New-York tribune. [volume], April 22, 1919, Page 13, Image 13

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

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FINANCIAL BUREAU 3
Tribune Building
154 Nns-**au Street
Wealth
vestments
TELEPHONES:
Beekman 3000
Beekman 8243
u. s.
Steel
Thi* reviev wn!
upon requesi
Members
.. Y, Stock Exchango
N, Y. Cotton Exchange
Chicago Board of Trade
25 Broad St.
! H1LLER.&60.
VAembers 7
NeW roik StockExcbidTsje,
?I Securitiea Bought for In->
restment or Carried
on Conservativc
Margin
teOBROADWA*
Bratich OITlcgs
212 FIFTH AVENUE
5WCOR.2f> iiTREtr
KNGACREBaillJING
U. E.COR. 42nd ST Or BROADvVJaV
NEW"YDRK,
HUGHES & DIER
l Chicago Board of Trade
BOOTH FISHERIES
GREAT NORTHERN ORE
GENERAL MOTORS
BETHLEHEM STEEL
HASKELL & BARKER
OHIO CITIES GAS
OKLAHOMA P. & R.
The above stocks and others of
current market interest dis
cusscd in the current number
of our weekly market publica?
tion.
Sent on request for K-377.
HUGHES & DIER
Ktueka?Bonda?-Grain
50 Broad St., New York
5ulto ?12-620. Tel. Broad 1252
TTpUfWTi Offlce?07 West 125th S't.
Philadelphia, 1435 Walnut Stroet.
American
International
Corporation
A romprtthen-iivf rfnAmn and
r.nilvsiti of thv) company (Jutt
?? urd) and ready for gratvi
!wi dUtribution. Copy U-13,
on r?'juest.
E. W. Wagner & Co.
Estabiiithed 18S7, Chicago.
i -V-u> y'ork Stock liTrhaipt
M*mberi j .-:?? v-,ri: Cotton Kxchanut
, ' >.-.';uj/i> board of Trv.d*
is kew sr. new vork
f V.rd Ave. A 4 2* at.
J 10S Weat &2d at.
1 2*, Court Bt., Brooklyn.
V 810 Broad Bt., A'eioarfc.
J?K.Rice.Jr.ti&o.~Buy&Se;l
Aeolian Wehrr Piano St Pianola.
Am<Tif-arj t hi. lo
Am?rli-an M?t?r
Amerlean Pinno
vtntiUfr* Truat Hteeh
< bIMi fteatauraitt
riraum Playrra-Laaky
1 -' I ' ?? rin-iiiv IriHiiranc*.
Iranblln Inauranca
'jj'.'r.ii llablng
1-1.xlt \?|ii>.. f oal Ha.Ua
?utrapolltan I r,i-,t Htocb
*i'?.,.i ?*,, urltlei
Kfti lonal i ,,. i <,,,,
Jj|l?< ip ment-I'ood
K .1. Krynolda Tohacce
* ut'-r ? \.tt,vt.ti ttirinif
- itidaru -, rew
l < ii i ... Illi ( oal S. oil "JUghU"
J.ILRicc,Jr.&Co.
Mt*4*">'i '?? lOlO John 84 Wall Mi , N 1
NATIONAL TIN CORP.
' iti tthir on I'.r<(,. ?(
J- Robimon-Duff ci Co.
?? i ?, |,,,,'- / '?? Hr H " hn.nu*
'' ?; ?- ? ?> *.'('; Uowllnt <i(?#ii
61 Broadway Naw York
JEWEL TEA
' r"4t< Ittltr im rtu/utit
CfiJUDB^GjOLHUM
"?HOAOWAy, k. V. riWM H%*t?f 42W-7.
2* A MaMa TtMetfara c. Carwfa
,*0BLE & CORWIN
M i"./'.K/i hi. Nrw y?rU
^?eNaflBk. Babcock&Wilcox
mtral Union Tr. OtU Elev.tor
'T*lH,*"M*. II J! itroMK)
(Copyright, 1DI9. New TorJc Tribuno Ino.)
Reports received by the National
Association of Manufacturers show
that "with the exception of five
out of twenty-two principal groups
of industry throughout the United
States business activity is approxi
niately between 25 and 50 per cent
of normal." The five exceptional in?
dustries are jewelry and silverware,
musical instruments, vehicle groups,
rubber and tobacco. The "rubber"
doubtless represents tires for the
"vehicle groups." These industries
report "a predominating condition of
prosperity." The statistics do not
apply to retail trade, which is good
in nearly all lines.
The people whose work it is to
find a solution of the railroad prob?
lem aro not to be envied. If they
wanted to satisfy only one interest
their work would be easy. If they
wished to satisfy only the railroad
owners they would doubtlcss propose
a "minimum guarantee," so that
even the road worst ofl' would re?
ceive a return on its capital of 4 to
6 per cent (and one need not now
complicate the matter by going into
the problem of how its "capital"
should bo detormined), This mini?
mum could be attained in two ways. !
The government could pay the dif
ference to any road not earning the
minimum. This would presumably
be objected to by the taxpayer. lt
would inevitably involve increased
regulation on the part of the gov?
ernment. It would reduce the in
centive to economy. It might pro?
duce scandals. The plan has had
much compotont advocacy, including
j that of Paul Warburg, and some
I competcnt opposition, including that
! of Otto Kahn.
A second way in which thc mini?
mum could bo attained would be to
make rates so "adequate" that even
tho road with highesc expenses and
smallest volume of traffic could earn
i a "fair" return. But as costs vary
so widely on difl'ercnt railroads, any
rate level high enough to do that
would also be high enough to yield
scandalous profits to roads with low
expenses and dense volume of traffic.
< Advocates of tho plan have felt this
; and have, therefore, made such pro
' posals as a division of profits above
a certain rate with labor and thc
' government. But the real weakness
of such a plan is not that some roads
would receive too much, but that the
shippers would pay too much. It
would constitute an unfair tax upon
them for the sake of supporting the
railroads, railroad labor and the
government.
The worst system of all for per?
manent adoption would be that at
j present obtaining. It removes all
' incentive for economy and good man?
agement. No need of offering better
] and prompter facilities for shippers
' and passengers to use your road;
| your earnings remain the same. No
need to cut down expenses; you can
| not increase your earnings thereby.
If you earn above tho three-year
guarantee the government will take
every cent of it from you; if you
: earn below, well, tho government
wili make it up. No need to appoint
competerit offieials; what difference
will if, make in earnings whether
offieials are competent or not? The
only reason the system has worked
fairly well up to the present is that
the roads have retained the same
organization and personnel dcvel
oped before the system went into
effect and that they have been cx
pecting always a return of the old
system.
If you attempted to solve the
problem simply by fixing a rate
adequate to return, say, 0 or 8 or
some olher percentage on all rail?
way "capital," or to promise to re?
turn that average rate to new cap?
ital invested in railroads, you would
be faced with tho difficulty that
though half the roads might receive
more than that, it would mean for
some roads a porpotual deficit. Yet
it might be possible io fix such a
rate level and to use it, together
with a more elastic application of
the present three-year guarantee.
That is, there could be a graduatcd
tax on all earnings above the guar?
antee und a graduated reimburse
ment for the difference between tho
guarantee aml earnings below if.
'I'he ideal rate level would then be
one under which fhe proceeds from
the tax and the amount of reini
burscment would be approximatoly
equal. The railroads as a whole
would be self-.supporting. If the tax
and reimbursement were 50 per cent,
say, there would still be incentive
for economy and good management.
The railroads would get half of all
earnings above the guarantee; they
would loso half of all earnings be?
low. But the fixing of a guarantee
or standard return level would in it?
self contain enough controversial
possibilities to keep Congress busy
for months. No one who,;o business
it is to solve the railroad problem to
the satisfaction of everybody will be
called happy until he is dead.
Banks were much more libera! with 1
their ofTerings of call monoy yester?
day and rates eased off in the after?
noon, closing at 4% to 5 per cent, com
pared with earlier quotations of 5% to
6 per cent.
The ruling rates for money yesterday,
compared with a year ago, were as i
follows:
Yesterday. Year ago.
Per cent. Per cen*t !
Call money:
On mixed collateral 5'/2 6
On indus. odlateral 6
Time money (mixed collateral):
Sixty days. bH'ft'6 6
Ninety daya. 5%.@6 6
Four months. 52,^(u)& 5
Five to six months. 5%@6 6
Bank Acceptances.?Rates were un?
changed yesterday.
Thirty Sixty Ninety
Spot de- days. days. days.
livery: Per cent.Per cent.Per cent.
Eligible
member
banks ...,4A@4 4|4@4A 4A@4J4
Eligible
non-mem
ber banks.4MC4 4A(a)4^4 4%(Si4A j
Ineligible
hiu.k hil!s.5|/4*ai4l/2 5^@4'/2 B^@4-%
I'or delivery within thirty days:
I'i.r cent.
Eligible member banks. 4tv?
Eligible non-momber banks. 4J/a
ineligible bank bills. 6
ll-ink ClearingH.?-Hank clearings yes
terday werei
ExchangOS, Halnriecs.
New York ... $402,081,708 $55,015,127
Haltlmore ... 15,502.142 7,250,304
Hoston . 66,183,046 22.125,548
. 87,642,181 8,890,022
Philadelphia... 68,466,713 13,714,243
St, Louis . '31,239,9/0 10,631,088
Dlaconnt Ratea, The following table
(f'.vi-M tho current raten of the twelve
I*. .!? ral Reserve banks on eommerclftl
paper foi nli pi rlods up to ninety daym
Uiiurftj
*i '?>' e
i
il
j p ;!/
Boston . 4 A% 4%
New Vork.4 4% 4%
Philadelphia ... 4 4% 4%
Claveland . 4'/4 4'& 4%
Rlchmond . 4% 6 6
Atlanta. 4 4-'4 4%
Chicago . 4 4% 4 '^
Ht. Louia!.4 4% 4%
Mlnn<-apolin .... 4 4% 5
Kansas City_ 4|/v 6i/4 5<4
I>?!la*. 4 4% 6
Hun Pranciaco... 4 5 6
Tha Podoral Reserve Hnnk of Ncw
York h?n put in force the following
achadule of redisconnt thU'h which
apply to bankers' acceptances: Maturi
tit*? up to V-i daya, i p'T cent,; its to 60
days, incluaive, 4% per cent; 61 to
m days, inclusive, 4^ per cent.
Silver. -London, 4St8d, unchanged;
New York 10l%c, unchanged; .Mexican
dollars, 11 i/oc, unchanged,
Sub-Treasury. ? The Sub-Treasury
gained $375,000 from tho banks on
oatu rday.
Dollar In Foreign Exchange
The foreign exchange market yester?
day wns a mill affair. The leading ex
changea moved within a narrow range
and there was comparalively no chai c
" sterling. Franca wero a shade
easier. Neutral c.xchanges were steady
Uoaing rates yesterday, compared
with a week ago, follow;
(Quoted dollars to the pound.)
Yes- Week
... ,. , , tcrday. ago.
Sterling, demand .?4.64% $4.65%
Sterling, cables . 4.6578 4.66%
Sterling, sixty days... 4.63 4.63'/'
Sterling, ninety days.. 4.61J4 4.61%
(Quoted unita to the dollar.;
Francs, checks . 6.01 6.01
Francs, cables . f,.99 599
Lire, checks . 7.45 7,40
''??"''. cables . 743 733
Swiss, checks . 4.97 4.98
Swiss. cables . 4.93 494
(Quoted cnts to the unit.)
Guilders, checks .40' R 40' 4
Cjuildcra, cabloa .40% 40' 'z
' Kublcs, checka.12.00 12.00
Spain, checka .20.1F! ."0.10
Spain, cables ..'.'0.23 20.26
Sweden, checka .26.0b 26.GO
Hwodcn, cables .26.85 26.BO
I)enmark, checka.25.70 24.90
Donmnrk, cabloa .25.90 25.10
Norway, checks .24.90 25.00
Norway. cables .25.10 25.80
Argontlna, checka ... .44.10 44| ,
Argentlnn, cabloa .44' ,j 44 2-5
Indin, rupooa, checka, .35.60 36.56
India, rupooa, cables. .36.76 35.63
India, rii|i"i')i, Cttblos,
Roaorvo Uank rate. ..36.73 3573
'Nomlnal,
Inltod
flolow i", i"?? '?''! 1 he curronl .? Kchiiitga
vnliu' of foreign monov ln dolltirs unil
C^htHj lOgUtllfir Wllll tho IIH I lli'ir gold
purily, tnt culculalod by ib
: tnt. 1 Mlnl
(
['ounda, atorllng
!?'iiui. 1 .
Uullders . 0.40'
J.irr, chocka .
Crowna 1 Donmnrk).
Crowna (Hwodon) ..
The above rates exproaa Iho cost of
foreign tiioriey In torms of tho Ameri?
can dollar. You buy an English pound
?tarling, nay, at $4.65, Tho intrinaic
parity is 94.86% per pound. Thus you
nay olthor that. pounda aro at a <liH
count or that dollars nre ut u nromium,
which jh owing to the fact that in Eng?
land tho demand for dollara with which
to nottle accounts ln this country in
grsater than tho demand in thia coun?
try for pounda with which to aottlo
accounts ln England,
Stabilization
Plan Dropped,
Judge Gary Says
Tells U. S. Steel Stockhold
ers Rail Administration
Made Mistake in Not Ac
cepting Redfield Schedule
Elbert H. Gary, chairman of the
United States Steel Corporation, told
stockholders at the annual meeting in
Hoboken yesterday it. was his under
standing that the Redfield price stabil
ization programme had been abandoned,
despite the published reports that
Presidenl Wilson was endeavoring to
reopen conferences between the rail
| road administration and the Industrial
Board. Ho added, however, that he
hoped he was mistaken in his interpre
':''i(!I of the news emanating from
>r"v' "in.? circles in Washington.
By reason of its refusal to approve
the lower prices agrecd upon between |
thc Industrial Board an.l the iron and
steel industry Judge Gary declared
that tho railroad.; had failed to reap
material benefits from tho revival of
: business that was beginning to show
itself shortly after the reduced sched?
ule was announced.
"Evjdently thero existcd a misunder
standing nll tho time between the iron
and Ktee! industry, the railroad ad?
ministration and the Industrial Board,"
he added. "It is plain that if the rail?
road administration had accepted the
judgment of thc Industrial Board as
to what prices were fair, the railroad
administration would have reaped d
large benefit because business would
have been stimulated to the extenl of
the big increase in the volume of busi
ness which would havo result.'.!.
$189,000,000 Freighl Bill
"Some idea of what this would i ican
'""i be glenned from the paymenl of
$189,000,000 to the ralironds last year
by thc I fnited States Stt-el ('orpo
and its ib idia ries,"
Judge Gary denied thnl thei
been any conl rovi i sy bel ween the steel
1 rado nnd lhe raliroad admini tral.
? yggesting thut i ho difTon
had nriscn wi-r hetween lhe Direetor
General nnd the Industrial Hoard,
Those ho charnctorized as most un
fortunntc. Basing hia opinion on pub
li ihod statemenl of tho railroad ad
mi n i t ral ion, ho stated thal t hcro hn i
ovidentlj 1.n n radlcul miaconcoption
by thc latter of thc purport of lhe
crcation of the Industrial Board and
its activities.
"Tho railway department," he added,
"seems lo have BCtCd On tho BUppOai
tion that the industrial board had been
nppointed to purchase commoditie nl
prices satisfactory to that department,
regardless of whether they were fair
or iiufiiir to poducers."
Answering a stockholder who wanted
information concertiing tho dividend
prospects of the company Judge Gary
said that it was the determination of
I the board and of the finance committee
to maintain a strong cash position.
In more detail he wdded:
"You wil] recall that about three
years ago thc finance committee
forth a policy of cstablishing n fixed
rate of 6 pcr cen'. on the com
stock and to maintain that rato so long
as conditions would warrant nnd to
make additional payments in the form
of extra dividends. Future acl on o '
finance committee as now consl tuted
as to the declaration of dividends, in
: my judgment, will be based
upon conditions existing at the time
of action than en tho prospects of
i rado in thc future.
Can't Predict Dividend
"You will obi crvo 1 have nol iid
what the next dividend will be. This
is for the simple reason ih.-.t 1 do not
know. ]t. will be our intcntion, how?
ever, to deal as fairly with our stock
holders as our rcsources and the judg
ment of our board will make po
He stated the management would
make whatever expenditures were
needed for i xtenstons and improve
ments thal wil] make success for the
company rcasonably certain in compe?
tition al home and abroad. Intcr
rogatcd ar to thc outlook I'or businesa
hc saol :
"I have been accused of being more
or I". ? op im * ic bui I am nov cr *o
opl imi il ie as to i hul ?,--. i yc i to poa ?
''??'? danj i r and facl . All ] can ? ly
is that any man who b( lievi thal <??'< *
country is going into bankrui ' '
haa embn rl ed upon u period of de|
sion which will end in .ii n tei or 11 il
in the near future wc will enter into
such a period of demorili ntion, i n
man who does nol posscss himself with
the facts and figures.
"If you ask me how soon tho steel
indusi ry will r< t urn to I he period of
pro iperity in which it had started prior
to thc action lakoi*, oy the Din
Gen..ral of Railroads with respect to
prices, I cannol give you a d
reply. The dai e i nol o importanl
ns lhe exac) facl i. Tl o date depends
| largely on the bu in< ? ? men them
throughout t he counl ry and not noon
any single indh idual or corp ?
1 believe thnl n majoril ?.- of I he ?? tm i
know something aboul the resources of
our country and have conndence in
them! "
In declaring for peace in the busi?
ness world, both here ar.d abroad,
Judge Gary said the Steel Corporation
had no desire or intention of entering
upon any plan that would prove dis
astrous to others engaged in similar
lines.
Wants Industrial vPeaee
"The war is over," he added. "We
want peace between capital and labor,
between competitors, between indus?
tries and the government and with all
the world. Whether we as a people in
this country succeed in this laudable
ambition will depend upon eve.-vhody
doing his part and working tojrether
all the way, l'rom the ordinary citizen
and laborer up to the largest govern?
ment officials. If we will do this, who
can question tho claim that the United (
States is bound to be the most pros
perous and progessive nation on the
books of the Steel Corporation,
which were opened for inspection at
yesterday's meeting, disclosed avlarge
reduction in the speculative horaings
of tho common stock. Whereas two
years ago they held over 60 p<T centi
of the issue, they now hold aboul I
per cent. Approximately 1,000,000
shares have been transferred from
, ilativc to investors' hands
thc latter part of 1916. Some of the
? portant shareholders with their
holdings are:
James A. Farrell, 2,52(5 preferred
shares and 4,003 of the common; El
bert 11. Gary, 4,829 shares of pre?
ferred and 3,592 common; J. S. Bene
dict, 8,609 shares of preferred and
15,628 of common; G. Ashmead, 9,488
shares <<f preferred and 2,494 of com?
mon; Robert Bacon, 6 001 i hi re - of
prefern ,1; George !?'. Baker, 500
of preferred and 15, '0 han ? of com?
mon; Chauncey M. D. pew, 2,250 shares
of preferred; H. C. Frick, 1,600 shares
of preferred.
J. P. Morgan was listed as holding
001 shares of tho common, while he
and his son, Junius Spencer Morgan,
hold jointly 500 shares of the pre?
ferred. William E. Corey, a former
president of tlie Steel Corporation and
now head of the Midvalo Steel &
Ordnance Company, was down for one
share of the common.
The meeting yesterday was the most
lcrgely attendcd in years, more than
100 : tockholders being present. There
were reprcsenl ed cit her in person or
by proxy, 1,279,270 preferred shares
ii nd 1,9 10,3 ! I common ; George F.
Baker, James A. Farrell, E. II Gary,
.1 l*. Morgan and Gcorgo \y. Perkir.a
were roelectod directors.
Markel Opinion
Biillish on General Motors
"Dospltc their tnr,:r"i high price," laid
Vlai koe, Morgan & Co. yesterday, "Gen?
eral Motors shares aro very favorably
regardod in banking circlc i, and t ho
opinion is cxpresscd that boforo tho
I current year draws to n clo io the stock
! should v, ork into new hi| h reeord
Buying Copper
According to Clark, Childs & Co., the
Westinghouse Electric a'nd Man
uring Company ha , been of late among
the largest buyers of cop]??
15 cents a pound lev< !. It is I
I al the company maintains a most cf
licient organization to study tho cop?
per metal situation, at a large ex
and this expert body is said
Lp ha ..? advised the management that
. there can be liti ? i il in covering its
metal needs at about the current level.
An Irresistible Undercurrent
"Million-share days have come to stay "
say Adams, Davis & Bartol, "j
he experienco of I several
di : ln many ways the current in
dusl rial s i'i::,; ion would I ardly seem
Lo ji tfy thc activ r\ i nd st renj; I
P i ycd in r. rtain din cl ion i, vet the
undercurrent ol i pl imism in regard to
, future cond itioi ? irri
The Rail Outlook
"The Odd Lot Review" discusses the
position of the railroad shares in this
manner:
' '? '? ad of the better class of rail?
roads we see a long period of pros
Pei " '???? d of iu; tained dividends. Mis
managed, undoubtedly, the railroads
I . cn during the past year and a
hall ol government control, but that
'- " war phasc pure and simple- ono
i!':!!- '?-? bound to give way to a wiy
different order ol things when the
'?'?? ??? i are returned to their righl ful
owners. Infinitely b( tter then will bo
tl .? relationship which will prevail be?
tween 11 ?? railroad i and the g.
ment. Busim i will be large, and if
thero i i one tl ng I al may I.ounted
on with certainly il is the abil t\ o
; he i" rl ol Lhe railroad i, und. i
own capablc mai nts, to make
that bu: in< ss pay and pay well."
Absorptive Power
Anderson, Bruns & Co. ? " l ...
' "? markel continues to show ab?
sorptive power in tho ii lui trial list
? 7" realization thal the peace treaty
will bc si ;ncd beforc tho end of May
! i ;" ":' " ipon lible for tho underly
ing strength in Lhe shares of corpora
I ion ; thal Bhould participate in hi avy
shipments to all parts of tho world
I his movemenl should start. to gel un?
der way when \tr:,r,- , ? ,-,,., ummated
and lhe necessary buying credits have
been advanced to those countries
which aro in urgenl need of our prod
u c t s."
S i g ii i I' i c a n I R H a I i o n s
Money ;m<l Pricesi
Stock of money gold In !hc country . S'i.O'id!"1.1.002 $3.0/1*64^*270
Loans of nll national bnnks. to'oiaboliftnrt ' '"ii'wsr!
Their aurplus reserves. . , '/r ^.390,836,000
Hllls discounted and boughl l,v I ,,|- ,,,;''' 105.977,000
crnl Reserve Hnnks., $2,l'i9,159,000 $UiSmk)0
Federal Reserve notes In circulation 2,643,704,000 1514287000
Total gold reserve. 2,162,157,000 i.MdJjog
Average prlco of fifty stocks, . '',',.' v'r'' ."?? "?'""- * r<?'??.
Average price of Iwenly-Hve honds ?? ,', , ' , '' '?'?'?
Food coal of living ( \nnoltat Index , . . .'"" ,. '',''. ' l0
number) 111.801 IiV.8IM"* A;mm-'i<H
(?eneral commodlty prh.- level (l)un'a m... i ,,,. , .. ' ,,, '
Index number) .217.0 \7 ;\ 0.060 227.877
I'i oilitclion i
I iiiill.-d G. S. i.ii-.-l oidi-t-i, (oiin ,.0,430,572 8,0*10 '*<>',",!**
Pig Iron oulpul (daily average), tona 09.CI IW.OOfl * ur,'?""'.?!
??'??' crop, l.uhh..|M . 917.440,000 838 88688b
Oal crop, huahela . 1,038,360,000 i .'I'/IOCOO
Corn crop, biinhcla. 1,582,814,000 M&3M0
Lotton, 600 111, balea. 12,022,801 11302 376
,? li. . ?... .ii dtcrwM from f?iir b?ror?
niNtnhiitioii: ,'?.:.V ???,??,
. ii -.l'l-t . ??",
(?rowH r.iii road earnings. i 2.20% 21.3C, 30 ao'
? , , . liMl vonli W-..I, i. v,, ,r .,, ",',''
Iliink rleanngH.5.1% 1-21.19' 4-16 6 V
General:
Active cotton spindles.32,642,376 33,282.593 33 709 978
Commercial failurca (Dun's) hUrrl| Jvbruan- "^'yvpto
Number. 629 602 * 142 *"?'
Uabllltiea .$13,595,471 $11,489,183 $17,672,331
Iluildin-,' permita (Rradatrect'a): robmar-f i.ui ir?bruary ltii
(128 cilics) .$29,890,9-12 $25,518,111
Higher Freight
Rates Inevitable,
Mitchell Asserts
Banker Says Return of Rail?
roads to O^vners Under
Present Conditions Would
Result in Rig Bankruptcy
MONTREAL, April 21.?Charles E.
Mitchell, president of the National City
Company, of New York, speaking to
night before the Canadian Club on
government operation of the railroads,
declared that were the American roads
to be returned to private ownership
under conditions to-day existent, a
majority of the companies would be
faced with bankruptcy.
"Much as we may dislike the
thought," Mr. Mitchell said, "a further
increase in rates to compensate, in
large measure, for this increase in
operating expenses, is inevitable. While
there may bo some hope that the cost
of coal and rails and other supplies
may come down and the increased
volume of traffic may compensate for
such increases as remain, it is difflcult,
in view of the political aspect of the
situation, to believe that railroad
wagea will lend themselves to reduc?
tion under the natural law.-j of econo
mics as will the industrial wage. A
rate increase equivalent in result to
the wage increase should, unquestion
ably, be made forthwith."
Mr. Mitchel! urged that a solution of
the problem of the future of the rail?
roads be found as quickly ns possible.
Most of the plans offered, he said, pro
vided for guaranteed minimum profits
to tho roads and a maximum profit re?
turn. Ilo opposed tho minimum guar?
antee auggeation, he stated, because he
believed it to be a definite step toward
government ownership, especially if
private management fails to earn thc
income guaranteed.
"Threo things appoar to me to be
.1'"..'." said Mr. Mitchel], "before con
sidcration is given to tho return of
railroad property to private operation:
"First, the reconstruction of tho
interstate Commerce Commission, with
rate lixing authority and responsibility
definitely cstablished; second. an im
mcdiato rate [ncroaso suflicient to take
up thc burdcn of tho wage increase
granted during government operation;
and third, the pussago of such legis?
lation 11 s will provide for a division
of- proAl i above what. shall bo dotcr
mincd to bo a reasonablo return to in
vosted capital.
"With these things accomplished, we
should bo ready for private operation.
Tha complete Beveranco from govern?
ment responsibility for railroad credit
should bo immediate and for every
road ot the same hour, seems to me,
however, a prcposterous auggeation,
The corner to he turned must not be
a sharp one. The return must bc
gradual, both in method und point of
Relevant Comment
The Day's Market
Trading in stocks yesterday reached
the largest proportion3 since the ris
ing movement beg n I". bruary. On
a turnov ? r of approximately l,5i
shares, making it the biggest day so
far thia year, prices advanced vigor
and many issues istablished new
high levels. Industrial specialties were
favored.
The news over Sunday from Europe
was interpreted favorably by the spec?
ulative element, with the result that
heavy buying orders were put in at
tho market's opening. In the first half
hour trading proceeded at the rate of
approximately two and a half million
shares for a full five-hour session.
First one group of specialties, then
another, were taken up and pushed
forward sharply. Oils, motors, ship?
ping stocks, tire shares, were notably
strong, although the whole market
eased off in the late trading as realiz
ing sales appeared.
Steel common early crossed par.
reaching lOOMs, but rcceded at the
close to 99%, where it showed a
fractional decline. Other steels were
heavy. ln the specialty group Inter?
national Paper gained Z"A, May De?
partment Stores IV2, Continental 17?,
American Can 1, American Snuff t,
Realty & Improvement 3%, National
Conduit 17 and Great Northern Ore
:'.'?:? In thc oil group the Royal Dutch
w tr prominent, the New York
shares gaining 17^ and the Amster
dam shares Va Mexican Petroleum
rose lo 190 in the forenoon, but. fell
back at the close to 184, etr ::7-t points.
International Mercantile Marine issues
were strong, the common advancing
?'I'-t points net. Strong spots in the
tire group were Ti. F. Goodrich, United
States Rubber and Keystone Tire.
I'i ere was active trading in bonds
nnd tho Liberty Loan issues closed
fractionally lower.
A $600 Advance
Trading in Atlantic Relining < om?
pany stock over the countor waa re?
ported ye terday al $1,375 a sharo, nn
advance of $100. Ali of tho former
, standard Oil sub lidarie 1 have been
cl ml ing rapidly in recent months and
Atlantic Relining Btock ia up approxi
n 1 ? y $000 n I are from ita low of lasl
;.. ar. Prairio Oil and Gas al $700 a
. hai ?' is up aboul $300 from its 1018 low;
Standard of Kansas is up $200, Stan?
dard of New York up $130. Standard of
Indiana up about $185, and Standard of
Ni braaltn up aboul $1 I".
\nl i.ipatlon
I' I, as been 1 ho cusl 0111 f<>i j 1 11 r ??
pn il at I he annual meet i ng of the
I' nitcd Ktatea Sl eol C01 poral ion 10
scrvo be.r and Bandwichea for lunch,
1 iterday'a gnthoring coffee was
ubatltuted for boer, 'I h>> change was
, .mi iciited upon freoly by 1 ho stock
noldors present, bul 110 objcctlona were
,,e, 1, ,|. do plte t ho prospect thal nn
1 ion wldo piohlbillon will become efTec
1 ive nitrr June 30
Askd PcrmUnion to Acquirr
I jimIuM' I'lility Corporutloni
ALBANY, April '.'.I The Unltod
iiu.i on l ieci 1 Ic Cor] oral I in of New
\ ?rk, h ii ii :. pi opo od capitallxal lon of
$:),00(),000, lo day dlod n potltion with
tho (Jpstato Public Sorvico Commission,
asking authority to acqulre tho capital
atock of tho Kingston, N. Y,, Gas and
Electric Company, Including tho Ulster
Electric Light, lfcat-and Power Com?
pany, owned by it, and 775 ahnres of
stock of tho Upper Hudson Electric
and Railroad ('ompany, of Catskill.
Permisslon ia also asked to aciuire
tho stock of tho Rifton, N. Y., Land
Corporation and tho development of
two water power sites on the Wallkill
River at Dashville. one in the imme?
diate future, with an eatimated capac
ity nf 50,000 horsepower; and also to
acqulro some transmlsaion lines re
cently constructod near Poughkeepsie,
Newburgh and Kingston.
The United Hudson Electric Corpo
rotion was incorporated on February.
1,000,000 Barrel Cement Works
to be Sold at Auction
April 30th
On April 30th at 10:30 A. M. the entire plant and property
of ALSEN'S AMERICAN PORTLAND CEMENT
WORKS OF NEW YORK will be offered for sale at auction
?*Vihe ?ffice of RosenberS & Ball, Attorneys for George R.
Walker, Trustee in Bankruptcy, 18th floor. 74 Broadway,
New York City.
The property includes about 465 plete and in good condition. Pro
a?rf-f ?Lr j onJhc west shore duces highest grade of Portland
ot tne Mudson River, 105 miles Cement?used on Panama Canal,
Irom New York?in the heart of Ashokan Dam. Barge Canal and
one ot the pnncipal cement dis- many other large project?. Ca
tncts. Has cheap rail and water pacity, 1,000,000 barrels per year.
facihties for the delivery of its ? .. . ? , *
product. West Shore R. R. runs Conditions?all cash?to buyer
through property. approved by Alien Property
~,u , . ... Custodian?subject to confirma
Ihe machinery, buildings and tion by Hon. John J. Town
equipment are standard, com- send, Referce in Bankruptcy.
Copy of the report of Ford. Bacon & Davis. Engineers, made
;or the Ahen Property Custodian, and other material may
be examined at the offices of the Attorneys for the Trustee.
Plant open for inspection upon arrangements with trustee.
GEORGE R. WALKER
Rosenberg & Ball
AttorniMs for Trustee
74 Broadway,
TruMci- in Hu .lkruplcv
59 Wall Street, New York
"litiilt for Business Stationery"
Read about it
on your desk
this morning
TAYLOR-LGGAN CO. Papermakcrs HOLYOKE MASS.
The
Pittsburgh & West Virginia
Rail wa y Com pan y
Its progress ic< organized and present status.
Circular on request
Members New Vork Stock F^xchange
111 Broadway
New York City
Salt Creek Producers* Ass'n
HoiKjhi (ind Sold
Tlic abo\c company represent:* a consolidaiion of virtually all lhe
leading oil producers of thc great Salt (. rcrk field of Wyoming.
Circular on request.
m. G. Galiagher
15 Broad Street
Telephone Uanoier 77,
New York
LIBBYJcNEILL&LIBBY
SWIFT INTERNATIONAL
Latest information in our Wc-kly
Mirkrt Lrtler, sent upon request.
James W. Ball & Co.
MmmU.-S? Exchange Tlacc, N.Y.
IBERTY BOND
iiiili.MT ron CAHft.
\\r will |inv Tn illtr
I1IM1..11I IIIM llllilllll.llill . hinur,
? ? I'.n |l..i?| .....
' I ' M'illli WIIll I'HUlK.IK
Ml -. fm Ir.n nil 4Uiii liiiiiii wiiti
Md h nn ?J.n nn r, ., lt. ml wi
; senz-vaughan'&'co.,
Ilft IHIOAIMV\*. Telpplinne 0OS6 li..!..-.
ll (?> operate ln Dutchaaa, Putnam,
Orange, UliteT, Greene nnd Albiiny
countlei.
North Rutto Mining Company
Showa Deficit for l<)IH
Annual report of the North Rutte
Mining Company for the year ended
December 81, 101K, showa a doficil
after expenses and ore dcpletion
charges of $841,976, against a deficit
of $746,7-12 iu 1817. Dividend dia
buruements amounted to $4:10,000, mak?
ing a totnl loss of $771,876.
The company laat year, on n pro?
duction of 20,680,695 pounds of cop?
per, 801,167 ounces ot silver and 1,
374 ounces of gold showed gross In?
come aggregating: $5,617,328.
Texas Pacific
Coal & Oil
J.K.Rice9Jr.&Co*
Pl nn ?000 to 4Q1Q John, SSWallBt.. N. 0
CENTRAL UNION TRUST CO.
Jf Now Torfc
80 Broadway
OHANCMIB
llh Avtnut ll <?>!*< ?fr? ,
tlMllMn *??f 14 ? ( 47nd ?mt
Bth #??, ?? .1 -.BI". ' t,.,l
tapltaJ h-irplll. m:,,I ImllflllH
I'n.llla $30,000,000.
r~v?.
Liberal Interest
ou daily balanccs.
Metropolitan Trust Company
of tl r ( iir nf N?w Vork
d'l Witll -u.h. ".IM | iflh Avcoq*..
DIVIDEND N0TICE8
nn; m iki.vi; pjpk i.ink roMPAsS
7., Ilrii,,M?ay, New York, N Y.
*?i"",i Stnd, int .
v rtlvldandof 11.00 pcr >bare haa t..-t,
u "l ?? ihe CapiUI Stock of thu Coi*
pa; - payable Juna Hih. min. t? ,iflfk
Ul commuitfcatlons rrr?r<Hna; payment
or cUanf9 of .ddreaa .hould h? eent i"\bl
ui.derslaned not latar ihtn .lune 7th ma
' - "'''3 ' "EBKBRQ'" Veretar'
THB rri.l.MAN C OMPAXY
i'Iviliknp no let
A Quarterly Dlvldand ot two dollar. ne.
ahare will be patd M?y u, mj. tc. ,U>?k
i s i ;>
Aprll 2|^ 191?
I F. KANE
A<reu
Beeretarv.