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New-York tribune. [volume] (New York [N.Y.]) 1866-1924, March 22, 1919, Image 14

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Finance - Economics
(Copyrlglit, ICi'.O, New York Trlbuna Inc.)
Yesterday Wall Street staged one
of those extraordinary episodes
which are the puzzlement and de
spair of the outsider. Reductions
in steel prices -averaging $6.56 a
gross ton. or 12.3 per cent from the
prices obtaining since January 1,
and a reduction from last year's
average of $10.40, were followed by
gains of 2 to 4 points in all steel
stocks. Steel common was emble
matic. It advanced 4% points,
reached the highest price of the
present year, missed par by only %
of 1 point, and, in a market aggre
gating a little more than a million
shares, was traded in to the extent
of nearly half a million. And all
other industrial stocks were so
strong as to reach their highest av?
erage price of thc year.
Thc reason for this is fairly
plain. For weeks a reduction of
steel prices had been under discus?
sion. Wall Street feared the reduc?
tion might be violent. The. uncer
tainty retarded the advance of steel
stocks compared with other stocks.
Some traders had sold heavily short
in expectation of the announcement.
.And when the announcement came
it was the smallest that had been
expected. But, though it was partly
.< case of "bad news ih out," it was
not altogether so. It is not similar,
Jor iristance, to the recent reduc?
tions in cojjper prices. For thc only
reason for being hopeful about a
cut in prices is that. it will stimulate
buM'iu'Hs. And there is an under
Htauding that th<> government will
now immediately begin placlng or?
ders. There waa a belief yesterday
that it would place an order for
steel rails amounting to between
1,000,000 and 1,1500,000 tons. Con
suniers who have been holding off
for this announcement will now
buy. The present level of steel
prices has more evidence of stability
than, for instance, the copper price
had when reduced from 23 to 18%
cents. The steel level is first of all
"official," and consumers are not
apt to hold off for further cuts, as
they might be were the reduction
made on the initiative of the steel
companies rather than on the initia?
tive of the government. Second, it
is announced that the present prices
are to hold for the entire year.
Finally, government purchases at
this level will help to maintain it.
It remains to be seen how great
these government purchases will be,
and it remains to be seen also how
great the steel demand will be from
private buyers at the new level.
That will show whether buyers have
been holding back primarily because
of price, or, as has been shown of
copper, primarily because they do
not want the metal.
Secretary Glass is withholding
decision on the rate he will fix on
the government note issue because
he wants to see what money market
conditions will be at the time it is
floated. But conditions in the
money market are greatly influ
enced by uncertainty in regard to
the rate on the government note
i^sue. And the influence of that un?
certainty is in the direction of
tightness and of higher rates.
Predictions from London that
the pound will soon exchange for
only $4 or 53,70 may seem "very
extreme" to conservative bankers!
here, but time alone will answer the !
question. It was remarked yester?
day that "the fact is that the 1915
rate of $4.48 reflected, not only the
jplacing of England's enormous con
tracts4 here for war material, but;
the efforts of London to protect:
exchange on Paris, and, even more
particularly, the transfer of credit
balances on a very great scale from
London to New York by bankers
in America and other neutral mar?
kets." That may be true, but let us
look at some figures. In December,
pl5, the month before sterling ex?
change was stabilized, we sold
$125,500,000 of goods to the United
Kingdom and bought only $27 -
100,000 in return. But last De-?
cember we sold that country $185,
? 600,000 of goods and bought only
J8.800,000 in return. Again, in the
full year of 1915, wc sold the
Omted Kingdom $1,191,600,000 of
gcoda and brought back $258,
300,000; whereas, in the full
year 1918 our British sales were
52,061,300,000 and our purchases
from there $148,600,000. If there
were additional influences in 1915,
there are additional influences now'
The "invisible balance" must now
be vastly rnore in our favor than
then. We carry more goods in our
own ships, because we have more
of our own ships to carry them. And
in three years Great Britain has
piled up an enorrnous debt to us,
upon which she must pay interest.
<J*H money wan casder in rate ye?
t?rd?y, opaning and rcnewing at 5 per
#-?nt, compared with 6 per cent on
Thuraday. 'J'.-iia rate (leciined to 4%
per cent before the done of the Stock
Zxchartg* ?e??ion. Loans on ail-indu**
trial collateral wero made at onc-half
of 1 per cent higher than this.
Time money is "soft." Fair amounts
are offered at 5% per cent on mixed
all-industrial and 5*^ per cent on mixed
; collateral for two and three months.
Yesterday. Year ago.
_ ., Per cent. Per cent.
Cail money:
"n mixed collateral 5 5'^
On indus. collateral 4'/2 ?
Time money (mixed collateral):
Sixty da>-3 . 5>4@5% 6
Ninety days . 5i/J@5% 6
Pour months . 5H@5% 6
Five to six months 5^@>5% 6
Bank Acceptancea.?Rates were un?
changed yesterday.
Thirty Sixty Ninety
Spot de- days. days. days.
livery: Per cent.Per cent.Per cent.
Lhpible
member
banks ....4ft@4 4</4@4tV 4A@4!/4
Lligible
non-mein
j ber banks.4ft@4 4A@4^ 4%@4r?
! Ineligible
bank bill.s.5F/4@4l/2 5J/4?4'/2 &A@4%
For delivery within thJrty days:
I r... ., , . Per cent.
: Migible member banks. 4f,
, Eligible nori-niember banks. 4|/>
I Inoligiblo bank biila. 6
| Discount Rates.-The following table
| gives the current rates of the tweive
j Federal Reserve banks on commercial
! paper for all periods up to ninoly days:
-Malurllj-~,
_?3 a 2
o =r 3 -? n a
: "VH?
H
*.- ?, ? a . %
: s; :
:R$? :? if
Boston.4 4% 4%
New vorJt.4 4% 4%
Miiladclphla ... 4 4% 4%
Clevtland.4!4 4% 4%
Richmond .4% 3 /}
Atlanta . 4 4% 4%
Chicago .4 4% 4%
Bt. Louis. 4 4% 4H
Mitmenpolis ... 4 4% B
Kansas Citv_4,/a 5/4 r>'/4
| Dallas . 4 4% 5
San Francisco. .4 5 5
The Federal Reserve Bank of New
i York has put in force the following
schedule of rediscount rates which
: apply to bankers' acceptances: Maturi
j ties up to 15 days, 4 ;>er cent; 16 to :
! 60 days, inclusivo, 4*4, per cent; 61 to
; 90 days, inclusive, 4^ per cent.
Bank Clearings.?Bank clearings yes- I
: terday were:
Exchanges. Balances. !
New York .$726,804,815 $92,106,000 j
i Baltimore . 11,243,253 4,667,414
Boston . 48,703,965 22,203,174 i
! Chicago . 79,701,862 8,780,336!
Philadelphia ... 73,933,284 18,466,383
-
Silver.?London. 47%d, unchanged;
New York, 101 '.?c, unchanged; Mexican
dollars, 77%c, unchanged.
-
Sub -Treasury. ?The Sub-Treasury
gained $204,000 from the banks on
Thursday.
London Money Market?LONDON,
March 21.?Closing: Money 3% per
cent. Discount rates, short and three
month bills 3 17-32 per cent. Gold
premium at Lisbon, 73.
The Dollar in Foreign Exchange
Removal of restrietjons from the
Italian exchange market yesterday, fol?
lowing a similar step taken the day
! before with respect to sterling ex
, change, resulted in complete demorali
I zation in the lire. All sorts of rates
were quoted, some dealers quoting as
| low as 7.50 lire to the dollar compared
; with a recent fixed rate of 6.35. De?
tails of the day's developments in lire
are given in another column.
Sterling exchange continued to move
in erratic manner and demand bills fell
to $4.69Va Avith actual transactions re?
ported at that figure. Francs were
fairly steady. Neutral exchanges were
easier.
Closing rates yesterday, compared
with a week ago, follow:
(Quoied dollars to the pound.)
Yes- Week
terday. ago.
Sterling, demand .$4.70 $4.7534
Sterling, cables . 4.71 4.73J,/8
Sterling, sixty days... 4.67 4.76r?
Sterling, ninety days.. 4.6534 4.71%
(Quoted units to the dollar.)
Francs, checks. 5.72 5.50
Francs, cables . 5.71 5.49
Lire, checks . 6A7'/Z 6.36'/2
Lire, cables . 6.45 6.35
Swiss, cheCks .4.97 4.89
Swiss, cables. 4.94 4.83!/2
(Quotcd cents to the unit.)
Guilders, checks .40% 41
Guilders, cables .40!/2 41'/8
'Rubles checks .12.00 12.00
Spain, checks .20.35 20.55
Spain, cables .20.45 20.65
Sweden, checks .27.35 28.00
Sweden, cables .27.50 28.15
Denmark, checks .25.65 25.90
Denmark, cables .25.80 26.05
Norway, checks .26.10 26.95
Norway, cables .26.25 27.10
Argentina, checks ....44.70 44.95
Argentina cables .44.85 44.95
India, rupees, checks. .35 2-3 352-3
India, rupees, cables. ..35% 35%
India, rupees, cables,
Reserve Bank rate 35.73 35.73
'Nominal.
Below is given thc current exchange
value of foreign money in dollars and '<
cents, together with the intrinsic gold
parity, as calculatod by the United
! States Mirit:
Current
exchange Intrinsic
! a vaiue. raluo.
, Pounds, sterling. S4.75% |4.86% ;
! Francs. 0.18.4 0.19.3 !
j Guilders . 0.42% 0.40.2 I
! Lire, checks . 0.15.6 0.19.3 |
j Crowns (Denmark)_0.25.60 0.26.8
| Crowns (Sweden) . 0.27.95 0,28.8
The above rates express the cost of
foreign money in terms of the Ameri?
can dollar. You buy an F.ngligh pound
Kterl.ng, say, at $4.75%. The intrinsic
parity is >4.80% per pound. Thus, you
say either thut pounds are at a dis?
count or that dollars are at a premium,
which is owing to the fact that in Eng?
land the demand for dollars with which
to settle BCCOuntU in this country is
greater than thc demand in this coun?
try for pounds with which to settle
accounta in England.
Italian Exchange
Drops in Market
Freed of Control
Lira Rate Slnmps When All
Restrictions Are Re
nioved; Speculators Face
Losses Owing to Decline
All artificial restrictions affecting
dealings in Italian exchange in this
market were sunimarily liftetl yester?
day as (he result of nn agreement
reached between the Italian govern?
ment and the Federal Reserve Board.
This step followed the action of the
British government the day before in
withdrawing support from sterling ex?
change and the move of the French
financial authoritics in releasirfg the
franc market from control. All three
exchanges are now wholly freed from
the restraints imposed during thc war
emergency.
With the announcement of tho free
ing of the Italian exchange market it
became known that Domenico Gidoni,
head of the Italian lnstituto of Ex?
change the Institution establlshed bv
the Italian government to operate th'e
exchange market, with tho aaslstance of
the Federal Reserve Board, has left New
York for Italy, where he will confer with
the Italian Minister of Finance on fut
ure plans for meeting the new situa?
tion.
Market iKmoriillzed
The market in foreign exchange, al?
ready upsot by the BWift decline in
B/ngllsh and French exchange, devel?
oped fresh domorallzation yesterday ns
a result of the action with regard lo
Italian exchange, urid th- value ?f tho
lira, the Italian unit of curreney, fell
preclpltatoly, For several montnu the
taliari Institute of Kxchange had hold
the rato U<r Hro hilh- around u rate
of t,;,u, hre t.(, tho American dollur.
uomoval ol tho support from the mar
? '?'. saw nn immediato decline, and lomc
ovokcrtt iiuuied ii rate of 7.60 Hre to
the dollur. Actuall.v there waa no mar
kot, for no one was willing to trade In
nre bills because ot tho uncortaln state
oi the market. Predictlons were made
that unless supporl was I'ortlu'oi.iing
again Italian exchange might fall to
below the level reached before the
market was stabili/.ed, when a rate was
reached of about 9.50 lire to the dol
iar.
After it was announced that the re?
strictions had been removed from lire
the Italian Institute of BJxchange an?
nounced it had reduced its official rate
trom 6.35 to 0.45, but the outside mar?
ket paul no attention. Brokers were
at a loss to understand the present
status ot the Institute now that the
tederal Reserve Board has withdrawn
its support.
Speculators who accumulated a heavy
line of Italian exchange recently oii
the expectation that it would improve
lurther and might go close to parity,
which is 5.18Vs lire to the dollar, are
said to face a large loss as the result
ol the withdrawal of support from the
market. A Baltlmore olive oil importer
who made more than a million dollars
in gold shipments to Spain and other
similar transactions is said to have
invested a portion of his profits in lire
hoping to make a big killing when lire
advanced as he exnected thev would
\\ith lire quoted around 7 and 7.50 to
the dollar this interest stands to lose
heavily, bankers said yesterday.
The action of the authorities with
regard to Italian exchange strengthened
the belief held in banking quarters
that the move to relieve the exchange
markets from all war-time restraints is
part of a general programme adopted
at the peace conference to hasten a
restoration of normal conditions in in?
ternational trade.
Sterling exchange rates move'd in a
somewhat more normal manner yester?
day and cable transfers closed at ?4 71
compared with $4.71% the dav before.
.m,a"^ b,ills closod "?' of a eent lower
at ?4.70 after business had been trans
acted on a basis of $4,669%. French
exchange was somewhat lirmer.
Step in Trade
Read justment,
Washington Says
WASHINGTON, March 21.-?Gov?
ernment officials explained to-day
that they regarded the "unpegging-*
of foreign exchange rates by the Al?
lied governments as one of the most
important measures accompanying re
adjustment of international trade
conditions to a normal peace time
basis. The action precipitates great
uncertainty for the moment among
exporters and importers and banking
mterests depending on foreign trade
In the long run, however, the Treas?
ury believes that foreign trade will be
beneiited by the restoration of a free
market.
ln this connection the Federal Re?
serve Board, which has charge of for
>ign exchange. regulations, announced
.o-day that foreign exchange dealers
low might make transfers of funds to
lersons not enemies or allies of en
?mies residing in Croatia, Slavonia
Josnia, Herzegovina and Dalmatia,
The Federal Reserve Board's regu
a^i. i
We advise proilt-taking.?-Josephthal
& Co.
Stocks appear to be destined for
higher levels. ?McDonald & Co.
Readjustment waits because we keep
on waiting for it.?Irving Fishcr.
The copper issues seem to have dis
counted all the adverse factors.?
Moyxc & Holmes.
I he very rich are not selling and may
not sell for several years.?Goodbody
& Co.
Our securities?particularly the shares
of leading corporations?are destined to
sell at matcrially higher levels.?E. W.
Wagner & Co
! If experience and test of time count
i for anything, one has little to fear from
i the preferred stocks of the established
1 industrial companies.?.4. A. Houamdn
& Co.
lation of foreign exchange dealers
still remains effectivo reganlless of
thc action to-day.
Dollar Exchange
At $4.50 in London
LONDON, March 21.?Cable trans
fer rates on dollar exchange fell to
$4.50 a pound ln London to-day when
anouncement was made that govern?
ment support of exchange had ceased.
Thc announcement from Ainerican
sources that the government had
withdrawn its support from exchange
came as a bombshell on the market,
where dollars immodiately fell to
$4.62 per pound sterling 'and later
sagged to $4,60, After exclted deallngs
the closing rates for dollars were from
$'1.55 to $4.58 lo the pound.
Harden-Colgate
Syndicate Buys
liit<-rii.ilioii.il Bank
Purchase K n t i re Capital
Stock From [nternational
?iu n k i n f? Corporation;
May Increase C ap i t al
Control of the International Bank,
capitalizcd at $500,000, and operating
under a state charter at 17 Battery i
Place, has passed from the Interna- j
tional Banking Corporation to a syn- !
dicatc headed by James C. Colgate and
Edward W. Harden, of the firm of ''
James C. Colgate & Co., through the
sale of the entire capital stock of the
institution.
An official announcement of thc
transfer of control issued yesterday i
said that Sumner Ballard, president of
i the International Insurance Company;
! David Rumsey, of the law firm of Rum
| sey & Morgan: Frederick T. Fishcr
j secretary and treasurer of the Corn
I Products Refining Company, and John
A. Forster, president of the North River
Insurance Company, are interested in
the purchase and with friends have
taken over a substantial amount of the
stock.
A special meeting of the stockhold
ers oi the bank has been called for
April 1, when it is expected the num- '<
ber of directors will be increased from
seven to twelve. While the new board
has not been definitely decided on, it I
is expected the following will be named !
as directors: James C. Colgate, Ed-:
ward W. Harden, John A. Forster :
Frederick T. Fisher, George M. Mof- !
fett, David Rumsey, Sumner Ballard
Isaac E. Chapman, William S. Kies and
Albert Waycott. Mr. Harden and Mr
Kies, vice-president of the American <
International Corporation, who is now!
in South America, are the only mem?
bers of the present board to continue
their interest in the bank. James C
Colgate will probably be elected presi?
dent to serve temporarily and William
Reetl, who has been the vice-president
in charge of the bank for the last three
year, will continue in that capacity.
The International Bank was organ?
ized several years ago to care for the
local banking needs of the Interna?
tional Banking Corporation. The lat- '
ter is controlled by the National City I
Bank of New York. In addition to '
capita of $500,000 the International '
Bank has undivided profits of $225,000
and its deposits are approximatelv S7 -
000,000. It is the plan of the new in?
terests to expand the operations of the
bank, and the capital will probably be
increased. J
Sells Stock of Pianoforle Co.
M; ?? Mitchell, president of the
Welte-Mignon Company, manufacturers
<i,!!'i!,,'?>for.tc's' ye.8ter.day Purchased, for
mai' 000? ?t imauction to the highest
bidder, 2,997 shares of preferred stock
and 1,762 shares of common stock in
his concern, which stock had been taken
over by the Alien Property Custodian
on account of alleged enemy alien
ownership.
The sale was conducted by Joseph F.
Guffey, director of the bureau of sales
of the Alien Property Custodian's of?
fice. Ihe Welte-Mignon factory is in
Poughkeepsie.
Significant Relations
Money and Prices?
Stock of money jjold in the coontry#, $3,080.'510,011 $3,04o!449?343
ripr 11 iin Neareat parlori
#? 8urpiurieseriesank8::::::::: ?MJ}Ja*g WjWBoo
Bills di(,counted and bought by Fed- u^^'000 105.977,000
eral Reserve Banks. $2,148,502,000 $840 732 000
Federal Reserve notes in circulatioa. 2,503.095,000 1 406 228 000
Total gold reierve. 2,129,534,000 IJSS^'oOO
Average price of fifty stocks. * "??'$' P"fi2"o6">"> A%Sitf*
rVverage price of twcnty-flve bo.ids.. 87 1S 07,7 Jl'lz.
Food cost of living (Annalist inde*,. ?, . 850?
r ?"b?) * " ?.291.794 7"? 287.46? ^86 430
General commodity price level (Dun'a Mllr , ?. , ?*o,?wu
Index number) . 217.037 220.050 "^977
Production:
Unflllcd U. 8. steel orders. roni.6.010,787 6,684,268 fj&SjfBl
Plg Iron output (daily average), tona JogboS ift A "jgS0g
Wheat crop, bushel.. ^tiMSRF eWoSo'oOO
at crop, bushels. 1,538,358,000 1 gSS 740*000
Corn crop, bushels.,. 2Sa?ftidnnn -> jiZZ'L^'
Cotton, 500 lb. bales ..7.7.. lIS^SJ? ^'SH00
. l-s,U<i?i|O01 11,302,375
?-Increasa or dcvreaaa from ye.r befor?_,
n.. ,. , 4 ,??,. -A" cu? 1 rotdi-.
Distributioni g?Hk ^ '-ilSfi^
Gross railroad earnlngs.~13 07% +39.0% U+21.6%
Bank clearing.. i'fgTv W?l5^1?'?* Y*?*<? d*t..
.H 15.3% +18.3% +16.9%
?Fcneral 1
Active cotton splndlcs. 33 282 693 33 858 47?
Commercial fallurcs (Dun's) ?M.?? 33,856,472
>K&K' (BradstrVeVs) :?'''' J??? *10'736'398
(128 cities) .$29,890,942
Bulk of Railroad
Deficit in 1918 in
Eastern Districl
Only 65 of 184 Large Rail
roads Earned Enough to
Pay Rental Guarantced;
Pennsylvaiiia Big Loser
New York Tribune
Washington tiurcau
WASHINGTON, March 21.?Of the
$214,000,000 deficit in government op?
eration of the railroads in 1918 (as
compared with the guaranteed rental)
$150,000,000, or 70 per cent, was in
Eastern territory?the roads east of
Chicago and north of Washington
carrying the great bulk of the war
munitions traffic, only 05 roads earn?
ed the guarantee.
Western roads show a deficit of
$72,000,000.
In Southern territory the govern?
ment made a small surplus, a little
more than $80,000,000 above thc rental.
These figures are disclosed in a
compilation of reports to the Inter
state Commerce Commission, made by
the Bureau of Railway Economics.
The result of the year';; operation
by terrltories, as shown by prelim
inary figures subject to minor revi
sions, is ns follows:
Kllilitlortl 1913 ?? |
ii itiini opr'a in.- ?' i
KMlMii Il-'li i^l^OOMO $200,0011,0011 JMO.IHiO 000
}}'"'r" ",.' 1 ?n?.?oo.ooo iu,700.0W1 72..-uo. ono
Boutlicfll tt'cla 118,000,000 146,500,000 'H/.-oiuw!
?S'tir'!!!"' *fl03'300'0<"' $889,800,000 $ji3,soo7od6
tiarnings slalcmcnta of the lndl
vlduttl roads show tha varying effeets
pr the shiftlng of traffic und ehange
ln the charueter of traffic, While L10
out of 184 lurge rouds earned le ? i than
tl Oir rental, n f?w of the otln i lim .
earned congidcrublo Hurpluaes for the
government, the total of meh ui
Piuw amounting to about 180,000,000,
iih compared with $294,000,000 ln ug
grcgate deflcil .
Nearly one-quartcr r,f all tho deficii
was made by the Pennsylvania linen
their deficit being $52,554,000 out of n
total deficit of $213,500,000. Tho St
Paul had the next largoBt deficit, $23
511,00(1, with the Baltimore & Ohio
third, with $18,424,000.
The Xew York Central, whose presi?
dent, A. II. Smith, is regional director,
earned a surplus of $1,443,000, while
the Union Pacific piled uo a surplus of
$22,392,000. The Southern had a sur?
plus of $10,695,000.
Railroad men say that the big earn
lritfs 0f the few roads which made sur
pluses are due to particularly heavy
troop movements over their lines. It
is said that the Southern and Union
Iacific had tremendous troop move?
ments.
Among the railroads earning a sur?
plus above the standard return were
these:
Surplus
? , 1918 income above rentals
Union Pacific .$39,616,000 $11,916000
Southern . 29,291,000 10.695,000
Duluth, Missabe &
Northern . 12,465.000 7.343.000
Michigan Central... 13,606,000 5,554 000
BiK Four. 14,683,000 4,750,000
Cncsapeake & Ohio. 17,042,000 3,815,000
Atchiaon, Topcka &
Santa Fe.41,558,000 3,114,000
Louisville & N'ville. 19,367,000 2,057.000
The roads where the largest de
ficits resulted were these:
-1918.
? ? Nel Op. Inc. Deficit.
Pennsylvanla R. R. .$18,317,000 $33,044,000
Chie, Mil & St. Paul. 3,643,000 23.511,000
Baitimoro & Ohio. . . . 7,181000 18,424,000
Great Northern - 11,978,000 16.687,000
Erie (deficit) . 1,079,000 16.583,000
Chic. & Northwestern 12.441.000 10,759 000
Pennsylvania Co. . . 4,284,000 10.707 000
New Haven . 7,534,000 9,332 000
Pan Handle- . 2,973,000 8.360,000
Rurlinjcton . 25.016.000 8,344.000
Boston & Maine. 1,733,000 7,745.000
New York Central.. 48 291,000 7,510 000
Reading . 8,847,000 7,020.000
"Soo" . 3,858.000 6.714.0C0
Rock Tslanrl . 8 211,000 6 700,000
Delaware & Hudson. 2,446.000 4,963.000
Lehigh Valley . 6.633,000 4.637 000
Comparison of results on the sixteen
largest systems, ranged according to
the volume of their gross rcvenues.
discloses remarkable yariations in the
effect of thc war traffic and unified
operation on their net incomes. These
sixteen systems received 60 per cent
of the rental paid by the government
to all the railroads. The list follows:
Slanclt
K""ir..
Penn Mncs .. . $85,710,000
N Y C l.lnes. . 88,045,000
Bnlt & Ohio .. 25,011,000
Atchlson . 33,41.1,000
1'n l'ac System 38.410,000
Houtlin PaclHc. 38.021 01)0
Burllngton . .. 33,360,000
St 1'aul . 27.154.000
Norihwestern . 23,201.000
Routllern . 18.595.000
llllnois Central 16.282.000
New Haven . . 10.1107.000
.Nurihii lJaclllc. 30.0.i7,0?0
Louis A- N.ish 17,310.000
Oreat Northern 28,000,000
Kock Isluml .. 14,912,000
Total ......$340,070.000 jzajOI.OOO $151.550.000
Army Man lo Direct
Foreign Trade Dept.
Brigadicr General Disque With
American International
Corporation
PORTLAND, Ore., March 21 ?
Hngadier General Brice P. Disriiie
who was discharged from the army
this month after having directed tho
sprucc production division of the
army aircraft bureau during tho war
haa been appointed chairman of the
export and Import branch of the
American International Corporation
with headquarters at New York, it wns
announoed here to-day. [,, unnounc
ing his plans. General Disque said that
his work will have to do with the pro
motion of foreign trade relationi and
will entail considerable foreign travel
He left to-day for the East.
m???-?
Bondholders Asked to Extend
J. P, Morgan & Co. announced yes?
terday that arrangements have been
made by the Southern Railway Com
rjany, with the consent of the Director
Ueneral of Railroads, to offer to hold?
ers of $5,250,000 South Carolina &
..eorgia first mortgage 5 per cent
sonds, falling due May 1, the right to
sxtend their holdings for ten years
ivith interest at the rate of CVa per
:ent. Holders of the maturing issue
may at the same time receive a cash
payment of 214 per cent, so that tiie
3Xtended bonds will net them 5.80 per
:ent. Holders who do not extend will
be given par and interest for their
aonds at maturity.
?-?-___
Midtvest-Salt Greek Exchange
Stockholders of the Midwest Oil
Company have received an offer from
:he Salt Creek Producers' Association
Inc.) to exchange its voting trust cer?
tificates on the basis of one share of
**alt Creek, par value $25, for twenty
?hares of Midwest Oil preferred stock,
par value $20, and ono share of Salt
:'reek stock I'or twenty-livo shares of
Midwest Oil common.
Exchanges Close Tuesday
HTHE Stock Exchange, the Con?
solidated Stock Exchange and
the Curb market will be closed
next Tuesday to commemorate
New York's welcome to the 27th
Division. The governing com?
mittee announced its decision to
close after a special meeting yes?
terday. The other exchanges, fol?
lowing their usual custom, later
took similar action. The Cotton
and Coffee exchanges have al?
ready announced their intention
to close. It is expected that the
Produce Exchange will follow
suit.
RelevaiitComment
Mentioned for Contoller
Bankers throughout the country are
being sounded out for an cxpression of
their views on Oliver J. Sands, presi?
dent of thc American National Bank of
Richm'ond, Va., as a possibility for ap?
pointment by the President as con?
troller of the Currency. lt is under
stood that much favorable comment on
Mr. Sands has already been heard. The
propaganda which is being carried on
ui a quiel way in favor of Mr. Sands
wu i brought about by the fact that the
reappointment of the present incum
bent, John Skelton Wlfiiams, was not
conflrmed by tlie Senate before the ad
journmeilt of the last Congress, nor
wtla Mr. Wllllaina given a recess ap?
pointment by President Wilson before
his departure for France, Mr. Wi11 -
lama i.i now act ing under appointment
of Secretary of the Treasury Class.
Those who nre favorable to Mr, HundK
point t? ? tii" success which hc has made
with his bank in Itlchmond, which im
built from t)x*?ground up, .???> to speak,
and the fact. that he him held thc post
of bank exumlnor, ['olltleallj", it in
".'mi lhat Mr, NiiihIm would full ln line
with tho administration, hc being p
Democrat, Mr, Sands is president of
tho national bank section of the Ameri?
can Bankers' Association. According
to ih" present plan, Mr. Sands's name
will bo placed before President Wilson.
Optimism
Optimism took a front. seat in the
cxpression of opinions in Wall Street
yesterday, and the pessimist, if he was
about, had little to say. The talk was
that with steel prices reduced orders
on a substantial scale for these prod?
ucts would come, that tlie West, wliich,
I according to commission houses, has
not been buying extensively in the
East, would place orders here; that the
farmers of the West, assured of $2.20
for their wheat, would buy many
> things in the line of luxury, automo
biles and the like; that the farmers
i would plant little corn and get a good
] price for what they do plant; that the
railroads would carry all of these
' things to the West, and that the coun
j try was in line for the greatest pros
perity in its history. Let's all bc
happy, was the view.
. -
Royal Dutch Shares Prices CToser
Combincd trading in the "New
York" and "American'' shares of the
Royal Dutch Company on the Stock
; Exchange yesterday approximated 50,
| 000 shares, second in point of activity
; to the turnover in Steel common. At
their closing prices the spread amount
; ed to 2% points, the "New York"
i shares showing a net advance of 3%
! points, while the rise in the "Ameri?
can" shares amounted to lr's points.
? In view of the announcement of bank
! ers interested in thc introduction of
Royal Dutch shares to this market, the
two stocks are entitled to the same
rights and privileges. Wall Street has
been mystilied by the discrepancy in
, the prices. Since the "New York"
shares were taken from the Curb and
' listed on the Stock Exchange, how?
ever, the quotations have come closer
together, and the prediction is made
that in the not distant future they will
be identical.
Brokers Paying License Tax
.Members of the Stock Exchange dur?
ing the last week have been receiving
from William II. Edwards, collector
of internal revenue. bills for the in?
creased brokers* license. As all
brokers having licenses had already
paid their fee up to June 30, under
the previous tax law, at the rate of
$30 a year, the present bill calls for
an additional payment of $10 to cover
the .half-year from January l to June
30. being one-half of the diiTerence
between the old license fee and the
new fee of $50. The exchange last
night sent out to its members a copv
of the letter received from Collector
Edwards, which explains the new tax
on memberships, with the form of re?
turn which is to be signed bv members
who are liable to pay the tax, and $75
to cover the charge from January 1
to June 30. This payment was based
on the computation that the average
value of Stock Exchange seats for the
So6'" JUn? 30' l918, WaS "over
Peace and Exchange
Removal of tho "peg" on sterling by
the British government, and the re
sults which follow. will do much to
bring the exchange problem of the
world before the peace conference at
Paris ... a strong light, according to
the view ot many i? Wall Street
niose who are interested in foreirn
exchange from the view of the ar
bitrager-tho man who buys in a mar?
ket where the price is lower and sells
in another market where the prices
higher- hold that this is one of the
most important matters before the
conference, and that there must be
the^ubjee'r0 C?nC,U8i0n miCM- "n
The Elusive Eighth
At three o'clock yesterday, when the
market had officially closed. the ticker
tape, which lagged behind, was still
moving, and so was the recorded price
01 Steel common. "With the enormous !
turnover of nearly half a million shares '
for the day, it had gained 4-/$ points,:
until it stood as the critical price of
90%. There was a moment of tense-i
neas in brokerage houses throughout
the Street as traders tixed their eyes
on the tupe with a shout all ready
to burst. But "Par for Steel" was not
shouted yesterday. The stock fell
back instead and closed at 99-?4.
Break in Italian Bonds
The news of the withdrawal of ar?
tificial support from the Italian ex?
change market and the resultant fall
in rates on lire bills was followed
by a break in the price of the Italian
government bonds. The internal Italian
5!6s, which are traded in here over thc
counter, declined to $130 per thousand
lire, otf $12 compnred with quotations
thc day before. Tney were recently
quotcd at $151 per thousand lire.
Few Stocks on Hand
Wall Street houses with cdnnections
in the West say that thertf are few
stocks being held on the books of
Western houses for their customera.
Executor Trustee
Chartered 1822
The Farmers' Loan and Trust Company
Nos. 16, 18, 20 & 22 William Street
Branch Office, 475 Fifth Avenue
At Forty-first Street
New York
London Paris
foreign Exchange
Administrator Guardian
Member Pederal Eeserve Bank and New York Clearing Honse
Cottou Brokers
Lauiich Move to
Raise Conimissions
Want to Establish Sliding
Scale Based on Price of
Staple; Call Speenlative
Objection Uniniportant
Higher conimissions for the trnnsac
tion ef business for cuKtomeri- are
wanted by inuiiy iiieii'lictM of the New
York Cotton Kxchange, A petition Wttl
clrculated on thc floor of the exchange
j*<?.-.*? -Miiiy requeuting tho bowd of gov?
ornori to oppoint a committee to in
??'? tigato the matter of commlsiiont
with tho idea of increasing tho chargci,
Scntlment among Cotton Exchange
membera ia lorgcly ln favor of blgher
charges, ft ia underatood, and there
were many who placed their namei on
the petition yesterday during the ses?
sion. The view of these members is
that while prices in virtually all lines
have advanced, their charges for eon
ducting business have not advanced,
and with the increased expenses which
are necessary to carry on their affairs
un advance in commission is essential.
While the conimissions which are
desired are not set forth in the peti?
tion, those who are backing the move
favor a commission varying with the
price of cotton.
At present the commission is $20 on
a contract, the basis of the contract
beintf 100 bales for non-members, and
$10 for members. Were the commis?
sion changed in accordance with the
vicws of those who are favoring the
advance in rates, the charges would be
cn a sliding scale and would varv with
tho price at. which the staple sold.
The proposed commission would work
out in the following manner: Thc $20
base rate for non-members and $10
for members on 100 bales would be re?
tained when the price was 20 cents a
pound or below. However, should the
price go to 21 cents there would be an
increase of $1 for non-members and 50
cents for members. As the price ad?
vanced the increase in the commission
would increase in the same proportion.
For each cent advance in price there
would be an additional charge of $1
for non-members and 50 cents for
members. This commission would be
charged both for buying and selling.
Some time ago a similar petition was
presented to the governing body of the
exchange and it was defeated.
Corporate Returns
S. S. Kresge.?Sales for February
amounted to $2,633,085, an increase of
$479,886 over the corresponding pe?
riod of the year before. The two
months' sales were $5,246,644, an in?
crease of $1,102,262.
Ceneral Railway Signal Company.
?For the year ended December 31,
1018, net earmngs were $815,948, a de?
cline of $190,.-*56 from the preceding
year. After depreciation of $169,509
and interest of $39,296, balance aggre
gated $607,145. or cqual after the pay?
ment of preferred dividends to $16.27
a share earned on the $3,000,000 com?
mon stock, against $731,776, or $20.39
a share in 1917. Surplus amounted
to $47,814.
Jones Brothers Tea Companv.?Feb
ruary sales were $1,153,812, or'$146,502
more than those of the same month of ;
last year. The two months' sales to- !
tallcd $2,299,586.
Utah Tower & Lijrht Company. (Including!
the Western Colorado Power) :
February gross . $482,996 Inc. $21,798
Halnnee . 127,877 Inc. 10,511 !
12 months gross _ 5,610,670 Inc. 300.848
Balance . 1,380,595 Inc. 119,949 i
-?-Hl
$179,899,000 Subscribed
To Treasury Certificates
Total subscriptions in the New York
Federal Reserve district for the tax ?
certificates of Series T-3 offered by the
Treasury amounted to $179,898,000, ac- j
cording to a statement issued by the '
Federal Reserve Bank of New York yes- :
terday,
"The uncompleted returns from all j
the Federal Reserve banks throughout
thc nation," says the statement, "indi
cate that the aggregate amount of sub- '?
scnptions for certificates of Series T-3
will approximate $350,000,000, and that
including certificates of Series T-2 ma- [
turing June 17, 1919, and of the tax
series of 1919, maturing July 15 1919
after allowing for exchanges between
these series, the aggregate amount of
certificates available in payment of ;
taxes on June 16, 1919, will be approxi?
mately $685,000,000."
-.... ?
Texas Co. Earns $12.68 a
Share on Capital Stock
The report of the Texas Company for
the six months ended December 31,
1918, disclosed gross earnings of $44,
522,529. After expenses, taxes, etc, of
$28,525,708, net amounted to $15,996,891.
A reserve of $7,195,165 was made. leav
ing a balance of $8,801,726, which is
equivalent to $12.68 a share earned on
the $09,375,000 capital stock.
The company has changed its report
from fiscal to calendar vear, and the
annual statementa will be made as of
December 31.
Dividends aggregating $3,468,750 were
paid during the year to the stockhold
ers, leaving a surplus of 16,882,076
Prcvious balance was 854,667,429, there
by bringing the prulit and loss surplu*
to $60,000,400.
f nm? CHATHAM ft PHENUt
NATIONAL BANK
. Capital & burplui . $5,000 vC)
??- y Rt?ource? evtr . $100.000.0M
"?AtionA**** 141 tmiwi, (Sipjir Bitta.)
&ANIV' And 12 Brancliat
Texas Pacif ic
Coal & Oil Stock
J.fi.Rice,Jr.&Co.
Phon?s 4nno to 4010 Jnhn. 3fl Wall St, N. t
ANIMIKW l Mi'l'OllMAi'K, A'iiHetliW,
i ? i .? .1 I, \ u Ad III IN
HTOI KS AMI HoMI*.
?>? A't'MAN II, mi i i i.k a nnrt,
? H l l''i.. ?:, wil I.IAM HT.,
\\ s.i'M.?.i?.*,v, liiiuii :?, mi,
nl I : 30 ? tlm
KXCHASQli f-.M.I.MinirM
N08. H AND 16 VI K\ i liCI'T,
Cor m ? ounl of ICxarui
$3,000 Bt, boula Soullivvfuurn liy. Ui Mtg
?r; Bond
t'lrr ftL-couni "f n/hom li aiaj concwai
7r, kIi>-. AtohtNon Topeka & Hanta i ?? u*
HO hii:;. Metropoltta i Inauruui
' !o,
B0 kIih Great American Inau anci Co
12 b).s, United <;.,:. .? Electrl Corpa
Conn. ln' prefd,
lr. kIih. Merchant* N'atlonal Harik Jeraei
City,
10 shs. Merchants National Bank Jerati
City.
3998 .'-lis. Hammersteln Amusemenl Co
1800 .shs. Poulsen VVlrelesa Co. V. T. C,
is kLs. T. .1. Dunn & Co pp M.
ti sh.?. Guaranty Trusl i!o,
1-3 Interest In $1,000 Critcrlon Club
N. Y., 4% Bonds.
15 shs. Metropolitan Street Ily.
DIVIDEND NOTICES
AIF REDUCTION COMPANY, Inc.
120 Broadway, New York. March 19, 1911
DIVIDEND NO. 8.
Tho Board of Directors of this t'ompanj
has declared the reuular Quarterly Dlvt
: dend of Sl.oo per share on tho Commoi
Stock of the Company and the regulai
Quarterly Dividend of i\r.r on the Pr*
ferred stock, payable April 15, 1919, U
stockholders of record March 31. 1919.
. W. RANDALL, SecreUry.*
Office of the L'nited Gas linprovement'Go,
N. W. Cor. Broad and Arch Streeti.
Philadelphia, March 1SI, 19:9.
The Directors have this day declared I
quarterly dividend of :* per cen' ($1 pei
share,) payable April 15, 1919, to stock?
holders of record at the close of huslnew
March 31. 1919. Checks will be nialled.
I. W. MORRIS. Treasurer,
INDIANA PIFE LINE tOMPXXY,
20 Broadway, New York. March 22, 1919.
A dividend Of two dollars per share hai
bi en declared on the Capital Stock of thi;
Company, payable May 15, 1919, to stock
holdcrs of record at the close of buslneei
April 24, 1919.
All communlcatlons regarding payment
or change of address shouUl be sent t-> thi
underslgned not later than May 8, 1919.
GEORGE CHESEBRO', s^retary.
Redeem $613,000,000
Certificate Issue
Treasury Acts To Pave Way for
Coming Victory Loan
Campaign
WASHINGTON, March 21. ?The
Treasury to-aay autnonzed the im
mediate redemption of a block of $61b\
000,000 loan certificates of mdebted
ness, dated December 5 and niaturin*,
ordinarily May 6, at par and accrueif
interest to the date of redemption.
"In view of the determination to
open the Victory Linerty i.oan cam?
paign April 21," said a Treasury an?
nouncement, "it is apparent that thi*
issue must be refunded before the pro
ceeds of the loan can reach thc Treas?
ury. Accordingly, the Secretary of the
Treasury has authorized Federal Re?
serve banks until further notice to re?
deem in cash before maturity at par
and accrued interest to date of re?
demption Treasury certificates of in
debtedness of Series VA, .iated De?
cember 5, 1618, at the holder's option,
the right being reserved, however, to
make such redemption only after ten
days' notice, from the holder to the
Federal Reserve bank of the district
of the intention to exercise such op?
tion."
The object of this action is to get
the work of redeeminrr the certificates
out of the wav before the Keserve
banks undertake their 'rcmendoui
duties of the Ican campaign.
D i v i d e ii (1 ?
In Initial
American Mosch Magneto Company.
--An initial dividend of $1.50 a share
on the capital stock, payable April 5
to stockholders of record March 31.
Deereases
National Park Bank. -Tho q'J?r'
terly dividend has been increased from
5 to 6 per cent, placing the stock at ?
24 per cent annum basis.
Regular Derlarations
Stock
hoUler*
of
Rate Period. Paymbl*. record.
A L F F K.Slieotn. Q M?v 15 H?J
do .$1.75 pr. Q Apr. 1 Mar.-;
Chic P Tool.. p. q Apr. IS Apr.}l
City lnvi-.st., ! % pr. Q Apr. 1 M?r.-'
Eisenl'r Otto 1^ pr. Q Apr. 1 Mar>JS
Em Rrant'm. 1 *?-. pr. Q May 1 Apr.'J
Kvcrttt H'y. gU y Apr. 10 Mar-"
Hendee Mfg 1 =-4 pr. t} Apr. I >'*'?;?
MacA & 1'., 8U corn. Q Apr. 15 Mar.5
do . ll,ipr. Q Apr. 1"> ?*iJ
Riv P Corn. . * pr. S-A May 1 Mar. jj
Seamau's 011 5
Stewart Mfg, tlatpr,
Trum Stl.. . . 1 eoni.
di> . l-*A eom
do. ~[~, pr.
U S flui Ai. \% pr.
West Power. \ pr. U Apr. 15 "*?*;???
Stand Screw. ?J coiu. Q Apr. 1 ?"?"? **

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