Evening Star Newspaper, March 10, 1930, Page 12

4 INCOME TAX DROP MAY BE REPORTED Treasury Officials Are Watching First Quarter Returns Closely. BY CHARLES D. WATKINS, Associated Press Staff Writer. ‘With a dwindling surplus in Govern- ment revenue indicated for the end of the present fiscal year, Treasury officials arc watching closely the first quarter's tax on 1929 measures to determine whether receipts in President Hoover's first full fiscal year will be adversely affected by the stocy market collapse last Fall, The surplus of $225,000,000 indicated when the executive submitted his first budget to Congress last December al- ready has been reduced. If Congress ints the President’s request ma Saturday for $100,000,000 additional for the farm board, the surplus will be fur- ther reduced to $45,000,000. Washington Ticker BY CLINTON COFFIN, Associatéd Press Financial Writer. Four months’ experience with the ex- ercise of its powers in the endeavor to repress fraudulent advertising has given | members of the Federal Trade Commis- slon cause for satisfaction with resuits attained, and in addition is leading them to pay substantial compliment to the publishing and advertising world. In that time. the commission has found itself called upon to issuc 153 orders against individuals and concerns held guilty of obvious misrepresentation in newspaper, periodical or other forms | of advertising. “When this work was first begun there was some fear that publishers and | advertisers might not co-operate and | might block any effort the trade com- mission undertook.” commentrd Will E. | Humphrey. one of the members of that body. ven a mere lack of sympathy on the part of publishers, we realized, would have handicapped us greatly in endeavoring to repress fake advertising. “Instead of opposition we have had } and hearty co-operation. While e [ we have issued 153 orders requirinz in- dividual advertisers to cease and desist a practice we have found fraudulent, there have been 20 times that many in- | This margin between a deficit and a Edlvldunls and enterprises who have been | surplus is so small that even with in- come tax paymens as great as received last year it would be wiped out,and the Jarger receipts expected before the col- | tion without any neces lapse would be required to balance the | the commission. All budg The indicated surplus of $225,000,000 first was reduced by the 1 per cent tax Teduction granted in normal tax on 1929 incomes by Congress. The total cut ‘was $160,000,000, but half of it will be in the 1931 fiscal year. The tax as on 1929 incomes must | reach the Government by next Saturday midnight and for the remainder of the month they will pour into the Treasury :z the rate of more than $50,000,000 a | ay. e threat of the Wall Street crash to reduce income tax payments is re- garded as real by fiscal officia Invest- | ors, who had been counted upon to pa a larger tax this year than last, whe: they set a record, lost heavily in the ;fic\l!‘nt fluctuations of the market last 'all. Until the March 15 payments are tabulated, however, it will not be known whether the payments will exceed those of last year. If the March and June payments only equal last year's the total for the 12 months will amount to $2,316,000.000, or $164,000,000 less than the $2,480,000,000 that the Treasury estimated that it would receive from that source. If this would, together with the loss through the tax reduction and the $100.- 000,000 additional for the Farm Board. ‘wipe out the surplus and leave a deficit of approximately $120,000,000. Corporation News NEW YORK, March 10.—The follow- | ing is today's summary of important corporation news prepared by Standard Statistics Co., Inc., New York, for the Associated Press: News Trend. Week end mercantile reviews noted but little change in the business situa- tlon during the past week. While im- provement from the low points of the recession are distinct, progress is being somewhat obstructed by the continued commodity price unsettiement and oth- er obstacles. Trade in general ranges from fair to quiet and industry still leads in_ distribution of activity. In neral, business, in view of the many glpedlmenu, is manifesting a strong re- sistance that demonstrates its inherent Bank clearings for the week ended March 6 in 23 principal cities of the eountry totaled $11,478.962,000. a de- cline of 21.8 per cent from I'ke week ago. Clearings in New York City to $7.785.000; a decreasd of 26 per cent. Exchanges in principal cities outside of New York totaled $3,- 693,962,000, a decrease of 11.3 per cent from a year ago. Increases were shown | by Richmond, Louisville and San Fran- cisco. Corporation items of outstanding in- terest were the increase in dividend rate ollCocld (E;ln lmfmlu(onll r{mg 8 to $12 an e passing of quarter] :‘lmdendx due at this time by Grigsby Grunow Co., Kermath Manufacturing and National Sugar Refining. The Companies. American Colortype Co. acquires Bert L. White Co. Arizona Commercial Mining February copper production éstimated at 231,103 pounds, against 366,672 pounds in Jan- uary. Xysb!slos Corporation earned 25 cents | on 87 preferred stock, against $3.35 in | 1928. Auto Car Co. has introduced a new six-cylinder motor, called Blue Streak. Lane Bryant, Inc., February sales up 8 per cent; two months' sales up 7 per | cent above year ago. California Petroleum earned $2.77 on common stock in 1929,/against 80 cents in 1928. Canadian National Raflway 1929 net operating revenue off 29 per cent from 192 8. Ce-Co Manufacturing declares stock dividend of 2 per cent in lieu of SZ’,r} cents quarterly dividend due at this time. Chrysler Corporation Plymouth cars to be handled by all of company’s 10,000 dealers. Coca - Cola International declares, quartetly dividend of $3, placing stock | on 12 annual basis, against $8 formerly. Foote Bros. Gear & Machine first- quarter orders on hand up 30 per cent from year ago. Fox Film earned $12.87 on combined A and B stock in 1929, against $6.47 in 1928. Fox Theaters earned $1.65 on 1,670,- 500 combined A and B shares in fiscal year ended October 27, 1929, against $1.64 on 930,359 shares in previous cor- responding fiscal period. Grigsby Grunow Co. passes quarterly common dividend; last payment, 50 cents, made January 2, 1930. Sales two months this year, $10,805.557, against $10,666,403 in likeM929 period. Kermath Manufacturing passes quar- terly common dividend of 25 cents, due | at this time. 8. H. Kress & Co. February sales up 6 per cent: two months up 4 per cent from year ago. warned by better business bureaus and publishing houses to cease their pra tices and have been put out of oper of appeal to primary po- leing work has been done in the pub- lishing and business world, and we feel that a very high degree of public spirit and responsibility for the common wel- fare has been shown by representative individuals in advertising and publish- ing all over the country. “The commission's powers, when ex- ercised after an investigation, are quite adequate to bring about the suspension of an individual advertising campaign that is determined to be fraudulent. The order to cease and desist has the effect of a court decree. “At the same time we cannot take ac- tion except in cases where we have | specific proof of fraudulent representa- tions, and a good many border-line cases of misrepresentation have to be passed up without orders.” ‘Though railroads and public utility companies embarking upon consolida- tion projects seem to find plenty of opposition and delay, whether they pro- ceed before State or Federal regulative bodies, it is noticeable that the Ameri- can Telephone & Telegraph Co. strides forward with merger steps in a practi- cally frictionless fashion. This is tru though the scope and extent of its a quisition of new telephone service is now approaching the absolute of having 108 per cent of the vocal wire communi- cation under a single organization. Interstate Commerce Commission records since 1920, when Congress re- quired the telephone companies to ob- tain permission from that body to con- solidate, show that the process of com- bining telephone facilities has proceeded with greater and greater momentum through the years, even though the number of telephones still outside the Bell system is now relatively trivial. In 1921 the commission approved the a quisition by Bell subsidiaries of two in- dependent telephone systems; in 1922 the acquisition increased to 13; to 14 in 1923. and ran around 25 a year from 1924 to 1926, increasing yearly in num- bers until there were 44 independents absorbed by the Bell system in 1929. It does not appear that a protest of any sort against the absorption of the independent lines was raised in any but one or two of the 202 mergers which the Bell system has brought abouf since 1920. In fact, the mergers were used in most cases by local governmental body and telephone users. The record makes it very clear that the telephone business is being tactitly permitted to set up regulated monopoly without the slightest public opposition, though the rail carriers, public utility companies, and apparently the radio communica- tion enterprises do find some public questioning when they attempt a par- 3:1 advance toward the same unifica- n. Canada last year won classification as the best national customer of the United States, displacing from the post Great Britain, which has been traditionally the biggest buyer of American goods throughout its history However, as the Commerce Departmdyt prepared the monthly trade figures for January, it became doubtful that Canada will be able to hold its rank in 1930. While British purchases of American goods in that month amounted to $74,351,000, the Canadian import from this country slumped off to $54,161,000. Both coun- tries showed a lesser total of exports from the United States than last year, but the Canadian loss was relatively much greater than that of Great Britain. In the matter of furnishing the United States with goods, however, Canada showed up much better in January. American exports from the Dominion for the month were $37,394,000 against $18,163,000 from Great Britain. Prob- ably the turn of the weather in its ef- fects on the wheat crop during the next Summer will finally determine whether Canada is to maintain its 1929 per- formance and remain permanently the most important nation trading with the United States. In an endeavor to keep up the pearl button supply, which is mostly derived from the shells of fresh water clams caught on the Mississippi River and its tributaries, the Federal Fisheries Bu- reau has developed some new methods of propagating that humble bivalve. At the same time, the Government's sc' ntists who have worked out the scheme conclude that unless the amount of pollution in the Midwestern river basins is cut down, there simply won't be any more fresh water mussels, and the button pearl will have to be gotten some other way. Prio- to 1914, the Lake Pepin/region on the Mississippi is said to have pro- duced 4,000 tons of shell a year, and tl : catch now is practically nothing. In spite of this, the new method of propa- gating the clams will be undertaken this year in zones of least polluted water, in an attempt to re-establish the supply. SHIP LINES CHANGE BALTIMORE SCHEDULES Special Dispatch to The Sta-. BALTIMORE, March 10.—Changes and improvements in the schedules of vessels operating out of Baltimore to Lukens Steel earned $2.11 on common | forelgn and domestic ports have been stock in fiscal year to October 26, 1929, against $1.07 in like previous fiscal year Mortgage Bank of Colombia earned $4.35 on common stock in 1929, against $3.67 in 1928. National Sugar Refining omits quar- terly preferred dividend of $1.50, due at this time. National Supply Co. (Delaware) earned $11.48 on common stock in 1929, against $9.59 in 1928. announced. The Bank Line, an English company represented here by Ramsay, Scarlett, & Co., announced that it will give faster and improved service between Baltimore, the Philippines and the Far East, be- ginning next month. Six modern motor vessels, which re- cently have been built in England, are to call here on the new schedule, which will cut sailing time from the present schedule. Manila, Shanghai and Hong- Pie Bakeries of America, Inc., earned | kong are to be included in their ports of $1.36 on class B stock in 1929. In 1928 $2.24 was earned on class A shares. Daniel Reeves, Inc., sales four weeks ended March 1, up 2.2 per cent; two months, up 3.7 per cent from year ago. Frank G. Shattuck Co. earned $2.61 on_common stock in 1929. John R. Thompson Co. February sales up 2.6 per cent; two months’ sales up 4.4 per cent above year ago. Union Oil Co. of California to reduce refinery runs one-seventh. United States Playing Card earned $5.74 on common stock in 1929, against $6_in 1928. Wagner Electric earned $4.61 on com- mon stock in 1929, against $3 a year go. BANK CLEARINGS. NEW_YORK, March 10 (Special).— New York bank clearings—Today, £537,000,000; a year ago, $560,000,000. New York hank balances—Today, $113,000,000; a year ago, $121,000,000. New York Federal Reserve credit balances—Today, $104,000,000; & year 2go, $109,000, call. A. H. Bull & Co., owners of the Balti- more & Carolina Line, Inc., announced that, beginning tomorrow, a fortnightly service will operate from Baltimore to Port Arthur, Tex. This company re- cently installed a weekly service to Port Plerce, Fla. BANK CHARTER GRANTED. BALTIMORE, March 10 (Special) . State Banking Commissioner George W. Page has granted a charter for the new Peoples Bank c° Reisterstown. The new bank will start with a paid- in capital of $25,000 and a surplus of $25,000, making a total of $50,000 capi- tal resources. It is the intention of the incorporators to make this institution strictly a commercial enterprise. ‘The articles of incorporation name the following incorporators: T. Earl Steffey, Joseph V. Wineke of Reisterstown, Walter Tovall, R. Steuart Knats of Bale timore County and Hope H. Barroll, jr., of Baltimore. A - THE EVENING STAR, WASHINGTON, D. C, MONDAY, MARCH 10, 1930. NOW — SHELL IS HERE! You have seen the new Shell Stations . . . trim, neat, spick and span . .. their bright Ye//ow and Red color schemes vividly setting them apart from all other stations. Their very distinctiveness is a promise . . . a promise of superior gasoline . . . supetior motor oil . . . superior service that will give yox the kind of all "round autor‘nobilc petformance that lifts Shell served cars into a class by themselves. « « Shell Service Station salesmen are eager to keep that promise. They are eager to serve you with the same Shell products—with the same kind of willing, under- standing service— that have made thousands of discriminating motorists really FEEL the difference when they changed to Shell. and ]_‘eil the difference SHELL EASTERN PETROLEUM PRODUCTS, INC.