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New-York tribune. [volume] (New York [N.Y.]) 1866-1924, August 01, 1917, Image 8

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Wealth
Markets and Commerce
,Exempt from Income Tax
Safest
And Yiclding4^2<rc to %W%t
There is no form of invest?
ment suitable for the private
invcstor which is safrr than
MUMC1PAL BONDS. as
they are secured by taxes.
For nearly 50 years we
have speciali?ed in this class
of investment. Our selec
tions have proven so safe
and so attractive in yield
as to secure for us a con
stantly increasing number
of careful inveslors.
Present priees give consid
erably higher than the nor
mal return obtainable from
such securities.
Writ* for Lhi T-47.
Spitzer, Rorick & Co.
Establi^hed 1871
Equitable Bldg., New York
Toledo Chicago
Investment
Tax Law
[New York State]
Are vcm aware that this Law,
which" wrnt Into effect June first,
pennits vou, upon payrnent of a
nomlnal 'tax, to rxempt your in
yestment, aa deflned in the Act,
from thr Personal Pr?Perty Tax
In N>w York State. and that fall
ure to coiirlv with the requlrc
merits of the Law makes your
Estate liaMe to a aevere penalty
through the lmposltion of an ad
ditionnl Inheritunce taxf
We havr prepared a P?rnPn1*';
giving both a dlgest and the full
trxt of the Act, and upon reque^t
shall be glad to send you a copy.
Write for Booklet No. 572
"Invrstment Tax Law"
SpencerTrask& Co.
Inreatmrnt Securttlea
25 Broad Street, New "ork
AIBANY BOSTON .ICAOO
NEW LOAN
Exempt from Federal Income Tax
$3,000,000
State of
California
Gold 4V*s
Due aerially July 3rd,
1923 - 1930 Incluaive.
Eligible to iecure Po.tal Savinga
Depo.il. al 100% of the markel
value not exceeding par.
A legal inveatment for New York
Saving. Bank. and Tru.t Fund*.
Price to yield 4.35%
E.H. Rollin* & Sons
43 Excbange Place New York
Investment
Bonds
Rhoades & Company
afamB*-. Wm Tor* Btorh girhangt
31 Plne Streat Naw York
Interesting
Rcviews
Repuolic lron it Ste?I
SouUu?rn Pacifie
RocW lalaiwl
Corriaa Aaroplano
ar. eontalr.a ?n oar
,.,rr.nt rnarV.t !*???'?
Copy *>n r^u'it.
A. A. Housman & Co.
w. T BBoeB r > ? .
;. y
N r
t y '
f.at<irf i ?
20 Broa^ atraaa, Naaa York
IJ/l im in -
a f^^i 434 m 66 Weaa ??<l *t.
Finance - Economics
WALL STREET OFFICE: Telephone:
killli Bullding, 15 Broad St Hanover 6614
Tu4aday, July 31, 1917
A steady decline in the number
af workers on tho payrolls of the
factories in New York State is re-!
ported hy the Industrial Commission !
at Alhany. In June the decrease '
amounted to 1.2 per cent. while in ;
May it was only 0.7 per cent, indi- j
cating that the depletion of work- \
ing forces is proceedinpr at an ac?
cHerated pace. To some extent this
may be ascribed to scasonal slack
ncss in certain trados and to wage i
disputes, while special localized
causes, particularly suspension of
work in a few upstate districts, ow- j
ing to floods, were also factors.
But the fact that numerous plants '
were working overtime and adding |
to their working forces as rapidly
BS hands could he procured suggr-,ts
tfeat the main cause of the decline j
is to be found in enlistment. It is '
significant that the decrease in the
number of employes on the payrolls
was much larger than the decrease
in the total wages paid, while the
nverage per capita earnings for one ]
week in tho month were $16.20,
against $16.15 in May and $14.41
for June, 1916. The average earn?
ings have increased 28 per cent since
the war began, while the cost of liv
ing, as measured by food prices has
advanced about 90 per cent in the
same period.
An editorial writer says that
price fixing is dangerous because to
limit prices would be to limit wages,
and since price fixing is proposed for
only a few of th? basic industries,
the plan amounts to nothing less
than discrimination against the
workers in those industries. As a
matter of fact, there is littlo danger
that tho earnings of labor would
he reduced, no matter how arbitrary
the price fixing scheme might be.
The demand for labor being so
pressing and the supply so scant,
limitation of wages in the industries I
r affected would in all likelihood re
aaH merely in a shif ting of labor to |
other lines. Fortunately it is alto
gcther improbable that the authorl
? ties will adopt any plan for price!
! fixing so lacking in flexibility as to'
I make it impossible for the producers j
i of essentlal materials to maintain |
! their working forces unimpaired. i
, The only price fixing plan which
seems feasible at this time is one '
i based or cost plus a fixed percentage
| of profit, and under that plan wages ;
would not be affected.
The National City Bank, in its
Jmonthly circular, presents an inter- \
j esting discussion of the real dis
i tribution of wealth. Questions of
j taxation, price regulation and the
I like, it says, all rest on the final
j oistribution of the fruits of indus
!try in relation to tho average man's
' share. "We have often endeavored
| to point out," the bank goes on to
| say, "that at the very beginning of
i any discussion on this subject it is
important to determine what is real
| distribution. In current discussion
| there is but slight recognition of the
' value to the community of capital ac
cumulations, taking form as they
i mu3t in improved and enlarged fa
l cilitles for general production and
pubiic service. This community value
of private wealth is understood by
economlsts, and it is understood hy
1 everybody in concreto cases; every
; new community appreclates the gain
; from having a railway built into it,
J or a water power developed, but in
1 general discussion it is usually as
sumed that all the henefits of wealth
accumulations, even in these forms,
go to the owners. There is little
I analysis of actual distribution. The
i emphasis is placed on the ownership
I of equipment, rather than upon the
distribution of tht goods produced.
' Mert ownership of productivt prop
! erty, howrver, only gives the right
i to go ahead and produce something.
I All tht benefits from productive
| properties come out in the stream of
products that issue from them, and
: the real distribution of the national
incomo takes place at the point of
' consumption, where these products
art flnally absorbed by individuals
' and disappear from tht common
1 store.
"Whether a man is a day laborer
or a millionaire, he actually gets as
his share cf current production what
he consumes or withdraws from the
common supply to his own exclusivt
u*e and benefit, and no more. If he
ocupies a seat in a railway car, he
has taken that murh; if he keeps a
! aervant, he has tnken that much; if
j he owna a motor car, he has taken
! that much; if he keeps a costly es
tate, ho has taken that much?but
he getn nothing which remains ln
' the use or service of others.
"If ho allows the profits of his
; huaineaa to remain in tho business
for its expansion, they have DjOt l?ncri
n-alized and may nevr !??. Kvt-ry
! town in the country can tell of bu.si
i.ess houyos that have prospcrr-il,
grown by rn??aris of their jir-.fii , and
then gont into decay and flnally into
bankruptcy. The proprietors real
ized only such profits as they with
drew from the business and devoted
to themselves. If they withdrew
profits from one business for invest?
ment in another, there was r,o dis?
tribution to themselves, merely a
shift to another public employment."
Money and Credit
Money rates were steady in the local
market yesterday. At the Stock Ex?
change call loans ruled at 2\ per cent,
with a low of 2 per cent. Offerings
wero more than suffieient to take care
of stock market requirements.
ln the market for time loans based
on Stock Exchange collateral the
amount gf funds offered by the banks
is Btill limited, which tends to impart
a firm tone. Loans based on industrial
securities as collateral were quoted at
6 per cent for nll maturities. Those
based on a mixture of railway and in- '
dustrial aeeurities were a shada lower
at 4Vi to 4*4 per cent. A gor^i demand
for loans extending over the end of the
year is reported, but few leading in
stitutions are willing to make com
mitments for bo long a period in view j
of the numerous uncertainties.
Ruling rates for money yesterday.
comparcd with a year ago, were as fol
lows:
Yesterday. Year ago.
Call money-2</2% 2'/2%
Time money (mixed collateral):
60 day a.4^4% 3 @3!/2%
90 daya. 4'/4@4'/2% 3 @3'/2%
4 months_ 4'/2@434% 3*4e't
6 to 6 months 4%@5'/2% 334%
Commerelal Paper.?A firmer ten
dency was apparent in the commerrial
paper market yesterday and most of
the salea were made on a flat 5 per
cent basis.
Official rates of dlscount of each of
the twelve Federal districts are as fol
lows:
i-Daya-.
Over Over Over
15or lSup 30up 60up
leBB to 30 to 60 to90
Boston. 3'/2 4 4 4
New York. 3 4 4 4
Philadelpbla.... 3'/2 4 4 4
Cleveland. 3?/2 4 4 41/
Richmond. 3'/2 4 4 4
Atlanta. 3'/2 4 4 4'/2
Chicago. 3'/2 4 4 4'/a
St. Louia. 3'/2 4 4 4
Minneapolla_ 4 4 4 4'/2
KansasCity.... 4 4'/2 4(/2 4'/2
Dallaa. 3'/2 4 4 4'/2
SanFranciaco... 3'/2 4 4 4/2
Bank Clearlnga.?The day'a clearings
at New York and other cities:
Exchanges. Balances.
New York.$612,956,863 640,837,877
Eoston. 63,757,763 11,626,153
Chicago. 80.959,753 7,559,506
Philadelphla.... 56.476,415 8,553,522
St. Louia. 19.891,072 4,124,771
SUver? Bars in London, 3?T?d; New
York, 78H cents; Mexican dollars, 61
cents. _
Sub-Treaaury.?New York banka lost
to the Sub-Treaaury 12,954,000.
London Money Market. ? London,
July 81.?Money was in better demand
and discount ratea were steady. Money,
loaned at 4 per cent. Discount rates
Short billa, 4>* per cent; three months'
bills, 4 13-16 per cent. Gold premiums
j at Lisbon, 90.00.
i The Dollar in Foreign Exchange
The strength of exchange rates on
I most of tha neutral countries of Eu
I rope contlnues to furnish the principal
> feature of the local market Exchange
. on the Scandlnavian countries roae
J sharply yesterday, touching the hlgh
I est levela ln montha. Swiss francs
: were alao atrong, while Spaniah pese
| taa moved up another peg. The ex
; planation of the strength of tne nen
1 tral exehangea la found in the effect of
: the embargo the United States has
' placed on ahipments to these countries.
The falling off of exports from this
. country ia tending to decrease the s ip
ply of exchange, compelllng persons
desirous of making remittances bid
higher.
French, English and Italian ex<hange
rates were steady yesterday. Kussian
mbles underwent improvement movirg
( up to 21.45 cents.
Closing rates yesterday, corrpared
i with a week ago, are given in the table
. below. American bankers have sus
pended all deallngs In German and
i Austrian exchange, so that daily quo
' tationa for either marks or kronen ara
? no longer available. Week
Yesterday. ago.
(Quotwl dollar* te th. pmind.)
Sterling, demand.64.75V $4.75iV
Sterling, Bixty days-4.71'/2 4.71^4
Sterling, cables. 4.76h 4.76t'4
Sterling, ninety da>s... 4.69'2 4.69:14
(Qu.trrl nnlta to tha dollar.)
Francs, demand. 5.767a 5.761 4
francs, cablea. 6.757g 5.751 4
Lire, checks. 7.23'4 721 Vz
Llre, cahles. 7-22'.4 7.20'/2
Swiss, checka. 4.54 4.65
Swiss. cablea. 4.52 4.63
1 Quoted rrnU to th. nnlt.)
Guilders. checka. 41".-4 ' 41'i
Guildera. cables. 41'/2 41 \
P.ubles, cablea. 21.55 21.25
Stockholm, kr., ch*ka... 32.60 31.15
(openhagen, kr.. ch'ks. 29.60 29.10
Pesetas, checks. 22.80 22.85
Below 1? given the current exc'r.anc.
valua of foreign monty in dollars aad
rents, to$'(fther with the intrinsic gold
parity, as calculated by tho United
States Mint: Current
exchange Intrinsic
va!ue. vnlue.
Pounds. sterling.$4.79A S4.86'a
Francs . 0.17 3 0.19 i
Guildera. 0.41'4 0.40 2
Publea . 0.21 55 0.51 2
I.ire, checks. 0.13 8 0.19.3
Crowaa (Daaaaark).... 0.29 60 0.26 8
( rr.wns (flwadaaj. 0.32 60 0.26.8
The nbove rates express the cr.st of
fortigB rnonev ifl tenn^ of the Ameri
.??? dollar. >'>u bay nn tagliafa poaad
...:' ?t. ?..;., $170:%. The ii.trirtsic
1 rltf ? ?? 8i\aV '? par poaad. Thus, you
'aoy i-itlier that pounds are at a dia
ount or that dollara are at a pre
mium, which ia owmg to the fact that
in England the demand for do'.lars
with which to i-ettle accounts in this
country la greater than the demand in
this country for pounds *ith which to .
settle accour.ts in En^'.and.
Gold Currents. The loeal Sub
Treasury trun?ferred 1726,000 by tcle
graph to San PVtacI co y.s'erday for
tha aecount of Japaatst baabtrs, arha
Btt hippiag that amount of gold to
Japan.
A London financial writer, In com
menting on tha gold movement from
the I'nited Btatta to Jnpan, says.
"In ppite of the extent to which
Japaa haa drawa in the past on her
halanees in America, so as to p!ucf
thrm at or.r disposal, her present trade
ea la so favorablo that gold has
of late been floutrg from San Fran
risco to Japan; and tinless ittBfl ar"
taken to prevent it there seems every
likelihood of a good many more
millions going during the next few
months. Now, it appears, this move?
ment se?ms a littla wasteful, and to
that extent regrettable. In the f.rst
pltCtf Japan, so far ns is known, is
not at all in urgent need of the metal
some of it, but probably not much, is
generally believed to. find its way It
India while, in the second place, the
outflow of pold from America at a mo- \
ment when that country is so greatly (
extending her foreign credits simply |
Bioaaa that the Allies may be in tht
position of having to send more gold
to America to fill up the vacuum oe--a-|
BioBtd hy Jaaaa'l withdrawals. And,
finally, a'nd bf trajr of indicating the
desirability of some stcps being taken,
it may be pointed out that probably
some of the Ftiropean Allies, more es
peeUlly P.u?sia and France, must now
he neoding accommodntion in Japan, to :
pay for large quantities of munitions
received during recent months."
Reflexes of War
Important action is being taken by
the British Coal Controller in regard
to the supply of coal during the com
ing winter. It was announced recently
that a scheme is to come into opera
tion on September 10 whereby it is
estimated no fewer than 700,000.000
ton-miles annually will be saved in the
transport of coal by railway. When
this scheme, which deals chiefty with
long distanen trarnc, haa been digested
and is working smoothly, lt will be
extended to the shorter journeys, and
in this way the whole system of dis?
tribution will'be simplifled and eased.
For the purpose of transport, Great
Britain has been divided into twenty
areas. The scheme now announced re- ,
lates solely to that portien of the coal
whicn is being transported from area
to area for inland consumption. In
other words, it bears chiefly upon coal
v hirh is being conveyed for long tit- ;
tances or on 'cross-countr ' Jour^e/s.
both of which circumstances >. e r
sourc of ' ouble 1 ' ? " *? ''?'"
pletic . f lvay -.1. ? roUmg
ptecl ?;, ., . .,* sc.1. .me, BtlBfl
doaif . to itl . ' transport, is based
o three. main c M.sidcrat.ons:
First Tha tht consumption of coal I
should take place as near the produc
ing point as possible.
Second?That in view of the superior
facilities affordcd by the main trun*
lines tho movement of traffic should
follow these routes wherever possible.
Third That the movement of coal
should as far as possible be in well
defined dircctions. viz., north to south,
north to southeast, north to southwest
BBd east to west._
The number of imperial gold coins
ytruck at the English Mint in 1915 was
22,338,027, having a sterling value of
?21 310,653; the number of silver coins, '
luo.234,514, having a sterling value of
?7 715,437, and the number of bronze
coins, 76,008,101, having a sterling
value of 1240,477, while the grand total
of coins (inclusive of minting for over
Bta possessions) was 206,682,642, hav- |
ing a sterling value of ?29,385,568.
Canada's war expenditure.both in the
Dominion and overseas, now amounts
to over $?50,000 a day. From the be
ginning of April to July 20 war ex
penditure in Canada amounted to BBV,
700 000, and estimated expenditure
elscwhere, includ.ng France fenBfftBt
same period, was $52,600,000, or a.
total of $92,600,000_
Dividends
Mlrhlran Sugar. Dividend of 4 M eent .
N Saaeaaaaa. payable Bap>iBiBw l la
atoekhoMm of raaara August l..; alwraaja.
]ar divdend of IM per cent on the preferr-d.
payable Dl|lf ITT li to ?tockholders of r*e
ord August 31. I
8?,thcrn Ptpa Una?ReBuUr nuarterly ,
dividend of II rer ahare. payable September
I 1 to atocMiold'ra of re>-or<. Auguat 10.
National ftUcuit.-Dividend Bflfi V*'
I cent on the preferred atoek. payable Augu.t ?
I 31 to stockholder* of rword Aug'iat 1. ; alio ,
! common dividend of 1% l>er cent payabli
i Oclober 15 to atorkholders of reoord beptem- ,
ber tt.
Creason fonsolidated Cold Mining A MUI
1 Ing. H-gu!ar monthly dividend of lOconta
1 a ahare. payable Auguat 10 to atockholdera |
of record July 31.
Taxes of Steel
Corporation May
Be $200,000,000
$53,918,872 Set Aside Out
of Quarter'8 Earnings to
Meet Levies
Net earnings of tha United St.ites
Steel Corporation for the quarter end
ed June 30, as shown in the report is
sued yesterday, following meetings of
the board and finar.ee committee, were
SPO.579,204, compared with J113.121.01rt
for the previous quarter. This appar
cnt drop of over $22,500,000 waa not
due to any falling off in earnings, but
to the fact that the management for
the first time made a comprehenslve
allowanee for war income and excess
profits taxes.
The estimate of the amount of
money that will have to be turned over I
to the government out of the earnings |
of the June quarter was $53,918,872. J
Had no such allowanee been made
the report issued yesterday would
have shown net earnings of over $140,
Ono.r.OO, more than $35,000,000 above the
net revenues for the first three months
of the vear, which was the high record
up to that time.
Heavy Impost
In the statement issued yesterday an
estjmate of the amount of war taxes
that will have to be taken from the
earaiBga "f 'he first quarter placcd
them &t 6SS366j00O. With the prob
ability that both e.stimates will have
to be revised upward in view of the
recent action of the Senate Finance
Committee in increasing the corporation
tax offlcials of the company believe
that total war taxes for 1917 will ap
proximate $200,000,000, an amount in
excess of the total net earnings of anyi
previous year except 1916.
During the six months ended June 30
the Steel Corporation expended $43,
000,00 on account of additions and new
construction. E. H. Gary, who leavea
to-day for a six weeks' vacation in
Alaska, explained that this expenditure
wa* made to expedite deliveries of
steel to tha government which, he said,
have all been oa schedule time.
As foreshadowad earlv in June when
direetors dcclared n special Red Cross
dividcad of 1 per Cent p.iyable July 28
the divK1-' ,.s announccl yesterday were
the sarr .i paid for the March quar?
ter. i. e the regular l1. per cent and
3 per C! it extra on the common ?tock
in arf n to t'r.? usr.il (["'?'te-' dis
K' ' : . i.^r aoat I i pre
ferr . ha special k*d Cro. .vidend,
amountim: to 86,088,026, waa paid from
the aaraitga oi the March quarter.
Earnings Still Rlslng
Monthlv comparison -f tho earnings
for the Jur.e quarter s .wed them to
be on an asccndi.vg so . e, nn indica
tion that the peak of profits in the
steel industry hns r.ot yet been reached.
The r.mounts were: April, $28,521,091;
May, $30,773,551, and June, $31,281,562.
Compared with the June quarter of
1916 the earnings this year, despite
such a heavy allowanee for war taxes,
still showed an increase of $7,078,139.
Not including the allowanee made for
war taxes in cither the June or March
qaaitOM the record of the Steel Cor
poration'a net earnings by quarters
would comparo as follows:
Quarter. 1917. 1916. 1915.
lst..$113,121,018 $60,71.1,621 $12,157,809
2nd.. 144,498,076 81,126,048 27,850.053
3rd. 85.817,067 88.710.6U
4th. 105,968,317 51,277,504
The surplus for the June quarter aft?
er all charges except dividends waa
$68,873,536. After deducting the 1**
per cent or $6,304,919 for preferred
dividends, there remained a balance of
$62,568,617, the equivalent of over 12
per cent on the $50S,302,500 common
stock outstanding. With this amount
earncd in one quarter it appears that
the company will earn elose to 50 per
cent on tho conimon stock for the full
year despite heavy deductions for war
taxation.
Relevant Facts
Certaln-Te*d Producte Corporation.
- ?Salea for the ai?. months ended lune
30 amountecf to $4,150,493 and net
profits totalled $627,559. After deduct
ing $102,900 foi f.rst preferred stock
dividendj accrued to July 1, 1917, and
$56,595 for the seeond preferred stock,
the balance available waa $468,064,
equal to $7.?0 a share on the common
Significanl Relations
Money and Prices: ?,???, Bfaaraja
Stock of money gold in the coantry. $3,088,711,272 $2,331,494,834
.V>ar??' p?rlM
Maj S. 1917. prt?ou? >ttr
Laaa. of all national bank.. $8,751,000,000 $7,606,000,000
Total reaene (I. e, caah In national
h?nl< vaulta and on deposit wltn
Fcder?rReserve bank.). 1.525,000,000 1.205,000.000
Katio of this total resene to btobb
deposit liabilitiesof national banks. 11-7 ?? 108 ?
Feder.lRe.seno notes ln circul.tlon.. 534.015.000 152.590,000
Tol.riold resene.. 1.362,263.000 M75.166.O0O
faanaai. lha<Jarb?fora. ayrarifo
Avera.e price of 16 rallroad stock... 103.74 109.18 118.60
Average price of 12 lndustrlal stocka. 96.35 96.9C 91.53
Food cost of livinf (Annall.t index Ub??b* Tt.a ???? rw?ra. AfBatasa
numher) . 261.254 267.114 168.609
Production:
Infilled U. S. Steel orders, tona. 11.333.287 11.6C5.591 9*640.458
I'ig Iron (daily average), tons. 1C9 002 110.238 ' 107,053
\ctive cotton spindles. 33,4G3.9!G 33,459,169 32,261,694
Tha II ' rtettea rter" a
Wheat crop, hushcls. 639,J^j,COO 1,012.000,000
Ctfa crop. atBShttB. 2,593,-'-i 1,000 3,C5; C0C.00O
Cotton crop, balea (exc. linters). 11,356,944 11,068,173
Distribution: Jun>1 *
Nrt shortage of freight car.. 105,127 148,62?
Net surplus of freight cara. - - 33,361
- 1 i -r??? or d?T???* from lut jeu -N
t* I a -?k MaaBl <<f Ja . .
,?* :"-r May iu> ;
- '?' nr' rsads). (ir? r ada)
firosa railroad earnlnga. -16.2% - 14.7% +#%
,?Ir raaas or <><?:*??* rrom laat jemt ?
Ltri ?.-?? Tl.- T.-h h?for?. Vnr u, ,i,-,
llank cleurings . -: 28.7% -13.8% rt25.!%
(ommerrial failure.. 1,186 1,296 1,2,7
?Gold held by Krscrve ngents aga.n>t i r BlatltSJ included in general
fund beginniiiK June*23, 1917. For purposes of lutnpariaon It ia included
ln the 1916 ligures.
stock for the period. or at an an.-.u.:
rate of ovt : ||
Telephonr Lo. n
arninga o.
companiea lor t. M
reported to :;i? ee
Commission, amou..'.. i to 62 - ' ??
an increase oi 88464,424 ?*%! hat
month in 1916. Nat raTOBBOa aiter
expenaaa wtra 68,481,421, a gain of
6666,164 Earnings for the thjee
months ended March 31 totuiled_ $76,
461,036 in gTOBS, aa increase ot $9.
'83,801 over the corresponding quar
ter a year ago, and, net rei'? ' - ? :?
creasej 62,366,728, to 826338,786.
Porphyry Production. June corper
prodaetioa ot the prineipal porphyry
companies compares aritb May as lol
llawa:
June. May.
(pounds) (poundsl
Utah .16^09,067 19,262,856
Crr.no . 7 193.262 6,923.457
Hay . 7,014.114 8,015,281
Nevada . 6,850,186 7,239,978
Consolidated Gas. Electric Light and
Power Company of Baltimore.--A syn
dicate composed of Alexander Brown
& Sons, of Baltimore: Brown Brothers,
Jackson & Curtis and Lee, Higginson
& Co., of New York, has purchased
$5,000,000 five-year notes. The pro
ceeds of the3e notes will be used to
give the company additional facili
ties.
Middle Weat Utllitlea.?Halaey, Stu
art & Co., the Illinois Trust and Sav
j ings Bank, McCoy & Co. and Russell,
Brewster & Co., of Chicago, and A. H.
. Biekmore & Co., of New York, have
jointly purchased $1,000,000 three-year
i 6 per cent collateral notes, series A,
j which will soon be offered, to yield
: 6.80 per cent.
General Clgar Company?Reports for
the six months end"d June 30, last, a
i surplus of $654,265, equal to $2.64 a
| share earned for the period on $18,104,
I ooo common stock after dividends on
j the preferred, compared with $2.35 a
' share in the corresponding period of
! last year. Groaa earnings were $2,
1240,684, against $2,151,246 in the cor
I responding six months of 1916.
Atchiaon, Topeka & Santa Fe Rall
way ? Operating revenues of tho
system in June aggregated $13,809,027,
an increase of $1,874,627 over the cor?
responding month of last year. Operat?
ing cxpenses were $8,357,364, an in?
crease of $1,139,824. Net operating
revenue amounted to $4,951,663, an in?
crease of $734,802. Owing to an in?
crease of $819,000 in the amount
charged off to tax accruals operating
income for tho month decreased $79,
442 compared with June a year ago.
Atchison's operating income for the
first six months of the current year
totalod $23,977,553, an increase of $2,
874,081 compared with the correspond?
ing period of 1016.
Plttsburgh Rolla Corporation?An
nouncement was made yesterday of the
incorporation under the laws of West
' Virginia of the Pittsburgh Rolls Cor- j
poration to take over the properths
of the Seaman-Sleeth Company, re- I
cently purchased by William Morris
Imbrie & Co. The new concern has |
outstanding capitaliiation of $1,000,
666 6 per cent mortgage convertible j
sinking fund bonds, $500,000 of 7 per i
, cent cumulative preferred stock and
I $1,500,000 common stock. The manage
I ment will remain in the hands of the I
, officials of the old company, J. S. Sea- j
; man becoming chairman of the board
and David L. Eynon president. The I
bonds of the new corporation h*ve .
: been underwritten by a syndicate ai j
New York, Pittsburgh and Philadelphia I
: banking houses. The Seaman-Sleeth i
; organization has been operating about '
' sixty year3 and during that time has J
developed from a small foundry busi- !
i ness into a concern havlng net aaset3
Of about $1,700,000. For the ?ast
fertp years it has specialized in the '
manufacture of chilled and sand iron |
rolls and pinions.
Allls-Chalmers Manufacturing Com
: pany?Salcs billed ln the quarter
er.'lnd June, 30 aggregated a value of
8^,441,575, compared with $5,106,130 in |
the corresponding period of 1916. Net i
profits were $1,002,458 compared with |
i $950,7*1. Unfilled orders on the booka
; of the company on June 30 aggregated
$16,584,842 compared with $18,000,847
1 on March 31 laat.
' Pennaylvanla Syatem.?Combined op?
erating revenuea of the Pennaylvania
: lines, East and West, in June, were
$43,562,112, an increase of $6,048,082
over the corresponding month last year.
Operatinj- expenses, including tax ac
' cruals. inereased $6,143,091 to $33,516.
i 633. jpaving operating income for the
! month amounting to $10,045,509, a 60
1 crease of $95,1-11. For tho six months
ended June 30, operating income to
| taled $39,603,819. a decrease of $10.
! 661,528. The June showing was muc.i
better than that of other recent
montha.
News Digest
Foreign
London Market Cheerful.?London,
July 31. The stock market developed
a dccidedly more cheerful tone to-day
on the war Rawa, which asaiated allied
bonds and gilt-edeed securlties fraction
aliy without, however, increasing busi?
ness. Explosive and provision shares
v.ere firm features, and Brazilian issuoa
further advanced with ixchange Kub
b< r, oil and shipping stocki eus< . ?ff,
The low priced Ameiioan BfCBritiea
were occasionally bought, but the oth
ers were neglectcd.
Elections
Frank D. Potter, of Pouch & Co., has
been eiected vic-p.-e id< nt of the Gffl
cral Ordnance Compai
Corporation Returns
NaahvllU, ChiilLanoofa & St. LaalBI
. II:. 1616.
J'in* rroaa.f 1,1'.0.268 $1,003,101
Nat aft tax. 201.033 213,946
Vircinlan Rallwayi
161T. 1318.
Jnna rroaa. $956.211 $683,557
Net aft tax. 455.027 325.186
Colorado Southcm:
i8iT. ma
Ptaaa maa .$1.4?6.933 $i.i8?.849
NV. nft taa. 451.501 301.253
Minnrapolla A St, 1-nuLi:
ni7. i8ii
Juna aro?. $9/'.455 $832,757
Net aft tax. 261.302
I'Uh Power a LUht:
1017. l?16.
Juna CToaa. $407,041 $336,946
Nat aft tax. 198,686 166,645
Motor Compames
Report Businesss
Moving as Usual
??
Sales and Profits of General
Motors ami Chevrolet
Hold Up
Reports of operations of the General
Motors Company and the Chevrolet
Motor Company, contro'.led by W. C.
Durant and allied interests, were is?
sued yesterday, disclosing large in?
creases in sales and profits as com
pared with the corresponding perioJs
of last year. The returns ore of un
usual interest at this time, in view of
the recent decline in motor stocks on
the belief that the spread of a spirit
of economy, incident to our entrance
into the war, had cut deeply into the
profits of the motor car industry, par
ticularly whera profits were at all de
pendent upon sales of pWsure cars.
The General Motors lompany, con?
trol of which ia held by the Chevrolet
Motor Company through ownership of
450,000 shares of the common stock,
shows for the eleven months ended
June 30 last cars and trucks sold ag
gregating 169,415, eompared with 121.
113 in the corresponding period jf 1916.
Gross sales approximate.l $185,750,000,
against $141,149,746 in the preccdinc
eleven months. Undivided profits were
$28,750,000, against $24,862,193 last
Expects $30,000,000 Profits
M L Prenskv, controller of the com?
pany, says that "while the month M
Julv will show a slight faWiag off n
volurre, due to the completion of cur?
rent schedules and closing down for in
ventones, it is safe to say thal the
profits for the twelve months will ex
ceed $30,000,000. The cash in banks
and in sight drafts, with dorument at
tached at this date, amounts to ap
proximately $16,500,000. While this la
nearlv $7,000,000 less than tigures last
reported, attention is called to the fact
that stocks of materials necessary to
protect the coming* year's production
have been increased nearly $15,000,000.'
The report of the Chevrolet company
covers the six months period ended
June 30. Cars sold by the company
nun.bered 65,235, against 32,514 cars
for the corresponding period of lJlo
and 69.690 for all of last year. Th<?(
cash value of the cars sold amounted
to $29,704,773, against $16,338,585 for
tht corresponding six months of last
year, and $31,877,376 for the entire
twelve months.
a
Standard Form of
Cotton Contract
Is Held Illegal
Broker Says Exchanges Will
Be Closed if Decision Is
Sustained
Fort Smith, Ark., July 31. -Federal
Judge Frank A. Youmans, in a decision
here to-day, held that the present
standard form of contract used on the
New York and N'ew Orleans cotton ex?
changes does not comply with the pro
visions of the United States cotton fut
ures act, and therefore is illegal.
The decision was rendered in the suit
of Tborn & Maginnis, cotton brokers.
of New Orleans, against Fred Browne,
of Fort Smith, to collect $23,315 on a
cotton futures transaction.
"If finally upheld it will prohibit
trading in cotton and will close every
exchange," paid C. B. Thorn, nember of
the plaintiff firm, in discussing the ef
fect of the decision of Judge Youmans.
"I'nder the court's ruling it will be
necessary for the slips as they pass
from broker to broker on the floor of
the exchange specifically to name the
principal. These slips must be signed
up the next morning by 9 o'e'.ock. In a
vast number of cases the principal lives
hundreds of miles from the exchange
and it is impos-uble for him to be pres?
ent, so it readily can be seen what the
decision does."
Equitable Trust
Joins Movement to
Mobilize Our Gold
Alvin W. Krech, presldent of the
Equitablo Trust Company, explained
yesterday the purpose of the go'.d re
serve deposit made by his institution
at the Federal Reserve Bank of New
York. Heretofye trust companies
have been required to carry 15 per cent
reserve, at least 10 per cent in cash
and 6 per cent in designated deposi
taries. Last May the state bankin?
law was changed ao that any part of
the reserves on hand in excess of 3 per
cent of demand deposits may be de
posited, s-jbject to call, with the Fed?
eral F.es-rve bank in the dlstrict in
which tha trust company is located.
The purpose of the amendment was to
assist tho government in Baobilislag
tho flnaneial resources of the countrv.
In making a deposit last Friday with
the local Reserve bank, the Equitable
Trust Comrany, Mr. Krech 'said yes
ttrdajTi was only supporting the amend
DltBt,
$8,953,000,000 Is New
Foreign Trade Record
Balance in Am-rca's Favor for
Year Is $3 63 3 )0,000. a
Hig
Washington, July 31. Amer.ea's for?
eign trade in 1917 re 1 the unpre
Btdtattd total of $ 53,040,000, of
vh eh $6,294,000 000 - arta sad
?2.669,OCO,000 mporti
Jbbb, tha Isat m nth of th ftaea] rttr
totallad $676.1 t thaat of an
mor.th l0l> ?|
the axeeptlon o;' aat Ja laary. In ioi ?
during tno month were valued at $30.
00i ,1 W).
Th trade balanc in Ameriea's f. .< ?
for the vear was $3 036,000,000 , I i
wn. 51.499.000,000 more thta the y.-..,
l.e:'.,re. $2,640,000,000 more than in 1115
1.164,000,1 lar ar than in tha
l>v-t year before tiie wir.
The inerease ln the rountrv's total
foreign trade was $2,422,000,000 over
1616, $4,511,000,000 bi t 1011 aad
$1,0115,000,000 over 1914.
Kxports dui ing the veir were creater
by $1,961,000,000 than in 1016 $3 >25.
000.000 in 1015 and $3,929,000,000 ln
1914. Imports also show a BTttt in?
erease. The 1917 total was $461,000,000
over 1916. $944,000,000 over 1915 and
$705,000,000 over 1914
Wert Pcrto Rico
Sugir Company
We are | :.:r-:ng the Picf-rreJ Stock
oj ihe We.! Pcrto R.ro Sugir CoBV
p;.iy at a ptiea to viald 8 . 1h:?
BUBBhBBBl may be br;ef!y de.cnbed
by the (ollowinj; attractue feature.:
l_Assets back of the
ttock are nnprais-'d at
S15J per share.
2?The dividend is being
carr.sdrr.ore than four
times.
3?The preferred stock
carries with it a bonus
of 19% in Common
stock on which earn
ingl amount to $40
per share.
4?At the present price,
the yield is M which
is unusually attrac
tive for the Preferred
Stock of a company
in such a strong posi
tion.
Writcfor Dcscrlpthe Circul*r !
Toole, Henry & Co.
M-mVr* \>u> Vork Stock Bzcnangt
120 Broadway New York
fjiittin.iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiimj
1 Judging the Valuef
of
1 Municipal Bonds |
Ins^murh a$ we mamtain tne S
? largcst ofnee weit of the Mi.su- ?
iE ?ippi River, we feel wel! qualitied ?;
jj; BB detrrmme the value of Munici- B
S pal Bonds in the weMern and ~
~ .oulhTii .ection. of the country, ?
E ^e also. of course. earry large =
??? blorkj of Ea.tern Municipal Bonds. =j
1 WiU'amR.fimptonfo. |
Municipal Bonda ?
? Ovr rj 0'4ii tf Oiturv in thia Bult ? ? ?i ~
= 14 Wall Streel. New York
? St Louia Clnclnnati ~
E CBteaa* Plttaburfh g
SiiiiiiiiiiiiiiiiiiiiiiiiiHiiiiiniiiiiiniiiin
ODD LOTS
Write Dept. 10
ffisHOLMtSri^APMAM
^f*... .. ki? vom itoo r.'?"H
71 BROAOWAY.NtwYOSsClTV
II N P?c,?ow?r, rciNKC?S.N f.
2l3?i3NTAoueSr, Bhooi.lvm.NT.
777BROAjSTaatT. NeWAHrt.N.J.
Liggett & Drexel
J/.Bnl'ra .\>i, Vo-<i Stock Exchang*
Conservative Investmenta
Send for Curreni Offerings
61 Broadway?New York
lioaton DutTalo
STANDARD
WE WILL BUY^ Q WE_ WILL SCLL
25 Northorn P. L. j 25 Pralrla P. L
25 Southwn P. L. ' 25 So. Waat Pa. P. L.
15 S. O of Kan. I 25 8. 0. of Cal.
50 S. 0. of N. Y 6aa>25 Vacuum 011
CARLH.PFORZHEIMER&CCX
,-.... . . 4 i;. ma II BBOAD *r. n. t.
fe!in Irms
STOCK & NOTES
Kiely & Horton
30 Brotd St.. N. Y. Pkme Bro.d 6911
General Oa* * Ele<\ Cum. Ffd.
Amerionn I'ow. tt I.t. Pfd.
DaanaaaaM t-iarht Pfd.
-t?n i.ir.i i. i. a Klec. Cona. a Pfd.
Inlerktate Baa. Pfd.
(olorado Pow. Pfd.
FREDERIC H. HATGH & GO.
rhonw Brond 5140, 80 Broad St.. Naw Tord
Prlvate i?!fphon? to B^aton and Phllad?'.;.<il4
ISaWoSTRAus &Ca
5Utf, <ajfcf8)|t|fjj|a|6i6
010 SerialBoncj
150 Bno.MTw/ry. Pucrxt Cohtlaicd 6064
jjm .?aauaaaj
W. C. Langley & Co.
Investments
115 Broadway, New York City
H. D. Robbins & Co.
!r.(.ori. rat^.1
IWESTMFXT SKCTRITIFS
61 Broadway New York
HIgh Grade Investment
Securities
Kuauti|-Nact|uD^Ku!)nr
itablc LMkUngi K?i >>,r?
Bonds kr Inveslment
Ksms, Forocs & Co
Pln. ttreat, Cefier WHItae*
NEW YORK

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