Evening Star Newspaper, November 10, 1929, Page 76

[FinanciaL | AY STAR, 'WASHINGTO: . D OVEMBER 10, 1929—PART- -FIVE [Financiar] FINANCIAL THE D s FINANCIAL | Calls Business Sound I UNION INSURANCE ENDS FIETH YEAR Association Plans to Cele- brate Anniversary at New Building. BY EDWARD C. STONE. The Union Co-operative Insurance Association, located in a fine building of its own, at 1200 Pifteenth street northwest, will celebrate its fifth anni- versary during the present week. The incorporated on Novem- “:;d h:ha mld: l‘\‘xch rapid expansion g the past five years that it now has over $61,500,000 in in- surance on its books, according to General Manager Charles F. Nesbitt, formerly suj tendent of insurance in the District of Columbia. Jameg P. Noonan is president of the association. The company started busi- ness with $100,000 paid-up capital and | $100,000 contributed surplus. When the | first policy was written this $200,000 remained intact, pone of it having been paid out for promotion purposes. While expenses of getting started are always heavy for any new concern, Manager Nesbit rts that his firm has been able to add $150,000 to surplus in spite of the costs involved in obtaining new business and other extensive outlays. The firm writes all classes of insurance for uxmml lmemben and also has a new ou cy. “Acz':’or%?ng to officials, most of the ny's investments are made in ‘Washington, being confined to first mortgages on approved real estate, and to high-grade bonds. The greater part of the payroll is naturally spent here as are large sums for printed matter, stationery and supplies. The officials consider these facts significant as showing the importance of the growth this and similar companies bear to the welxm;e vi“! the city. T;le“offlchl person- nel of the company follows: James P. Noom. resident; Charles P. Ford, vice president; Gustave M. Bugniazet, secretary-treasurer; Charles F. Nesbit, general manager; J. R. Biges, M. D., medical director; J. S. Easby- Smith, general counsel; Arthur M. Siegk, consulting actuary; E. R. Crow- son, actuary, and Clara L. Noyes, as- sistant manager. Investors Again Study Yields. Investment, as distinct from purely | ulative buying, may be expected to a larger part in determining prices than has been the case at any time this year, states a bulletin of the Smndard‘ Statistics Company. The bulletin con- tin ues: “The investor is interested in tangible facts—yield, earnings and financial condition—to & much greater extent than rumored mergers, split-ups, stock dividends, or rights. “It is altogether likely, therefore, that, at least for the next six months or so, securities which offer an attractive in- come return, or for which earning power is sufficient to warrant an increase in dividends to a basis which would render income return attractive, will afford the most satisfactory profits. On the other hand, stocks which currently afford & low income return, and which are not 1ikely to receive larger dividends, appeal to us as occupying a much less favorable position. “Purthermore, with igvestment-buying as an important factor, the market is| likely to move in & much narrower range than has been the case in the immediate past. The investor, generally speaking, is content to wait in order to make his commitments at satisfactory prices. Only the speculator, hoping to dispose of his stock within a relatively short time, will make his purchases at an inordinately high level.” Fleming Enters Sixth Year. Robert V. Fleming commences his!' sixth year tomorrow as president of the ‘Riggs National Bank, having completed his fifth year's service yesterday. It was just five years toddy that he was ‘president of the big financial institution to fill the vacancy caused by _the death of Milton I Ailes. Backed by the hearty co-operation of the Riggs o tion, Mr. Fleming has used all his energy, ability and broad experience in pushing the institu- tion forward and under his leadership the bank has enjoyed a period of un- ‘usual prosperity and expansion. ‘The bank’s most important move during the past year was the acquisition through consolidation of the Farmers and Mechanics National Bank, of * Georgetown, and of that bank's branch in_Friendship. The Riggs Bank's total resources at the time Mr. Fleming took the helm w:re over $41,000,000. They are now $60,085,469.50. On October 4, the date of 'the last controller's call, the de- posits totaled $51,820,079.73. New Reserve Board Ruling. The Federal Reserve Board has ruled that under certain conditions a draft drawn by a purchaser of goods is eligi- ble for acceptance by member banks when it has a maturity consistent with the usual and customary credit time prevailing in a particular business, ‘The new ruling is in some respects in- consist:nt with previous rulings that bankers’ acceptance credit should not be used for the purpose of furnishing working capital, but the board says that these previous rulings should be regarded as superseded only in fo far as they are inconsistent with the new ruling. Heard in Financial District. ‘Total circulation of United States money on October 31 was $4,837,987,- ‘204, or $40.23 per capita, as against $4,819,274,941. or $40.11 per capita on | September 30, and $4,806,229,636, or $40.44 on October 31 a year ago, ac- cording to the Treasury. October sales of ~Schulte-United 5-cent-to-§1 stores. Inc., amounted to $2,227,973, comparing with $1,784,820 | in September. The Potomac Savings Bank in Georgetown is installing a night de- pository. The device, similar to others already in use in the city, is located on | the Wisconsin avenue and M street corner of the bank. The weekly tabulation of prices of Incal bank stocks shows more changes | than have taken place in a long time, Some of the local stocks have also moved over a considerably wider pric” | range than usual. | The special committee of the Wash- ington Stock Exchange is looking into" several different locations for the ex- change when it has to move on ac- count of the extensive building program carried out by the American Security & Trust Co. Stocks on New Selling Ratio. Over the last few weeks there has been a drastic decline in ratio of sell- ing price to earnings. Looking over the various stocks one can find many that are now selling five to ten times earnings a share, compared with 10 to 20 times when these same stocks were making new peak prices. No one can guarantee, says the Wall Street Journal, which way the market will over the next few weeks, but if there is no decline in earnings, certain stocks will not sell on a basis of current ratios forever, The contention of one broker is that the market will take care of itself from now on. The lower go the ter the number of buyers that will attracted. ‘Washington brokers and bankers are, eautious about making any market pre-| dictions, but it was generally felt that the market closed the week with a Much better tone. { reeh TWO FULLER DIVIDENDS. George A. Fuller Co. declared the tegular quarterly dividends of $1.50 each th on the 1] cumulative referred and seco! preferred stocks, lnh payable January 1 to stock of rec erd December 10, | igan. In these States three large | are "3 ank- -Starts Fifth Year ROBERT V. FLEMING Was elected president of the Riggs Na- tional Bank in this city just five years ago today. During the in pe- riod the bank has enjoyed upusual growth and expansion, having added two branches during the past 12 months. BANKING MERGERS BECOME NUMEROUS Trend of Modern Times Shown in Greater Concen- tration of Wealth. CHICAGO, November 9.—The rapid trend toward concentration of Ameri- can banking resources in fewer and larger institutions is strikingly por- trayed in an analysis of the Nation's banking progress in the past five years, just completed by Lawrence Stern & Co., investment bankers of Chicago and New York. The study revealed that in the last five years the resources of American banks increased by $15,522,062,000, but in the same period there was a de- crease of 3416 in the number of banks in the country. In this same period depcsits _increased by approximately $15,504,158,000, and capital, surplus and undivided profits of all institu- ;g:fioshowed a gain of nearly $2,220,- been sweeping the country,” said the survey, ‘“has brought together the largest aggregations of banking capital and resources in the history of the Na- tion. Since 1924 there have been more than 2,000 mergers and consolidations in our banking system, involving almost ong-fourth of the total resources of all banks in this country. Chain or Group Banking. “Side by side with this trend toward mergers and consolidations, there has been an equally important movement toward the establishment of chain or group banking. According to the American Bankers' Association there are now 273 separate chains of banks in the United States, involving 1,858 in- stitutions and $13,275,000,000 in aggre- gate resources—more than 18 per cent of the Nation's banking assets. Owing to the fact that branch banking among national banks is limited by present lavs, actual branch systems have been principally among State banks in States | wh'"h™ permit branch banking; chains or groups of banks, inclus ;lllanu I;-n s, under unified control creasing ngidly. and it seems to be t:nerllly believed that chain banking a step toward the ultimate adoption of branch banking through a few Ynn Institutions with many branches—such as those in Great Britain. “There are no signs of any slacken- ing in the merger and combination wave which continues to sweep ahead, especially in cities with a population of 250,000 and upward. Today large con- solidation or group deals involving more than $3,000,000,000 in bank resources are under way in the cities of New York, Detroit, Seattle, Buffalo, Boston, Minneapolis, Milwaukee, St. Paul, Louisville, San Francisco, Lo3 Angeles, Nashville'and other large centers. “The movement toward larger banks is furthcr indicated by an analysis of | bank stalements as of June 29. This showed that there are 69 institutions in 17 cities with resources of more than great banks aggregate $23,189,000,000, which is 32 per cent of all and national bark resources. Twenty-two of these banking houses are in New York City, and their assets aggregate $12,185,000,000, or one-sixth of the total resources of all American banks, In Chicago there are six of these great banks, with resources totaling $2,280,000,000, w:nu in 8San Francisco seven more, With assets aggregating $1,803,000,000. e Four Great Institutions. “These 69 huge banks in the past five years, through mergers and increa: busij have added $9,249,000,000 to:| their resources, a gain of 66 per cent. Today deposits in tnese banks comprise 20 per cent of all State and nn&ml bank deposits, totaling $17,846,000,000, an increase of 55 per cent over 1924. Th> total capital of these institutions is $1,195,000,000, more than double that of five years ago. “America now has four great bank- ing institutions with total resources of | more than $1,000,000,000. Three of linese are in New York and the oth:cr one is in Chicago. These banks have resources aggregating more than $6,500,000,000, approximately ~double that of 1924. “While the tendency toward fewer | and larger banks has been under way | for several years, it has been during the past three years that the merger move- | ment has been most pronounced. In| this period New York City led the coun- | try with more than 50 institutions in- volved in mergers, and in Philadelphia during the last six months there have boen mergers involving 24 banks and trust companies with resources of $500,- 000,000. Chicago has also had five major mergers involving nearly two and a half billion doilars in banking assets. | either may be sharp and brief or mod- |erate and prolonged. “The wave of mergers which has | s $100,000,000 each. Total asseis of these | to d | 10 to 20 per cent below their break-up PRICES OF STOCKS ON INCOME BASIS Many Issues Now Yield At- tractive Return on Capital Investment. BY CHARLES F. SPEARE. Special Dispatch to The Star. NEW YORK, November 9.—Two ma- Jor consequences of the protracted lkm!- dation in stocks now appear probable. One is & loes of confidence in the mar- ket by the general public whu:g will take some time to re-establish itself. The other is a recession in business that At the end of a week that has wit- nessed further serious declines, but in which acute liquidation seems to have been completed, the averages stand ma- terially lower than a week ago. though there were over 100 stocks that on Thursday momln; declined below the prices of October 29, the recognized averages of the list did not break through the minimum October figu Out of 10 representative Thursday, four were some points at their lowest level than they previously been and two were un- changed. Of the other four stocks, three, namely, United States Stetl, Gen- eral Electric and Atchison, showed an average decline of 10, gomu from their lowest on October 29. This plainly indicated that the force of the selling movement had spent itself and while the subsequent rallies have been dis- appomunfly small, the market has not since given any additional signs of dis: tress. Reserve Strength of Country. Those who have heen convinced for many months that the stock market could not go on discounting the future the way it had been doing, appraising stocks at from 20 to 50 times earnings and ignoring the credit strain imposed on thfi‘ country and on all the rest of the world in consequence of this in- flation, had never anticipated a break of the suddenness or the size that has occurred since the middle of Septem- ber. They had not sufficiently taken into account the effect of fright once it became general on & ter body of people than had ever identified with speculation, and who, like the dealt in on the various exchanges of the country, were to have their first test under plnlck{ conditions. The fact that a tremendous momen- tum of sales of securities has been checked and that, so far as careful investigation proves, there have been no scrious financial dificulties growing Al- | hundreds of new stocks created and | port $pectal Disoaich to The Star ~NEW YORK, November 9, 1929, Stocks (average of 50 issues)......... Bonds (average of 40 issues).... Foreign bandan(nvenn of 10 issut Pederal Reserve ratio Money rates in New Y A Call = ‘Time Unfilled steel orders..... Pig iron production.... Building permits: Number of cities. Amount .. Commerctal falures (R. G. Dun & Co. Number . Liabilities Revenue car loading: All commodities. Grain and grain Coal and coke Forest products. . Miscellaneous products. .. i SEASONAL TRADE MAY OFFSET EFFECT OF SLUMP IN STOCKS Bank Deposits Throughout Country Have Decreased Since Crumbling of New York Security Values. BY L A. FLEMING. Business interests are questioning the possibility of business passing through the strenuous readjustment in security prices, with almost daily slashing of values and the wiping out of millions of dollars through losses of speculators and investors, without seriously affecting business itself. . It doesn't scem possible that the full speed ahead s should be displayed right along while commodity prices are melting, where the mueh mooted sup- has ‘not materialized and when prices for the best commodity stocks are melting away. o It is perhaps fortunate that this is the busy season of the year, a fact that may aid in neutralizing the effécts of the slump. There were those, too, who feared that Friday's market perhaj out of the smash in prices, is the trongest proof of the reserve !t.rml.h n? the country, its people and its institutions. Big Buyers Take Losses. One of the unusual and damaging effects of the series of abrupt declines in stocks since the middle of last month has been the extent to which individuals and corporations have been led into buying on reactions of rela~ tively larg: proportions, only to find themselves a few days later with losses from what they assumed were “bar- gain” levels. On October 15 & leading banker in an interview stated that “al- though in some cascs speculation has gone too far in the United States, the markets generally are now in a healthy condition. The last six weeks have done an immense good in shaking down prices.” Com] 25 active list>d stocks on that day, and not including any of the inflated public utilities, with the low quotations of last Thursday, it will be found that the difference is repre- sented in an average ints. In the interval there had been wo occasions, namely, October 24 and October 29, when the panicky state of the market prompted men and corpo- rations who withheld their purchases up to those days to make them on a large scale. For instance, between Oc- tober 15 and October 24 there was an average decline of 42 points in the-fol- lowing stocks: United States Steel, General Electric, Consolidated Gas, Montgomery Ward, New York Central, da, General Motors, Union Carbon and Carbide, Atchison and In- ternational Telephone & Telegraph. This list on the later date, however, was off an average of 68 points from the highest prices of the year. Asset Values in Stocks. On October 29 the same 10 stocks were additionally down an average of 25 points from that reached on October | 24 and later, as indicated above, part of their list went even lower than dur- ing October, The effect of this un- usually protracted liquidation has been reduce the buying power of large interests who had every reason to ex- ct that purchases made, say on Octo- er 24, would quickly realize them a profit and who can no longer be counted on for the support which they had al- ways held in reserve for market situa- tions such as those of last month. This is one of the most unsatisfactory phases of the market outlook, as it includes the position of the public which bought heavily for cash last week and, fortu- nately, owns what it bought. Many stocks are now at prices which represent asset, or liquidation values. | ‘There are not a few that are selling value. From the standpoint of invest- ments primarily, stocks today are more entitled tol consideration than they have been in two years. In some cases the yield has doubled as prices have de- clined and dividends have been in- creased. In other les the returns havesrisen from 25 to 50 per ceat over those on th2 former basis of prices and dividends. This would include_ stocks of the character of General Motors, National Dairy Products, Consolidated Gas, Anaconda, Baltimore & Ohio and Chicago & Northwestern. After having been so much below bonds in ‘their average return, stocks | have now reached an income basis which may well encourage investment in them by those who would in other times be likely to employ their funds in bonds and preferred shares. Effects of the Break. On the financial side of .the unpre- cedented break in common stocks will undoubtedly bring to an end the period of excessive flotations of junior securi- ties of investment trusts and trading corporations ,th> abandoment of various bank and public utility mergers and other promotions of th esort that have Other cities reporting important merg- ers were Boston, St. Louis, Los Angeles, 8San_Francisco, Detroit and Buffalo. “On the Pacific Coast, where chain banking has been permitted for some time, consolidations have been taking place rapidly in recent years, and to- day the Bank of Italy is the sixth largest in this country, with resources | of $843,000,000. The Bank of America lof California has also consolidated sev- eral hundred small banks into a_huge association with resources of $364,- 1 200,006. "" Growth of Chains. . “Sweeping eastward the chain bank- ing movement has gained a very sub- stantial foothold in Minnesota, Wiscon- sin, Nebraska, Montana, Iowa, w!oml.u, { North Dakota, South Dakota and Mich- are bel) nized involving - ing institutions with rces - gating more than a billion dollars. In New York State, where chain banking resources lead with a total of $4,206,- 790,000, a corporation has been organ- jzed to acquire control of 16 institutions located in various cities of the State, with resources aggregating $525,000,000. Another la banking corporation is being organ! in Loulsville, Ky., for the purpose of establishing a chain of banks in key cities of the Central We incl Cincinnati, Indianapolis and Chicago. 8till other claims are being (Continued on Ninih Page.) :|In 1026 potato exports figured as the leading tragic episodes of this and recent weeks, and an easier | ppun money market, The shrinkage in brok- ers’ loans of nearly $2,000,000,000, or close to 30 percent, since the middle of October, s a guarantee that the period of credit strain is permanently over. On industrial or business conditions the consequences of the deflation in se- curities, which has reduced the buying power of many individuals and corpora tions and umfiourfly lowered the cour- age and initiative of the public, are likely to be pronounced. It is generally admitted that they will have their first and most serious effects on luxury trades. It is doubtful, however, whether they will end there. The final months of the year are among the most important in the retailing of mer- chandise. It is hardly to be expected that, after the experiences of the last two weeks, the lic will buy with freedom of the things which it does not actually need. The collateral results of a new policy in personal economies are difficult to estimate in a country of this size and among a people so prosperous. BIG POTATO SHIPMENTS. Potato exports through Hampton Roads more than doubled between 1926 and 1928, the results of a survey show. decline of 50 | ps would win for itseif the designation of “black,” and great was the relief when suf- clent support developed in the final hour of Thursday to assure a steadier opening and to [{ve promise of a better week’s closing. It has been a most drastic liquida- tion of margined and eash holdings of stocks as well. For two weeks the minus sign has been appended to quota- tions of stocks and bonds and .curb shares, with average losses of larger dally proportion than on many previous cleanings up of the Street. A plus sign was cause for favorable comment, per- haps for encouragement in the belief that the worst was over, and there are still many investors who, if satisfied that this is true, would place sufficient orders to help the movement along. Bank Deposits Decreased. Naturally bank deposits have de- creased very materially not only in New York but all over the country, for the pre-deluge speculation was broad and the investment of smaller cities and towns in good dividend payers very eavy. It yrequl!ed a nervy investor to carry on while his shares were dropping 10 points at a crack with net losses of 20 to 50 points in many valuable dividend payers. Nerves framzle when these awful smashes are repeated session after session and stocks go by the board. Dread Something. The general public, especially those who have pt through similar scenes before, dread an undefinable some- thing that may happen. Perhaps it be better to_say that usually as a sequence to wide-open breaks and losses in stocks. No one knows where the lightning will strike, nor when, nor whether it is likely to select as shining mark for a victim a big brokerage house, one or mcre brokerage houses, some of the large in- vestment trusts or to burn & tiall through the land. A Everybody has stood up to the rack s0 far in good shape as far as known, but whether there are to be startling de- velopments or not, the Street and the business world has its ears close to the ound in the listening act. No Big Supporting Orders. One wondered where were the great supporting orders of the Mitchel group, the Rockefellers and the numerous others who advised the purchase of “goeded” ecommon stocks when the skids were first greased for the down- grade movement, for there were no signs of the kind of support those in- terests could have given the market it deemed advisable. - A week ago the pers were full of predictions of amaz- B:lt quantities of buying orders accum- ulated over the two-day adjournment, but Mundn{ morning they were unfor- tunately missing and a deluge of selling commissions turned loose, Likewise, the position of the invest- ment companies in the sloughing market has not heen defined. It has been re- ported that many relatively small cor- rations of this character have asked P:me ones in the same line to take them over. Onme would think that so-called “speded stocks” might be picked up freely bj investment companies that were on top of the market in the first days of the decline and might load up now without much fear of consequences, Smashing Decline, Slow Recovery. Recoveries so far have been but frac- tions of the declines and fear is ex- ; pressed that the list will continue siow, that so many traders have been wiped out and scared off that a protracled dull spell may result. Window dressing this year will require some preparation before hand to make it really effective. Profit taking when profit taking was in sight hutbefin one of the orders of the day in stocks. The closing session of last week showed more regular action and more restricted fluctuations, but with en ancy of indecision and unsatisfied brokers, and everybody else. Tips on the Market. “Never act on & tip." A speaker on New York stock market subjects gave this advice to a group of woman listen- ers, nor could he have preached greater wisdom, for the placing of orders for stocks or bonds based simply on tips is the height of folly. Many of the lis- teners had suffered for their acceptance nndonmqmmdm%md around on the latter day sewing circle, the bridge table, where :.he widest cir- culation is given to gossip and rumors. Inside ir¥ormation, the usual alleged basis of a tip, is often faked, being pure- ly an ation on the part.of some one da%rrflq an intimacy with important . ry cleanout such as the market is going t now, although 60 years' experience has not witnessed anything comparable. results in making hangers on brokers’ offices, students of the wiped out and are anxious tg pick up a few dollars tor their services as tipsters, it Koulble. t first these former traders make an . 3,902,581 . 596 . $218,344,506 Week of ch‘ber 25.1192l. Previous week. Year self-searching for the answer among/ ticker and the markets who have been | «e» 21200 19720 23570 218.75 This Week. Last Week. | . 8801 85.83 | . 104.56 104.12 Last Week. Year Ago. 67.1 Last Week. 5t06 6 to 8% Month ot Sept., 1928. 3,608,368 102,077 | | 577 596 $256,720,837 $272,173,329 | ‘This Week. Month of Sept., 1929. Month of Aug,, 1920, 3,658,211 115,553 131,151 reports) : 1,635 $33,960,000 ago. 1,161,876 53, 217,624 67,600 456,663 59,389 38,019 1,568 1,762 $34,120,000 $33,746,452 1,185,510 rectly opposite to another, knowing that one or the other will make a little money and probably be a bit generous to the giver of the information. This sure thing may be worked a few times, but ere long the old, old scheme is checked up, and further Mpplngnu transferred to other flelds, until elimi- nated entirely. Free Sigte Coinage. C. P. Nesbit, the well known insur- ance agent, has just returned from a Summer spent in the British Isles, much the better physically for the outing. He brought with him a collection of Irish Pree State coins, whichlis about the first of the kind exhibited here. On the face of all coins, from the ha'penny to the two-and-six, the “harp that once through Tara's halls” appears, while on the reverse animals are depicted mgnk;lgwt; lx;‘ “Auld Ireland. e 2-shilling plece is a beautiful trout; 1 shilling a gu?l: 8 pence, ey~ 250 on o ha pensy- sow and fitte s [ 'penny, a sow t Lettering is all in lie. o Ask Mr. Nesbit to show you the me- nagerie—if you are Irish. Corporation News NEW YORK, November 9.—The fol- lov\t‘lng is today's s ant corporation news prepared Standard Statistics Co., Inc., New Yogg for the Assoclated Press: News Trend. ‘The weekly trade reviews point out that the/stock market rudju::.’mlm s resulting in the adoption of more cau- tionary buying policies and a lessening in the buoyancy in trade in general. While buying for future needs has been held down, retail has yet ben little affected. Com: ity prices are continuing their steady decline and are currently at the lowest levels since July, 1927. Failures and liabilities for the past month were well below level of A year ago. Bank clearings for five days ended November 7. were unusually heavy, showing a gain of 50 per cent for 33 leading cities over & year That this extraordinary gain was largely a reflection of stock market activity was supported 13 fact that clearings for York alone re nted a gain of r cent, Clear of cities outside 'w York, however, were 25 New 6.1 of also a considerably la: shown when markets wi mal, The Companies. Ahumada Lead had $32,170 deficit in first nine months, vs. $118,128 defleit year ago. Blackstone Valley Gas & Electric, Sep- tember net up 14 per cent; 12 months, 21 per cent above year ago. | Continental Baking earned $669 per class A share in 42 weeks, to chgr 19, vs, $2.3¢4 year ago. & Crosley Radio, ten months sales about $2,100,000 in excess of the $17,460,830 total for entire 1928. ’ Dominion Stores abandons plan’ for lc%\lhltlnn of Loblow Groceterias. lectric Storage Battery—Date for payments on warrants to purchase Exide securities stock extended one month; now call for $9 nrnyment by | January 15 and $9 on April 15, 1830. Federal Light & Traction, Septem- ber net, off slightly; 12 months, 12 per cent above year ago. Indian Motor Cycle—Controlling in- terest sold by Charles Levine and asso- ciates and Levine directors removed from board. First National Stores earned $2.93 per share in six months, to September 30, against $1.62 year ago. MacMarr Stores Subsidiary acquires Piggly Wiggly Arizona Co. Missouri-Kansas Pipe Line had gas sales of 400,000,000 cuble feet in Octo- ber, 337 per cent above a year ago, National Shirt Shops, Inc.—Octobe: er gain than more nor- per_cent above year ago. Noranda Mines declares initial quar- terly dividend of 75 e:nts, placing stock on $3 annual basis, Pacific Telephone & Telegraph earned $8.52 per common share in nine months against $7.89 year ago, | , Remington Rand recelves contract | for $800,000 of tabulating machines from French government, Bchulte United 6 Cent to $1 Stores had $2,227,973 sales in October. Stromberg-Carlson Telephone Manu- facturing declares extra dividend of 12'% cents on common and regular | Quarterly of 25 cents. T:xas Corporation earned $4.18 per share in eight months, to August 31, against $5.34 year ago, John R. Thompson—Oetober sales up 7.7 per cent; 10 months, 8.4 per lcent above year ago. United Cigar Stores Co, of America sells stock interest in Life Savers, Gil- lette Safety Razor and Phillip Morris. SIMMONS COMPANY ADDS FACTORIES IN SOUTH | 8pectal Dispaten to The st NEW YORK, November 9.—The Sim- jmons Co., which last menth bought Berkey & Gay of Grand Rapids in the initial move of its vast earsulian pro- gram, has purchased the two factories (of the B, F, Huntley Purniture Co, of Winston-Salem, N, C,, to a announcement made by Z. G. Simmons, name. The deal was completed in the midst of the recent turmoil in Wall street and was effected without new finance and solely through cash and purchase money obligations, It included u: both Huntley-Richardson Lumber Co, South Carolina snd its mill, 'ssugsularlu of the firm in Winston- alem. DIVIDEND DECLARED. through _the Virginia port were $251,000, in 1927 in they increased to $514,000 and in 1928 method of giving bull information on a $1.25, they were $585,650. soon certain stock to one customer and di- Piedmont & Northern Railway Co. declared regular qi dividend of payable January 10 to stock of record December 31. 070 | for the Monday morni of import- | 35 Cent in excess of like period of 1928, | o sales up 23.6 per cent; 10 months, 206" president of the firm which bears his | the TRADING IS MIXED AT D. C. MARKET Some Lines in Demand, but Others Are Slow—Sup- plies Plentiful. Handlers of various commodities in | the wholesale district reported a fairly Bood week's business, and at closing ime vesterday many of them had large quantities of supplies on hand to carry over for the com ‘week’s business. In most lines of le business, ac- cording to reports, trading was only active Hadive "was reporied bt At ive trading was re| o the close of the week a great majority of merchants reported conditions as having been only fairly satistactory. “Sueh a as not having sufficient quantities of foodstuffs to carry over ,” com- of the past. londay’s re- mented a dealer, “is & There was a time when ceipts were so light that setailers ocea- slonally ex&:\enufl diffieulty getting supplies of h vegetables in quantities sufficient to meet demand of patrons. Supplies Are Plentiful. “But there no longer is any apprehen- sion felt about obtJ;rm' such supplies,” the merchant added. -in vegetables from all sections of and other countries now make it Ible to obtain most varieties during en- tire year, and prices usually are cheap when 1t is considered the long journeys x};ecesury to get some of the supplies ere."” Commission merchants, wholesalers generally and haulers of produce from the outlying portions of the District and nearby Maryland and Virginia eontinue to express surprise because of the plenti- ful supplies of produce received so late in the season, and there is every reason to believe receipts will continue until several heavy frosts appear, “Probably the most surprising thing in connection with late receipts of near- by vegetables,” said a grower this morn- mf' “Is the large quantities of tomatoes being offered, the crop mnAR phylu out before the last of L Quantities of red, ripe tomatoes from nearby, many of them large and bor- dering on show stock, were pointed out on the farmers’ line yesterday -fln‘lxs in verification of ts of growers dealers. Best quality of the tomatoes sold around $1.50 for 2-j baskets. Dealers also had quantif green tomatoes that found slow 3 most of the purchasers wanting them for ripening. Several varfeties of the so-called Spring greens also were received in in- creased quantities last week, giving the market more the appearance of Spring than Fall. Prices of the several va- rietles dropped as low as 30 and 75 cents a bushel. In addition to the heavy receipts of the several varieties of greens, dealers told of heavy receipts of other varieties of vegetables. Retallers in the several retail markets last night were able to rid of much of the surplus receipts, thereby relie the situation to an a extent. the market flu&. yeater- ea) Pom prices same lollouw” qu the past few days, as ws: Butter—One-pound prints, 44a45; tub, 44add’y; store packed, 30832 ennery, 55; fresh selected, 48a Sty - aves Turks young hens ul , alive—Turkeys, and toms, 37a38; old hens, 35; old toms, 33; 8pring chickens, large, 27 me- dium, 26a27; brollers, 30ad: 22a23; fowls, 38a20; Leghorn 208 21; roosters, ducks, 15a20; keats, young, 40a85; old, 30, Dressed— Turkeys, young, 45a46; old, 40; 36; medis g chickens, large, g broilers, 37a38; roosters, 2 3 ducks, veal, = 24a38; 29a30; keats, 70880. T, 0037 pork. ieths, ‘33a36: " fresh imb, : porl 3 hams, '23a28; fresh shoulder, 30833 smoked hams, 25a26; smoked 18a20; bacom, 28; lard, in bulk, 14; in packages, 15. uyvcunwek—cdm. 1413a15; lambs, alld. nterest in the of turkeys for the trade is being dealers, and it will fore thousands of the barmyard fowls will leave farms and start in the direction of &Mfilufi. Demand for the tunkeys in eity during both the Thanksgi and Christmas holiday season is said to be about as great as in any city of its size in the country. - Plentiful supplies for both holiday seasons soem assured, repurts from all sections telling of prospective nu‘tnuu and correspondingly lower prices. “It seems certain that high prices of the past few years will not prevail this season,” remarked a dealer yesterday, “reports from every direction telling of the large quantities of turkeys ra this year.” Government reports from San Antonio, ‘Tex., tell of heavy receipts of turkeys y in that section and, it is stated, many | pa; ‘Texas turkeys find their way to local market each holiday season, It is stated in the Government reports that turkeys in the southern part of Texas this year are of much better quality than last year, with a larger percentage of No, 1 grade for the ap- proaching Thanksgiving trade. Prices of live turkeys at di ound 21 and 23 cents, many of the plants, according to rts, having deferred their opening until the coming week. Higher prices are reported in Boston, Mass,, and Portland, Oreg. Few, if any, turkeys from either plsce resch the Jocal market, it is stated. Turkey Receipts Heavy, Recelpts of turkeys the were fairly heavy, n{:ny unl:l.l. Spring turke‘y; being included them, in- dicating, it is stated, that rs figure it will pay better to sell early than to hold their supplies for additional feed- ing. Chickens, ducks and keats also were plentiful the gnl week, lower prices prevailing for chickens and keats. Dealers are more deeply interested in the condition of the egg market at (his time than during the correspond- ing periods in recent years, prices hav- ing soared beyond expectations an receipts having fallen off. Quantities of eggs in stor-fi at this time is far below such holdings at this time last year, Government showing 2,775,060 cases in the middle ot the past week, holdi the same period of last totaling 3,276,944 cases. Decreased receipts of from nearby Maryland and Vi ia have been reported the past mon! more, with gradually advancing. West- ern firsts, well graded, have come to the rescue of the local trade, however, d it is said recelpt of them has abled wholesalers ts hold down prices to some extent. Bécause of the scareity of eggs, according to dealers, consumers are displaying a willin to pay mmlum prices for fresh stock. tail prices have gone as high as 85_cents. Receipts of fruits from all sections continued heavy last vfi‘. Grapes, of various varieties, continudd in plentiful supplies, with new varieties added to already long list. Plentiful sup- plies of several of pears, fancy mons, pples, oranges, fruit and bananas were 1 fruits received, i Doteca the past few davs, pries drop. repor w days, ping enough to slightly nltotmmp_fl prices. Dealers also an of prices in the meat market, the de- inere: Dealers atill mand 5 m:,l;‘)nu: for col nol bring sales up to the season of the year. Lo f S ?-whxm are uua.| more ever before, heaval in stocks, bonds and tion aml 'fl#vg‘ by poultry but a few nothing king d‘:’u‘ JOHN D. LONSDALE, President of the Ameriean Bankers' As- sociation, declares there is plenty of ll-a available at reasonable rates. “In these days of institutions are enormous size,” he says, “bankers must safeguard themselves against any ap- pearance that individual attentien be lacking.” BUSINESS SECRECY 10 BE ABANDONED Corporations Expected to Re- veal Plans and Prospects to Stockholders. BY J. O~ ROYLE. Special Dispatch to The Star. NEW YORK, November 9.— Stock and bond holders in American opera- tions will find at their dis) maore ete and frequent informption as to the status of their companies in the next year than ever before. This is be- ing brought about rapidly by the up- commodity prices on the various exchanges. Some concerns have already adopted the policy and men prominent in financial affairs, especially those connected with exchanges as officials, with banks, and with te and Government regula- m bodies, are furthering it to the ut- ‘The trend was strikingly shown dur- ing the Fall in values on the New York Stock ‘Exchange by the action of the mml of a concern engaged ing food products and backed by banking house which has hitherto al- ways a of silence ocon- eerning its own affairs and those of the corporations it has sponsored. More Information Promised. 4 warded him And yet with GOLD PRODUCTION IN CANADA GAINING i Dominion’s Output Is Stead- ily Approaching That of United States. BY JOHN F. SINCLAIR. Special Dispatch to The Star. NEW YORK, November 9 —Since Columbus discovered America a billion ounces of gold have been taken out of the ground, and more than half of this—516,273,000 ounces to be exact— was produced in the first 27 years of the present century. |, Talking in ounces makes it look big, but if the entire world ction of the yellow metal since the discovery of America up to the present time was into & cube, its edges would measure only 38.5 feet. The North American contindnt was the largest producer of gold from 1493 to 1927—about 28 per cent of the total. Africa was a close second with 27 per cent of the total. After this came Australia, with 17 per cent; South America, with 13 per cent; Asia, with 11.03 per cent, and Europe, with 4. South America’s Position. Up to 1850, South America was o ing, for during the eighteenth eentury 80 per cent of the total werld produc- tion came from that continent. Africa, at the beginning of the period, was s close second, but lost out. Then North America, Europe and Asia moved to the front in the first half of the nineteenth “What about gold prod i at about gol uction at pres- ent? Since 1903, the United " Statess r moving uj Unitea States shortly. The Transvaal in 1937 was at the top, producing five times as much as the United States; while Canada duced about 85 per cent of the States output. This information is taken L] paper published Robert H. il of the United States Bureau of which is available to those interested in this most intriguing subject. the riches! he his it individual in sits ders ‘This statement sald in part: “A deb- | tors acle bas occurred in the stock market. | Part. Qur security, in common with the gen- eral list, has been swept down to & point where it yields the investor approxi- mately 7', cent a share. This tre- men ction in market values of- feots every one of us and even the most conservative are apt to be influenced by the voice of panic. You are entitled to be reassured with regard to your wfmnmn." After outlin] ths con- dition of the company the statement continues: “We are facing the future with implicit confidence. The communication declares in con- clusion that it is belief of the com- y that the annual report does not stockholders enough as to. shoulders, | history is written make & com) annual cable. It vutp‘:-“ the policy of the com- in future to inform stockholders af for s to the state of the president of a t ofl y to his stockholders: “I mm”l in the future of the oil industry which justified the extraordinary de- preciation of oil stocks today. No new conditions have arisen threatening our company or, so far as I know, the in- dustry. On the contrary, the pros) for effective conservation which will result in hhmfl production with demand is jay than it has been at any .” - This mmu backed by in- terests to whcm in the past silence has been a fetish. Other corporations are laying their cards face up on the table. The salu- tary effect of this policy has been shown in the volume of buying for long pulls by both o small investors, do:Fue the unsettlement which has pre- valled in the markets. Other Interests Follow Sult. The policy is finding apecial favor with the public utility companies who ve stressed the customer ownership the | idea. The investment trust are follow- 1n1 sult and for the first time, the holders of many of the investment trrust stocks are getting & real idea of what is being done with their money. This should not be taken to indicate that information was withheld or con- of the investors in such has adjustment of the mergers have been basis of exchange of s Tk mt market values 5:3.’.:-... of securities must be worked out on & new basis, which takes time and is ineffectual until the markets atabilize. In analyzing the effect of the recent seeurities market developments, respon- sibility for holding the situation from getting entirely out of hand and de- veloping into & panic which would have made the famous black Friday look like a bright ) day, has been variously placed. e Federal Reserve System is glven credit. So are the New York ks. The action of a great industrial corporation in de- claring an extra dividend is held a factor, But there is small doubt that matters would have reached a much more serious stage had it not been for the developments in communication. Part Played by Air Mail. ‘The movement of cash, checks and securities by air mail reached record- treaking heights in the last fortnight. Traders were protected instead of be- ing wiped out entirely because it was possible to reach them . quickly by mail, telegraph and telephone. The longedistance calls made established records for both expense number and distance. Inv=stors al were al- most as readily reached as these at home, The cables and land wires carried a huge volume of important business dispatehes and large sums were transmitted by wire. hose ce WAS Te- ington and 11 other gistricts As well have been sitting in the board room of the Federal Reserve Bank of In the days he rolled his fortune he‘” into $25,000,000. - of those who have been joy rid! Europe en the t boem ‘in nsmwmm Steamshi EE ton, the Ile de France, and than all entered New York filled overflowing. ~ Other steamship . eom &cnonles report the same crowded situa- A in the land as soon as these easy profits have been forgotten and the losers have gone to work. In the meantime many of those who had planned on spend Winters abroad will spend them country towns and in cities, tending strietly to business. Some even believe that this condition will aid, and net hurt, legiti- fes, the big show is The es, e show over, mern ing after has dawned—it's & new work day, American Exports. This vear Ameri broke all recerds months. The total is r.lc’l_'m than for the previous higl Exports for 43,849,000,000, $3,361,000,000. is above the 1927 total. The gain in ex- ports, on the other hand, is about § per cent. Europe aj sends in the largest amount of new imports. They sent 80.000,000 worth of goods for the first :h ht montmn.d'l gain of 8 psr cent over e corresponding period it year. ‘The matter of gold im) is always interesting. For the first nine months ld was $245,000,000. the net import of ‘This was greater than any year for the same l‘ufiflod“;in&'“ ln:. Contrast it, l: you will, wi ne OIPM"J a this time of nearly hllfl billion dol- lars for last year. No, there’s nothing wromg with America’s foreign trade, GAIN IN BUILDING. By the Assoctated Press. Building activity in the United Staies increased last week, as measured by the volume of new contracts for e~ tion Jet in territory East of the Mountains and reported to the Bureau. Total new et :;ct vlma'ur h{ amount o the pre: week, low ‘like figures m"i'?."“ week last year. The figures Week ending November 2. Preceding waek .. Same week last vea New York, so far as being in close | h, toueh was concerned. Freight Car Orders. YORK, November in recent to mal less dep:nx:::' upon m:‘. dustry. hs' cars is & gain of about per the entire year 1028. Locomotive orders for October were 125, the 10 months’ total 797, & of about 32 per cent over the full 1928 year. than Wighily bet