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New-York tribune. [volume] (New York [N.Y.]) 1866-1924, July 22, 1921, Image 15

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$9,M0,0?? Credit
(Ranted Germany
to Buy Grain Here
fcjskers Negotiate for Fi?
nancing Shipments; First
Substantial Berlin Loan
Here Since Armistice
Germany yesterday concluded n?go?
ciions
in New York ?and London for
?**!?*-* t* finance the import of food
?tsit?. Fermai anouncement was made
?Ml by ? banking syndicate under the
w?nas**went of the Bankers Trust
C?Mni>*?ny ?n<* tna International Ac
-eptance Bank, Inc. that a $9.000,000
'-??jit fo* the purpose of financing
rrs'jj ?Mpments to Germany had been
,rr?Bged. It was reported in the
??nancial district that a credit for simi?
li: purposes had been arranged in Lon?
don to the extent of ?3,000,000 ($15.
*v0.?00, '.f- exchange is computed at
'jar).
Among the banks participating In
?he American credit, which is the first
substantial one granted to Germany
siac? the armistice and the first tangi?
ble piece of financing since-the United
Statei formally declared that a state
. 0; ptaee existed, are : The New York
"Wrait Company, the National Bank of
Commerce, the Chase National Bank,
tie Corn Exchange Bank, the First
Jfition?! Bank of Boston, the Old Col
ay Tro?t Company of Boston, the
?first National Bank of Chicago, the,
Cleveland Trust Company and the pri?
ste'firms of Hallgarten & Co. and
claman, Sachs & Co.
The loar, is made to the Getreide
Hufuhr-std'e, the German govern
atstal food purchasing agency, and is i
guaranteed, it is understood, by a syn?
dicate of German banks. Although no
?anouncement was made regarding
terma or maturity it is understood
that ?Be-third will be payable when i
the grain reaches German ports, one- !
third ?n three months and the other
third in six months.
This loan is only one of several
|rain credits which have been under
? negotiation involving advances of no
r-ss than S50.000.000.
Exchange Seats Decline
The Stock Exchange seat of Charles
, Morse has been sold to Morgan G.
Morgan for $S0.000, compared with the
?tat previous sale of $82,000. Earlier
I the vear memberships sold as high
*? $100,000. The seat of Percy K.
?.idson has been sold to Charles M.
Jones for $80.000.
- %
Common Dividend Passed
Special Dispatch to The Tribune
MONTREAL, July 21.?At the meet
g of the board of directors of the
Brompton Pulp and Paper Company
|fc?'? here to-day no action was taken in
?gard to the dividend on the common
toek. The previous quarterly rate was
pl a share, cut from $1.75.
Columbia Gas Earnings
Por the twelve months ended June
? the Columbia Gas and Electric
iempany and subsidiary properties re
rted net operating earnings of
|r230.4?4, an increase of $531.186 over
corresponding period of the pre
(?ading year. Surplus amounted to
U""*'*.*"75. an increase of So:"? 1.132.
Investment Information
Qatrstion* of general interest to in
vetiorx will b'- answered in thia col?
umn, in which ease only initials will
b? used. Othets wiU be answered by
mail. Acl?rese nil i-.omrie?, ?tolo*-1
ing a stamped, addressed ?nvelope, to
Fmant?al Editor, The Tribune, ii*
Nassau Sirert, New York City.
Plan of Kccouping Los? Will Nut Work
Question-*-] hnve jn amount of about
??.000 lyini: to my Recount in a bank In
Knguin.!. My horn? Is permanently here ami
!I would Hko to bring th? money over, but
j the rat? ?>f ex Chun tie in prohibitivo, 1 am not
in pressing need or !t. lr.it naturally wich
i'MMuusiy to have c!op??r control. I noto
in your Investment column that you rccom-'
mend Imperial .iapar.?v" Government 4V4?.
payable m 19:5. jit ??.S7 for ?terltng. in
your opinion, would this be u method ?>r
n tiring th<- transrsr?-that I?, by buying
i these bond? in Knjciand and holding to
I maturity.' Car. j-ou recommend any other
! wuy ? i proposa tu follow your advice f,n
I ?. veto to others ?mi Invest about $1.000
her? tn Belgian <ts and Canadian Northern
Railway. Ate thes?.-. th? best for in vest
r mom purposes onlj ??J, MoK.
Answer?Thinpr?--. equal to the same
| thmg r.rc equal to each other. Japanese
recently were quoted hero "at 85,
| which is $850 /or a ?200 bond, and in
j London at H3 bid, 115 nslcod, which is
I ?230 for a jCL'OO bond; ?230 at the pres
j eut rate of exchange is equal to
?8S0.6O. The ?wYerence between that
! figure and $850 may he arbitrage and
may be partly because on the New
York Stock Exchangx? for the purpose
of trading it is counted as $5, though
at par it is only, #4.80. So. you see,
you cannot turn your British funds
into dollars at par by any such simple
scheme .as buying a Japanese bond, '
which is traded in in both markets. If
there were any' such possibility there
are a lot of p'eople in Great Britain
who would be tickled to death to know :
about it. They have been shipping over j
those Japanese bonds and all the I
; others like them in great quantities j
since 1914, simply because they were
a call on dollars at par. You can '
hedge to a certain extent, however. If j
I you convert your British credit into ]
dollars and buy United Kingdom 5Hs, ;
' 1929, you will have a bond which is!
I free of British taxes and payable I
principal and interest in United
States money, but is also convertible
at any time prior to February 1.
192?, at 100 and interest, into National
! War Loan 5s, fourth series, at 100 and
interest, sterling exchange being com?
puted for the purpose of conversion at
$4.30 to the pound. The War Loan 5s
are payable at 105. The BV?s are sell?
ing at about 88^ to yield 6.21 per?
cent current and 7.42 per cent to ma
j turity. If converted and held to ma
? turity and redeemed at 105 you
! would receive for each $88.50 invested
! now from $105, if exchange were $4.30 '
! in 1929. to $118.85. if exchange were j
. S4 86. The 5VsS arc legal for
? savings banks in Connecticut and other
I states, and we think they arc a good
! investment with a speculative feature,
i Your other alternative is to put your
, British funds into some good sterling
1 security and take your chances on an
? improvement in exchange before you
need the principal.
Investing a Home Building Fund
Question?I have ?4.000 in the savings
ban:* and would like to increase my yield
to as near 7 per cent as possible with
safe'v This ami 11 ' represents the bulk
,, ; ? .-._-, \. m you please recom
I mend some short term securities that
? would suit my purpose, as it is my lnten
; Hon to build a home with the moin-y when
buiMing costa come to a lewer basis? ?
i H. P.
Answer?We do not know of any
safer form of investment than equip?
ment trust certificate?. They are listed
every day in The Tribune, and you can
choose any short maturity. They yield
close to 1 per cent. We think they
would fit your needs admirably. You
cannot afford to take risks with monoy
you are going to use for a home, and
wi think yoii are wise in holding off
that project for the present.
Thinks Big Four Bond a Bargain
yuewtion?My savings are invested as
rollo*-*] 11,000 Liberty thirds, if.00 Wost
? II) B?ectrtc 7 nor cent bond, f&QO Stand?
ard ?HI of Now*4* York. 19::$, 7 per oent
bond, 1500 Fennsylvinnia ? H Mr oont g"id
bond, due 1838; $l,Or,o t'nlon Tank Equip*
Incnt 7 per ,*?nt bund. $1.0110 C. <'. <". .*>
Ht. i.oui.'j (Bpringfleld-Columbua <inif.?<,iii
first nmiigag?* 4 per ?'cnt, due 1040: $r,0?*
American Telephone and Telpgrapn stock;
total, ?5.000. A friend Informa me that
the f., C, C. & St. Louts 4 purcha
last week at 7R Is one of the best. und?-rly
ing bomln on the market and I whs lucky
in purchasing at ?uch u. low llguro.?
A. D. P.
Answer?Whether you were lucky in
getting your Big Four Springfield-Co?
lumbus division first 4 at 75 is a spec?
ulative matter. It was down to OS last
March and ?3 not especially active.
There were no transactions in it the
week of July 4, for instance. The im?
portant thing is that you have a well
secured bend and we do not think you
need to be concerned about week-to
veek fluctuations in its price. The rest
o? your list is excellent, wo think. For
further purchases we suggest that you
consider foreign government dollar
bond:
Wlll Inv?est $2,000 in Foreign Issues
Question**-! would sincerely appreciate
your advice on the following: matter re
IT/ardtaar my first venture lulo the invest?
ment field. Regarding myself and pros?
pecte, wou'.r?, siiy that 7 am a single tm.n.
with particular obligations presenting
themselves with regard to the futuie com?
fort of ray parents; am ? salaried man,
approaching the ago of forty, 1 have con?
scientiously saved, leaving my money in
ravings banks, but have now como to th?
conclusion that I can Invest $2,000, prefer?
ably tn good bom?H. I havo about all 1
? taro to carry In Liberty bonds, and
the prospects offered In various bonds
to yield as much as a per cent look very
attractive to me. Tho following bonds
have -been suggested to me: Kingdom of
Belgium, Kingdom of Norway and Repub?
lic of Chile. On account of the industrials
not yielding as high a" rate, I have been
Interested in the foreign bonds, providing
that, they offer the saine comparative de?
gree of security. Your advice and assist?
ance In this will be sincerely appr?ciatif,
'["here Is no riMson whatever for my re
strl? ting my ?onoice to the above meu
tioned bond? should you advige me to in
veal my funds in any other manner.?
L. W.
Answer?We think that the foreign
government bonds are an attractive in?
vestment at present prices, and that
Kingdom of Belgium 8s and Kingdom
of Norway 8s are both good invest?
ments As a third, we would suggest
United Kingdom of Great Britain bYzs,
due. 1937, selling at a price to yield
slightly over 7 per cent if held to ma?
turity.
Coaxing and Being Coaxed Bad Policy
Question?Kindly give me your opinion
on the S per cent Columbia ?Jraphophone
notes. I was actually coaxed by a sales?
man of one of tho issuing houses to sub
scribe for five and to sell five 8 per cent
Swiss, as they had reached the peak, in
his opinion. Sinre then I note that tho
8 per cent .Swiss have gone up to 106 and
the S per cent Columbia have no sales re?
corded. When the first break came in the
?ir;'phophone I spoke to the house about
selling and was advised to hold.?II. B.
Answer.?Coaxing is bad business
and being coaxed is worse. You weak?
ened your investment position when
you made the swap, and now you can
either sell or take your chances on
the Graphophone note. You have come
to us for advice too late, we fear.
-,-n
Four full columns of in
vestment questions and an
steers are published in Th?
Tribune every Sunday*
tVEW ISSUE
$3,000,000
Centrai Maine Power Company
First and Genera! Mortgage 7% Gold Bonds
Series A. Dated June 1, 1921. Due June 1, 1941?
Interest payable June 1 arid December 1. Interest and principal payable in Boston.
Non-callable during the first five years; thereafter callable in whole or in part
on any interest date on 60 days' notice at 107 to and including Decem?
ber 1, 1927, and at Y2% less for each year thereafter until maturity.
Coupon and registered bonds, interchangeable.
Old Colony Trust Company, Boston, Trustee,
Issuance authorized by the Publie Utilities Commission of the State of Maine
TAX PROVISION: The Company agrees to pay interest without deduction for any
Normal Federal Income Tax to an amount not exceeding 2%, which it may lawfully
pay at the source. -^
For further information regarding these bonds, attention is called to a letter of Mr. Harvey
D. Eaton, President of the Company, copies of which will be furnished on request, and
which states that:
The Central Maine Power Company forms a single comprehensive system
of hydro-electric plants, transmission lines and distributing- systems, serving
ninety cities and towns and more than 300 industrial establishments. The
territory served includes practically all the large communities of the State,
except Portland arid Bangor, and includes a population estimated at 270,000.
The strength of the Company's position, in a section widely known for its
textile, paper, shoe and shipbuilding industries, is established by its owner?
ship of 27,900 H.P. of developed water power and its control of some,
105,000 H.P. of undeveloped hydro-electric sites located on the principal
power streams of the State. The hydro-electric installations are supplemented
by steam stations with an aggregate capacity of 10,000 H.P., and the entire
system is inter-connccted by 450 miles of transmission, lines.
Earnings
(Of Central Maine Power Company?Exclusive of ControiledXompanies)
(Year ended June 30, 1921)
Gross Earnings.$2,136,746
Operating Expenso?, Taxes and Depreciation. 1,212,958
Net Earning?. $ 923,788
Annual Interest on $8,747,900 Bond? (including thi? issue). 494,540
Balan?a ...._.? ?$ 429,248
Net earnings over 1.8 times annual interest charges
The depreciated reproduction value of the entire mortgaged property, based
on pre-war prices, with no allowance whatever for rights, franchises,|or
undeveloped water powers, exceeds the total bonded debt of the Company.
We recommend these bonds for investment
- Price 95Y* and Interest, Yielding About 7.45%
These bonds are offered wh,n, as and if issued and received by us. It is expected
that temporary bonds will be available for delivery on or about August 6.
Harris, Forbes & Co Coffin & Burr, me
New York New York
Day's Dealings
In Bonds
The Market
In the Investment market the lower?
ing of the discount rate in four Reservo
ouriks was interpreted mi an unmis?
takable indication of the return to
easier money conditions. As a result
' there was a moderate rise in bond
.picos. The improvement this month
has lefl many of th? dealer,-- without
, wares ti cfFcr, but at least three new
offerings are imminent. Investment
bankers feel that it. would be a mls
: take to increase new offerings too rap
| idly, fearing that so doing would check
j the irerrfovins tendencies.
Transact ?Otis
RaIi*
Libert:
191"
tew
do
$60(1,000
787,000
2,411,000
1,687.000
C4,C?j 0
Last.
86.80
B7.1G
87.62
87.16
91.SO
87.30
98.42
OS.40
it.38
at.as
YI ? I d.
4.36
4.07
G fa
6.27
6.73
r>. :t 7
6.1*2
*?"#?.
N't
cage.
+ .00
-?.16
-, .28
+..18
+ .04
+ .02
Bid and Asked Quotations
Liberty bonds, Y*esterday- Wednesday
3 Vis. 1947. 8C.80@8t).S6
1st 4s, 1 ?Jl7. 87.40?fl 87 CO
?So 4s. 1042. [email protected]
1st 4
3d
'47
%a, if!4:
3d 4 Us, 102?. .
4th 4*4?, 1838.
; Vie 4>: s, 1028.
do 3%a, loaa
Pre-war |ssr
2s reqr. 1929. .
?.B coup, 1980.
4s, reg 1 ! 25 .
87.62 B7.8S
? '7.1 1# 8T.18
91.30(3 91.34
87.28?3 B7.32
98.40098.43
[email protected]
[email protected]
[email protected]
80.80087.00
87.20@.?i7.26
87.02087.08
9 1.26 ?91.30
8 7.12!?'; 87. ? 6
98.39? 98.40
93.38 <??9S.40
4 s
2a Pan
2a Pan
2s Pan
3b Pan
Sa Pan
i'inl 4a
| Phil 4m
j Phil
I 1> Col
100%-*?1P0% 100%?1?0%
100 i il 100% 100 Vi ?100 ?4
104*4 ?toe 104% #106
"i ?106 104 ?i @ K?
. l.)0
.100
LOO Vi 100
i i 00
@100;
y, __
o ?
100
S, 19.3C.
77
& 81
& 81
& SI
0 ?
92
& ?oo %
@ loo*;
<8>ioo%
@ ?
@ ?
0 81
0 81
& 81
0 ?
1963.
| Foreign Govt. and Municipal Bonds
(interest to be added)
Bid. Asked.
Ctfc- of Bergern 8s, rects. 96% 97%
do Bern., . ?18 V* 08'*
do Christiania . 98% 99
?to Zurich .t. 99 99%
Argentine Intern 6s, 1945...... 67 fi8
Belgian 8s. 99% 100
Kingdom of Belgium Cs. 93 ,?
do 7'2s, ]04.-> .100%
j Kingdom of ?Sweden Cs, 1939.. 84%
Canada, Dom of, note.?, 1821... 99%
do 192C. 91
do 1929. 91 %
do 1931. 88
Danish S% A.100
do 8s, B.100
I Denmark ss.101%
j ('hi?ese Govt Ilu Kug Ry 5a, '51 45 >i
i Norway 8s.102%
! Cuba Extern 5s, 1944. ?
do 5a, series A, 1949. ?
i (lo 4!*s. 1049.?
: If S of Brazil 8s, 1941. 98V*
Republic of Chile 8s. 96%
"Dorninleain U?publlc 6s, 1958.... 80%
1 French Gvt 7V4a, 194i, w i. 95
'City of Lyona 15-yr Cs, 193 4.... 81
do Marseilles 15-yr ?a, 1934.. 81
do Bordeaux 15-yr 6s. 1934.. 81
do Copenhagen 25-yr 6%s, '44 77%
French Guvt 8s, 1st issue. 99V?
French, Paris City fis. 1921
Gvt. of Switzerland *-.s, 1040
Japanese Gvt 4%8, storl In,
do 4%s, 2d ser, 19 25.
do 4s, sU'li In, 1831 ....
do Tokio City 5s, 1952...
Un King Gt B & 1 0-yr 5%s
do 3-yr 6%8, 3 922.
t?o 10-yr 5%a, 1929.
do 20-yr 5%s, 1937. 8ii V4
Mexico Fxt xterl 5s, of '99, '45.. 44*4
?io gold Is. of '04, 1954. 33
King of Italy 5-yr 6 Vis, gold b. 88 ?4
Sau Paulo Sh, ct........ .
(Sales)
93 %
100%
85 H
11?)
91%
91 %
88%
100 Vi
100%
2 01%
45%
IOS
79*%
SO
98%
9?;%
81%
95Vi
99%
99% 100
...10
106%
84% ?4%
84% 85
60% 60%
68 69
99*-f 100
98% 98%
88%
95
88%
86 %
45
33%
88%
95%
V S
Argf
4s coup
.. .loi?;!
itIne G j
1945
S _ 68
Chinese. Ry Csj
1951
1 _ 45
C of Bergen
lemp rects 8s
1945
4 _ 96 %
1 _ 97
City of Berne
Ss 1945
20 _ 98 %
;.98 %
1 -98%
2 - 98%
Citv of Bord
6s 1934
:t .... 80%
City of Chris
8s 194 5
City of Cope
hagen 6%!
1911
City of Lyona
6b 1934
1 .... 80%'
City of Mars'
6s 1934
2 _R0%'
1 - SI ;
City of Paris
6s 1921
33 .... 9915.
City of Zurich
8s 1945
1 _ 99
3 _ 99%
Danish Con M
s f gold 8s
1946 ser ?
1 _mo
81 %
91%
1 500.
58 1931
7 .... 88%
3 _88%
1 .... 88%
French Re;>
Ss 1945
5 _ 98 %
98%
90
9 9%
99 %
99%
99%
99%
99%
99%
J _102%
7 -102%
1 -103
K of Sweden
6.-* 3 939
5 -84%
4 _85
3 _86%
Rep of Chile
Ss 1941
5 - 96%
6 - 96%
1 _ 96 %
5 _ 9?> %
2 .... 9fi %
96%
3
a 9 '
94!
10 .... 86%
;, y of Switz
erland a f Ss
1 D 10
1 -105%
1 ....105%
Jap 1st aer
4%S 1925
I _ 8 4 - i
8 4 %
8 1%
in 4s
1931
69
? 5 al2f 69
Ksm of Belg
fts 1941
17 ....100%
1 _100
a t 7%s 19 15
12 ....101
3 -100%
I ....100%
3 ....100%
l 500.100%
1 ... .100%
t .... 100%
1 _100%
'- 1?
5 t?" .... 96*1!
15 .... 97
1 .... 96%
' of Sao Paulo
s f Ss 1936
1 _ 96%
3 .... 95?,
2 - 95%
1 - 95
V K of G Hr
?S- I 5%s 1921
2 .... 99',";
10
98%
98 J,
9S%
18 .
3 937
K of Denmark
1 >om (\?n 5
notes 192:
88%
88 V.
88%
8 6
4 _ 86%
1 _ 86
2 - 86%
9 . . . . 8 6 %
6 .... S 6
25 - 86%
1 500. 80 %
3 .... 88%
U H of Brazil
8s 3941
20 _ 98%
3 0 - 98 %
3 s6f. 98V4
5 .... 98%
1 600. 98%
15 - 98%
3 _ 98%
1 600. 98%
3 .... 98 Vi
1 .... 98%
101 US of M?X
. ,101% 5s. 1945
..101% 2 - 44 %
..103 % 4* 1941
..101% 1 - 33 %
.101% N V C 4%3
Norway, 1967
40 7 .... 89%
. .102 Ti 4s 1959
..102%' 1 - 80%
.10011
93?;
Railwav. Oilier Corporations
Aim Apr Ch
7%s 1924
2 ..
5 ..
Am Smelt 5s
1947
8 _ 76%
3 '.'.'.. 78%
Am T *. T -tv
Cs 1925
At) Ref db !
6%8 1931
7 _1 00 % I
3 9 .... 3 00%!
Bait ?fe Ohio
(is 1929
.19 .... 89 !
! 10 _ 89%)
? rig 6a 3 995 ;
?g
70 %?
k
68 I
1948
8 l*.
8 I %
10
1
4 _ s:
col 4a 19:
24 _ 7:
Armour Co
4%a 19S9
A T <fc S F
4s 1995
nklyn K I gn
7s ser '.' 1980
1 .... 07 %
an ?a ser D
96%
96%
12 _ 96%
31 .... 9?!%
Cen of (?a Ry
Cs 1929
4 _ 86
1 _87%
1st 5s 1945
1 _ 89
on 5s
7 _ 81
Cen Leather
5s 1925
1 _ 89%
C*n Pac gtd
4s 3 949
2 - 72
,16 - 72%
2 _ 72
3 _ 72 %
Cerro de Pas
?V Bf ?s 1931
1 ... .107
Ches & O BV
6a 1948
1 .... 81%
1 .... S 1 %
/---i 4%a 1992
1 .... 73%
CV 4%a 1930
2 . ..." 74
C & Alt rfg
Ss 3949
5 .... 44
C B & Q gn
4s 195S
5 .... 77%
C A (Crie iHt
6h 19S2
l ....76
(' & A rfg
4%a 1'J'-'
1 .... 7*
Atl C L uni
4'-4a 190 4
L * N 4s
4 ". . .
Atl F'-ui? I
, Bklyn R
I ctfs of
' atpd 191
-?n Norte Ry
sf ?mid ih tai
19 4 0
2 ....101%
3 _101 I
3 _101%
10 ... 9J%
' M i St P
cv 5s aer B
2014
48 .... SS
5 - 65%
5 _ C 4 %
cv 4%s 1932
1 _ 65%
9 _ 64%
7 . . .
rf 4%s 1114
6 .... S**H
1 ..,. M%
g-n 4%a 'SS.
Subscriptions having bf?en received in excess of the amount of
bonds offered, this advertisement appears as a matter of record.
New Issue
$4,000,000
(Total Issue)
Atlas Powder Company
Fifteen-Year 7V_% Convertible Gold Bonds
To Se ia'-d *ugust '.,1921 To mature August 1. 1W5
Interest payable February 1 and August 1
Coupon Bonds in'61,000, ?509 und $100 denominations. Denominations interchangeable. Principal may be registered.
Callable m \ whble ~>r ?a oart on my interest date before maturity, on thirty days' notice, at 105 and interest.
Free -tf Somei?l federal income Tax up to 2%. Pennsylvania 4-Mill Tax rehinded.
Sinking fund beginning December 15, 1921. sufficient to retire $100,000 principal amount ot Bonds semi-annually by purchase
at not ?jc:eedin_ 105 and interest or call by lot at 10? and interest. This will retire 75<?fc ot the issue by maturity,
Principal and interest payable at the office of the Trustee.
NEW YORK TRUST COMPANY, TRUSTEE
The following summary has been prepared by W. J. Webster, Esq., President of the Company, from hi? tetter a? ?? ?st??
July 19, 1921:
Business?The Atlas Powder Company is one of the leading manufacturers of dynamite and blasting pow?
ders for commercial purposes in.the United States. It is also a large manufacturer o? leather cloth, la??
quers and various commercial chemical products.
The business of the Company is essentially commercial in character and not dependen? ob wax condi?
tions, as is indicated by the fact that net sales for the year ended December 31, 1920, were the third
largest in its history.
Security?These Bonds will constitute the sole funded indebtedness of the Company, with the exception
of $159,875 real estate purchase money mortgages. The Trust Agreement will provide that no mort?
gage shall be placed on the property of the Company without including these Bonds equally in the
lien thereof. The Company agrees that it and its subsidiaries will at all times maintain aggregate cur?
rent assets in an amount equal to at least 150% of all liabilities, including all outstanding Bonds.
The Preferred and Common Stocks of the Company at present market quotations represent a total
equity of more than $12,000,000, ranking junior to the $4,000,000 Convertible Bonds.
The balance sheet of May 31, 1921, after giving effect to the present financing, shows net current
assets of over $10,500,000, or more than two and one-half times ,the principal amount of these Bonds
and total tangible assets, after deducting all liabilities, except these Bonds, ot over $19,000,000, or
nearly five times the principal amount of these Bonds.
Earnings? The average annual net income, for the entire period of the Company's existence, after depre?
ciation and all interest charges, has been nearly seven times the maximum annual interest require?
ments of $300,000 on these Bonds and, after taxes and preferred dividends, has been equivalent to
over $22 per ?hare on the Common Stock now outstanding.
Conversion Privilege?These Bonds will be convertible at the option of the holder into Common Stock
of the Company at a price of $125 per share, with appropriate provisions for a reduction of the con?
version price in the event of an increase in the number of Common shares outstanding. The Com?
mon Stock has sold as high as $270 per share and within the past seven and one-half years has not
sold below par. For the first six months of 1921 the high was $146 and the low $106 per share. Since
January 1, 1913. dividends on the Common Stock have averaged in excess of 15% per annum. The
present rate is 12% per annum.
Price 96Vz and interest, to yield 7.90%
Application will be made to list these Bonds and the Common Stock of the Company on the
New York Stock Exchange. Delivery in .temporary form is expected on or about August 1, 1921.
AD legal matter? wil) be passed upon by Messrs. Beekman, Menken & Griscom. of New York.
Redmond ?Sl Co* The National City Company Brown Brothers & Co*
Tk? Inforrnifle? ?ntlin?4 la tfclf taVertliemeas It baaed ttp-R official ttateaienti and ?tatiatle? m ??<?
**? kan idle? ta ta? jmrckajo ai lacta beoda. Wi do o? ruaramee ?of ?elierr It t? be corren.
Chi & Nwn
7s 1930
7 ... .102%
1 ... .103 H
4 -103%
3 -104
6%a 1936
1 _100
6 _ 99%
4 - 99%
4 - 99%
Bs 1933
4 _ 89
Chi Kwy 5s
1927
r? .... 64%
1 _ 64 %
1 - 64%
C it I _ P gn
4a 1988
1 .... 71%
rfg 4s 1934
9 _ 66%
66^
1935
2 _103%
1 -103%
1 ..C.104
Du Pont de
Nemoura
7%a 1931
2 .... ?7%
6 - 97%
3
97-V
2 - 97 H
3 .... 97%
1 .... 97%
5 - 97%
Duquosne L,
6s 1949
1 ... 90%
B .... 5 r. '4
B - 55%
8 .... 55%
5 . .,. 66 Vil
8 - 55
Iowa Cent 4a
1951
16 - 3 8 ?, _
Kan City So
?s 1950
1 _ 75%
1
75 S
2
9t
____-- 90*4
Erie pr lien
4s 1996
10
I 17
MVj
7 '.'.'.'. 66 4 i *''" Ilen 4?
6 .... 66? 19?6
C StP M & O i;
8s 1930
1 -100 I
1 ...,100%i
6s 1930
1 - 79
Chl Un Sta
8%s ser C In
et. fa 1963
1 -103%
1 -104
4 Mis ser A
1963
2 _ soi;
1 ... 80
Chl _ W Ind
tom 7%s
1935
1 - 95%
4s 1952
1 .... 59%
Chile Copper
6a 1932
:ii .... 71 %
CCC * StL rf
6s 1929
1 .... 87%
Cleve S ?,
4'-..s 1961
1 - 81%
Col & So 1st
4a 1929
5 - 80%
1 - 81
3 - Sl%
4%s 1935
1 - 74
Consol Gas 7s
1925
1 -101
6 -101 %
1 -101%
6 -101%
1 -101
Cuba Cana Se
cv db 7s 1930
10 - 65
2 .... 6 5 %
8 - 65%
13 - 66%
5 .j, .. 65
B - 65%
1 .... 65 %
C'iban Am
Sag coi ss
IDS!
4 - 99
1 - ?jii,
B - M %
Cumb Tel 5s
1037
1 - 78%
D?l & Hud Tal 29 '.'.'.'
USO 2 _
1 -103% 2 ...
rig 4s 1943 ! 3 ...
77% ! Ill Cent
_____ <2%
15 .... 42%,
cvt 4a ser ?l
1953
4 .... 38 i
Gen Bloc deb,
6s 1940
1 -101%l
dob 6s 1962
2 - 86%
3%s 1942
7 - 70
1.70%
Goodyear Tire
& Rub s f 8s
1041
t - 99%
2 _ 99V
7 - 99%
9 .... 99%
G Trunk Ils
of Can s ?
7s 1940
1 -101
5 _100%
1 -101
1 ."...100%
3 -101
4 . ... 1 00"*,
1 ...-.100%
Gt Nor 73 ser
A 1936
25 .... 99
3a 1950
2 _ 66%
K.in City Ter
4s I960
5 .... 71%
1 _ 71
2 _ 70%
Kelly-Spring
Vld Tire gld
8s 1931
3 _ 94
1 _ 94%
6 _ 94%
2 - 94%
3 .... 94%
?ake S 4s
1928
3 _ 84%
Mggett _ M
7s 1944
2 _106%
2 *6f.l06%
2 _106%
1 _106
L & Jeff Edge
4s 1945
2 _ 65%
I, & N St h
3s 1380
1 - 50%
T,a <fc Ark 5s
1927
1 _67
Mere Pet of D
h f cvt 8a
1936
9 - 94%
94'
99
90%
99*,
74 _ 99U
4 0 .... 99%
21 .... 99%.
3 5 - 99%
9 _ 99_,
8 .... 99V?
2 - 99%
1 _ 99%
1 _ 99N.
4 _ ?>9U
5 .... 99 a
Hud _ M rig
Mldvale Stl
5.1 1936
?i _ 76%
3 - 76 %
^IlISSM&At
4s 1926
5 - 89%
M _ St Li rig
5s 1949
3 _ 40
Mo K & T 5a
nts 1936
7 _ II %
s f 4%s 1936
15 - 36
ctfs of depos
20 _ 34
1st -is 1990
8 .... 60%
1 s30f 60?j
195?
66'
1 _
3 _
1 -
Inc 6s II
1 ....
? ! Mo Pac
l| 1926
i 2 . . .
i ! gen 4?
! 1 . . .
: Pov
1 9 ! 3
40^4
40TJ!
4 0'..
. . 84%
St L
Den & R G rf
14
!^
44%
45 ?
I '
4 T. %
454:.
??;>?
46
1934
\ * ?95?
rig 4-i
uC C '&.'
I. ?- N
im 5s l?ijs 1
10 - ?8% ?III Steel
S -88%! 1?40
2 - 69%
con 4a 1936
2 - 63%
%!
I
79%
38
i - <;:;
I1? t Kd rfrr 5*
1 - 79 I
Det Rlv T
4%s 1961
5 _ TT
2 - 59%
T?et C Ra
4'bi' 1931
I ?_
RI Mer Mar
6a 1941
90%
9 0 %
91
91 hi
91 %
91%
i 1
... ? rfg 4%s 2ft' !
'''"?t- 1 .... 77%
%S 4s 1934
Ctfa o? ? ?!'
?* ... 1 .^
5 ..'.'. ! '
?%S 1998
. . . 61%
V?rk Cfl
. 70
Rys gdj
10 _ 4%|
N' T Teleph I
6s 1949 1
3 .... 92 f
81
4 83Of. 80%
1 . 80%
10 - 81%
Nor So 5a aer
A 196!.
1 - 41
NY W _ Bn
4%a 1946
2 _ 36%
Nor & W con
4m 1996
1 _ 76%|
cv 6a 1929 t
i ?ioi%:
Poca h C _ C,
4s 1941 1
1 .... 74%
2 _ 75 I
No Pac 6?
S'*r B 2047 ;
5 . .., 99%|
3 _100 !
4? 1996
9 _ 75%
I _ 75%!
6 .... 75% !
5 - 75%
3s 2047
1 _ 54 |
Ot Nor joint!
6%s 1936
6 .... 99%
16 - 99 %?
6 - 99%
.5 .... 99%
l _ 99%:
5 '.'.".'. 99%I
1 - 76%-\
en 4%s I960
1 - 85%
Peo G & C of
Chl 5a 1947
1 _ 72
Phil a Co 5a
1922
12 - 97
Pub S of NJ
5a 1959
1
65%
99%
99%
1 .... 99%
6 .... 99 %
3 .... 99%,
6 .... 9 9 ' :.:
?r? - 99% i
6 .-... 99%!
Nwn Bell T.el
7a 1941
8 -101%j
1 -101
s ?ioi%;
4 -ion,
11 ....101.%]
3 -101%
2 -101%!
1 ....301%
i ?ioi%:
Or & Cil iet
us 1927
4 .... 89^1
i ? ? ?. ? 9 % :
8 s30f. 89% i
Or Ky _ Nav
4a 1946
1 .... 77 u:
Or-W RR _N
1 - 65
Reailiii? gu
4d 1997
10 .... 73%
33 _ 74
Rio G W col
4s 1949
3 - 51
Bt?i Ir M & S
as 1931
3 - S8
4s 1929
6 _ 70%
4s R _ G
div 1933
10 - 65%
3 _ 66%
St?. RkM & P
5a 1955
3 _71
St?, ft S F 4s
ser A 1950
24 .... 81%
6s aer B 1950
7 _ 72%
43 _ 73
4 ..-?. 72%
10 _ 73
6s ser C 1928
4 _ 88
inc 6s 1960
8 _ 54%
2 - r.4%1
7 _ 54%i
8 - 54 [
1 .... 54%:
adj 6s 19 5 5 !
1 _ 66%:
2 .... 66%
StL Swn Ter
5s 1952
1 _ 65?
StP ?fc Kan C!
Sh L 4?ja
1541
10 - 63% i
5 _ 63%
San A & A P?
4s 1943
3 - 62%j
Seab A ? adj :
5s 1949
1 _ 25%
Third Av Iat
ta 1937
1 .... 76%
Third Av adj
5s 1960
20 - 31
10 - 31%
r.fg 4a 1960
6 - 49%
2 _ 4 9
3 - 48%
T St I. & W
4s 1917
46
1 _ 25%
7 .... 25%
4a 1959
46 _ 56%
con 6a 19 45
13 .... 4 S %
10 _ 48%
Sinclair C Oil
cv 7%a 1925
g _ 91
i _ si y
1 - 90%
ra%
Or Short _
4.?* 1939
3 ". . ? ?
10 . . t? _
6 .... gs
Vac G & E 5i
1912
1 _ 7S
Pue of \; |
la (t: i
1 ..
.... 90 %
! . . . . 9 I
Ci 0 %
Bell T?T
i 1941
' Sou Pac cv 5s
; 1994
rfg 4a 1955
2 _ 75
98%
75% |
75 1
1 .... 5 6 %
Stand Oil Cal
7s 1931"
:>. _103%
1 _103 %
1 -103%
Tri-Cit ft _
I. 5s 1923
1 - 91
L'n Pacific 6s
1928
1 - 99%
3 _100
1st 4s 1947
5 . 81
2 _ 81 %
1 s30f 80%
3 _81
cvt 4s 1927
2 _ 84
1 -84%
rig 4a 2008
3 67f. 75
1 - 75%
TJn Tank Car
7s 1930
2 _100%
5 ....100%
U S Rubber
7%a 1930
5 _100
1 - 99%
1 _100
7s 1923
1 - 97%
4 _97%
5s 1947
1 .... 77 %
U S Steel s ?
6s 1963
1 - 94%
1 - 94%
1 _ 94%
2 _ 94%
4 .... 94%
1 - 94%
registered
1 - 94
Utah Power
& _ 5s 1944
3 _ 79
1 .... 79%
Va-Car Chem
temp deb
7%a 1932
1 _ 91
3 _91%
2 -91%
6s 1924
4 _86%
Va Iron C &
C 5s 1949
1 - 85
IVabash 1st
5s 1939
2 - 86
1 .... 85
"West Elec 5a
1922
2 - 96%
West Marvid
4s 1952
1 .... 52%
3 - 62%
6 .... 02%
v. ? paa 5s
r:?4?>
z - 78%
1 ?-Tf. 78
V ?Ugh Ek-o
7s 1931
5 .... 100 %
1 -100%
1 -101
. . .10'?%
... ! ?' ',
... ! 0 ! %
. . 5 ?
....10?%
2 ....
I ...
1 ....101
1 -100%
2J -1 01.
West Shore 4a
2361
1 - 71
Wiljnn Co 1st
?4 :
83%
1928
?as la ctfa
10 .^.85
13 -35%'
onsin C
1949
? ? ? H fe
.. . M
CS & D
.... 66
on the New York Stock Exchange. The
return on a bond to the investor depends
upon three facture: the rate of interest
the security bears, tho market price
and the distance of the maturity date.
To figure the precise yield on a bond it
is necessary to use yield tables, but the
approximate yield can roughly be figured
oat by the following formula: Divide
the closing quotation on a bond into
the rate of interest it pays, and the re?
sult will be the annual return. If the
bond is selling below par you mv&t
allow also for the appreciation, of the
principal. To do this subtract the mar?
ket quotation, from par, or 100, and di?
vide the remainder by the number of
years the bond has to run before ma?
turity. For example, if a 6 per cent
bond is selling at 00 and has fen years
to run, the annual return will be 6.66
per cent. The difference between par
and the- market price will be 10 points,
subtracting 90 from 100. Dividing ten
points by ten years, the quotient will be
1. This figure is to be added to 6.66,
which is the annual return, and the re?
sult, 7.66 per cent, will give you the
approximate yield.
- ?'? ?
Decline of $578,000
In Southern Pacific Net
The Southern Pacific in its report of
June earnings showed a falling off in
gross in June, 1921, of $1,222,000, com?
pared with June, 1920. The company
cut maintenance expenses and thus
saved $644,000 on operating expenses,
but net amounted to only $4,917,000, a
decrease of more than half a million,
compared with June, 1920.
This is a reversal of the showing in
the first five months of 1921. For the
full six months' period ended June 30
and notwithstanding the loss in June
total operating revenues amounted to
$130,248,000, an increase of ?4,687,000,
and net operating revenues amo#ited
to $22.944,000 for the first six months
of 1921, an increase of $4,782,000 over
the corresponding six months of 1920.
There wns a decrease in taxes of
over $900,000 in June, 1921, so that net
railway operating income amounted to
$3,181,000 in June, 1921. an increase of
1364,000, compared with June, 1920:
This net railway operating income
compares with $4,030,000 fur 1919, a
deficit of $1,624,000 in 1918, a net of
$??,204,000 in 1917 and a net of. $4,
7*5,000 in 1916. Figures comparing
with last year follow:
June oper. ? sv. 123,044,00D Dec.$1,322.009
Tranaport'n wrp . ? ? 96 DOC Inc. 17,000
?'.-e o? way
and structures. 2.77''.?ion Dea 455.000
Maint, o? equip.. 34?.000
Total oper. exp. .18.127 - ?? . 644,000
Net ry. revenue
Ine, 4.I.87.C'???
? ?
'
o? equip
Famous Players Earns ?6..>1
The preliminary statement o-;! the
Famous Piuyers-Lasky Corporation for
the quarter ended June 30 showed net
profits, after taxes, of $1,558,009, equal,
after allowing for i*referr<-d dividends,
to approximately $6.54 a share earned
on the 200, 849 K:i:>.res o? common
stock, compared to $1,519,947. equiva?
lent, after taxes and preferred livi
'der.ds, to S6.30 a share. N'et profits,
after taxes, for the six months ended
June I ?'??'',<)7*"i.ooo. eoual, after
Day's New Issues
It was said yesterday at the ?mee
of J. P. Morgan _ Co. that the books
on the last French issue of IVs per
cent bonds had been closed and the
entire is^ue sold.
J. P. Morgan _ Co. bought in $26,
000,000 of United Kingdom note? which
mature on November 1 next, leaving
$55,000,000 outstanding. The right to
turn them before maturity expired
'? Wednesday.
One of the investment houses will
probably announce to-day a loan to a
Detroit public utility company. Two
'other firms have other financing op
j erations near completion and public
; announcement will be made by aext
Monday, it is expected.
The American Tobacco Company wiV
on August 15 pay off $3,333,000 o:'
Series C notes due November 1. The
notes will be taken up at par and ac?
crued interest from May 1 lagt and 1
per cent premium.
Eldredge & Co. and Kissel, Klnnicutt
_ Co. are offering an issue of $683,000
city of Akron, Ohio, 6 per cent coupon
bonds, dated July 1, 1921, due serially
July 1, 1922 to 1951 inclusive. Prin?
cipal and interest are payable in New
York. The bonds are being offered at
a price to yield 6 per cent to 6.40 per
cent, according to maturity.
Homblower _ Weeks are offering a
block of 6 per cent coupon road notes
of Rockingham County, N. C. Trie
yield is 6.75 per cent and the cotes
are dated July 1, 1921, due July 1,
1923, being exempt from all Federal
income taxes. Principal and interest '
are payable semi-annually, June 1 and -
December 1 each year.
Harris, Forbes & Co. and Comh ?m\
Burr, Inc., are offering a new issue of
$3,000,000 Centra! Maine Power Com?
pany first and general mortgage 7 per
cent gold bonds, due June 1, 1941, at?
95 _ and interest to yield about 7.45
per cent. The bonds have been au?
thorized by the Public Utilities Com?
mission of the State of Main?. Net
earnings of the company for the year
ended June 30 were over 1% times the
annual interest charges. *
? a?
Crude Rubber Unset?ed
Unfavorable reports of lessened actir- ?
i ity in the London and Far Eastern crude
\ rubber markets tended to unsettle the
: local market yesterday. A further
! slight recession in prices on the lead- .
?ng standards Was noted. Sellers pre?
dominated in the market, but wera ?
'.oath to sell at prices offered by buy?
ers. Quotations on ribbed smoked
sheets ran from 14*4 to 15 cent? on
'?pot, compared to 1,5 and 15Vs cent? on
Wednesday. Price! on first latex offer
deciined 1 cent, being offered ?$ ?
? Bt*.

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