Evening Star Newspaper, January 30, 1928, Page 14

94 *» FINANCIAL. CURB SHARES SAC ON PROFITTAKING Interest Centers in Mining List—Newmont Dealt in in Large Volume. BY WILLIAM F. HEFFERNAN. ary 30.—The main | ed & decidedly Received by Private Wire | Following is the list of stocks and | bonds traded in on the New York Curb | Market today: Salos in INDUSTRIALS hindy Hich | | nase. { issue of National RUBBER DECLINES. NEW YORK, January 30 (Special). | —Crude rubber, smoked ribbed sheets, | Washington Stock Exchange| “A"—$1100 at Potomac Electric 5% pfd —5at 108 3 at 867, 10 at | i | Potomac Eiectric 67 pfd.—5 at 11 { | Bank—10 | 109, 10| American National 341 enthaler Linotype—5 at 1 i:a,'_:, 5 and 6 per id and Asked Prices. BONDS. UTILITY 4175 178 1018 100 az ni & S « | lean DENT G, STOUKS THE _EVENING " NEW YORK CURB MARKET | Direct to The Star Ofiice 1600 Anglo A m Ol 0 A Am O vie B P L. 2014 D1y 00 Imp O Can n 00 Inter, C. o n uum Ol BO airies Gs 1011 Ghee d3 14 38 D100 BF 103 it A 13 India P & A9 Int'l_M. 11 Int Pow S K Inferstate 1 Interstate 7 Invest ZInv B & Sha 210 Neh L&P BeA i Jeado Highl € 6 Kop G & Coke 5s 10 Lehigh Po 6 MoN & L 100 e 104 100, 1 CA 10913 Sie 1043 1 uh 61 140 10315 & R Bias 104 (g Sales in thonsands. 11 Adriatic Al FOREIGN BONDS, Wigs 570 0R1 DAY T Alres Ta 3010007 10014 n Airen 75 5% 007, s 3 Buen “Alres 7381015 TCen B G St fx A 9oty 16 f B 01 1 i 1 Free St Pru 7 Ger Cons M 4 Hamburg st 10 Irivh Free Stat 13 Learco Hyd Ei 7 12 Jugosl §°M Bk 7 T, Ly FI Srv T A 1064y AR S e A ww D Ve s W A 1) 1 Vieana W T bow i, vl o Ex-divie STRIKE WILDCAT WELL. NEW YORK, January 30 (#).—The Texas Corporation and Arkansas Fuel Oll Co. have struck a wildcat well 14 | miiex south of Aberdeen, Mins,, the firat this vicinity, showing heavy ol at 5 feet. Water is in the well, AMERICAN SUPERPOWER. NEW YORK, January 30 (#).—Amer- Buperpower Corporation earned $2.21 u share on the combined A and B common in 1927, after preferred divi- dends, against $2,66 a share in 1926, . WILL BUY BRONZE FIRM. NEW YORK, January 30 (4%,~—Cien- el Bronze Corporation, formed through w merger of the John Polnchek Bronze & Iron Co_and the Renalssance Bronze & Iron Works, has completed negotistions for the outright purchage of the bronze wnd fron work of Tiflany Btudios, New York TREASURY CERTIFICATES. (Menorted by ) & W Neligmag & . ENDICOTT-JOHNSON. NEW YORK, January 30 (), Endi- cott-Johnsan Corporation earned $h 68 a shure on the common stock i 1037, “uMiLeb §708 In 1036, n STAR, WASHINGTON, D. C., MONDAY, TARY 30, 1928. RETAIL AUTO MEN STUDYING ECONOMY Big Newspaper Advertising Campaign Planned by Car Dealers. BY J. C. ROYLE. Special Dispatch to The Star. NEW YORK, January 30.—With pro- duction in the great manufacturing centers moving rapidly toward capacity, it has become practically certain that between 4,000,000 and 5,000,000 auto- mobiles will be made this year. Radical changes will be needed in distribution methods in order to sell them. That is the problem which is gripping the attention of the industry. One tried and proved method of stimulating sales will be retained. Prac- tically every motor manufacturer admits the potency of newspaper adver- tising, and advertising campaigns are being planned in various cities which contemplate a volume of newspaper space rivaling even the department stores. Carefully written, straight-from- the-shoulder messages containing actual facts about the cars involved are being | distributed through the newspaper | mediums. | Makers realize that selling costs must be reduced to keep pace with lower expenses in manufacture and lower prices. Yet these costs must be cut without lessening the income of the | alert, successful, salesman, who is too valuable an asset to lose. Consequently, the salesman also is being put on a quantity production basis. | 4,000,000 Replacements. Over 4,000,000 cars now on the road will be replaged this year with shiny | new models, %r the new drivers will not ! be as numerous as in past seasons. | What to do with the “trade-ins,” there- fore, s a major problem at present. ‘The solution is being put squarely up to the retail dealer, who is urged to “junk” every car he possibly can. “We've cut our raw material and production costs to the bone.” said the chief sales executive of one of the lead- ing corporations to a gathering of deal- ers today. “You, too, must cut costs and adopt the quantity output princi- ple. You will have to take in something like 5,000,000 cars in trade. Here is what we suggest. Give each trade-in a careful inspection. If it will cost money to rebuild it and will jeopardize the sale of a new car, sent it to the junk pile. Your customers will be bet- ter pleased with the new low cost, more “ efficient _and more cheaply operated | cars. The plan will lead to greater | production, lower prices and more sales, with more profits to all of us in the industry.” About a million familles, this execu- tive pointed out, will y cars this vear which never owned them before. Whether they buy used cars of high original cost or new low-priced cars, he said, depended on the dealers. As is natural, this policy has aroused resent- ment among some dealers, but o‘hers believe firmly in the principle and are carrying it out. Drive for Foreign Trade. An intensive drive for foreign busi- ness is now under way. Leaders of the industry in Detroit predict that $500.- 000.000 worth of American cars will| 80 to foreign countries in 1928. Every- where the American car is gaining popularity. In Argentina, where the! tariff on a $1,000 foreign car is about | $355, 95 per cent of the cars sold are ! of American make. In Australia, 71| per cent of the cars on the roads are | American, although the tariff on al $1,000 car is $270. Brazil, with a tariff | of $300 on & $1.000 car. gives 95 per | cent of her business to American manu- facturers. The installment purchase plan will be | extended in the foreign field as freely | as at home. Motor manufacturers ! without exception defend this type of | sales policy. In 1927. General Motors | sold $850.000,000 worth of cars under such a plan. Total sales under the Genera! Motors acceptance plan sincc it was inaugurated nine years ago have reached 2553108 cars. | | T | | | | CORN PRICE STEADIES AFTER OPENING SAG | Wheat Values Are Easier in Deal- ings Today at the Chicago Board of Trade. By the Amsociated P | CHICAGO, January 30.—Corn prices ! steadied early today after a moderate initial sag. Reports of corn in Chicagn although large. failed to reach as heavy a total as had been looked for. Openting unchanged to %a': off, the corn mar- ket soon rallied, going in some cases to above Saturday’s finish. Wheat was easy, starting unchanged to 3 low.r and subsequently keeping near to this | range. Oats showed but little altera- tion. Provisions tended to decline. “COTTON BELT” INCOME. | NEW YORK, January 30 (#).—Net income of the St. Louis-Southwestern Railway system (cotton belt) for De cember dropped to $84.384 after charg from $434,104 in December, 1026, a to $1,847,814 for 1927, from $2 405,539 the year before. The vear's net was equal to $5.21 a share en the common stock, against $8.62 a share in 1926, NEW YORK MARKETS. NEW YORK, January 30 (# — Flour—Steady; Spring patents, 7.00a | 7.65; soft Winter straights, 6.250660; | hard Winter straights, 6.60a7.25. Rye— Barely steady; 2 Western, 12314 1. 0. b. New York and 12115 ¢. 1. f. ex- port. - Pork —Steady; mess, 3200; fam- lv, 36.00038.00. Lard—Fasier; Middle West, 1220a1230. Tallow-Quiet; spe- cial loose, 8% extra, 8% | Commodity Ne | | CHICAGO, January 30 Special Egg prices have fluctuated widely in | the last week, with first advances and | then declines in evidence. A surplus | offering of wctunl eggs resulted In a | break of nearly $500 a carlond. | TOPEKA—~Western Kansas, Colo- rado and Nebraska wheat fields are in need of motsture. Unless additional molsture 15 avallable soon, the crop | will suffer serious damage. | ATLANTA-Ten of the larger steam laundry plants in this city have merged and the bond Issue put out to finance | the new pany wis specdily ab- sorbed by the public. Similar e solidations recently have been ¢ in New Orleans and others probably | will follow In major Bouthern citics, NEW ORLEANS- Experts in the cot- ton situstion here expect an inerea n sereage, but anticipate that 1t will bé comparatively small. Farmers are | counting on planting more cotton than | last year merely as & protection ugainst | the “amount destroyed by the boll | weevil. FORT WORTH Ratlroad has ordered 10 new frolght | locomotives, owing o the unexpected Increase I tonnage from the West | Texus ol flelds | AKRON - The slackening In the de- miand for rubber hoots and shoes ut rubber plants here has been more than mace up by tie tncieased actvity Slie Lie production field, The | Texas Pacific | TOBACCO TRADE LIGHT. Sales of Maryland Leaf Show Slight Increase. Special Dispatch to Tho Star. BALTIMORE, January 30.—Re- ceipts of Maryland leaf tobacco con- tinue light, totaling only 135 hogsheads last week, while sales showed a slight increase, amounting to 160 hogsheads, and leaving a stock in State tobacco warehouses of 9,559 hogsheads and 636 hogsheads of ground leaves. The demand continues good for practically all grades. Quotations to- day for Maryland leaf tobacco per 100 pounds: Inferior, 5a8; frosted, 3ad; sound common and greenish, 9al6: good common, 17a30; medium, 31a40; good to fine red, 41a55.50; fancy, 56a58.60; seconds, common to medium, 5a24; seconds, good to fine, 25a45; upper country air cured, 3a23; ground leaves nominal. - : SILVER QUOTATIONS. NEW_YORK, January 30 (#) GAS LANDS PROLIFIC. NEW YORK, January 30 (#).—O. R. 3eagraves, president of the Houston Gulf Gas Co., reports that withdrawals from the eight new wells in the new Refugio field, averaging a volume of 50 to 60 million feet aplece, indicate discovery of the most prolific sands yet penetrated in the great southwestern area of Texas. The company has 20 additional wells ready for drilling to the lower sands on the 2,000 acres the company controls. PRICES ON PARIS BOURSE. PARIS, January 30 (#).—Prices were firm on the Bourse today. Three per| cent rentes, 67 francs 60 centimes; ex-| change on London, 124 francs 2':| centimes; 5 per cent loan, 88 francs 10 centimes. The dollar was quoted at 25| francs 44% centimes. | — = | MALLINSON CO. PROFITS. NEW YORK, January 30 (#).—H. R. Mallinson Co. had consolidated net profit of $463.691 for 1927 in contrast to Equitable Co-Operative Building Ass'n | Assets ... Subscriptions for the FINANCIATL. | WALTER S. PRATT, Jr., Secretary || Organized 1879 48th YEAR COMPLETED +e...$5,202,042.70 Surplus ...81,511,115.87 94th Issue of Stock Being Received < — Join the Equitable— Save Systematically Thousands of thrifty Washing- tonians are saving regularly in the Equitable. Come in and have us explain our systematic plan. Do it now! silver, 57 The New York Life Insurance Company First Mortgage Loans On Improved Real Estate in the District of Columbia i Apartment Home Mexican dollars, 43% | net loss of $546,953 in 1926. Offers to Make and Nearby Suburbs in Montgomery County. Md, for 3, 5 or 10 year terms on your Office Building Apply RANDALL He. HAGNER & COMPANY MORTGAGE LOAN 1321 Connecticut Ave. IHCA1porated CORRESPODNDENT Telephone Main 9700 STEEL & WOOD High Quality —Low Cost HAW-WALKER 605—131Ts STREET, N. W, APPLICATIONS INVITED for LOANS on IMPROVED PROPERTY Located in the District of Columbia and adjacent Suburbs of Montgomery and Prince Georges Counties, Md. 5%% INTEREST Apply to H. L. RUST COMPANY LOAN CORRESPONDENT The PRUDENTIAL INSURANCE COMPANY of AMERICA 1001 15th Street N.W. $35,000,000 National Dairy Products Corporation 5Y%,% Gold Debentures due 1948 To be dated February 1, 1928 To mature February 1, 1948 Coupon Debentures of §1,000 and $300. Principal and interest payable at the office in New York of Goldman, Sachs & Co., Fiscal Agents. Interest payable Februar Pennsylvania 4 mills tax and Massa 1 and August 1, without deduction for any Federal husetts income tax not exceeding 6% per annum reiundable upon proper app! ome tax not in excess of 2% at any time in whole or in part on 30 days’ notice at 103'5 and accrued interest if redeemed prior to February I, reauctions in the redemption price of 4 oi 1% on February 1, 1934 and on each February 1 thereaiter 1947, upon and aiter which date the redemption price shall be the principal amount and accrued interest. THE EQUITABLE TRUST COMPANY OF NEW YORK. Trustee The Indenture will provide for a semi-annual Purchase Fund commencing August 1, 1929, in amount sufficient to redeem 13 % of the total principal amount of Debentures of this series which shall have been theretofore issued, to be applied to the purchase of Debentures of this series if obtainable at or below the current redemption price or to the redemption thereof if not so obtainable. lieu of cash the Company may tender Debentures of this series, at the current redemption price. . Information regarding the Co v and this President of the Company, copies of part his letter as foll HISTORY AND BUSINESS National Dairy Products Corporation, since its incorpora- tion in Delaware in December, 1923, has acquired (either directly or through subsidiaries)®companies engaged in the milk, ice cream and dairy products business in many cities, including the following: New York..... .Sheffield Farms Company, Inc. i Breyer Ice Cream Company, Inc. Hydrox Ice Cream Company, Inc. ......*Hydrox Corporation 1l Ice Cream Company, Inc. .Consolidated Buttermilk Corporation .....Breyer Ice Cream Company ..Supplee-Wills-Jones Milk Company Rieck-McJunkin Dairy Company «.......Luick Ice Cream Company .The J. T. Castles Ice Cream Company The Franklin Ice Cream Corporation **Clover Farm Dairy Company Omaha . ..*Harding Cream Company Nashville .. Nashville Pure Milk Company . of common stock owned. s of common stock ewned. Pittsburgh . Milwaukee .. Newark .. Kansas City.. Memphis . The business of the Company and its subsidiaries includes the wholesale and retail distribution of milk, cream, butter and other dairy products, and the manufacture and whole- sale distribution of ice cream, beverages, condensed milk, butter, semi-solid buttermilk, dried buttermilk, milk powder. milk sugar, casein, and other milk by-products. ASSETS The consolidated balance sheet as at November 30, 1927 prepared from the books of the Company and its subsidi aries by Messrs. Price, Waterhouse & Co. (subject to com pletion of the examination now in progress), after giving effect to this financing and the transactions incident thereto, shows consolidated net tangible assets of $70,268,564.49, or equivalent to more than $2,000 for each $1,000 Debenture. The market value of the outstanding preferred and common stocks of National Dairy Products Corporation, based on current quotations, amounts to approximately $110,000,000, The Company h may be had from the wndersigned upom request. sue of Debemtures is set forth in a letter from Me. Th Mr. SALES AND PROFITS The combined net sales and net profits from operations of the Company and all its present subsidiaries (including earnings during 1925 and 1926 of an additional business presently to be acquired), after all charges (including ample depreciation) except Federal income taxes and interest on consolidated funded debt and dividends on preferred stocks of subsidiary companies to be retired, and after deducting the proportion of profits applicable to minority common stock holdings of subsidiaries, but before interest on this issue of Debentures, as certified by Messrs. Price, Water- house & Co., have been as follows: Years Ended Dec. 21 1924 Profs as desned adove $ 242846748 Net Sales $113,905,387.48 192§ 138,121,575.54 12.133.227.59 1926 143,930,548 .41 14,413.595.90 T84 The corresponding figures for the year ended December 31, 1927, based on the figures as shown by the books to November 30, 1927 (subject to completion of the examina- tion now in progress) and as estimated by the management for the month of December, are as follows: 1927 $152,350,000.00 $14,575,000.00 793 The annual average of such net profits for the 4 vears ended December 31, 1927 amounted to $12,637.572, or 687 times the interest requirements on this issue of Debentures. PURPOSE AND INDENTURE These Debentures will be the direct obligations of the Company and will constitute its sale consolidated funded indebtedness presently to be outstanding in the hands of the public, except for certain indebtedness of sub- sidiaries, funds for the acquisition or retirement of which are to be provided from the proceeds of this issue. The balance of lh:‘sro:«ds will be used to acquire or retire the entire prefer: stocks of subsidiaries, to pay in part tor certain additional assets, and to increase working capital. Additional Debentures of this series or of other seres may be issued subject to certain restrictions to be set forth in the Indenture. Certain terms and provisions of the Inden- tw.e may be modified with the consent of the holders of not less than 80% of the outstanding Debentures. d te make application in due course te list these Debentures on the New York Stock Exchange. A portion of these Debentures has been reserved for exchange for subsidiary companies’ funded dedt and pret S and to pay in part for certain Addu‘mnul assets. We onr: the balance at T 99 and accrued interest, to yield about 5.33¢, The National Dairy Products Corporation 6% Collateral Trust Notes, which have been cal § 3 1928, at 103}§ and accrued interest, will be accepted in payment for these D'M'nuuu §.'\‘.'du'f5.'33;$$'€'§.“:, :‘n(‘\’:ni‘i on the redemption price from date of in payment is received not less than five days Mhis offering ds made subject to allo Stllivan & Cromwell. We rese v interim veceipts will b dor i New Yoik funds, o the right 1o reject any & delivery to date of redemption, provided notice of the amount pects whew, an and it Mmade ou ur about Febuuwary 13, 134, at Of such notes to be tendered prior to the date fixed for delivery and payment for these Debentures. wed, and accepted By us and sudiect to the aneroval T gt PHIL LU i expected that Gednary o tevapo: Aty €acha & (o, 30 Tne Sueet, New Yok, spaast 5 WA ! the alfice of Uukiman, GOLDMAN, SACHS & CO. LEHMAN BROTHERS PRINCE & WHITELY The statements contalned ' this advertisement, while not guarantesd, are obtained irom sourves WAk we Meliave 1 da rohe' e Main 8100