi?fj
i 1520; :
Fixed Chars** .'
t H Mee! 777.#*
Midvft'* a tscase 4 ?.?***
; RmuMI" . v44?!?vr. KSM Pf
Urkisma U2W.K* 1 <mt9*
Common IHrideads. *W J
t * f in 7?7 .Vfc
MMvs> i <4?i.onr> 4??y,J.o
RfMhUf cos** **.?*
l^-ia^auna 'y ^ ' <?M?
NO ? | LCOMPANY
New ^ ork Slock Exchange i ?
Boston Slock Exchange
Philadelphia Stock Exchaage '
Washington Stock Exchange "
;\ew \'ork Cotton Exchange - i Chicago
Board of Trade - ?
New Yoit Curb Market A?-.., .
sociation ^ I
Hibbs Building j ^
Washington, D. C. ^
I; Runrctti 0w I 1
;d to You ?
/ertisement is addressed to ' i <
rticular if you're unfamiliar i
ope of Mount Vernon service, j ;
~ ' * a
t everyone to know that we i
xmnercial banking dept. * j .
dept., an Exchange dept.. t
: Deposit dept.. as well as a 1
i Commercial Accounts \ ,
i Savings Bank
aad Mau Ave. m