New-York tribune. [volume], April 18, 1919, Page 16, Image 16

About New-York tribune. [volume] (New York [N.Y.]) 1866-1924

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FINANCIAL BUREAU:
Tribune Building
15-1 Nassau Streel
Wealth
arkets?Investments
TELEPHOINES:
Beekman 3000
Bcekman 8243
w.
State of South Dakota
Rural Credit 5^ Bonds
IN OPINION of counsel
this bond is an obliga
tion of the entire State of
South Dakota. Bonded tleht
less than 1 #> of the assess I
vakiation. 1 xempt from
Federal Income Tax. Eli
ciblc for Posi il Savings
Deposits.
Yielding about 4.70c'c
Copy of opinion and clrcular
scr.t on request for AK-218
The National Gty
Company
Man OSc?: N?r?n?5 Gty Baak Bailrf'mt
L>l?w? Oft?: Fifth At?. & 4>i Sl
Cfrresfondent Office* in 47 Cities
J.K.Rise,Jr.&Co. Buy&Seii
Aeolian-Weber Piano & P. Com. & Pfd.
American Chicle Common
American Cigar Common
Amer. Exchange Nat'l Bank Stk.
American Piano Com. & Pfd.
Atlas Portland Cement Pfd.
Auto Sales Corp.
Battery Park Nat'l Bank Stock
Childs Restaurant Com. & Pfd.
Continental Insurance
Famous Players-Lasky
Fanners Loan & Trust Stock
Fidelity Phenix Insurance
Franklin Fire Insurance
Great American Insurance
Home Insurance
Mecbanics & Metals Bank Stock
Metropolitan Trust Stock
Midland Securities
N. Y. Life Insurance & Trust Stock
N. Y. Title & Mortgage Stock
Niles-Bement-Pond
Porto Rican-Amer. Tobacco
Remington Typewriter Stocks
Royal Bakln? Pow. Com. & Pfd.
Singer Manufacturing
Sun Oil
Texas Pacific Coal & Oil 3
Title Guaranty & Trust Stock I
i.K.RicefJr.&Co.
Phones 4000 to 4010 John. 36 Wall St., N. T.
CIRCULAR 10
Describes the Class "A"
stock nf the Hercules
Petroleum Company of
Dalias, Texas.
The Company owns a
modern refinery, now in
operation, aad 5,000 acres
of leases in the Ranger
Field.
{ ircular 10 will be for
warded on request.
Farson, Son & Co
:' -? N?'.v York Stock Exchange
11 Br dway, Ni w York, N'. Y.
HENRY CLEWS & CO.
Mei a of N. Y. Stock Exctvang.
Deposits received subject to cheque.
Stock, Bond and Nnte Issues of Rail
road and Industrial Companies
Bought and Sold and conservative
advances made thereon.
LIBERTY BONDS
Main Office?11. 13 nnd 15 Iirnad Street
liranih Oflkct:
: 130 Kfth Ave. 30 Inlon Sqnare
?>0 Uarren St. <>.-,.'i Third Ave.
16 Conrt St., Rrookljn
HARRIMAN NATIONAL BANK
Fifth Avenue & Forty-fourth St.
New York
BANK1NG.H0URS FROM 8 A. M. TO 8 P. M
SAFE OEPOSiT VAULTS 8 A. M. TO MIDNiGHT
MauTV,Rogers&Auchincloss
f N. Y. Stoek Kxchangn
Memberi -j N. V. Cotton i irlianic*
L Chicago Hoard of Trade
25 Broad St., New York, N. Y. |
ROBLNSON & CO.
Investment Securities
28 Exchange Place New York
y.rnhm New Y?rk Ktock Bxchangt.
STANDARD
wkkklt JT 3 HIM. nn
? CMM4KY Tr MMI.r.l*
0M l TO
IIA.Mi.iiti) OIL M IXVEgTOM
Ih.HL'EN I ON llWlliat
CARLH.PFORZHEIrVIER&Ca
fliaua ?',(/ I 2 i i Briwu. 26 Br.itij Ht. V *.
>l?rk A XoMa ll^.,.l?r, f <.?M)fi
NOBLE & CORWIN
tS Brosd Ht. New V<irl?
Ch*M Nat Bk Babcock & Wilcox
Central Union fr. Otij Elevator
l*#lMttlOM 11 Jl ltro??]
Finance - Economics
(Copyrlght, 131 !>. NVw York Trtbuno Tnc.)
Tho comparative quiotncss of yes
terday's market, especially in the
afternoon, was brought about by
the failing off in speeulative inter?
est after traders had gotten out
of the market over the holiday. The
decline was widely attributed to
profit-taking, which was probably
correct. The profit-taking was ab
scribed to the holiday, also in a
sense correct. But it is instructive
10 ask why there was profit-taking
and not short-covering. If the in
ternal condition of the market had ;
been strong the withdrawal of trad
era over a holiday would have meant j
a covering of short-interest and the j
market would have risen. That the j
market declined indicated a tech
nical position not strong. Tt could
hardly have been expected to be,
after so prolongcd a rise sans in
terruption.
Although Lloyd tieorgc "clcared
the air," according to the subtle
comment which miraculously oc
curred to so many cditorial writers
at once, his speech had no percep
tible stock market effect. Perhaps
the most important bit of the day's
news was the announcement of a
reduction in copper prices, owing to
the poor demand. This was all the
more disappointing after it had
been so widely advertised that cop?
per had "turned the corner" when
orders came in a few weeks ago.
But there is this to be said for the
copper market. Consumption of
copper is to a large cxtent supple?
mentary to that of steel. Steel
buying has fallen off since two
weeks ago, when Director General
Hines announced his refusal to ac
cept the new steel prices. It was
coincident with this that copper
sales came to a standstill.
Quotations of leading New York
bank stocks in the last few days
have risen 15 to 45 points. The
advance may or may not have some
connection with thc Victory loan.
It appcars that the banks are go?
ing to lend to anybody who wants
to "borrow and buy" Victory notes
at the rate of 4-}i per cent for his
notes, which will also bear 4% per
cent. So far there is no profit. It
appears, however, that the banks
can take these Victory notes to the
Federal Reserve Bank and redis
count them at 4U per cent. That
gives the banks a profit of U of 1
per cent, though no funds of their
own are employed,
It is true that this profit is no
greater than the profit obtainable
on prime commercial paper, on
which banks lend 5*Vi per cent, and
which they can rediscount at 4%
per cent for any period from 1 G to
90 days, or even at 4 per ceht on
15-day loans. But the profit that
thc banks would make, if the fore
going arrangement is maintained,
would be not so much a substitu
tion for their profits on other kinds
of loans as it would be an addition
thereto. The Victory loan could
hardly be said to be crowding out
business borrowing. The simple fact
is that business just now does not
want to borrow. It is a reasonable
question whether the profits that
the banks would make, under the
borrowing and rediscount rates
above mentioned, would not over
encourage a lending policy, with its
attendant inflation.
xhough the market goes along
from day to day at a rate surpassing
a million shares, some folk say it
is not active. It is active in terms
of 1901, but to-day we must think
in larger terms. When we comparc
the country's wealth with what it
was then, when we compare the
banking resources, when we think
of all the new stocks that have
been listed since then, 1,000,000
shares now is equivalent to only
500,000 then. These folk bid us
wait to see what happens when a
really bull market gets under way.
Money, Credit and Exchangc
Call money opened and renewed yes?
terday at 5^i per cent, fell to 5Vi per
cent for a time, and returned to 5% at
the close. Loans on all-industrial col?
lateral xvere V6 to 1 per cent higher.
In a market of little activity, banks
are asking 6 per cent for time funds for
long periods, and a few loans are made
at that rate. A few loans are made at
,": v per cent for the thirty day period
on all industrial collateral.
The ruling rates for money yesterday,
compared with a year ago, were as
follows:
Yesterday. Year ago.
Per cent. Per cent.
Call money:
On mixed collateral 534 6
On indus. collateral &/$
Time money (mixed collateral):
Sixty days. 5%.@6 6
Ninety days. 534(a;6 6
Four months. 534(0/6 5
Five to six months. 534(0,6 6
Bank Acceptances.?Rates were un
changed yeRterday. j
Thirty Sixty Ninety
Spot de- days. days. days.
livery: Per cent.Per cent.Per cent.!
Eligible
member
banks ....4A@4 4[^^)4flr 4A@4'/4
Eligible
non-rnem
ber banks.4r*@4 4ft@4J^ 4%@4t?? I
Jncligible
bankbIlls.5!/4'5;4!/2 B^@4'/2 5l/4@434
I'or delivery within thirty days:
Per cent.
Eligible member banks. 4:7<i
L1 itcib 1 o non-membcr banks. 4'/2
Ineligible bank bills. 6
Discount Rates.-Tiie foliowing table
gives the current rates of tho twelve
Federal Reserve banks on commercial
paper for all periods up to ninety days:
-?-Mtturltx-?-,
. 3
S.SS li
e.
* = Is
? "*> - ? 2
'"? *!?? : ?? ? a
? 4 *> ? ? ." -77
aa'-1 "3 ' *
i".? : i?
: &;? : ' : t
Boston . 4 4% 4?4
Now York.4 4% 4%
Philadelphia ... 4 434 4%
Cleveland .4!4 4% 4%
Richrnond . 434 5 5
Atlanta...4 4% 434
Chicago . 4 4% 434
St. Louis. 4 4% 4%
Minneapolis .... 4 4% 5
Kansas City_4[/2 5'/4 554
Dallas. 4 4% 5
San Francisco... 4 5 5
The Federal Reserve Hank of New
Vork has put in forco the foliowing
schedule of rediscount ratea which
apply to bankers' acceptances: Maturi
ties up to J". days, 4 per cent; 10 to 60
days, Inclusive, 4% per cent; 01 to
90 days, inclusive, 4>A per cent.
Bank C'learlngs.? oank clcarlngs yes?
terday were:
Exchanges. Ualances.
New York -$690,886,546 $54,664,225
Baltimore - 12,533,979 5,162,208
Boston . 53,625,439 18,599,556
Philadelphia.. . 70,083,515 14,338,150
Kilvrr. London, 48<;il, unchanged;
New Vork, loi >,,(?, unchanged; MexTcan
dollar:'., 11 %<?, unchanged.
Bub-Treisury. The Sub-Treasury
gain?d $115,000 from tho banks on
wednasday.
london Money Markrt. LONDON,
April 17. Closing: Hnr silver,
i% Jfi-JfWi per oonce. Morify, :','/? ??t
cent. iiiscount ratos, short and three
months' bills, 3% per cent. Gold
premiums at Lisbon, 92.00.
Bank cf England.?LONDON, April
17.-~^-he weekly statement of the Bank'
of England shows an increase of
?145,415 in gold holdinjrs. The propor
tion of the bank's reserve to liability
this week is 19.03 per cent; last week'
it was 19.50 per cent. Other changes
follow:
Gold -f.. ?85.234.933 Inc. ?145,415
Reserve. 26,471,000 Dec. 110,000
Notes res'ved. 26,031,000 Dec. 1,115,000
Circulation... 76,202,000 Inc. 1,255,000
Public dep... 27,710,000 Dec. 2,599,000
Other dep.... 116,562.000 Die. 271,000
Gov. secur't's. 64,223,000 Dec. 1,917,000
Other secur't's 78,305,000 Inc. 631,000
Bank of France.--I'APJS, April 17.?
The weekly statement of the Hank of'
France with the changes from the
preceding week follows, in francs:
Gold .... 5,545,800,000 Inc. 800,000
Silver... 311,200,000 Dec. 200,000
Circ'n ...33,975,100,000 Dec. 23,000,000
Deposits 3,020,000,000 Inc, 140,50q]oOO
Loans and
dis. 3,039,200,000 Dec. 49.3CO.00O
Treasury 44,000,000 Inc. 3,000,000
The Dollar in Foreign Exchange
The foreign exchanges were ex- <
tremely dull yesterday. Sterling rates'
were slightly lower, while francs also <
eased oli". Neutral exchanges were '
steady.
Closing rntes yesterday, compared
with a week ago, follow:
(Quoted dollars to thc pound.)
Yes- Week
terday. ago
Sterling, demand ...$4.64"i? $4.64l/2
Sterling, cables . 4.65% 4.65*/2
Sterling, sixty days. . . . 4.62''-, 4.61 U
Sterling, ninety days.. 4.61J4 'L60' 4
'Quoted units to the dollar.J
Francs, checks . 6.00 5.99
Francs, cables . 5.98'/2 5-97
Lire, checks . 7AZ{A 7 32
Lire, cables . 7.40''^ 7 30
Swiss, checks . 4.9S1, ^ 4 99
Swiss, cables . 4.93 " 4^6
("Quoted cents to the unit.)
Guilders, checks .40' R 40'
Guilders, cables .40?a 40',
' Rublcs, checks.12.00 12.00
Spain, checks .20.14 2025
Spain, cables .20.33 2015
Sweden, checks .26.55 26 75
Sweden, cables .26.75 26.95
Denmark, checks.25.65 25.10
Denmark, cables .25.85 25^30
Norway, checks .24.95 25^80
Norway, cables .25.15 26
Argentina, checks.44.05 44.10
Argentina, cables .44.20 44.25
India, rupers, checks. . .35.60 35 2-3
India, rupees, cables...35.75 35-"*,4
India, rupees, cables,
Reserve Hank rate.. .'35.73 35.73
'Nominal.
Below is given lhe current exchange
value of foreign money in dollars and
cents, together with the intrinsic irold
nanty, as calculated by the United
States Minti
Currenl
e:<change Intrinsic
T, , value. value.
Pounds, sterling .$4.65 $4.865?
J,'ranCH . 0.16 0.19.3
Guilders . 0.40' n 0.40.2
Lire, checks . 0.13.5 0.19.3
1,'rowns (Denmark).0.25.65 0.26.8
Crowna (Sweden) .0.26.55 0.26.8
'lhe above rates oxpress tho cosl of
foreign money in terms "f the *?,,-,-,
can dollnr. Vou buy ?? i;,u:)l.,|, poum|
sterling, say, nt $4.G5. Tho intrinsic
parity is $4.86% per pound. Thus you
say eithor that pounds are ot -i dis
count or that dollars are at a promlum
wbirh IH owing tP the fii'l. 1 h.tI in l'nr
land ihe demand for dollars with whicii
to settlo accounts in thu country is
[greater than ihe demand in this coun?
try for poundii with which to settle
accounts in Lnglund.
$10 Dividend on
Marine Preferred
Slock Declared
Payment of This Instalment
Will Leave 57 Per Cent
Slill Due Shareholders;
Action Antieipated
Directors of the International Mer
cantile Marine Company. nt their regu?
lar meeting yesterday declared a div?
idend of 10 per cent on the preferred ;
stock on account of accumulated div
idends. The dividend is peyable May j
15 to stockholders of record at tho
close of business May 1.
This is the third dividend on ac- j
count of accumulations which has been ;
paid on tho preferred in the last six- I
teon months. Tho lirst was a dividend
of 10 per cent paid on Dccember 31,
1917, and tho second was a payment '
of 6 per cent on May 3, 1918. There
now remains unpaid back dividends
of 57 per cenl. The regular dividend
is (i ]ior cent.
Partly in anticipation of the action
taken yesterday, the stock has climbed
from n low poinl this year of 92;<i
to a closing price yesterday of 116,
and it has sold rccently as high as
118%. Tiie common stock has nd
vanced with with it. from a low of 21 Vi.
to a high of Sovs. It closcd yesterday
at 83*4..
Mercantile Marine is one of the
favorite spoculative stocks of Wall
Street. Its movejnents are frequently
violent. In lato months it has spurted
forward and just as suddenly dropped
back on roports and denials that the
vessels nnd other assets of the com
pany's British subsidiariea would be
purchased by tho United States Ship
ping Board. This proposed deal was
finally declared off by tho government
on April 4.
Foliowing this incident, thero was
talk of a possibility of negotiations be?
ing resumed with a British syndicate
for tho snle of the company's Eng?
lish fleet. This project had been halted
by the United States Government. So
far as known, however, the negotia?
tions have not been taken up again,
and an official of the company rccently
snid that he did not know when they
would hc.
Ray Copper Fails to
Farn 1918 Dividends
Company Shows Defieit After
Dishursement Is Made
Tho annual report to stockholders
of the Pay Consolidated Copper Com?
pany for 1918 shows that the com?
pany failed to enrti protits after charge-,
fur depletion large enougs for the pay
ment of $5,125,832 in dividends. Aftet
this deduction !.-,i! i..-en made a dclicit
of 5472.377 wns =hown for the year, ni:-.
pared with a $3,077,018 surplus for 1917.
Pi vi : ? received I rom the net pro?
duction of 83,599,160 pounds of cop?
per was $19,795,199. In the preced
ihg year operating revcnue aggregated
$21,278,071. Expenses were placed at
the cnormous sum of $14,795, l'js,
against $1^,299,415 for the year be?
fore. The increase in labor wage and
larger prices for materials were
largely responsible for this heavy de?
duction. Net profits before depletion
charges were $4,653,455.
Thc gross copper output of the com?
pany last year amountcd to 86,919,270
pounds, which, after smelter decue
tions, left a net production of 83,
599,160 pounds. This makes the total
gross copper production from the in
ccption of operations, April, 1911, to
the end of 1918, 484,309,560 pounds.
Sherwood Aldrich, president, stated
iii his repon that with the signing
of the armistice toward tho close of
1918, the demand for copper metal
abrirptly ceased, and to avoid thc crea
tion of nn execssively large surplus
of unsold copper, production and op?
erations were, beginning January 1,
1919, reduced approximately ftfty per
cent. At the same time, hc explained,
the price of tlie metal dropped sharply,
and it has only been during the two
months before tho date of this re?
port that there has commenced a sub
stantial lowering of cost factors.
-?
Plan Big ()il Storage
Facilities at Five Ports
"WASHINGTON, April 17. -In devel
oping its programme for efficient opera?
tion of the new mechant marine fleet
of oil burning ships flying the Ameri?
can flag, the Shipping Board is prepar
ing to build great oil storage facilities
at fivo important ports, Boston, Phila
dclphia, Galveston, Colon and Cristobal.
It was learned to-day that facilities
at these ports will cost approximately
$5,000,000. They will include all the
most modern cont rivanees for the nuick
fueling of American ships. All of the
vessels now being buiIt. by tho Shipping
Board nre either exclusively oil burn?
ing or combination coal and oil burn?
ing.
- .
Exchange Seats Up $1,000
Tho Stock Exchange membership of
Frederick II. Hovey has been sold to
George A. Sawycr for $70,000. This is
an Increase of $1,000 over the lasl pre
vious sale. W. C. Anderson. Harold W.
Piercc and James A. Garland havo been I
clccted members of the exchange.
G. W. W. Dividend Cut
Company Declares Quartcrly
Disburseraent of 50 Cents
Directors of Gaston. Williams &
Wigmorc, Inc., reduced the annual div?
idend rate on the capital stock from
a $4 to a $2 annual basis by declaring
a quartcrly distribution of 50 cents a
share, payable May 15 to stock (f rec?
ord May 1. Three months ago the
quartcrly dividend was ?1 a share.
Foliowing yesterday's meeting George
A. Gaston, president, announced that
tho company had earned less during
the last six months than during the
similar periods of 1917 and 191H, but
that business was already increasing
after the slowing down due to the ar
mistice. He statcd that the foreign
associated companies of Gaston. Will?
iams ('? Wigmore now were firmly es
tablishcd and that the outlook was cn
couraging.
The company on April 15 paid off
$1,000,000 of its serial notes, leaving
$2,000,000 outstanding.
Traction Expert to
Help Reorganize
Local Companies
Street Railway Authority
Will Seek Tllelhod of Put
ting B. R. T. and Interbor
oimh on a Paviiiff Basis
A former Seattle traction official, A.
L. Kempster, has been called to aid
in the present sttidy of the Inter?
borough nnd Brooklyn Rapid Transit
lines, with the view of putting on a
paying basis the B. R. T. and the New
Vork Railways Company, which aro
now in the hands of rcceivers.
Mr. Kempster was manager of the
Seattle division of the Puget Sound
Traction, Light and Power Company
before the system was acquired by the,
city of Seattle. He has been connected
with street railway work for the last
twenty-eight years. Mr. Kempster will
tirst assist Frederick P. Royce, general
manager for the receiver of the B. R.
T., and it is expected that he will later
aid in the investigation of the Inter?
borough lines.
Interborough Study Under Way
The study that is now being made
of all tho Interborough lines is being
carried on by Stone & Wobstcr, engi
neers, and Price, Waterhor.se & Co.,
accountanta. .Mr. Royce, of tbe B, R.
T., is also of Stone & Webster, and he
was called in to systematize the opera?
tion of that property.
When the Xew Vork Railways Com?
pany went into receivership last month
a committee of the Interborough Con?
solidated Corporation, which is tho
holding company for all the Inter?
borough lines, including the N'ew York
Railways Company, arranged for the
present study. That committee is com
posed of Grayson M. P. Murphy, chair?
man; John McHugh, Charles A. Pea
body, Charles S. Sargent, jr., James A.
Stillman and Frederick Strauss, with
John A. Griswold, of 140 Broadway, as
secretary. These men are known as
the Interborough-Metropolitan 41/? per
cent Collateral Trust Bondholders'
Protectivc Committee. The Interbor?
ough Consolidated Corporation i.-, the
succcssor to the Interborough-Metro?
politan Company. The Guaranty Trust
Company is the depositary of the com?
mittee.
On April 2 Mr. Murphy sent a letter
to the holders of the ,1'._. per cent col?
lateral trust bonds, in which he said:
"Interborough Rapid Transit Com?
pany has outstanding $160,893,000 of
first and refunding mortgage 5 per
rent bonds and $39,199,000 three year
7 per cent notes due 1921, sccured by
$61,279,000 of the tirst and refunding
bond,. On July 1 approximately $4,000,
000 of interest upon these bond-; will
fall due, of which approximately $3,
500,000 is chargeablc against income.
This amount will nol be entirely pro?
vided from earnings. Tho balance
musl be provided in some other way if
a defauft which might destroy the
value of the stock by which your bonds
are sccured ia to be avoided.
Safeguards Needed
"Manifestly if your security is to be
safeguarded, prompt action must bc
taken. To this end the committee has
arranged for a thorough investigation
by Messrs. Stone and Webster, en
gineers, and Messrs. Price, Waterhousc
&. Co., chartcred accountants. When
their reports have been received the
committee will endeavor to formulate
some plan for the protection of your
security and ultimately for the reor
ganization of the property."
C. W. Kellogg, of Stone & Webster.
is in charge of the study of the. Inter?
borough lines. Soon after Mr. Royce
want to the H. R. 'J'. he called G. A.
Richardson to assist him. Mr. Richard?
son was superintendent of th,. Seattle
division of the Puget Sound Company,
oi' which Mr. Kempster had been man?
ager, in Seattle. Mr. Richardson was
with Mr. Royce I'or a few <,veeks and
then went to Philadelphia, where he
is now superintendent of transporta?
tion of the Philadelphia Rapid Transit
lines.
Organize Marine Insurance Co.
Organization of the Mcrchants' and
Shippers' Insurance Company, which
will writo marine insurance,'was an?
nounced yesterday. Isaac Klcin is pres
idcnl of the company. Mather & Co.
will direct the underwriting.
Significanl Relations
Money antl Prices j
Stock of money gold ln the conntry.. $3,034^13,002 ??3,04l'.MW70
Loans of all national banks. SO^iISoa rwm preMdlnuTeM.
Their aurplus reserree. ?J2J25 $9,390,836,000
Bills dihcounted and boutfit by Fei- l2'15 105,977,000
eral Reserve Banks. $2,186.5 H.GOO $ 1 03"664 nrto
Federal Reserve notes f? circnlatioa 2,548,588,000 i'dQq'w'nm
Total Col." rerenre . 2,142,880,000 2,142,SS?
ATcragc price nf fifty stocks. X8406' P"fi40ft?"' "f?
Average price of twenty-five bonds.. 3673 al'nn l.
Food cost of living (Annalist indes . , ? , 8?'30 84-81
number) . 311X14 ''' S'nc r"' 'rs' A '' ?' ??"
General commodity price level (Dun's Vi 1 305.oa I 283.381
index number) . 217r.037 2^Q ""^'m
Production: -*'.?//
Mar ::! I,.,, ^
Unfilled U. S. steel orders, tona. ....5.430,572 6,010 787 QntiitifHi
Mar :| i.r, uo 3,1.00,HU4
Fig iron output (daily average), ton* 99,685 105006 *??(&'?(%
ii,].? v i i n , ? ' lUo.o^-o
Wheat crop, busheU. ' '?17,W,obof' wVekVSSh
O.t crop, busheU. 1,538,350.000 1S8808
Com crop. buahela. 2,58e.814.0OO aowoiS'SS
Cotton. 500 lb. balcs . 12 02Pflnl ^000,233.000
. IAU^.601 11,302,3/5
-Incrtm* or <lciff??? from ,?lr h,fort
D! ? I .? 11, I A" r1'1*"' ' r0?'l?-^
istnbutioni ,,?','''''", ., ^
... ,' " Miri'li of ... , .
Groas railroad earningn. ' , ,"9,!' "i.imry f"i, '?
Bank cleoringa. '"A,,;, "'"""inii j-?,, " "
(- , .* " ,5*7'' : 17.1%
. , March 1 ,1 .? ,.,,
Active cottun splndlea. "'k.ioi-.c 0000-,,-_ v ?, .
Commercial lailurea (Dun'V) 3*-6^,376 33,282,593 33.709,976
Number . g^g' " 60?' ' V v' " ''"
Bu\!nKgUp?rm.V."(BV.^V.V^ *11-48'9'183 WA&BM
(100 1.1 r "'nii'ii. inri ?
\<M (IIichj .j. ?oq ann qao I 'J'nurj. |3U
_ .*Ka.a30,942 $25(5 \stiU
Seek Control of
British-Owiiecl
Steel Company
William Salomon &. Co.
Make Offer for Slock of
Otis Company, Capital
ized at $7,457,500
Negotiations for the purchase of
control of the Otis Steel Company, of
Cleveland, Ohio, from British interests
are being carried on by William Salo
mon & Co., of this city. Reports from
London that 120 had been offered for
the English holdings of tho preferred
and 210 for the common were. con
firmed by Jacques Weinberger, a mem?
ber of the private banking firm. These
terms are expected to bo accepted.
Elisha Walker, who has been abroad
during the last six weeks conducting
the negotiations for his firm, is ex?
pected back here next week witfc full
details of the transaction. Other mem?
bers declined yesterday to say whether
they were acting merely as the broker
in tiie purchase of the Otis Steel share;
or for another American steel con
cern.
The Otis Steel Company manufac
tui*C3 steel plates and castings. Of the
$7,457,500 outstanding capital stock
$4,802,800 is common. and $2,654,700
preferred. Regular payments at the
yearly rate of 7 per cent have been
paid on the preferred. ln 1913 and
1914 1 per cent each was paid on the
common." None was paid theroafter
until July 1, 1917. when 10 per cent was
declared. On October 1, 1917, and
January I, 1918, stockholders received
2'-2 per cent.
Present directors include A. W. Tait,
London, who is chairman of tho board;
J.#Edward Touche, Edinburgh, Scot
land; O. Bartol, II. E. Higgins and
H. F. Deverell, all of Cleveland. Mr.
Bartol is president and Mr. Higgins
is vice-president of the company.
Bankers saw in the expected ncqui
sition of control of the Otis Steel Com?
pany by American interests a possiblc
forcrunner of similar transactions in
view of the presQiit unfavorable sterl
ing exchange situation. They also
s'ated that deals of this nature if car?
ried out on a large scale would assist
greatly in restoring the pound ster
ling to its normal parity.
A Tip on Food Products
The foliowing was put on the wire
yesterday by Chandler Bros. & Co.:
"From sources which have proved cor
rect so far, learn that insiders expect
United States Food Products to sell up
to the 80 level more quickly than the
stock rose from 60 to 70. 'Around 72
l . !?'., paying s per cent. dividends,
yields over 11 per cent."
Not Past the Top
"Tho setback has been overdue,"
Wrenn Bros. & Co. say, "and it is
likely to run further, but there is no
evidenco to show that the market has
passed its top."
Expect Continuation of Rise
f>, 13. Chapin & Co. say: "It is not
believed the bull movement in the
market has yet culminated, but, on the
contrary, it is expected there will be
a continuation of bullish activity with
only moderate setbacks, under the
leadership of the food, motor, oil, ship
ping, leathcr and other miscellaneous
industrials. No bull movement of any
importance is expected to occur in the
railroad list until their financial re
quirements have been provided for and
some further increase in freight rates
aulhorized to offset the recent advance
of over $65,000,000 in the wages of
railroad employes generally."
The Telephone Merger
"As long as the government retains
control of the American Telephone and
Telegraph Company," Clark, Childs &
Co. said yesterday, "it would seem
dividends were assured, that charges
can bc met and that the government
under its contract will see that funds
are avnilable to keep the property in
high elficiency. It does nol appear
likely, however, that the telephone sys?
tem will bc allowed to remain under
government control much longer, for
the new Congress is said to be already
laying plans for return to sharehold
ers. In this attempt it will have the
support of the country, for the hith
erto most excellent service has deter
iorated under Mr. Burleson's manage
meut. In the mean time, the Post
master General has seen lit to grant
considcrable wage increases, an ad?
vance of from 5 to 10 per cent hav?
ing been granted only last January.
With a eoucern having so many em?
ployes this is a big item, especially
when margin for dividends is as slcn
der as during the last two years."
Favor Cast Iron Pipe
ln a letter on I'nited States Cast
Iron Pipe, Hendrickson iV: Co. say:
"The company has outstanding
$12,000,000 7 per cent preferred stock
and $12,000,000 common, together with
subsidiary bonded debt of $767,000.
'i'he balanco sbeet shows a very strong
and liquid position, net. working capi?
tal at. the close of the fiscal ynur
amount ing to $5,140,000. In o'ther
words, the company is well prepared
lo meet the heavy demands of the next
few years. The preferred now pays 5
per cent, but. considering tiie outlook
and what has been allowed for ex
traordinary dopreciation, it is reason
ably probable that the dividend will
be increased to 7 per cent, which would
cleav th.- way for dividends on the
common stock. We believe that in the
course of time both common nnd pre?
ferred sbares will sell very much
higher."
Holding Company for
Winohesler Arins
NEW HAVEN, Conn., April 17. The
Winchester Company, which was in
corporated at $30,000,000 with the Sec?
retary of State in Hartford yesterday,
will for the present act a.; a holding
company foi- 97 per cent. of the stock
of the Winchester Rcpeating Arms
Company, of this city, it. was an?
nounced to-day. The new company
I'.as elceted offieers as follows: Pres?
ident, Thomas C. Bennett; vice-presi?
dent:-, J. K. Otterson and D. W. Weeks;
secretary aml treasurer, K. Earle An
derson; assistant treasurer, R. K. Will?
iams.
Metropolitan Petroleum Snit
Suit of the Fquitable Trust Com?
pany for principal and interest on $1,
:i00,000 riebenturcs of Metropolitan
Petroleum Company in dcfault, came
up unexpectedly in the Federal Court
1 hia morning. II. M.< Earle, of Horn
blowcr, Miller, Ciarri or, & Potter nnd
other ...on ol f^r plainl iff, Island <>>t
,a ,l other allied interc i , appear. d in
i ourl and woi ?? ready I > go to trial.
Htanchlield .<:? Lcvy, attornoys for Met
ropolitntt Potrolcum Company, an
nounced that they wer.< not. ready and
negotiations began with opposing
counsel to obtain a delay. This delay,
under the rules of tho court, cannot
execud thirty days. L j
"^
I
Our New Uptown Office ?
crt For Business
Op<
. :'S^-^
The Madison Avenue Ofrlce of thc
Frankun Trust Company is now open at
Madison Avenue and 40fn Street
One Woek from Fifth Avenue
On<2 Wock ifom new Park Aacuu* Viaduct;
Two Mocks from 42ruiSireet
~ Three Jblocks front Grand Central Station,
! SECURITY ? EFFICIENCY ? CONVENIENCE ?
FranMin Trutfl Company
EstaUisW 1885 / ^J
Salt Creek Prod[ucers, Ass'n
Botiglrf and Sold
Tlie above company represents a con^olidation of virtually all the
leading oil producers of the great Salt Crcek field of Wyoming.
Circular on request.
15 Broad Street
Telephone Hanover 7707
New York
?? ??? m?i?i?
American International
Sells U. S. Aleohol Stock
Disposes of Holdings in Open
Market at Large
Profit
Stock holdings of the American In?
ternational Corporation in the United
State.; Industrial Aleohol Company have
been sold in the open market." An
nouncement to this effect was made at
the annual organization meeting of the
latter eoncern yesterday, when it was
also diselosed that William S. Kies and
Richard P. Tinsley had retired from
the board of directors. The two repre
sented the American International's in?
terests in United States Industrial Al?
eohol. II. H. Rogers and Oliver C. Jen
nings were elected to succeed them.
The stock of the United States In?
dustrial Aleohol Comnany purchased by
the American International Corporation
was disposed of after the first of the
year, as the latter company's report for
1918 revealed that those holdings had
not been said oi. December 31. The
amount, which was reported to have
heen acquired between the latter part
of 1917 and the early months of 1918,
li..s never been reported.
That the company sold the stock at a
substantial profit is indicated by 'he
course of the price on the Stock Ex?
change. Since the first of the year the
rise has been one of the sensations of
the stock market, the advance starting
at. 97'.t and culmiriating rccentlj at
159%. According to Wall Street re?
port, the first of the American Interna?
tional's Industrial Alcoho! holdings
were acquired late in 1917, The aver?
age purchase price was j/.accd betwfeen
10') and 120.
With the $20,000,000 to he derived
from the rocent call for payment of the
remaining $40 a share due on its stock,
coupled with the funds realized from
the sale of its Industrial Aleohol hold?
ings, it was learned yesterday that the
American International Corporation is
planning to enlarge i\s operations in
foreign fields, mainly on public im?
provement projects.
Defieit for Alaska Cold
Expenses in 1918 Exceed the
Amount of Company's Earnings
For the year ended December 31.
1918, the Alaska Cold Mincs Company
reports a defieit after operating ex?
penses of $96,944. This compares with
a surplus of $285,158 for tha preceding
year. Other losses aggreggated ?!'.?.
621, making a total operating loss of
$llt;,565. To this amount interest to
talling $219,685 and depreciation of
$311,724 was added. thercby causing a
total defieit for the year of $647,974.
The report to stockholders pointed
out. that despite unfavorablc conditions
under which the company operated
the actual cash loss sustained was
relatively small owing to the advan
tage taken of dcvelopment work done
in the past by drawing consdierable
tonnage from reserve on which costs
had heen previously paid and also by
limiting new development and pros
pecting work to the utmost until con?
ditions become more favorable.
During the year the company ac?
quired $12,500 of Alaska Gastineau
Mining stock and now owns $11,756,100
(par value) out of a total issue of $12
iinn.noo. '
000,000.
Stock Exchange Sued
Seeks to Recover Proceeds of
Sale ot* Seat
A suit for $68,500 against tl
New York Stock Exchange was filed in
the United States District Court yes?
terday by Frank A. Salinskv, trustee
:n bankruptcy for the J. C. Wilson es?
tate The amount sought to be recov
ered represents the proceeds of the
sale in October. 1915, of the seat of
J. C. Wilson. The sale followed the
suspension and bankruptcy of J. C.
W jlson & Co., a San Francisco house.
In his suit Mr. Salinskv alleges that
the Stock Exchange collec'ted the money
and refused to turn it over to the es?
tate. The defendants named are H. C. |
S. Noble, president; George W. Ely,
secretary, nnd Charles M. Newcomb'e. |
treasurer of ihe Exchange, and Harris,
Winthrop & Co., brokers.
To Open Branch UanU
ihe Mercantlle Bank of lhe Amei cas
of N'ew Vork, which has important in?
ternational conneetlons, announcedyes
tcrday plans for the oponing of a!
branch at N'ew Orlcans to handle for
eign trade flnancing for the Mississippi
Valley rogion. Tho date for the opon?
ing of the. new branch has not been de?
termined.
Bankers Trust Stk.
Lone Star Gas
Midland Securities
Tex. Pac. Coal & Oil
J.K.Rice,Jr.&Co.
Phones 4000 to 4010 John. 3C Wall St., N. y.
Liberty bonds
Bought and Sold for Cash
At Stock Exchange I'rices luid I;itrr?it to date.
CaJl or scnd by reglstered msll.
PURDY & CO.,
Tel. John "174-5-G-7. 34 I'ine Sl., N. V.
r?
Liberal Interest
on dailv balances.
n
Metropolitan Trost Company '
of the ( ilv nf N>w York
"ll Wall Mrirl. 7111 Fifth Aifn'jf
/all Street Items
\V. i. v. i ..-.'.:?. formerly vice-pn
and gfnT.il nianauir of. tlie Savagi \ i <
i' irp ii ,i- lon, , has be< n eli I l pi
iuci ??? IIhk X. ' ' Borie, ri sig .
Th ? $500 000 Mtddh West L'tilittes Com ?
pai ?? '? ? ?' 7 per rem eonvi i
lui Mai rh ;, 102 1, are 1, Ing offi i ? il
by .\ B. 1 .? ach & i '... at 97 .
ng . i per cent.
AJbi r1 11 ? '. nf A-lbert Iliri t, Inc , has
bi en ? le. led u director of 1
L'enl :. I Bank.
II II ;:?,:-. rs and O ,ei ? .'????.
??-.. .? i . ?? . ... -.,;,.
States Ii u.?tri;i Vli U
lam S. 1. an I ! ichurd ;'. T
11 M Grant & ?." and 1 blow-T *
Corporate Returns
( ilics S< im nr I ompun.v
.". <?? li gi Sl,(147.81!) S.'7 .SO;
1.71 1,8 i'i ? ' 223,406
I moi th* gi !1.992,176 Im 2.1 11.497
.-? ,::;;.. . 2U.68U.38 1 I ,2 i 1.688
Detroit Kdison C'oinpmij
? ijll,375.801 li $235.1 17
Sui ? .i 262.070 I 30.926
I.1A5.91 ' ' 595.41 I
. . . 829.907 ln ? 54,435
l iniii) l iclit * Ruilwa.vs Compnnj
...
I nio:i nded i'. b
. . $1,710,1 IS Inc. $262,702
s;ct ... 469.781 li 51,011
.-.., pius . 71.71'.? I 86,158
Kansas ?.ns ? Electric < onipany
. gross .... $248.1 18 In $64,615
Malance ... 64,51 I '' S?31 '
: i,th! gi s 2,241.296 l 1 i:.74o
Balaiu ? 219.296 li 147,740
I'aciflc I'ower * 1 .iglit Contpanj
Febru ir> gro .... $159,469 h
:: . 29.133 : i
B ... 1.892.700 .
Balai 162.463 D,
rorllund (ias .V < oke ( omi
I ?? ?? ?: , , ? $180,642 ?
52,290 '
1,894.947 '
335.566 ...
ith:
?1 1.3K1
201.516
121.325
$15,318
17,380
479,79 i
181,309
Australia Reducing fmport
Balancc W it5i United State>
MELBOURXE, April 16. In tho first
eight months of 1918 Australian im?
ports from tlio United States exceeded
hor exports to America by nearly $S.
000,000, while in 1912 there was a bai
tuico of nearly $40,000,000 against Aus?
tralia, A. W. Ferrin, the United States
commercial attuche, said in an sddress
here to- day.
Mr. Ferrin r-niil he believed tha
stream of trade would cventually bal?
ancc. Australian exports in the future
? luld be in wool, tln, hides, skins and
1 robably tfairy products, while the im
;>..? fi oni ' "tn pi ica would conaist
mostly of clothing, agricultural ma
chinery and machine toole. He voiced
t;i<. opinion that the now Australian
tariff would bo strongly protectiva, but
that U would not havo any serious ef?
fect on American imports.