New-York tribune. [volume], February 09, 1920, Page 13, Image 13

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

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Executor Trustee
Chartered 1822
The Farmers' Loan and Trust Company
Nos. 16, 18, 20 & 22 William Street
Branoh Office, 475 Fifth Avenue
At Forty-first Street
New York
London Pfcrig
Foreign Exchange
Administrator Guardian
Member Federal Reserve System and New York Clearing House
Are Your Securities Protected?
The vaults of this Company provide complete
facilities for the safekeeping of stocks, bonds,
valuable papers and other personal property.
They are protected by approved mechanical de?
vices and constantly guarded by armed watch?
men.
Four Offices in Manhattan.
32 Liberty Street.
Madison Ave. at 75th St.
Broadway at 73d Street.
125th St. at Eighth Ave.
United States Safe Deposit Company.
BOND & GOODWIN
ANNOUNCE THE REMOVAL OF THEIR
OFFICES IN NEW YORK
TO THE
AMERICAN EXPRESS BUILDING
65 BROADWAY
Telephones Bowling Greftn 4600-4615 inclusive
NEW YORK RESIDENT PARTNERS
GEORGE T. RICE
WENDELL BAKER CHARLES B. WIGGIN
Crude Oil Receipts I J?' De?embe,r'? according to the "Oil
t,1 ~c uni- I City Derrick. This was an increase
Show Small JJecline i 0f 20,430 over the November figures
Receipts of crude petroleum from ? Deliveries for December were 10,
the weiis of Kansas and Oklahoma by ? 870,033 barrels, a decrease of 671,9iit.
pipe lines aggregated 10,560,199 barrels ; barrels.
How Wall Street Gets !
Money for Speculation
Far-Reaching Change in System by Which the
Financial Needs of the Stock Market Are Met
Is Now in the Process of Development
WTHEN an eminent sage brightly ob
? served for the first time ? few
eons ago that money was the root of
all evil, he gaye a key to understanding
the troubles of the bulls in the stock
market during the last few days.
Money?call money at the New York
Stock Exchange and foreign money in
the exchange market?caused the much
ado in Wall Street last week, and is,
even now, uppermost in the conscious?
ness of those who indulge in the bar?
ter of securities or commodities.
Money is a subject of consuming in?
terest in the financial marts, and,
although some of the authorities frec
? ly diseuss the situation for the guid
; anee of the public, others think it a
subject about which too much talk is
superfluous, and therefore refrain
from any. This article is not designed
to be another contribution to tho end?
less debate of recent days as to whether
money will become "tighter" or
1 "easier," but is merely an attempt to
! describe for the benefit of the layman
who bears the burden how the wheels
go round in the call money market.
How Does It Happen?"
Call loans were made at 20 per cent
last Tuesday on the call money mar?
ket. To the person who is carrying
stocks on margin this simple announce?
ment meant higher "carrying" charges
for tho current months, but just why
and how frequently elude his grasp.
How does the banker get in touch with
the broker or how are rates for loans
determined, and when and where are
they made?
When the supply and demand of any
object of barter approximately bal?
ance a free market comes into being,
But at present in the call money mar?
ket the demand so far outruns the sup?
ply that there is strictly a "sellers
market." The bank with money tc
lend on call for stock market uset
specifies at which rate it shall be lent
and the borrowing brokers, mentioning
no rate, merely apply for the amoun'
of money?more strictly, credit?tha'
they desire.
Tho banks and trust companies
which are the great sources of mone;
en which speculation feeds, are rcpre
anted on the floor of the New Yorl
Stock Exchange by the money "crowd,
if you can call four or five men i
crowd. Some of the money broker
also deal in stocks, but S. Yernoi
Mann i:- a speeifist and works onl;
at his money table, where the borrow
mg activities at the exchange centei
James T. Blake, representing the ex
ciiange, presides over the table an
keeps tabs on the sums wanted b
brokers and offered by banks. His rec
ords make the business of lending mor
systematic and more automatic, an
take much of the routine off the shou
ders of the so-called money crowd.
"First Come, First Served"
Actual lending of money begir
about 11:30 in the morning, after th
banks have heard from the Cloarin
House how they stand for the da
But pefore the money market open
brokers begin to place their requesl
for funds with the money brokers c
Mr. Blake, and after the banks hav
communicated how much they will len
the actual allocation of the credit
largely a question of following the o
maxim, "First come, first served." Tl:
requests of the borrowers are taken i
in the order in which they were r
ceived, and if. as is usually the <a
these days, when the Federal Iteser
Hoard is directing a campaign awt
from overexpansion, the supply <
money available for the day is le
than the demand, the requests
brokers for funds are scaled dow
Usually the bank wanting to lend, sa
$'2,000,000 will direct the money broki
to distribute it in units of periia
$100,000. The banks, as a rule, pref
to spread their loans to vario
houses, and the brokers would rath
borrow from ten banks than from on
because the loans are subject to ci
at any time, and the chances of havi;
the entire amount called arc few
when the loan comes from a gre
many institutions.
Lending to the brokers is only o:
of many activities of the bunks. Th
finance cotton transactions, commerc:
operations, buy acceptances and stoc
and bonds for their own account, pu
chase bills of exchange and vario
other instruments of credit. And aft
a given day's work has been done t
banker compares his loans, discour
and investments with his reserves a
determines whether \te has a surplus
money to lend or whether he needs
pull in the reins to build up his i
selves. Call loans in the stock marl
in normal times are the most liquid
$15,000,000
(Total Issue)
GENERAL ELECTRIC COMPANY
TWENTY-YEAR 6% GOLD DEBENTURE BONDS
Doted February 1,1920 Due February 1, 191,0
Interest payable February 1 and August 1 in New York
Coupon Bend a in d?nominations of $100, $500 and $1000. Fully registered Bonds
In denominations of $1,000, $5,000 and $10,000. Coupon and registered
bonds in the several denominations interchangeable
Redeemable on any interest day as a whole or in part at the option of the
Company at 105% and accrued interest.
We are receiving subscriptions subject to allotment for the above debenture
bonds at 94% and interest, to yield about 6'/2%.
Sabscription books will be opened at the offices of the undersigned at 10 o'clock A. M?
February 9, 1920, and will be closed in their discretion.
The right is reserved to reject any and all applications and also in any event to arvard
9 smaller amount than applied for.
Amounts due on allotments w??l be payable in New York at the office of /. P. Morgan
<fr C+. in New York lands to their order, or in Boston at the office of Lee, Higginson & Com?
pany in Boston funds to their order, and the date of payment (on or about February 18, 1920)
will be stated in the notices of allotment
Temporary bonds or trust receipts of J. P. Morgan & C,o. will be delivered pending
ths preparation of the definitive bonds.
J. P. MORGAN & CO. LEE, HIGGINSON & CO.
r*+r*my 9, ?9S0
( all the banks' investments, and are the
first to reflect the general banking po?
sition. A bank may be a heavy lender
one day and then call loans the next.
Assuming, however, that after deter?
mining the condition of the bank, with
the report from the Clearing House in,
the bank wants to lend $2,000,000 on
call. It telephones the office of the
brokerage houne which acts for it and
gives it instructions. The clerk or
partner in the brokerage offices com?
municates by telephone with tho floor
member, instructing him roughly in
this manner; "Lend $2,000,000 for the
No Name Trust Company in $100,000
units at IS per cent." The broker then
looks over his list of would-bo bor?
rowers and divides the money among
them.
Every Loan Checked
The clerk at the money table gives a
check on every loan, and besides the
! member banks of tho Federal Reserve
Bank report to it each day on the ex
I tent of the borrowings for Stock Ex?
change purposes. Thus the authorities
are able at any time to find out tho ex?
act situation in respect to loans.
Until the system was installed, and
particularly before the'war, the rate
at which money would be lent at call
was determined in an open market, just
as the price of stocks is now fixed, by
bids and offer?. When money was in
abundant supply borrowing brokers
would frequently put in a bid slightly
under the market, and thus the rat(
would be brought down. Conversely
under this system, when money was
acutely scarce would-be borrower!
would grow panicky and bid the rat<
up spectacularly without helping th?
situation. Bidding up rates does no
increase the supply of money on ?
given day, because that is fixed by th
general condition of the banks. A
present, in fixing ths rate, the banks
like storekeepers, base the price o
their product on their interpretatio
of the working of supply and demanc
After the loan is made the mone
broker steps out, and all future deal
ings are mad? directly between th
lending bank and the borrowin
broker. The bank notifies the broke
when it wants to call the loan, and th
latter, after making the loan, sene
collateral directly to the lender.
Under the new Stock Clearing Co
poration, which the Stock Exchange hi
organized to reduce by one-third tl
routine of trading, loans will be clean
in the basement of the Stock Exchang
and when a loan has been called tl
broker will turn his collateral off
clerks of the clearing corporati
until he makes a new loan. AU t
banks will have representation in t
new quarters, and after a new lo
has been made at the money table v
stairs the collateral down in the baf
ment will be turned over to the m
lender. At present, between the ca
ing of the old loan and the making
the new, the broker must make an
termediary one day with his own bai
and his runners must carry the c
lateral through the street from one
i stitution to another.
Already Organizing
| About two-thirds of the clerical fo
! needed to carry on the functions
\ the new Stock Clearing Corporat
i have already been hired, and very si
: a campaign of education for the b
! fit of the partners and clerks and b
of Stock Exchange "nouses will
inaugurated. Before the clearing
loans is begun the new machinery \
: clear security balances, which sim
?means that the Clearing House princ:
i will be carried further. At the
Stock Clearing House, which will s
be known as th,e night branch of
Stock Clearing Corporation, if
{ broker has sold 1,000 of Steel for
j customer and bought 1,000 for anol
I the two transactions will in effect
'set themselves and no actual delh
of stock as between brokers will
necessary. However, 1.000 shares
I Bethlehem B will not offset to any
I gree at present 1,000 shares of S
common, and the purpose of the
clearing of security balance is to
complish just this.
From the point of view of the
money market, the significance of tl
somewhat revolutionary changes
Stock Exchange practises is that
new technique will tend to bring
campaign for the substitution of
term settlement for the daily se
? ment within the realm of the pracf
If the term settlement (weekly, :
nightly or monthly), such as the
changes abroad have, were; ado
time loans would be made ? for
period of the settlement and call 1
for Stock Exchange purposes woul
eliminated. Probably the same vo
of money would be needed, but it v
be meted out by a different syi
Paul M. Warburg and the Ame
Acceptance Council believe' that
financial system of the country v
be better if the present call rr
market were abolished, and the ?
Exchange authorities expressed
view, that the term settlement ?
not be considered on its merits
the success of the new S'tock Cle
Corporation is fully tested. If tht
machinery succeeds, then the agi*
for the term settlement may b
npcted to become a live issue.
?
; Foreign Buyers Taking
Surplus Stocks of Shoes
?,
Reduced Prices Partly Offset
Adverse Rates of Ex?
change
During the last week several large
shipments of shoe3 have been for?
warded to foreign countries by local
! manufacturers, wholesalers and re?
tailers whose surplus stocks have grown '
; to such propostions that they are un
| able to handle them. One concern
j alone sold 1,000 pairs of shoes to a
; dealer in France, while another com?
pany shipped several hundred cases of
footwear to Belgium.
| As many of the local manufacturers
and dealers are overcrowdedwith shoes
; for the past fall and winter seasons
they are compelled to sell these stocks
' at very low prices in order to make
i room for spring styles. The reduced
j quotations almost even tip the weak
; foreign exchange market and buyers
j for export are taking full advantage
i of the low prices and are buying in
; large quantities. Through this method
' the foreign buyer is enabled to sell the
i footwear at a good sized profit despite
! the weakness of exchange rates.
With a more settled foreign exchange
[ market an enormous export shoe 'busi
| ness is expected to develop here. Al
ready many of the American com
: panies have established special repre
i sentatives in foreign countries to go
after this trade, but according to a
well known manufacturer, these repre?
sentatives report that conditions
abroad are too uncertain at this time
to permit the transaction of business
that is likely to be staple. This manu?
facturer has selling agents in France,
Italy, England, Russia, Belgium and
Greece, but because of embargoes,
restrictions and the demoralized ex?
change market they have not been able
to accept as many orders as are ex?
pected In the near future. In Russia
the shortage of shoe? is decidedly
marked, while In Siberia the situation
is so acute that shoes with wooden
soles are at a premium.
The Week's Bond Market
Government and Municipal
Bonds
c , Week
t,a,cs- Cl'ise iit ?>
3552 U S Lib 3%?. 1047 07.00 ?00.40
1920-,
Hitch. Low.
341 do 1st 4s 1947,. 90 90
1714 do 2d 4? 1942.. W0 10
44? do 1st 4'4s 1947 01.10
12740 do 2d 4?4? 1942 90 28
13646 do 3d 4143 1928 93.10
23302 do 4th 4V4a 191!? 90.30
11860 U S Vic 4%s 1923 97 80
15365 do 3%3 1923... 97 80
93.48
92.42
94.00
92.86
95.00
93.00
99.40
99.10
96.20
90.88
89.48
91.10
89.60
92.60
89.72
97.72
97.70
1 V S 4s reg; 1925-105% 106% 105%
8535 Anglo-French 5-yt 5s 93%
8 Argentine Gov 5s,., 74'
29 Chinese Gov Ry 53.. 45
30 City of Bordeaux ?s n 90%
34 City of Copen 5%?- 80%
84 City of Lyons 6, new 90%
40 City of Marseilles 63 n 90%
103 City of Paris 61?.... 90
60 City of Tokio 5s_ 58%
32 Dom of Can 5 Via n '21 97%
112 do 6%s notes 1929. 94
34 do 5s 1921. 97%
18 do 5s 1926. 93 "?
81 do 5? 1931. 91%
414 Imp Jap 1st 4%a... 72%
308 do 2d 4 % s . 69%
158 do ster loan 43... 57
4 Rep of Cuba 5a 1904. 92%
1 do 63 1914. 86
7 do 4%s . 75%
589 U K G B & I r?%3 '21 93%
339 do .'?'/?s 1922. 92%
667 do 5%s 1929. 91%
678 do 6%a 1937. 86
4 N Y C 4%s 1957 May. 98% 100%"
9 do 4%s 1957 Nov.. 99% 100%
12 do 4%s 1903. 98% 100%"
5 do 4%a 1966. 99% 100%
8 do 4%s 1967. 98% H>0%
29 do 4'is I960. 92V4 95%
6 do 4%s 1904.*93'/a 95%
5 do 4',4s 19G6. 93 93
1 do 4=? 1957. 88 90
45 do 4s 1959. 88 91
Statt*
25 N Y State 4a I960.. 97 97
96%
74
50
92%
80%.
92%
?3%
93
?1
98%
97%
98%
95
92%
82
82
71
02%
86
76
97%
90-;
Sales "H
1 do unified 4%a.73%
19 do L & N col tr 4s.. 68%
686 Bait ft Ohio temp 6s.. 83
Week' r-1920-,
close. High. Low.
93%
70%
45
90%
80
90%
90%
89%
57
97
93%
97 %
92
91
69
67%
55%
90%
86
74%
92%
92
91%
85%
98%
98%
98% i
99
as%
92
93
93
88
S 8
?7
?3
60
63%
m*
54
7f>%
48%
97
79
87
S3
73
72%
92
68
66
70
84
61
77%
53
97%
89
86%
91%
50
45
64
73
82%
90%
87
94
88%
97%
78
82%
70
91
81%
Railway and Miscellaneous
2 Adams Exp col tr la.. 56 58% 55%
4 Al G M cvt deb 6s sor A 16 16
21 Am Ag Chem 1st cvt. 5a 98% ::;'!i
I : do deb 5s. 93% l'i"
6 Am Cotton Oii 5s. 89 89
60 Am Smelting 5a. 83% 88%
157 Am T & T cvt 63-97% 99%
43 fio col tr 5s. 81% 83%
7 do cvt 4%s. 8 1% 85
16 do col 4a. 78% 80
5 Am Tobacco 6a.119 119
5 Am W i'nper s f 7s.. 82% 83%
2 Ann Arbor 4s. 49% 53%
1 I Armour & Co ri est 4%s 83 84%
49 A T & S F gen 4s-76% S2%
3 do adj Is. 67 71%
4 do adj 4s stp. 69 71%
2 do cvt Is 1955. 67% 69%
1 do cvt 4? I960.._85 89%
3 do Tr Sh L -is. 72% 76%
52 Ati C L 1st con 4s_ 75 80
16%
98
95
86
83%
97%
80
82
76%
119
81%
49%
82%
76
67
69
67%
84
72%
28 do rcf 63
127 do cvt 4%s.
74 do gold 4s.
42 do prior lien 3%?...
33 do 4? P L E&WV div
102 do 3%a Swn div...,
3 do 4b Toi & Cin div.
1 Beth Steel 1st ext 5s..
14 do ref 5a. 84%
34 do p,m 5s. 83%
18 Braden Copper 6s. 91%
42 Bklyn Rap Tr 7s. 39
8 do 7? Tr Co ctfs stp. 33
13 Bklyn Un El 1st 5s_ 62%
41 Bklyn Un Gas 5s.73
17 Bush Term Bldg 5b..
1 Cal Gas & Elec 5b . .
4 Canada Southern 5s. .
24 Cent of Ga Ry 6s. 89%
1 do con 5s . 85
23 Cent Leather gen 6s.. 94%
49 Cent Pacific gtd 4s_71%
5 do gtd 3%s. 80
1 do Short Lino 4b_ 69%
1 Gen Baking Co 6s. 91
3 CRR ft Bk Co of Ga 6s 81%
4 Cent R R of N J 6s_99% 100%
4 do 59 reg. 98% 100
41 Ches & Ohio con 5s.... 90 94
105 do cvt 5s. 77 81%
37 do gen 4%a. 73% 76
60 do cvt 4%s. 73
3 Chic & Alton rfg 3s_ 47
28 do 3 % s . 29%
79 Chic Bur & Q gen 4s.. 78
1 do 3%b 111 div.71%
2 do ext 4a Neb div.... 89%
230 do joint 4a . 94
41 Chic Gt Western 4s_ 54%
10 C M & St P ctv 6s s B. 66%
13 do gen 4%s . 74
59 do cvt 4%s. 67%
12 do rfg 4%s. 58%
2 do 4s 192.". 71%
14 do deb 4s 1934. 66
6 do gen 4s ser A. 66%
2 do gen 3%s ser B..,. 59
3 do 5s C & Lake S div 96%
5 do 5b C & P W div.. 96%
12 Chic & Northw gen 5s.
1 do deb 5s 1921.
1 do s f 5s 1929.
3 do a i 6s 1929 reg..
3 do deb 5a 1933.,
24 Chic & Nwn gen 4s.
19 do gen 3%s.
1 Chicago Rwya Co 5s...
20 C R I & P Ry gen 4?
115 do rfg 4s.
2 C St L & N O 4b M div 69%
IO St) P M & O con 6s.103 10
3 Chic & W Ind 4s.56% 60
50 Chile Copper cvt 7b_10"
96%
95 %
94%
90%
63
69%
71%
63%
77
49
31%
81%
76
92
96
57%
70
78%
70
61
72%
63
72
60%
97%
98%
98
97%
96%
94%
90%,
80
68%
70
76%
67%
69%
220 do col tr 6s. 78%
13 C C C & St L deb 4%a 73
7 do gen 4a. 64
2 do 4s C W & M div. 61%
4 do gen 4s S L div.. 63%
6 Cin Leb ft North 4a.. 80
3 Cleve Sh L 4%s. 85%
63
68%
71
63%
69%
103
ou% 56%
108% 1.01 >
86
77
64%
62
65%
80
88%
77%
78
63
60
63%
80
85%
Balea
r? i
Week'--1920-, I
close. High. Low. i
7 0ol Poal ft I gen 5*.. 84% 85% 83% I
?Colorado Ind 6?. 73% 74 72 !
10 Col ft So 1st 4s. 84 85% 84
22 do rfg 4%f. 70% 75 70
6 Col Gas & Elec Bs_ 85 85 85
4 Comp-Tob-Rec Co 6s... 85 .88 85
433 Con Gas cvt. 7s when is. 99% 100% 99% |
?Corn Pr s f 5s 1934. ..100% 100% 100%
?Cumb Tel A Tel 5s... ?
6 Del & Hud cvt 5s_82%
24 do ref 4s. 78
30 Den & R Gr eon 4s... 62
937 do rfg 5s. 40
1 do rfg 5s Tr Co ctfs. 44%
7Det River Tun 4%s... 76%
2Det Un Rwys 4%s_ 66%
4 Dul ft Iron R 6s. 89%
28 Erie prior lien 4?. 49%
34 do gen lien 4s.40
13 do cvt 4b series B.. 33%
41 do cvt 4s series D.. 37%
2 do Penn col tr 4s.... 79
2 Fia C & P con 5s 1943. 80
1 Ft W & D C 1st 6s... 97
16 Gen Elec deb 5s. 91
4 Great Northern 4%s... 81%
15 Gr Bay & W deb B... 7%
1 Hock Val 1st con 4%s. 68%
I Housatonic R R 5s_ 92
81 H & M ref 5s ser A.. 54
61 do adj inc 5s. 14
9 Illinois Central 5%s.. 91%
4 do 4? 1952.71
35 do 4b 1953. 64%
13 do rfg 4a. 71%
3 do 4s Cairo Bdge div. 76
7 IC&C StL&NO jt 5s s A 82%
23 Indiana Steel 5s. 9M
94 Interboro-Met 4%a. 3.",%
54 do 4%s Tr Co ctfs... 15
254 Int Rap Tr ref 5s.... 48%
14 Inter Agricult 5s. 79
57 Int Mer Mar s f 6s... 90
5 K C Ft S & M 6s_99
24 do 4s. 63
14 Kan City So 5s.70
50 do let 3a. 66
61 Kan City Term 1st 4s.. 69%
1 Kentucky Cent 4s. 73
lOKeok & D M 5?. 70
20 King? Co Elev 4s.50
11 Lack Steel 5s 1923-93%
75 do 6s 1950. 90
1 Lac G of St L rfg 5s.. 82
2L Sh & M So gen 3%i
3 do deb 4a 1928.
61 do deb 4s 1931.
41 Lehigh Valley 6s.
3 L V of Penn gen 4s.
II Lex & E Rwy 5a.
11 Liggett & Myers 7s..
7 do
85%
81
67%
46
44%
80
69
9?J%
43
37%
39%
79%
80
98
97
85%
8%
73
92
60
16%
95
Kg
76%
80
83%
93%
19%
19
57
84%
95%
100
70
8*
74% ?
81%
62
40
42%
76
66%
89%
49%
38
33%
34%
79
80 .
97
91
68%
92
54
33%
90%
70%
64%
71%
76
82%
92
15%
15
48%
89%
99
63
69
56
Sales. Cloae.
23 Midvale Steel cvt 5?... 83%
18 Minn & St L 1st rig 4s 27
8 M St P ft S S M con 4s 70%
23 Mo Kan ft T 1st 4s-69
16 do 2d 4s. 29
2 do gen s f 4%s. 24%
30 Mo Pac rfg 5s 1923... 89
12 do rfg 5* 1926. 86%
9 do 5s 1965 . 81%
107 do gen 4s . 56
? 2 Mob ft O 5? Montg div. 77
2 do 4s St L ft C div.. 69%
11 Mor.t Pwr Co 5s ser A. 83
4 Morris ft Essex 3%*...?70
6 New Orleans Term 1?. . 62
8NO Tex ft Mex 6a ? A 95
16 do inc ?>t . 5^ %
7 N Y Air Brake cvt 6*. 98%
112 N Y C ft H R deb 6s.. 91%
37 An rig & imp l%s... 76%
do deb 4s 1934.
70?
62'?
69%
73
68
50
93
90
82
68%
83%
80
99%
70%
84% 86% 84
107% 111 107%
87U 89% 87U
89 "
,b%
70
55
96
99%
70
87
84%
303
70% 71%
68%
80%
2 Long Island con 6s_89% 891
4 do ref 4s . 69 69% 65
lOLorlllard Co 7s.108% 109% 108%
1 do 6s .?85% 88 85%
11 Louis ft N col tr 6s '31 89% 91 89%
8 do gold 5s 1937. 97 97% 96%
1 do gen 6s .100% 100% 100
41 do unified 4s. 79% 84% 79%
1 do 6s St L div.100 100 ^9^
4 do 3s S L div. 50% 51% 49%
5 do 4s At JC ft O div. 68% 75% 68%
11 do So Ry Monon jt 4a 63% 65 63 %
27 Manhattan Ry con 4a... 57% 60 66%
12 do con 4s tax exempt 59 60% 56%
4Cich Cent deb 4s 1929. 80% 81 80
1 Mich State Tel 1st 6s.. 86 86 85
1 do con 4a . 69% 72 67?*
34 do rfg 3%a . 66"% 70 6.",%
3 do L S col tr 3%s... 58% 62 581,
6 N Y Ch.c & St L deb 4a 67% 71 67V*
2 N Y Dock Co 4?. 66 67 65 ' *
9 N Y GEL H ft P toi 5? 81% 85% 81 J|
5 do pur m 4?. 63% 64 62*2
6NY La;:k & W 1st 6?. .100 100% 106
1 N Y L E ft W D ft I 5s 91 91 91. J
24 N Y N H ft H ev 6a 'IS 6.' 72 671*
1 do deb 3'-s 1947. 44% 44% 4iW
?NYOpiW 1st ref 4s 60 60% 5;-*|
12 N Y Rys adj 5s. 6% 7% 5%
4 do adj 5s Tr Co ctfs. 6% 7% 6, ?
1 N Y State Rys con 4 4? 51 52% 50? J
26 N Y Telephone deb 6s. . 93 4 96tf 92
25 do gen 4%s. 89 81% 791?
4 N y Wester. & Bos 4'?a 36 38 31U
3 Norfolk ft So 5a Ser A. 50% 55 50?}
1 Norfolk & West gen 6s.l04 104 304 *
59 do cvt 6s.101 104% 1*0
38 do eo* 4s.75% 80 7EM
16 do div! 4s.7? 78% 75%
2 Northern Pacific 4%s.. 78 81% 78 :
82 do prior lien 4s.75 80% 74?
107 do gen 3s. 52% 56 52
2 Nor State? Pwr 1st 5s. 82 85 82 ,;
2 Oregon ft Cal 1st 5s... 93% 93% 93%
2 Oreg Ry ft Nav con 4* 77% 81 77%
4 0reg Short L 1st 6S...100 101 100 I
5 do con 5a. 92% 93 92*J
35 do rfg 4s. 81 85 80%
3 4 Or-Wash R R ft Nav 4s 67% 72% 67%
39 Pacific Gas & Elec 5s.. 79% 83 795
1 Pacific of Mo 1st ext 4s 78% 78% 78%
1 Pacific Tel & Tel 5s... 87% 88% 8*
92 Penn R R con 5s 1963. 89% 94% 88%
14 do gtd 4^a 1921. 97% 97% 97%
17 do con 4'?s. 91% 93% 90%
61 do gen 4%s. 79% 85% 79%
8 do con 4s 1948. 83 88 83
26 P?re Marquette ref 5s.. 84% 87% 84%
20 Phila Co deb 5s 1923... 87% 89 87
1 P C C ft StL 4%s Sr B 90 90 90
1 do 8%s . 84 84 8t
5 Poahontas Collieries 5s. 82 82 82
9 Pub Serv of N J 5s_ 64 66 58?
50 Reading gen 4s. 79 81% 7>>%
1 Rep Ir & S col 5s 1940 91% 96 91?
3 Rio Gr & West 1st 4s. 60 67 6?
5 Rio Gr ft W col tr 4a 52 5
243 R I Ark & L 4%s-61% 64
3 Rutland-Canadian 4a... 53 53 63
8 St L I Mt & So gen 5a. 8*% 9?% 88
9 do ref 4s........ ... 72 76 72
Continued on next page
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"" SUS- '
NEW ISSUES
CONSUMERS POWER COMPANY
February 3rd, 1920.
The National.City Company,
New York City.
Gentlemen :
The Consumers Power Company, operating in lower
Michigan, serves one of the most important and rapidly
growing industrial sections of the entire country in?
cluding many nationally known concerns.
The electric light and power business contributes more
than 85% of aggregate net earnings.
The capacity of electric generating stations is 202,000
horsepower. The hydro-electric stations produce over
57% of the electrical output.
Upon completion of the present financing, the Bonds
and Debentures will stand ahead of $27,298,600 par
value dividend paying capital stock.
The Bonds will be secured by a mortgage containing
exceptionally conservative provisions with respect to
the issuance of bonds in the future, maintenance of the
properties, sinking fund, etc.
Net earnings are over twice annual interest charges
on outstanding funded debt including the present issues
of Bonds and Debentures.
Sales of electric current are well diversified; 16% to
motor car and allied industries ; 8% to machine shops ;
6% to food product and furniture concerns; 21% to
other manufacturers; 10% to electric railways, and
39% to residential and other lighting.
Yours very truly,
Company
Serve?
BATTLE CREKX
BAY CITY
FLINT
GRAND RAPIDS
JACKSON
KALAMAZOO
MAMISTEE
MUSKEGON
PONTIAC
SAGINAW
AND OTHER
COMMUNITIES
74 IN ALL.
CONSUMERS POWER COMPANY
$5,000,000
General and Refunding Mortgage Ten-Year
7% Gold Bonds, Series "A"
Dated Jan. 1, 1920
Du? Jan. 1, 1930
terest payable January 1 and July 1 la* New York without de
ction of the Normal Federal Income Tax of 2%. Coupon Bonds
Interest
duction <.
in denominations of $100, $500 and $1,000 each, registerable as ta
principal only. Registered Bonds in d?nominations of $1,000, $5,000
and $10.000 each. ?.
Redeemable as a whole or in part at the option of the Company on
any interest payment date upon sixty days' prior notice at face valu?
and accrued interest plua a premium of %% for each year or
portion of a year between the date of redemption and maturity.
Price 98 and interest to yield 7.28%
$3,000,000
Seven Per Cent Serial Gold Debentures
Dated aa of Feb. 1, 1920
Maturing $500,000 ?ach Fab. 1 from 1S2Z to 1927 indu.?v.
Interest payable February 1 and August 1 in New York withoot
deduction for the Normal Federal Income Tax of 2%. Coupon
Debentures in denominations ou $500 and $1,000 each (also $109
in the case of Debentures maturing February 1, 1927), registerable
as to principal only.
Callable on the first day of any month at 103% and interest foe
Debentures maturing three years or more from the redemption date*,
at 102% and interest for Debentures maturing two or more baf
lesa than three years from the redemption date; and at 101% and
interest far Debenture? maturing leas than two years from the r*.
demotion date.
Prices of all Debentures to yield about 7.75%
Securities are offered if, ?a pad when ipaued and received by as
ThmcvmpUte Utter, of which the abe?U? immmant. -Ul km ??- *- **- ?*?'?*-n-~r-^~-.-??'-*-fff friinf ?pin rrtwiffT
The National City Company
National City Bank Building, New York
Uptown Office: Fifth Avenue and 43rd Street
iC&cvtmvmrSOQa* *