Newspaper Page Text
10D
WALL STRCET FLOODEDWITh
OASH: RICH MEN HOLDING
By BROADAN WALL.
EW YORK, May 24.-—All the cap
ital in the country seems te have
peen torn up from its roots in
sermanent investment places and to be
sireulating in search of new enter prises
Phe result is that the stock market is
dooded with cash, Never in the .hlllor%
of Wall Street was there S 0 muc
money available nor did there ever
seem to be before so many individuals
seeking to get rich quick,
But with all this excitement, Wall
Street loans are kept well W hand and
the technical condition of the market
j# reasonably strong Perhaps newer
before have 8o many securities besen
owned outright. The reason for this is
that a larger percentage than usual of
the persons who are speculating do not
understand speculation on margin and
by paying for the stocks they are fool
ing themselves with the idea that they
are investors.
Rich Men's Profits.
The theory orlclnnll{ proposed in this
column several months ago that rich
men woukd hold the market up by re
fusing to sell their stock is now gen
orally accepted as a correct one. The
great volume of stocks are held by men]
who have such large profits that if they'
cash in they will have to flvo aboul
alf of it to the Government in the way
f taxes. They prefer to hold the stocks
.ud risk a loss of profits through reac
on.
High taxes must be continued for u.{
¢ neration and little is to be [?une-d by
i fusing to sell. Some lmrge locks of
¢.oock held for permanent Inveulmrnfl
ray pever be H?uldnfod. but it is safe
10 sum that this wtthhofling of stock|
will soon come to an end. There Is no
evidence yvet of a weakness on the part/
of these rich men and for that reasom:
the market m:i be expected to con
{ nue for several months In Its present
#bnormal condition.
Fvery great war brings a new orop
of millionaires will counteract to sosne
I'u Ponts that are attracting most at
tention., As a rule the great groups
of milfonaires have their wealth invest
ed in real estate, mines or in some
thing that can not be remm{aronvnrted}
into eash. The Du Ponts have theirs
in spot cash. There never in Wall
Street was a group of large mrtunea‘
mr?od so largely of spot cash. The
¢« ook market significance of this is
very great. g is making Itself felt in
the motor:’ the ofl and the chemi
cal industries espec A
New Form Labor.
The operations of the Du Pont group
of millionaires will comnterect to some
extent the return of labor to Furope.
The papple are guttlng their money into
-mmm:‘ih-s and farm tractors, trucks
‘nd mßchanieal appliances doing la
porous work. It is lx:zlulte probable that
18 fast as the laboring men return to
“Surope, mechanical means will be found
or doing the work that they formerly
vv;n?ed in. The net result will be the
ountry will be transformed from a
uman labor basis to a mechanical
f
The president of one of the cotton mills
¢ North Carolina. who has just retarned
from & business trip in Europe, meports
excellent outlook for textile goods. 1
ft the United States in February,” he
d. “when business was dull. I was in
ance Switzerland, Holland and BScan
navia after orders, and got them. Con
vental Europe will take all the cotton
yoods we can manufacture”’
VManufactures of cotton goods bulk larg
¢ in foreign trade than formerly. ‘The
jcial report to February shows in that
! th exports valued at $23,610,000, com
with $10.939.000 a year ago Kx
ports of manufactures of cotton for eight
months ended with February compare as
follows
19 ceesssssusgeundane s ~SIADEST 483
1918 Civam ispE e neh sy 113,293,811
1917 e 89,294 867
68,229,103
1916 . D B ety 42,674,231
14 T SR 34,770,425
he inerease is about 344 per cent since
F' bruary, 1914 Comparatively Httle of
jt was due to European buying. Cuba,
Bouth America, Canada and Australia be
il the principal buyers in the past eight
months But the cotton manufacturers
referred to say KEurope now wants our
manufactured goods, :
Films Developed.
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Mall us your fMime for -.-n.‘
developtng. Our business beiit.
on promptno& and quality. Ma®
orders malled out day recelved.
Full Line Films M-M’
Branson Sisters Studio|
105 N. Pryor St
Atlanta, Ga.
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O NE minute a sultry, stifling room —the
next, swept by cooling breezes, refreshed
by the magic of a G-E fan.
And this comfort costs so little that you
need not deny it to yourself for a single day
as the current eonsumption amounts to but a
small fraction of a cent an hour.
We can supply any style or size fan you
may require.
CARTER ELECTRIC CO. ;N6
basis, without the slightest loss.
This change from human labor to me
chanlcal labor is gurhcularly beneficial
to the South and Southwest, where the
hot weather has made human labor in
tolerable.
Ol Industry Sound.
An important development of the past
weeks has been an investigation of the
01l industry. Reports have been cur
reat of & surplus in 011. A detalled
investigation has been made, with the
result of quieting the mind of traders
on the question, There Is a slight ex
coss of heavy fuel 011, but the supply
of light olls 1s stll under normal
Htocks of light olls were drawn upon
heavily during the war and have not
yet been fully replenished, The uses
of 01l are so various that there is not
the slightest danger in this respect, It
may be that some of the new compa
nies that have gone ahead putting down
wells without providing for the sale or
their oil may be embarrassed when the
reflnlr;f companies refuse to take the
01l o their hands. Stockholders in
those companies that have made pro
‘vislon for selling their 01l need have no
worry.
“vln? the Ralls,
The railroad situation ls clearing up
rapidly, Co-operation of the Govern
ment and railroad managers in lormtn’
a car trust to handle all e?uipmun
purchased during the war is a onr step
toward a square deal. With all that
equipment properly financed, the roads
will be in shape to save themselves.
Sentiment in favor of the organization
of a few transtontinental systems to
use the small roads as feeders is crys
talizing. There is little doubt in the
minds of Wall Street bankers that the
roads will soon be turned back to pri
vate ownership, under such guarantees
and control by the Government aq will
make possible a square deal both for
the stockholders and for the general
public. Pruem}' relations between the
railroads and the public are Intolera
ble. Transportation is expensive and
unsatisfactory.
An open market for steel promises
soon to settle the disputed question of
prices. They are just as liable to ad
vance as to decline. Copper is already
showing an advancing tendency. Sil
ver has touched a high record {)rlve
in the last few days after its release
from Government control and has re
acted slightly from that price. The
outlook for all silver stocks is bright.
Electrical companies have much to
look forward to because of the prac
tical destruction of German trade, Ger
many was the great mmgemur in the
electrical trade. It will be out of the
market for several years at least.
Wunlngn without end have been Is
sued to the public but they have gone
unheeded thus far. Those who are is
suing the warnings are old-time con
servative bankers who have seen many
happy bull markets go to smash. This
one will go on the rocks without ques
tion sometime, but the rocks now seem
to be far away. It is a time to be care
ful, but experience ?roven that in Wall
Street the public will not be careful.
‘
Less than $330,000,000 of the $914,000,000
standard return due the railway compa
nies from the Government on December 31,
1918, had been pald up to March 31,
1919. Such is the computation of the Bu
reau of Railways News and Statistics from
returng received from 46 companies rep
resenting 107,341 miles of line operated
and 43.4 per cent of the standard return
due for the year 1918
Owing to the fact that the compensation
contracts under the act of March 21, 1918,
have been executed for only 61 of the 151
(lass I roads under Federal control, much
difficulty has attended the gathering of
even these partial returns
So far as received they cover the fol«
lowing facts for the year to Decomber 31,
1918
Railway companies reporting 46
Miles of line operated . 107,371
Standard return, certified $307,069 883
Net Federal railway income 282,316,896
Federal deficit ou operation. $114,752,987
Paid on standard return to
March 31 i 138,061,086
War taxes paid by Government 4,296,016
POt . . b e $142,367,102
Balance due on guarantee 264,766,010
Current assets taken over hy
the Government Dec. 1, 1917 491,695,089
Current liabilities when Gov
ernment took contrel ... 260,151,669
Balance assets over liabilities $231,643,420
Amount expended by Govern
ment for additions and bet
terments FBERA «ee. 163,225,895
Total balance due 46 com
panies . . ...$333,083,635
If these figures reflect proportionately
the condition of the accounts for the re
mainder of the roads taken over, the Gov
ernment still owes approximately $584, -
000,000 of the standard return due on De
cember 31, 1918, ;
GREAT LAKES S, 8. SURPLUS §5288,737.
The Great Lakes Steamship Corgpany re
ports a surplus for 1918 after “wluvhng
$1,802,141 for estimated taxes, disaster
and general expenses of S2BB 737 Earn
ings from operation were $4,641,027, ex
penses $2,624 034, profit $2,016,993, other
income $73,886 and total income $2,090,-
878,
HEARST'S SUNDAY AMERICAN . A Newspaper for People Who Think — SUNDAY, MAY 25, 1919.
Big Increase in
By Californi
alifornians :
A
By BOERSAINER,
1,08 ANGELES, May 24.-Ask a ecap
italist anywhere in the United States
to name the best bond buying com
munity In the country in proportion to
population, the chances are many he
will mention some suburb of New York
or Boston. To nu‘ulra of him what eity
has increased its bond Investment pow
er above 0 fl” cent within a decade,
it is certain he will answer, ‘‘there Is
no such city.” In both replies he is
mistaken.
The correct r:‘rllu would doubtiess
surprise everybody save well posted
investment experts, FPasadena, an in
degwndem corporation, but virtually a
suburb of lLos Anfieu, buys more
bonds In ratio to Inhabitants than any
habttation between the oceans As
coupon clippers Los Angles have more
than quintupled In_ten iyearn, These
astonishing facts offer also a glimpse
of the complexity of the economic as
pects of Los Angeles, which Is at once
one of the youngest and oldest cities in |
the country, the youngest in corpora
tional life, among the oldest in that it
has as citizens season investors from
the wealthy communities of the Kast
Not tha! the demand for high grade
coupon values I 8 confirmed to the re
tired millionaires from the East. Con
servative midwesterners, content with
less than $1,000,000, fond of congenial
climate and diametrically with an aver
slon to all that is adventitious money
wise, make “fi numerically for their
lack of strength as individuals in com
petition with bond buying millionaires.
. - -
lustrating the fiscal growth of Los
Angeles in another way, there were in
1909 three loosely termed bond firms.
Two did not adhere closely to their ti
tle, they dealt in mortgages and stocks
a 8 well. Today the houses that con
fine themselves strictly to bond emis
sions number twenty—and are busy.
They are establishments of prime stand
ing, some branches of astern houses,
others purely native, each recognized
throughout the (»nuntrr as in the front
rank of the bond business.
The beginning for bond men was no(‘
easy Promoters of every description
had the ear and mnsm‘uemly the purse
of the Southland public. A return of |
8 per cent, inclusive, of estate mort
gages was the rule. This almost irro-|
gistibly tempting interest coincided,
moreover, with offerings by the strug
glers of Eastern municipals bearing
from 3% to 4 per cent, and corporation
bonds yloldlni about 5 per cent. Furth
ermore, at the time the Kastern pio
neers opened their booths, a real estate
flurry was on, a boom of stiff interest |
rates, of qulck turnovers, of incredible
profits. Not one of 26 monied men here
would consider bonds, especially not
the 3% and 4 per cent.
But in time the patience of the few
salesmen was rewarded. If you held
the mortgage of a friend who was in
a position to meet neither the inter
est nor the principal, having so many
frons in the fire at that time, you
naturally would forego your rights for
another year or two.
With bonds it was seen to be other-!
wise. Coupons could be convenient
lfy clipped and g‘:sented to the bank
or ‘raymont. nds wusually had a
broad market, could be converted into
cash at once, without sacrifice of prin
cipal, and enough persons in Los
Angeles found bonds—however low
the rate—to be sheet anchors in pe
'rlods of storm and stress to encour
some natural, others inadvertent—
a.ge the few dealers, Conditions—
changed (Lulte Tx:lrkl_v for the bet
ter. As the real estate situation be
came stabilized, as oils and mineral
industries generally on the southeast
ern coast improved from an aleatory to
a stable state, the interest rate de
clined, at the same time the East bid
ever higher for money. Municipalities
g&ld up to 4% to 5 per cent for funds.
ilways-——when they were accommo
dated at all—had to compete with the
rate offered by industrial corporations
Finally the war, with the consequent
slump in the Fr(ce of all high-grade
Eastern securities. For two years the
Kast practically outbid Southern Cali
fornia in the money market here. Had
it not been for Los Angeles bankers,
whose fixed {‘mlicy is to develop coast
nnterrrlne_ the bond houses in Los
Angeles had had matters pretty much
their own way. As it is, the results
are highly satisfactory.
There is little or no institutional buy
ing of bonds—for the reason cited—but
the ahsorptive quality and quantity
amazed the head officers in New York
and Chicago, and the amazement is al
loved with little drops of envy and
chagrin. Half of our investors are mov
ing or are preparing to move to Cali
fornia,”” one letter reads. ‘“‘Soon we'll
have to make our headquarters in Los
Angeles."
As elsewhere, the Government bond
flotations have been widely educational
here. At leats every other man and
woman now knows by possession what
an investment means. The campaign
made haves of have-nots, made fairly
intelligent investors of savers, fortified
the investment world as a whole and
made good Americans of all.
’ .
Book Values Swift
.
International $34.26 Share
A mager financial statement of the Com
pania Swift Internacional, otherwise Swift
International, was cabled from Buenos
Aires after the annual meeting yesterday.
The statement, the first the company has
ever made, reveals that the stock has a
book value as of December 31 last, of
$34.28 per share. This compares with a
parity of sls and a market price of SBO,
The statement as of December 31, 1918,
follows:
Asseots,
Argentine Argentine
gold. paper.
Stock investment
(hook value De
cember 31, 1918) .$81.386.477 iviivann
Sundry debtors .... 13,930,606 ..........
Ol In bank ... cicieses 20,288
Conversion ........ BT i ohivavin
Totals .......u. 808,386,010 § 20,288
Linbilities. |
Capital, 1,600,000 ‘
shares, $156 gold
SRR s BRREOO,OOO oLI
Sundry creditors .. 21,837,780 ..........
‘Furplus il ALY
L OORYSrSIon .. iq L sva 20,288
Totals . ......... 40,306,010 & 20,288
1t i 8 impossible from the limited infor
mation furnished to arrive at any esti
mate of earnings. Of the S2O 988,229 sur
plus shown, a large percentage may or
may not be accounted for by the surplus
accounts of the several companies incor
porated into the Internacional Corporation
last August. At the time of the amalga
mation it was understood the Compania
Swift de la Plata alone had a surplus of
approximately $8,000,000.
In the statement, the items ‘“cash in
bank” on the assets side of the ledger and
“conversion” on the liability side are bal
| anced and merely show the amount of Ar
| gentine paper the company has in the
bank. This amount, converted into Ar
gentine gold, is shown opposite the item
“conversion' under assets.
The directors declared dividends totaling
16 per cent out of. the 1918 earnings, 8§
per cent payable June 20 to stock of record
May 2, and 8 per cent payable December
20 to stock of record P&vambflr 8. This
rate is the same as established by the in
itial declaration six months ago.
y
i Ingersoll-Rand Net |
: Fell Off Last Year
| The Ingersoll-Rand (‘nmfany earned
$30.69 on the common stock last year, ac
cording to the company’s annual report, is
sued yesterday. Surplus after charges and
Federal taxes amounted to $3,657,172. In
the preceding year the company roportod‘
| & surplus of ss.ut,ns or $46.22 a share. ‘
OFFERS TO BUY MALTING PLANTS.
At the liquidating trustees’ meeting of
{ the American Malting Company, an offer
was considered from the American Malt
and Grain Company, a Delaware \'orpo-i
ration, to purchase the real estate, plants|
and appurtenances for $995 000 cash. This
offer was accepted by the trustees subject
to the approval of the New Jersey Court
of Chancery to which the entire matter
will be submitted on Moy 26 ANI the
stockholders of ®he American Malting
Company have been notified of the receipt
and acceptance of this offer. subject to the
approval of the New Jersey Chancery
Court.
INQUIRY FOR BONDS oHOW:
DEGIDED IMPROVEMENT
| OR the first time since the latter
part of November last year Im
portant investment bankers ex
press confidence in the development of
a strong and active bond market in the
near future. This expectation I 8 based
on the fact that the sale of the Victory
loan marks the departure from the
bond market as the chief borrower of
investment eapital. Since the United
States entered the war the Govern
ment has practically monopolized the
bond market,
A belief that the bond market will
do better is already findng reflection in
appreciations in quoted market prices
for Industrial and railroad issues, Pn
ticularly those issues which, in addition
to being high class investments, are
selling at such large discounts to pos
sess the rmhnbmy of enhancement in
quoted price,
Rallroad convertibles are finding
many admirers owing to the advances
in the prices of the stocks Into which
they are convertible. As one investment
banker points out, an investor must
have supreme faith in the ultimate so
lution of tpe rallroad problem to pur
chase rallroad shares or convertible
railroad bonds which are simply stocks
on which the interest {8 a fixed charge.
Just why railroad convertibles should
appear attractive at this time is a
source of mystery to the average bank
er who declareg that the railroad situa
tion 18 no nesarer a solution than it
was months ago, when rallroad bonds
were going begging for purchasers at
lower prices.
New Issues Expected.
New issues of bonds are expected to
come in fair volume in the immediate
future. Most of the new offerings are
expected to consist of railroad securi
ties, the helief being that the indus
trial companies are so strong financially
and i"{wlr credit 8o good that they will
be le to dispose of new and pre
ferred stocks, The strength of some of
the industrials may be illustrated by the
fact that the American Bosch Magneto
Company, which several months ago
sold $1.800,000 of notes to investors, has
signifed it intention of redemption of
one-third of the issue in the immediate
future.
One_strong spot in the bond market
is the existence of an unusually good
Southern Railway Bonds
Reflect Its Improvement
(From Wall Street Journal)
The splendid financial progress
made by Southern Railway Company
during recent years has placed its
bonds among the high-grade invest
ment class and has been recently re
flected by an advance in their market
price. This railroad company Is
among eight important roads which
earned more than the amount of Fed
eral compensation for the year ended
March 51, 1919. Southern Railway
Company's Government surplus for
that year was $5.961,036.
The most popular trading bond
among Southern Railway issues is the
general mortgage 4 per cent, due on
Aprii 1, 1956, now selling around
68 1-4, to yield about 6.20 per cent.
These bonds are secured by mortgage
on all the property, securities, etc.,
covered by the first consolidated 5 per
cent bonds of the company, but sub
ject to the lien of those bonds. In
‘addition it is secured by a second lien
on 181 miles of road, a third lien on
26% miles, and a collateral lien on
511 miles of road. They are further
secured by a deposit of securities ag
gregating $24,615,000.
There are $61,333,000 general mort
gage 4s outstanding. The financial
position of the general 4s has not
oo R
Southern Railway.
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DY, B 0 00, 49 BB . senati i aeniivi
BRUD W B 80l W BB L sk
RN TP D B i ckcibedianianing
B Eants BV W, BF i givi i by s s
S OO Bo B W G i W e sk
ALL & GO -8 48 iiiicissnnirinrins
ML By, B BN 8% i lseiiiUaibisiaiivas
AL DNV, A% W e i e
BN VR ORI i i
DO 88, "B 8 o Rt s s
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Great Commercial
} . . -y .
‘ Field in Philippines
NEW YORK, May 24.—‘“The Philippine
Islands offer a vast field for the exten
sion of American industry and commerce
in the Far East. We welcome American
capital. We believe in it. Our Government
is awake to the great need of the times.”
‘ This was the reply of Rafael Palma, vice
‘president of the Philippine Mission, when
asked for a statement relative to oppor
tunities for the investment of American
capital in the Philippines. The statement
is important, because it comes from one
of the three foremost leaders of the party
in power in the Philippines, these three
including S{yenker Sergio Osmena, Senate
President anual L. Quezon and Mr. Pal
ma, who is Secretary of the Interior of the
Philippines and a member of the Philip
pine Senate.
| Mr. Palma was born in Manila in 1874,
and has been an important figure in the
political life of the islands since early
manhood. In 1908 he was appointed a
member of the Philippine Commission by
President Roosevelt, which was an evi
dence of the confidence placed in him by
the American Government, as the commis
sion was at that time a very important
factor in the governing power of the
islands.
Mr. Palma is also an ex-newspaper man,
having been editor of General Luna's La
Independencia, which Me. Palma admlits
was anything but a quiet occupation in the
stirring days of 1898,
Mr. Palma is a sincere advocate of closer
economic relations between the United
States and the Philippines, and contends
this can best he brought about by a final
solution of the Philippine independence is
sue.
“The agricultural and commercial pos
gibilities of the Philippines are almost
limitless,” said Mr. Palma, referring to the
openings for both large and small Ameri
can capitalists in the islands. “Of the
total area of 120,000 square miles of rich
tropiecal land only 14,000 square miles have
been touched by the plow. The 100,000
square miles remain in its primeval state,
just waiting the industry of man to give
up its mineral wealth or to produce boun
tiful crops of sugar, hemp, cocoanuts, rub
bher, lumber and all sorts of tropical raw
materials. The Philippines can sustain
from 61,000,000 to 70,000,000 people.'
1
' Plans Completed for
\ y ’
. Merger of Cigar Co.s
| Arrangements for the consolidation of
six cigar manufacturing companies, hav
ing twenty-four brands, into a new com
pany, to be known as the Consolidated
Cigar Company, have been completed. The
capitalization of the new concern will con
sist of $4,000,000 of 7 per cent cumula
tive preferred stock and $9,000,000 of com
mon stock. Tucker, Anthony & Co., and
Saloman Bros. & Hutzler have purchased
i the securities of the new concern,
‘ The companies included in the consol
idation factories in Tampa, Key West,
New Orleans, New York, Philadelphia
Delaware, Cincinnati, Detroit, Poughkeep
sie, Adlentown Conlay Harrigshurg and
nearly all parts of the United States. The
principals of the new concern have been
in business about 30 yvears, and manufac
ture some of the best known brands in
the country. The consolidation will have
an annual output of about 400,000,000 ci
gars,
demand for the Victory Loan notes,
which are being dealt in over the coun
ter in bond houses, but which have not
as yet been admitted to dealings on
the floor of the New York Stock Ex
change. Trading in these securities is
not exgectod tg be upgrovod by the
Stock Exchange until the Government
has announced the allotments on sub
seriptions,
Heretofore there has been a prepon
derance of sellers of Government bonds
following the conclusion of each cam
paign., Dealers, however, cay there are
‘more purchasers than sellers and that
they have orders for the purchase of
blocks of the bonds which t{ey are un
able to fill owing to the absence of
sellers,
There is nlso a better demand for
Liberty Bands with less selling. This
contrig'ts sharpy with the terrific sell
ing which occurred during the last week
of the Victory l.oan campaign, when
many persons disposed of their bonds
in order to make good on subscrip
tions for the fifth loan.
West |s Heavy Seller,
Selling has been heavy by the Central
West. While the authorities in the
Kast have stamped out pretty much
the exchange of worthless oil and min
ing stocks for Liberty Bonds, the au
thorities in the Central West are said
to have winked at such transactions,
and thus permitted people to be swin
dled out of their Liberty Bonds.
The matter of taking care of the ma
turity of the Imperial Russian Govern
ment 6% per cent loan of $25,000000,
which matures about the middle of June,
has been taken up actively by local
bankers. Just what disposition of the
maturity will be made can not be said
at this time. Bankers refuse to say
anything except that the matter is be
ing discussed. While Russia at one
time had substantial deposits in at least
one importgnt local bank, the amount
of funds now deposited here is said to
be negligiblg
Settlement of the maturity of the
Russian Government bonds maturing in
June is considered to be important
inasmuch as during the current year
many foreign governments are expect
ed to dispose of their securities in this
market. In fact, practically every na
tion in the world is knocking on the
door of the United States asking for
a loan.
only been strengthened by lnoreased\‘
earnings put back in the company,
but also by the gradual retirement of
dvisional bond issues -which were
prior in lien to this issue. |
Southern Railway Company system
operates a main line of 639 miles be
tween Washln2ton, D Ci; and At
lanta, Ga., of which 521 miles is dou
ble Work on the remaining 128
miles is progressing. In addition it
owns many divisions and subsidiary
lines through which it taps nearly all
the Southern States. In all it owns
4,342 miles of track, controls 1,330
miles by ownership of securities, and
operates a total of 6,982 miles, On
June 30, 1917, company owned se
curities of proprietary, affiliated and
controlled companies having an ag
gregated book value of $69,368,177,
from which it received income in div
idends and interest amounting to
$2,171,272, representing an average
yield of 3.73 per cent on its preferred
stock.
Following is a list of those bonds of
the Southern Railway system, listed
on the New York Stock Exchange, in
which sales have been made this year,
opening or first prices reached in 1917,
low prices touched in 1918, and clos
ing or last prices on May 12, 1919,
with income return on last price:
1914. 1917. 1918. 1919, |
N0v.28. High. Low. May 12, Yield
9834 19234 86 7-8 94 5.33
63 77 59 6814 5.33
5 7814 65 66 .35
100 10115 87 9114 5.49
80 84 64 1-8 72 6.01
98 9814 87 7-8 93 5.563
)% 9614 821-2 8814 5.36
i 1033 9N 94 5.44
8514 84 70 T 4 5.88
1023 105 96 97 5.36
10314 108 91 1-4 96 5.25
99 101 86 , 95% 5.40
60 65 51 52 6.95
106 107 100 10015 5.82
1041, 108 93 96 5.37
| |
Stock Exchange Seat |
| Of Russell Sage Sold
NEW YORK, May 24.—The wave of
speculation in securities that is sweeping
over the country found reflection in the
sale of four New York Stock Exchange
memberships at mew high record prices.
Two of the seats, one being that which
has been held by the late Russell Sage,
brought $79.000 each, while the other two
were sold at SBO,OOO each. The latter
price represents a gain of $4,000 over the
price paid at the last previous sale.
Sale of the late Russell Sage's mem
bership at $79,000 to Robert W. Morgan
represents a handsome profit, inasmuch
as the membership was purchased in 1874
,when the highest price at which any seat
changed hands during that year was $5,000
and the lowest figure $4,250.
The other seat sold for $79,000 was
that of Louis Wolf, and was purchased by
Charles B. Wiggin.
The membership of the late Spencer M.
Maben was sold to Theodore I. Bronson
for SBO,OOO. The seat of Frederick H.
Hovey was sold to Ernest C. Rollins, the
consideration also being SBO,OOO.
Three new members were elected by the
New York Stock Exchange. They are
Henry A. Shatsgkin, Arthur R. Seligman
and W. Eldridge Tobiaus.
The heavy speculation now going on in
securities is causing an unusually large
“demand for memberships on the New
York Stock Exchange. Inasmuch as the
number of seats is limited to 1,100, the
inquiry is causing a steady advance in
price. The demand and the continued rise
in price is expected to cause many inactive
members to dispose of their member
ships. Estates of deceased members are
also expected to be induced by the higher
prices to part with memberships which
have been held for many years.
Expansion in the number of securities
listed on the stock exchange require much
more work by the floor members of com
mission houses. Owing to the wide diver
sification of orders, the commission houses
are finding that it will be necessary to
increase the number of partners they have
executing orders on the floor of the ex
change, and the demand from this source
is expected to exert its influence on the
price of memberships.
Warns of Dangers
To Leather Trade
NEW YORK, May 17.—Warning to the
leather trade to keep the raw material
market well in hand against speculative
“fever” and consequent increases in shoe
prices, which would hurt the trade, has
been sounded by Fred A. Vogel president
of the Tanhners’ Council of the United
States.
“There is not the slightest doubt in the
minds of many of our members that we
have at least eighteen months of splendid
business ahead of us if the situation is
handled correctly.”
Mr. Vogel said: “If, on the other hand,
we allow the situation to get out of hand
and see raw material advancing beyond
all reason, there will come a sudden check
to our business which will be detrimentat
and the effects of which will be feit for
a year to come.
“Shoes already are at unprecedented
prices, and if these advances continue they
will no doubt be marked up several dollars
per pair for the fall busimess.”
BY H. 8. McCAULEY.
NEW YORK, May 24.-A concerted
movement on the part of British firms
doing business in both South America
and Scandinavia to obtain immediate
business by quoting prices felitiously
low, anfl whicu it is believed can not
be mantained, is reported by Americans
In those countries.
That the Britishers are making these
low quotations especially when In
competition with Americans seems to
have become a prevalent notion, and
warnings have been sent back to the
United States that (1“0[&!10!1! to for
elgn customers should be made with
these facts in mind.
It Is declared that even in cases
where orders have alread{ been given
to Americans, or where by reason of
traffic or other conditions the Brit
ish were not in position to get the
business, British representatives have
told the foreign buyers the American
prices were too high, and that their
own terms would have been more
reasonable,
Move Not Officlal.
So far no intimation has been made
that the movement to underbid
Americans has any official sanction
from the British Government.
It has been noticed on such a scale,
however, and in such widely scattered
territories as to give rise to the suspi
clon that it is more than a spontaneous
price-cutting spree on the part of 'n
dividual dealers.
Reports from Norway, Sweden and
Denmark are that American firms with
British representatives that sell in the
Scandinavian countries are being sub-
Jected to a form of enforced competi
tion by their own agents,
In the case of an American phono
graph company it is reported that its
British representatives are refusing to
appoint agents in ‘any of the three
Scandinavian countries unless the pros
pective dealers agree to handle two
makes of British talking machines
which the representatives also carry.
Should Have Own Agents.
American firms contemplating busi
ness in Scandinavia are being advised
by persons familiar with that field to
appoint their own agents there, instead |
of intrusting representation to other
Europears. &
It has also been found best to appoint |
Swedish agents for Sweden, Norwegians
for Norway and Danes for Denmark,
because of the national feeling that}
exists among a large part of the popula
tion of all three countries, |
Acting on this principle, the Youra- ‘
veta Home & Foreign Trading Com
pany has but recently established indi- ||
vidual offices in each of the three, in- ||
stead of maintaining but one branch |
for the whole of Scandinavia. ‘
—————— e — e —— 1
g !
Oil Men Forced to |
Do Fi ing Here
o Financing Here
NEW YORK, May 24.—Development of |
oil lands in Texas has grown to such |
large dimension that the owners of the
oil companies are being forced daily to
come to New York to secure funds to fi
nance their properties.
This was emphasized when it was an
nounced that a New York banking syn
dicate, headed by Merrill, Lynch and
Company, and Hemphill, Noyes and Com
pany had purchased $1,250,000 of irst lien
convertible bonds of the Crown Oil and
Refining Company, of Houston, Texas. |
These securities will shortly be offered
to investors at an attractive price, |
Proceeds from the sale of the securities
will be used in part to complete the re
finery of the Crown Oil and Refining
Company, now in the course of construc
tion at Houston Ship Channel, or eight
miles below the city of Houston. This re
finery will cost SBOO,OOO, and it will have |
a daily capacity of 5,000 barrels. The
company is also extending the municipal
railway a mile and one-half to its plant.
Bonus for Shareholders
In connection with the announcement of
the new financing, it was learned that
shareholders of the company will shortly |
receive as a bonus $2,000,000 of additional
stock. This stock is now selling in the
Houston market at from S2OO to $2lO a
share, The par value of the shares will
also be reduced from SIOO to $25. The !l
convertible bonds will be convertible at par
into the stock at 283 . Trading in the
new stock is scheduled to be started on
the Broad Street curb market today. The
Crown Oil and Refining C‘ompany had
outstanding in 1918 an average of $1,600,-
000 of stock on which dividends of l(ll
per cent were paid in that year. i
R. L. Young, general manager of thel
company, who has been in the oil husi-l
ness for ahout seventeen years, and who
looks after the interests of the Atlantic
Refining Company, a former Standard Oil
subsidiary, in the Goose Creek district, is
in the city completing the financing of the
company. In discussing the Crown Oil and
Refining Company’s affairs, he said:
Financed by Texans !
“Since the incorporation of the business
in September of 1917, the Crown Oil and
Refining Company has been financed en
tirely by Texas capital. Due to increase
in the company’s production from slight
ly more than 1,000 barrels per day in 1918,
to its present production of 5,000 barrels
per day, the directors have decided it
was best for the concern to come to New
York for its future capital requiremems.l
The business of the company has grown |
bevond the capacity of the Texas banks !
and investors to finance it on the big
scale necessitated by its valuable hold
ings.
The company has producing wells in the
Goose Creek, West Columbia and Humble |
districts, with valuable leases in Hull andl
Dayton districts.
Mr. Young. in commenting on the de
velopment of the oil business in Texas,
said:
“The development of the oil business
saved the West because it came just at,
about the end of a two-year drouth. The
sale of leases brought a great deal of
money, and now the prospects of crops
this year are very good. Both cattle and
ON ENAME THT 4
Qera 3¢ BA H
Pty Z.'.nd yOuvu U
agree that Belcher off COMPLETE
. oliers you ““
in Pl 5 some re- -t
‘ “fl:l lng E ) rervtg ")n”
iB e t
e b ' /i
4 Hhe L e ggo A L
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gL oo Wik “zr' L Pt iik i e S I
it Biy Ll ,W% ki :,‘,a,'y;‘;;'js;,:i:r’f,fi'-‘ Ni e g OBR TR i
#S AT %‘fiz‘»’/&?fia i ..‘,»{/v' Wi ~R W '%’,’]s:i'l'fif";f ogl i
3. Pg g B il ija T ei e
RO Gomm ey i r"w oi i s
e S 8 i,fi so S %g;}w‘: ‘m;,;"i.’#fé‘flf‘-;,;"};i;; "'.-."""'s{",': g
r Gy e S AR Wb v| g T i S
LTI ':‘ i _z!; i "-'J"%"‘«lr#fix”' {Z‘fr}"f_':' o ‘,fi"':“‘“‘ 4‘,1’?:‘,,"444';5 s ~-.-fi;".f A S
e e, AT e e R Ti oD iil
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f 7l it AT Yt iA R iSMA Lo, ity Fad, il i e7Y 2
Sl I R it -’»?,.1%"(@4.-'7'2»fi” bi i o
ai L“’;fle: £t L e o fi‘ i @‘E‘pg{ AN Zg;“# é, Tel flg‘,:"?du;,.rf? J/mlix, eb g
g@' iR Jf”;?fl G s e 1 R oe 4 ; ':L";"";"’;"/JH "
i Xl AR GT R *q“J'“*wé',”"v‘" oil Wy
ol eWk 5L sii) =
:zr;,;‘.: 7 N »"‘:..-,5'-,‘}ff.;;f?fll"_':;{_':;f’.g,’fffi“;.".{s24_»’:{‘{- I'Y:k i ‘,lfi"‘{i“"‘-{‘l‘,““ "“lfi"';,'%'.{g',% '. '! }5 "'".' . "’"‘lffly# oy 1% i
T eR S A Rge it Mmi iit i
e e R d*i*f rf“‘fl’*#»‘f!‘&yfi:’ v /,;
SR s S i ee e L ";" T -
iy oty P S goißSli i, gg L iilit b
eN £ R G of o l#:l Ll e i
L) sy g oL T Tey
e T )3 ,: T wobibic - w%?«fiyfi#w,fl_,} i _H-"-"I il z”‘ll":/,’-fl". Y
R 3 e e 3 it Lit e ‘:"-’t"‘””" gL
eSey§¥in |ot 7o G o AR, oil o i
e!A b T = '},’* &: e i
»“-1':~,"\”> ANRt i A ’ »ii iz et LTR L 5
SRR S g A R I
3 L B ey W AR N
; i e eeTT pe X vs:‘
b . i e - ) v".'._‘v;;"‘,:‘fl‘fl".. %
i gt N:fifibf vt_,;,& P 1
RIS T , 3 afg
BELC[IEI{ E T
C O *
Main 22
Fa inery Exports i:
Farm Machinery Exports in
. o
-~
March Show Big Incrzase
b 1919, exports of agricultural implements amounted to $1 06,969
flgm:?:n‘g.?:)s,lmsel: 1918 and $4,726,790 in March, 1914. In nine months
«.ndmi witf\ March exports totaled $25,638,042 in 1919, $24,992,036 in 1818,
$16,717,450 in 1917 and $25,658,295 in 1914, s
"Exports for March and nine months under chief classes follow:
Maroh=— 1919, 1918, 1911,
Hay rakes and tedders........evesvsvres:s 41.159 $ :ffl.(\fi.» $ 01563
Mowers and TeAPErS......oeesvvrssnnsres 1,301.00.} 4b§,4:§l§ 3,4..1,1)0,:‘
Plows and cultivators.....coovvessvasnnns 1,068,095 SR:,O.E !:-“,_'o.\
All OLhOPS «.cvssnsnsssnsssassnssoseanssve 2,090,721 1,415,137 6.5 967
TOAIS «vevesesssasssssrasnsnsessses §4,600,969 §2,798,696 $4,726,790
Nine Months— 1919. 1918. 1914,
Hay rakes and tedder5................$ 243,000 $ 518,000 $ 277,000
Mowers and Treapers........oeessvasne 3,365,000 6,536,000 14..«7&,%0
Plows and cultivators .......ceesveves 17,306,000 6,619,000 4,284,040
ANI OLBOTS ..vicosvnssscvnnnsnnsnnonens 14,724,000 11,319,000 6,121,000
TOLAIE :viveeessossnsnnsssanssssss3s,63B,ooo $24,992,000 $25,558,000
'INCOME FROM TAXABLE BONBS
(
A A ARAA AR A A AAR AR AN A AAR A AS A A A A
The table below has been prepared by the Northern Trust Company
to provide a convenient means of comparing the netincome derived from
taxable bonds as compared with exempt bonds. It shows the actual net
return from a taxable bond after the normal income tax and surtax have
been deducted. The table covers bonds yielding from 3% to 7 per cent.
These figures are based on the tax for the year 1919, payable March 15,
1920:
Income, PrCt. PrCt, PrCt PrCt. Pr Ct, PrCt. PrCt. Pr Ct. Pr O%
Net Taxable :u,? 4 41, 49 5 5»1. 6 o:? 1
SIOOOO ..............358 370 418 43 468 5008 0588 COf 040
18000 ...1....eie0. 531 388 408 451 488 4 545 2O B
BEBIE . iiiieeeinhEE BET 4L SN 0 A 'R B B
Bae ..U 3 W 8 & 6 T B S a.a’
I . il DR 30 BN 4N 4 W BB 8
BEBED - iiieiiiinEs SR 308 M- &3 ‘4B B AN
SOOD ..t B 355 AT A & 6B BB BN ’,u
GOO . iiive.nen BB 500 201 S 0 ANO AN 45 0 WE
50,000 .....c00v......584 325 365 386 408 4471 487 5 50
00 ... .18 31N 3 KB O BIR 43 4 BB B
WA .i.h......-208 386 3248 3B 3 A 4 i 4w r».:1.b,..
WA L AN 3 I i (B Th =
BORIE . iiciniie B 0 SB4 BN 3T 308 SH AWM B W
JORBP .« .. ciene..2. 040 ZE ZBB AN 343 37 4t 4 40
IBBOOD . ssinenveasßoD ASE S 5 300 305 3% 3. 2D o 0
crops are doing fine.
“Everybody seems to be prosperous.
Fair-sized towns are springing up almost
everywhere. For instance, in West Co
lumbia, there was about a handful of peo
ple, but the development of this field has
resulted in the migration of between § -
m Once you own beautiful
% ] garments it is not difficult to
W, keep them looking so. 4
B 7 ||
Wy They may be badly soiled
or mussed, but Stoddardiz-
K ing will quickly bring them
5 B 2
%7t back to new again.
* i
/// 4 We pay return charges on out-of-town
7 orders of $2 or more.
/I STODDARD 126 Peachtree Street
: Phones: ivy 43, Atlanta, 43
E Mileage
1. Y
By Using STRONG DOUBLE TREAD TIRES
—_ Strong Double Tread Tires represent
'.-_2'_\ BECAUSE quality, value, service, satisfaction.
‘.“':—"" Strong Double Tread Tircs save 75 per cent of your tire cost.
.‘ Over 3,000 satisfled customers speak for the wearing qualities,
U and endurance powers of Strong Double Tread Tires.
11T Strong Double Tread Tires are guaranteed for 3,500 miles
" (standard guarantee).
B “ We give personal attention. Every Strong Double Tread Tire
7 |ITY[] | is inspected before it leaves the stock room. You get what
L e vou ask for—there are no substitutes for our one and original
i '!“ Strong Double Tread Tire.
W Our motto is ‘“‘Satisfaction’” and we guarantee it Satisfied
R ||.|' customers are our best reference.
- ! o Our advertising is not bunk—it's honest-to-goodness copy. We
h ".l' back it up with honest merchandise and tire value that can
e not be duplicated at our prics.
i* "." Never before have we offered such good values of reconstruct
-1 ed Double Tread Tires for so little money.
0 ,a"." RELINER FREE WITH EVERY TIRE.
A 4" ‘ THE TUBES ARE GUARANTEED FRESH STOCK
9 i STANDARD MAKES.
f‘ ‘!‘ Size. Tire. Tubes | Size. Tire. Tubes | Size. Tire. Tubes
- 30x3 ..8$ 5.50 § 1.60 32x4 ..$ 8.26 § 2.40 35x41% $ll.OO §$ 3.15
el Q] 30x33¢° 650 ~ 1075 | 33x4 .. 850 = 2.50 | 36x4% 1150 ~ 3.35
-a 31x3% 6.75 1.85 '] 34x4 .. 8.16 2.60 37x4% 12.00 3.40
] ‘ 32x31% 7.00 2.00 | 36x4 .. 900 2.75 36x5 .. 12.50 3.5(
l"""‘ 34x31, 8.00 2.15 | 36x4 .. 10.00 2.85 | 36x5 .. 12.76 : }
31x4 .. 8.00 2.25 ! 34x4% 1000 3.00 | 37x5 .. 12.75 3.7%
¢ Send $2.00 deposit for each tire ordered, balance C. O. D
J Tires shipped subject to your examination. State whether §S.
! (i S. or CIl, plain or N, S. is desired—all same price.
o By sending entire amount of order you can save b per cent
—our special cash. order discount.
STRONG TIRE & RUBBER CO.
3019 MICHIGAN AVENUE, DEPT, 1, CHICAGO, ILL.
(000 and 6,000 souls to that district. Of
course, the greatest increase in population
has occurred in the Ranger field.”
Asked where all the money being made
in Texas was seeking investment, Mr.
| Young said practically all of it was being
reinvested in the vast undeveloped re
sources of that State.