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TTEARST’S SUNDAY AMERICAN, ATLANTA, 0A„ SUNDAY, AUOT T ST 24, 1012.
sram of ni f
Sweet Potato Crop
Yields Big Returns
Would Bring Much More if Southern
Farmers Did Not Glut Mar
ket at Harvest.
Financial Optimism Chilled by Prospects of
Shortage in Necessities of Life, a Condition
That Depresses Securities Market—Cotton
Likely to Give U. S. a Big Trade Balance.
By CHARLES W. STORM.
NEW YORK. Aug. 23.—Financial
enthusiasm has been chilled by the
spectre of higher price* for food that
loomed up on the economic horizon.
Simultaneously a halt has been called
in the advancing column of security
values because higher prices for food
stuffs rarely go hand in hand with
higher quotations for securities.
The has also proven that
there is less money available for in
vestment when people are paying
more to fill their "dinner pails.”
Aside from the improvement in the
prices of stocks and bonds, invest
ment has been greatest in the reports
of damage to corn, the greatest
American grain. The major propor
tion of the corn crop comes to mar
ket on hoof, that is, in the shape of
meat.
It inevitably follows that a short
corn crop means higher prices for
meat, and the Chicago packers, real
izing this, sought last week to pre
pare the public for the shock by an
nouncing that it would within six
months have to pay much more than
present prices if the beefsteak is to
remain on the dinner table.
Lack of moisture has also left the
hay crop and pastures in bad shape,
so that there is a certainty of in
creased prices being paid for meat.
Moat prices in New York are on
an average three cents higher than
on the same day last year, and from
five to seven cents higher a pound
than ten years ago.
Grain Held Over.
Experts figure that the combined
harvests of wheat, com, oats, flax
seed, rve and potatoes will be about
1,000,000,000 bushels less this year
than last. The food markets, how
ever. will not be as bare as expected
owing to the very large amount of
grain held over last year by farmers.
But for this big carry-over the pros-
shortage of grain would be
viewed "With greater apprehension.
<roposition must
be considered as not
acute all over the world. Durchase r
Europe will be a lar « e \U the ?n-
of our grains this year
habitants of the Eastern parT-kUiw ^
Eastern Hemisphere have been ’>ev
hind guns instead of plows. It is
estimated that Eastern Europe can
hardlv make within 25 per cent of
its usual production. It must neces
sarily call upon America to till its
larders. _ .
Cotton Exports.
The trade balance of the United
States will probably be swollen by
earlv exports of cotton at higher
prices than those prevailing las.
vear. The new crop from Texas is
going in at good prices per bale for
ally deliveries. This will produce
for this season of the year.
Humanity balks at higher prices
and for this reason the demand for
high grade bonds has fallen off last
week. Owners of capital recently
showed f disposition to exchange
their savings fo high grade bends
yielding five per cent and selling
around par, but ^n•advance of three
or four points has caused them to
lose all enthusiasm.
The rush of bankers to participate
In the underwriting of the Southern
Pacific certificates of interest created
a favorable impression and demon
strated that their is plenty of money
available for investment provided ihe
securities are offered on an attractive
basis.
Europe Again Friendly.
Financiers were particularly grati
fied at the large subscriptions for the
Southern Pacific offering made by
European bankers, thus reflecting a
willingness on the part of the for
eigners to lift the embargo that has
been on American securities abroad
for the last six months.
Europeans are still accumulating
their gold as indicated by the in
creased reserve of the Bank of Eng
land, so that their participation in
the Southern Pacific underwriting
syndicate is not believed to warrant
any expectation of a rush by Euro
peans to the bargain counter for
American securities.
Steel has been an exception to
the general tendency of commodities
to advance. The Steel Corporation
announced it had not reduced prices
but independents have reduced their
quotation* from $1 to $5 a ton.
Orders received by the trust last
week were slightly better than those
in the same week of the previous
month.
Copper in Demand.
A better demand has also been re
ported for copper metal, which ad
vanced to 1G cents a pound.
Money has worker easi *r Well-
informed bankers believe that senti
ment. relative to the action, of the
Secretary of the Treasury in offer
ing to deposit money with Western
and Southern bankers, is at the
bottom of the easing off in rates.
Sotne bankers expressed the opinion
banks, in expectation of Gov
ern have been letting
the b«rs
some tendency toward over expan
sion. Because of this they looked for
some reaction in rates.
Bankers expect full rates for mon
ey during the crop movement periol.
The drain by the West does not be
gin for from four to six weeks, but
the first shipment made to the West
for crop movement purposes took
place last week. The South has al
ready been a heavy borrower for the
an unsually good volume of sterling movement of King Cotton.
Inter-Bank Lending
Varies With Season
Maximum Reached at Crop Harvest
Time—Lowest Early in the
Spring.
NEW YORK, Aug. 23.—In the opin
ion of local bankers, undue impor
tance should not be attached to the
practice of some banks to conceal, by
various indirect processes, their debts
to other banks. The figures for inter
bank obligations reported to the
Comptroller under "notes rediscount
ed” and "bills payable” can be re
garded as substantially correct.
In requiring the national banks to
report their loans, as well as their
debts, to other banks, it does not ap
pear that the Comptroller is seeking
to bring to light the rather negligible
amount of inter-bank debts disguised
under various subterfuges. The pur
pose he has In view is rather to deter
mine the sources whence banks obtain
accommodation and the uses to which
such accommodation is put.
The volume of notes rediscounted
and bills payable naturally is subject
to seasonal variations. It attains its
maximum proportions in the middle
of the autumn, when the Interior
banks are obliged to make heavy
drafts on the resources of the East
ern centers to finance the crop move
ment. . .
As the crops are shipped eastward
and are marketed, the West liqui
dates its indebtedness to the East, and
teh notes rediscounted and the bills
payable gradually shrink in amounts
until about the opening of spring,
when the lowest figure is touched.
As the brunt of the lending to oth
er banks fails on the institutions in
the three central reserve centers, the
amount they borrow themselves is of
nominal proportions. Reserve city
banks seek accommodation on a more
extensive scale. Hut the great bulk of
borrowing is done by the country
banks.
Want No Trustees
Dealing in Stocks
London Brokers Make Strict Rule
Against Taking Accounts of
Men Handling Others’ Money.
Each year the sweet potato is be
coming of greater importance as a
money crop in the South. The value
of this crop in the United States in
1900 was $34,429,000. 90 per cent of
which was produced in the Southern
States. The total area devoted o
sweet potatoes in the United States
increased from 537,000 acres in 1899 to
641,000 in 1909, and the yield in
creased from 42,500,000 to 52,200,000
bushels. The total value of the crop
Increased at a much more rapid rate
thai> either the acreage or the yield,
showing an increase of 78.3 per cent
in ten years.
With better methods of storing and
marketing the potatoes, it is said,
their value could be doubled without
Increasing the acreage or production.
This is especially true in the South,
where the potatoes are either rushed
on the market at digging time, when
the price is low, or stored in outdoor
pits or banks, where a large portion
decays.
Very few of the sweet potatoes
stored in pit* or banks ever reach
the market, for from 25 to 50 per cent
spoil, and those that remain are not
of good quality. Even if the pit or
bank method of storage would keep
the potatoes, it is not economical.
Too much labor and expense are re
quired to make these banks every
year and to get the potatoes out when
wanted for market. Sweet potatoes
can be marketed more economically
and to much better advantage from
storage houses.
WILL NEGRO CONTROL FARM LANDS OF SOUTH?
NOTE OF ALARM IS BEING SOUNDED BY LEADER
Community Villages Will Solve Rural Racial Problem—Breaking l’|>
of Large Estates Into Small Farms With Village Centers Affords
the Opportunity—Whites Will Be Encouraged 1<> Become Land-
Owners.
-CHARLES A. WHITTLE
Georgia State College of Agrirultun
N. 0. T, &M. Receiver
May Ask Big Loan
Frisco Subsidiary Almost Certain to
Default on Interest Due Sep
tember 1.
NEW YORK. Aug, 23.—As soon as
New Orleans, Texas and Mexico re
ceivers know whether Frisco receiv
ers will or will not pay the $700,000
interest due September 1, they will
make application for permission to is
sue approximately $1,000,000 receiv
ers' certificates. In the meantime the
Columbia-Knickerbocker Trust Com
pany is making temporary loans to
the receivers comprising $100,000 for
debt falling due August 1. and about
$200,000 additional to middle of Sep
tember.
The engineers employed to examine
the properties which make up the
Frisco's South Texas lines have not
yet made their report, but the most
favorable statement would show that
at least 18 months of steady work and
adequate funds would be necessary to
put New Orleans, Texas and Mexico
in a position to earn interest on its
bonds. Others believe at least three
years would be consumed in putting
the line on its feet, and between $2,-
000.000 and $3,000,000 expenditures
would be needed.
Under these circumstances assimipr
tion is made in certain qygrterslthat
Frisco will defaulters' guarantee of
the interestdue^eptember 1. In fact,
it is said^fHafany other course would
be iniproper.
Fertilizer Concern
Has Splendid Year
American Agricultural Chemical
Earns Close to 7 Per Cent on
Its Common Stock.
The London Stock Exchange has
found it necessary to take action sim
ilar to that of the New York Ex
change in cases of acceptance of ac
counts from employees of banks or
other financial institutions. The Lon
don rule is more strict than that in
New York, applying to all persons oc
cupying a fiduciary position. Com
menting on recent enforcement of the
rule. The London Economist *ays:
"The committee of the House are
determined to do their utmost to put
a stop to speculative accounts beins
opened by members of the stock ex
change for clients who are not prin
cipals. Every case of this kind which
is brought before them receives the
committee’s stern attention, and sen
tence of three years’ suspension has
just been passed upon a broker judged
to have broken the rule. A member
of the stock exchange, it can not be
too often reiterated, may undertake
speculative transactions for the cos
termonger in business on his own ac
count. though forbidden to do so for
a manager, secretary or any other
official, however highly salaried. Tn
practice this rule works out with re
sults sometimes, laughable, frequent
ly annoying and absurd; but the
principle is so sound that little excep
tion can be taken to It.
“The rule is framed with the ex
press purpose of restraining from
speculation, through stock exchange
channels, any person occupying a
fiduciary position, and therefore with
the command of financial resources,
not of his own, under hi* control.”
BOSTON, Aug. 23.—American Ag
ricultural Chemical for Its year to
June 30 is understood to have earned
something better than 6 per cent on
the $18,330,000 common. In fact, it is
barely possible that the final figures
will come nearer 7 per cent on this
issue.
Unless conditions in the fertiliz?r
trade become very much worse than
for the last two years, the company
can continue to earn and pay the
present 4 per cent dividend. This
dividend rate is, by the way, a testi
monial to the wisdom of directors in
making the initial distribution on the
common stock rather modest. If a
5 per cent or 6 per cent rate had been
adopted two years ago. the future
outlook would not be nearly so hap
py as it is to-day.
A very strong feature of American
Agricultural operations is the high
percentage of branded or trade-mark
ed goods which tt sells. It Is safe to
state that 90 per cent of the com
pany’s tonnage consists of trade
mark goods, which farmers buy on
the reputation of a particular brand
for the specific purpose desired.
Frick an Optimist
On General Business
Cessation of Governmental Harass-
ments Greatest Need of the
Day, He Believes.
ANXIOUS FOR COTTON BILLS.
In circles where foreign trade is
financed, the appearance of cotton
bills in the New York market is al
ways looked forward to as the be
ginning of a period of relief * It will
be especially so in this season, when
the crop is pretty well cleared up, on
account of the steady demand in the
late old-crop months for the staple
for export purposes. During both
May and June this year exports were
57.304 bales largei than during the
rorresponding mor. hs of 1912. when
the exports were nearly 2,000,000
greater for the season.
BIG BUSINESS OWNED BY
THOSE OF SMALL MEANS
The United States Steel Corpora
tion has 150,000 stockholders, the
Pennsylvania Railroad 77,000. The
vast majority of these owners of
securities are persons of small means.
There were 32,381,762 insurance poli
cies In force in the United States
January 1. 1912. This represents
nearly 23,000,000 Individual policy
holders. More than 50 per cent of the
securities held by the insurance com
panies. on ’ which the safety of the
savings of the policy holders depends,
are listed on the New York Stock
Exchange. Railroad securities alone
are 38 pe/ cent of the whole. It is
therefore essential to policy holders
to maintain the prosperity of big
business.
LONDON. Aug. 23.—in an inter
view' with the London correspondent
of The American. Henry C. Frick says
he considers J. P. Morgan his father’s
successor in the financial world.
"He is a most able man.” Mr. Frick
continued, "a highly conscientious,
great worker. In taking over the
reins he has certainly risen to the oc
casion and situation. I have the ut
most confidence in him, and believe
h e will wear his father’s mantle with
the greatest credit to himself and to
the country generally.
"On general business conditions, I
am an optimist. I am always a firm
believer in our country. I see abso
lutely no reason for alarm at the pres
ent moment. A general feeling of
hopefulness seems prevalent. The
crops promise well, and good, average
crops should give a strong impetus
to trade and insure continued pros
perity.
"The one greatest need is a let-up
in Governmental lawsuits and inter
ference which continually threaten
capital and inevitably create an at
mosphere of general uncertainty and
mistrust.
"I don’t believe the tariff bill will
lead to any great business disturb
ance. Its effects have been largely
discounted, ;md our country is big and
prosperous enough to quickly shake
I off any unexpected evil result.”
Clarence Poe, editor of The Pro
gressive Farmer—a leading Southern
publication—has stirred wide interest
in favor Of segregating the races In
the rural South. "The negro now has
an advantage in the *truggle for con
trol of our rural districts, and It.is
only to equalize matters, to give the
white man a fairer show’, that segre
gation. the grouping of races in sepa
rate communities, is proposed," says
Mr. Poe.
He insist® that there is nothing new
or radical about hi* proposal. In
stancing that the races are separately
grouped In Southern cities, that thev
have separate churches, separate
schools, are separated in. trains, that
California has its Chinatown, the In
dians their reservations.
Summing up his argument*, Mr.
Poe holds that segregation Is neces
sary to give the Southern white farm
ers and their families a satisfying
social life, to insure them greater
safety and protection, to give them
better schools and churches, to open
the way for co-operation and co-oper
ative enterprise* now impossible as
between w’hites and blacks, to improve
moral conditions in the relation of
the races, to give the South a greater
proportion of white people, first, by
stopping the crowding out of white
farmers by the negroes, and. second,
by providing all-white communities
such as while people of other sec
tion.* will be willing to move into; to
induce whites to become tenants in
white communities! who are now un
willing to compete with the negro in
mixed communities, and to induce
white tenants to aspire tc become
landowners
Would Arouse Sentiment.
How to bring about a segregation
of race* in Southern rural communi
ties, Mr. Poe does not venture to
say other than to arouse public senti
ment and to indicate that it will
doubtless be necessary to go further
and adopt some legi*lation «uch as
Atlanta has passed, w’hich provides
that when a majority of the property
owner* in a block elect they can for
bid the selling of any piece of prop
erty in that block to a person of a
different race than their*. "Why can
not Georgia, or any other State, pass
a law’ giving a similar privilege Xf> its
cQunjLrv.jieogleX', the query^of the-
'leader of the mov^rfieftL-'- ^
The assumption is that property
holding will automatically segregate
the race*. But it may well be asked
w’hen. if ever, any considerable por
tion of the black race will be pre
pared to become landowners and
thus bring about effective segrega
tion. and where w’ill the white*, as
the dominant landowners sell, or per
mit to be hold, to the negro any of
their acres, especially when such a
law as that mentioned increase* the
power of the white owners to resist
Increasing the domain of the black?
Would not segregation by such terms
be merely a mirage and the negro
more than ever a w’anderer and social
menace?
Issues Are Vital.
So vital are the Issue set forth by
Mr. Poe that they may well evoke
public interest, as they are. The South
needs to be setting itself hard at the
large and man-sided problem, bear
ing faithfully In mind that each race
should be hindered the least by the
other in working out its own salva
tion.
Any solution of the Southern rural
problem must take Into consideration
the one vital need of the South, the
community village. Indeed, it may he
doubted if the problem will ever be
rightly solved until the South’s rural
population is recast into a community
village life.
The village at once solves the
Southern rural school problem, the
rural church problem; It provides pro
tection from the negro fiend, makes
for better sanitation, for co-operative
enterprises, affords the satisfying so
cial life so much denied by the iso
lated farmhouse.
Where the village is established in
the rural South there will be the ne
gro towm, that segregation now exist
ing in Southern cities which Mr. Poe
want* vso much for the country.
During the ante-bellum period each
plantation, w'ith Its mansion and n*-
gro huts, constituted a social unit.
The relationship of master and serv
ant sufficiently segregated and em
powered for control. But with the
freedom of the negro came naturally,
drifting and irresponsible habits, and
the plantation unit was destroyed.
The w’hite landowner felt the humil
iation of hi* los* of independence and
became more and more helpless as
the negro asserted his independence
as a laborer, until finally a great
many of the landowners leased their
plantations to the negroes and went
to the towns and cities to follow other
pursuits. One ha* only to consult
the census reports to note the aupafi-
ing number of absentee^ landlords
throughout the South. Nor has the
drift of landowners to town ceased.
Those remaining on the farms claim
that the lease sy*tem has left only
the poorest and least reliable negroes
available for hire.
Soil Is Depleted.
Poor methods of agriculture, prac
ticed by regroes under the present
Iea3e system in the South, has ac
complished nothing so much as the
depletion of soil*. Land values are
low. Absent landlords who have felt
financial stress have parted wdth some
of their lands to thriftier negro ten
ants. and thus the negro is slowly
becoming a landowner
Facing the fact that the lease *ys-
lem 'Is ruining Southern farm lands,
much of w’hich is defined to go into
the hands of the negro race at a very
low r price, unless there is a check to
the movement. Mr. Poe has been con
strained to sav. "The negro now’ has
an advantage in the struggle for con
trol of our rural districts."
The lack of co-operation among
white landowners i* largely respon
sible for the demoralization in land
conditions, and the lack of co-opera
tion, of course, is largely due to lack
of the community village.
It is not too late for landowners
to organize and consider lease terms
that will conserve and build up farm
lands. The South can W'ell turn to
European countries for guidance in
making leases. W'ith proper co-op
eration in this direction much may
be saved that will eventually be lo>”
by present methods. Right crop ro
tation. right cultivation and right fer
tilization for soil building when pro
vided for in a lease, benefit*. *f
course, not only the lessor but th •
lessee.
But permanent agricultural ad
vancement 1* not based on leases an 1
never can be. The problem of the
rural South will be solved most near
ly aright when the man who culti
vate* the land owns it. The planta
tions must be broken into small
fdrm* and sold to men who can not
have the inspiration to -ucceed with
out a sense of ownership.
Opportunity Ha* Arrived.
W’ith the breaking up of the large
plantations comes the opportunity for
establishing the community village
and the practical solution of the prob
lem of segregation of race*. The
plantation owners can assemble the
tenant house® into a village. Of
course, there must be something in
it for the plantation owner, and so
there would be. If the landowner*
are willing to sell off small farm*,
a village house would be sold with
each tract. The house In the village
w’ould be worth more than a houee on
the tract of land, and once the owner
Is located in it and enjoys the priv
ileges of village life, he will prefer
to live there and go out to his farm ,o
work during the day; he will prefer
the .school advantages, the protec
tion of his family while he is away
from the house at work.
Unquestionably too, there will b°
found plqnty of thrifty tenants who
will be willing to buy house and land
on easy terms. Certainly If such are
not to be found in a community, a
colony of thrifty people from some
other section of the country’ or from
foreign land* can be found. Thus, vil
lage construction In the rural South
may find its greatest incentive in
the direct profit to those establishing
them and in the disposal of their farm
lands.
To what end would this operate to
help or hinder the negro in his land
ownings ?. It * ha^s be^.i
stated that each village would nat
urally have it* negro town. This
means segregation. What matters it.
then to the white man If the acre*
adjoining his are owned by a negro
so long as he or the negro are living
on their respective tracts, so long as
the family of the white man has white
neighbor* in the village and is not
Isolated on a farm and surrounded by
negroes? True, there will alway* be
racial prejudice. There will always
be white men w ho will be opposed to
negroes owning land, but there will
doubtless alw r ays be opportunities for
the negro to buy land, and racial fric
tion will be at least only where the
adjoining white and black land-own
ers are not neighbors, and this can
be only where the population dwells
in community villages.
Plantations to Blame.
Slavery and large plantations are
largely the reason* for not having
settled in villages, as has been the
case in other sections of the country,
where smaller farms permitted the
following of this natural Instinct for
closer social contact.
The holding of the large planta
tions intact by absentee landlords
and their attempt to operate th# 1
plantations by a. lease system has in
no w’ise affected the Isolation of
Southern rural homes. The landlords
have followed the custom of the
South and have built cabins for ten
ants on the tract of'land which each
was to cultivate. Where so many
negroes are tenants, the white tenant
I* Isolated not only by distance but
by race and unequal competition. It
is, therefore, natural that more and
more of the white tenants of the
black district* should be drifting
away to the towns, leaving the land
to the undisputed tefiant claim of
the negro.
Just as naturally’ does It come to
pass that w’hen the negro dominates
as a leaseholder in any territory
that the land becomes le*s desirable
to the w’hi-te man. Since the white
man’s ownership or willingness to
buy' gives land Its chief value, it fol
lows that when only negroes are in
the market to buy’, that property
goes for less. It is because of the
black population and the black leases
a* -veil as Ignorance of how to main
tain soil fertility that land values
In the South have not Increased as
rapidly a* In some other sections
of the country. Here, too, is the
plausible excuse of the absentee land
lord for holding onto his great plan
tation acreage. He does not want .o
sell to the negro at a sacrifice.
Hope for Good Price.
The*e landlords have been hoping
that they would get a white man’s
price for their lands, somehow’, some
time. The time will probably never
come until they have established a
community village for whites and are
then ready to sell off their lands In
small tracts to white farmers.
Occasionally, one sees advertise
ment* of a sale of a large plantation
in small tract*—a step In the right
direction—but if another step is taken
and there 1* created a village cen
ter, both tracts and village lots could
be sold for more than the racts
separately. A hint to the wi«u real
estate agent and Colonizer Is suf
ficient.
So much of the worse *ide of racial
differences ha* gone out to the world
in the press dispatches that it will
be found more and more difficult to
Influence colonists, or home seeker*,
to buv land In the rural South, except
ir connection with the community
village, an assurance to the stranger
of safety for his family.
Most of the home seekers who will
come Into the South to buy land are
people who have lived In villages
and towns and who can not be fully
satisfied until they can find such a
situation in ihe South.
Newcomers will be looking up the
schoolhouses and the churches to
observe what advantages they offer
for the growing up of the children.
Unquestionably, there 1* not much to
show’ of either In the average coun-
try community of the South. The
village center* make it possible to
assemble the largest number of chil
dren at school and thus 90 reduce the
expense of teaching as to make *t
possible to have long terms, and with
money enough to get good teachers.
The same is true of the church en
terprises. Better church facilities,
better paid ministers, and. therefore,
better minister*.
The Coming Settlers.
Furthermore, most of the de*irabl>?
home seekers will come from regions
and countries where co-operation
among farmers ha* been in force mor-
than it is in the South. They will
expect to find an opportunity to com.
bine the little that he can grow’ of
vegetables, fruit, fowls, etc., with that
of his neighbors so that a carload
may be shipped to the best markets.
The centralization of the population
In villages or towns, of course, admits
not only of co-operative selling for
the best prices but also of co-opera
tive buying, and from present Indi
cation*. opportunity for co-operative
borrowing.
The village affords the nucleus and
point of radiation for agricultural In
formation and exchange of experience
—factors that have made agriculture
successful In European countries more
than anything else.
Some wise landow’ners w’ho would
like to dispose of his hundreds of
acre® to the best advantage could
piortgage his property, if need be,
to obtain sufficient money for tear
ing down the tenant houses and re
building them at a desirable point
for a village, add to them and make
them nicer construct £ schoolhouse
and a store building, and then pro
ceed to plat hi* land into small farms,
each plat to be sold with a house and
lot In the village. It w’ould surprise
the landowner to find how much the
value of hi* land has been enhanced,
how much more he can get for it
by offering the social advantages of
i<chool, church, and the protection
that village life affords.
Great Northern’s High Efficiency
Shown by Gains in Net as
Compared to Gross.
• The Great Northern Railway Com
pany closed its fiscal period June 30
with approximately 12 per cent earn
ed on its $209,990,750 capital stock,
or a little over 10 3-4 per cent on the
$231,000,000 that will be outstanding
when all the installments have been
paid by stockholders on the $21,000,-
000 of additional stock that was offer
ed for subscription last January.
James J. Hill has given the major
part of his attention in recent years
to affairs of the company, and a great
deal of money has been expended In
perfecting Its roadway and track,
which, together with the large
amount of new and modern equip
ment, has placed the road in a very
high state of operating efficiency.
This is reflected in the statement of
earnings for the fiscal year ended
June 30 last, when there was a gain
in gross of more than $12,400,000 and
an Improvement in net operating in
come of over $3,400,000. In other
w'ords, about one-quarter of the gain
in gross w'as saved for the increase
in net.
For a number of years the Great
Northern has paid annual dividends
of 7 per cent. From the foregoing it
is apparent that little difficulty will
be experienced in maintaining this
rate in the future, even with the
additional $21,000,000 of new stock
outstanding.
The percentage earned on outstand
ing capitalization has not fallen be
ing 8 1-3 per cent per annum in some
time, and in the fiscal year ended
June 30, 1912, it was 10.31 per cent.
In 1911 It was 8.34 per cent; in 1910,
8.47 per cent, and in 1909, 8.32 per
cent. Dividends of 1 per cent were
paid in 1890; 4 3-4 per cent in 1891,
5 per cent from 1892 to 1896, 5 1-2
pe r cent in 1897, 6 1-4 per cent in 1898
and 7 per cent per annum since that
time.
Crop advices from the Northwest
indicate ideal conditions in the terri
tory served by the Great Northern.
“Carpetbagger” Securities of
South Carolina Basis of Action
to Recover $50,000.
NEW YORK, Aug. 23.—To enforce
the payment of $50,000 In State bond*
the Attorney General of New Hamp
shire is prepared to bring suit in the
United States Supreme Court against
the State of South Carolina, accord
lng to information received by E. E
Carpenter, of this city. Mr. Carpen
ter is chairman of the Louisiana Debt
Committee, and is interested in the
collection of repudiated paper of
Southern State*.
Under the Constitution a State can
not be sued by an individual, but can
be sued by another State.
The South Carolina bonds held by
New Hampshire w’ere part of a be
quest made to the New Hampshire
State College 30 year* ago. The in
terest on the bonds was not paid and
the college authorities regarded them
as worthless. At the last session of
the Legislature an appropriation was
made to enable the Attorney General
to seek a settlement from South Car
olina or to bring suit. Two w’eeks
ago the Attorney General visited the
Attorney General of South Carolina
and found there was no prospect
a settlement.
The State bonds were issued by
reconstruction or "carpetbag” gov
eminent in 1869 to refund all out J
standing obligations. Including ar
rears of interest. In 1872, with the
tbaggers” misted, the State re
pudiated the bonds by putting in th
constitution a provision that they
should not be recognized or paid.
ROADS BUY LOCOMOTIVES.
Ten Mikado locomotives have been
ordered from Baldwin Locomotive
Works by Pere Marquette Railroad.
The Canadian Northern is in market
for 30 locomotive* and the Norfolk
and Western for 10.
>r
1
1
NEW KIND OF PIPE LINE.
One of the most Temarkable me
chanical devices ever used in connec
tion with the manufacture of paper is
being installed at Orange, Texas.
This is a "blower,” more than a mile
long, through which the waste yellow
pine timber from a local lumber mill
will be sent to a paper mill. The
slabs as they come from th e mill will
be ground into small particles and
forced by means of compressed air
through the long pipe to the paper
manufacturing plant. This paper mill
is said to be the ’only plant in the
world that makes paper from yellow
pine pulp. It has a daily output
of thirty-three tons of wrapping pa
per.
“V
EVERY WOMAN
NEEDS
THESE
UNIQUE
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$1 EACH
The first edition of "Salads” is sold out; but the second edition
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“SALADS”
This is not a "cookbook” in the ordinary
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"Salads’ contains more than ,!00 original
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There are 95 pages and the printing and
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“DESSERTS”
This volume contains 155 pages is tt
are more than 200 matchless recipe* for tbe^
making of the most dclic tews... dess effi- {
French Pastries, Pies, Cakes, PtfSimgs,
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desserts.
In the preparation of “Desserts'’ Mrs
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the most famous chefs in America. The
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Mrs. Hulse's “Salads” and “Desserts” are unique not only because of their iirvdlwtMe
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Send to-day for “Salads” and “Dessert*”—the y are 51 each, prepaid. The editions are lim
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Western Merchandise & Supply Company
3?.6 West Madison Street s : t t Chicago, IR.
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