Evening Star Newspaper, April 16, 1930, Page 12

FLIGHT OF CAPITAL REPORT IS REVIVED Britain Again Hears Familiar Prediction as Tax Raise Looms. BY CHARLES F. SPEARE. @peeial Dispatch to The Star. NEW YORK, April 16—The two possibilities growing out of the advance in the British income tax schedules that Bhave a bearing on the American money market and the market for investment securities are a further decline in sterling exchange and increased ab- sorption of dollar securities. The new taxes recommended by Ohancellor of the Exchequer Snowden | are directed against a limited number of the very wealthy in Great Britain. Those with moderate incomes have al- geady been heavily taxed, so that an | English subject earning $5,000 a year has to contribute $527 annually to the upkeep of his government. This com- pares with a tax of $5.62 which an American with a similar income pays to Uncle Sam. On the other hand, Englishmen who are in the super-tax elass are to be penalized more than ever, while inheritance taxes may ab- sorb nearly 50 per cent of an estate. Long before the Labor government made its preliminary estimates of the vernment receipts and expenditures the fiscal year and intimations were made that there would be a considerable gap between the two items, which could only be bridged over by supplementary taxes, there had been signs of antic- ipating this in the sale of British se- eurities, such as occurred yesterday, and the purchase of American stocks and bonds. Undoubtedly this refiected more than the tax question and was a part of the general expression of confidence in the return gradually of American Del’)ty and with it a higher range nr e stocks of American corporations. buying from abroad in the last few months, however, has been of much sounder character than tl which preceded the Autumn break and which was affected by the Hatry fallure n the iate Summer. NEW YORK, April 16—The follow- ing is & summary of important corpo- ration news prepared by Standard Sta- tistics Co., Inc., New York, for the Associated Press: News Trend. Railroad freight loadings in the week ended April 5 aggregated 907,028, an i1 crease of 22,769 cars over the previo week, but the smallest total of any cor- responding week since 1924. Compared with the same 1929 week, decrease was 50,297 cars, while against the like 1928 period, decline amounted to 11,424 cars. All commodities, with the exception of coal and grain and grain products, re; istered decreases, contrasted with a year ago. Miscellaneous freight and merchandise L. C. L. declined by 7.1 per cent and 4.8 per cent, respectively. Outstanding corporation items in the day's news were the declaration of an extra dividend by Jewel Tea, the pass- ing of quarterly dividends by Willys- Overland and Waco Aircraft and tl announcement of acquisitions by Wai ner Bros. Pictures and Westinghouse Electric Manufacturing. Earnings state- ments for the first quarter, making an unfavorable comparison with last year's like quarter, were issued by Fairbanks Co. and Trunz Zork Store. Statement | making a favorable comparison was is- sued by Paramount-Famous-Lasky. The Companies. American Locomotive unfilled business on March 31 was $32,200,000, against $22,500,000 on the same date 1929. Associated Telephone Utilities earned THE EVEN $2.18 on average number of common shares outstanding in 1929. Chesapeake & Ohio Raiiroad files pe- tition with Interstate Commerce Com- mission asking authority to issue and offer to common holders $38,000,000 of $100 par common, at $100 a share. Fairbanks Co. earned $1.02 on $8 sec- ond Krem—nd stock in quarter ended March 31, against $2.88 in previous like quarter, Ford Motor reduces prices of all tri- motored planes in amounts ranging from $2,000 to $5000. General Electric earned 50 cents on common stock in quarter ended March 31, against 48 cents in previous like quarter. Great Atlantic & Pacific Tea earned $11.77 on common stock in year ended February 28, 1930, against $11.02 in pre- vious like fiscal year. Jewel Tea announces extra dividend of $1 on common stock in addition to regular quarterly dividend of 75 cents. Marmon Motor Car retail sales in first quarter up 51 per cent over same 1929 period. March retail sales gained 34 per cent over March, 1929. Motor Meter Gauge & Equipment earned 31 cents on common stock in year 1929, Muscle Shoals Corporation House military committee definitely shelved Norris Tesolution providing for Govern- ment operation of Muscle Shoals. National Public Service earned $1.83 on class “A” stock in year 1929, against $1.60 in 1928. Otis Elevator earned 83 cents on common stock in quarter ended March 31, 1930. against 80 cents in like pre- vious quarter. Paramount Famous Lasky earned on common stock in quarter ended March WASHINGTO 31 estimated at $179 a share, against $1.17 in prevloua like quarter, Pathe Exchange, lnc holds option on 49 per cent of $500,000 issue of Du Pont- Pathe Film Manufacturin, common stock. Earned $1.74 on $4 cl ferred in year ended December 2! .m against 49 cents in year ended Decem- ber 29, 1928. Pilot Radio & Tube sales quarter ended March 31, up 27.8 per cent from like 1929 quarter. Standerd Oil of New Jersey, State of ‘Tennessee, brings action in Chlflc% Court, seeking to oust the Standard Co. of Louisiana, a subsidiary of Stand~ ard Oil of New Jersey, from the State. Violation of anti-trust act of 1903 and the amendatory act of 1927 alleged. Submarine Boat had deficit of $755,- 521 in 1929, against deficit of $439,576 in 1928. ‘Technicolor, Inc., reduces price of Rul}:.hte Loans Made Linkins Co. Money to Loan trust on real estate | fnston. '"'l ||::“|ll!rm and comm! Joseph I Weller Sil" %55 W% Wm. Gordol'l Buchanan Councilor & Buchanan Certified Public Accountants Tower Building National 6110-6111-6213 (Telephone Directory Omission) Stock Market Opinions Members WEDNESDAY film produced by its natural color proc- ess. Saving o users on present contracts probably will amount to more than $1,000,000. ‘Trunz Pork Stores earned 63 cents on common stock in quarter ended March 31, 1930, against 93 cents in ilke 1929 quarter. ‘Waco Aircraft passes quarterly divi- dend of 25 cents due at this time. Waldorf system earned 67 cents on common stock in quarter to March 31, 1930, against 57 cents in previous like quarter, Warner Bros. Pictures acquires Dip- son Circuit of 14 theaters, located in New York, Ohio and West Virginia. Westinghouse Electric & Manufac- turing acquires Rochester Electrical Supply Co. of Rochester, N. Y. Willy-Overland omits quarterly div- idend on common stock due at this Am'rle-n Bureau of Metal Statistics.| of 192,792 tons in March, These figures compare with production | daily rate of 6,219 tons. time, Last payment, 30 February 1, 1930. cents, made Warner Bros. to Expand. NEW YORK, April 16 (#).—Wall Street heard today that negotiations were virtually completed whereby War- ner Bros. would acquire the 17 thehters of the Harrls Amusement Co., most of which are located in Pittsburgh and vieinity. ‘WORLD COPPER OUTPUT. NEW YORK, April 16 (#).—The world output of copper in March totaled 149.- | 905 short tons, or 4,739 tons daily, com- | pared with 139,229 tons in February, or a daily average of 4,972, according to the | This Is the Month PRIL is the time of the year when many people have to consider refinancing their homes. . Let us explain the advantages, of the Metropolitan Life Insurance Company Real Estate Loan Plan. Loans on property in the District of Columl'ul and nearby Maryland and Virginia, Consule Is your name on this select LEVIATHAN SAILINGS May 3 May 24 June 11 June 28 Julylé George Wasl April 23 passenger list? Smart folk who wintered at Palm Beach and Aiken, bankers, diplomats, debutantes and stars of the sport and screen firmament ... sail with them May 3 on the newer and smarter LEVIATHAN, World's Largest Ship. Gorgeous new Night Club ... a snappy, jazzy Ben Bernie orchestra in addition to the famous Leviathan Concert Orchestra . . . “Talkies”. . . ship-to-shore telephone service ... brokerage offices . . . your newly renovated and redecorated stateroom a revelation in beauty ... telephone in every room ... divertissement without end; comfort without compromise. Surely, the lane n Of luxury to Cherbourg and Southampton! ™ Contelt YouriLosel Steamship Agent or FROM our correspondents in New York and also from other well-known houses in New York, Chicago. Boston, etc., we receive each morning market letters with interesting opinions and comments about stocks, bonds and UNITED STATES LINES John W. Childress, Genera' Agent 1027 Connecticut Ammo Washington Telephone, Nationa: 7563 809 15th St. N.W. District 9486 Mortgage Loan Correspondent Metropolitan Life Insurance Company B ATroRs D ‘There is now once more talk of a *flight of capital” from Great Britain. ‘This has been heard on numerous other occasions, the last time when the Labor it came into power. Investi- ched any considerable ‘When England was off the gold basis after the war and it was a question as to whether she would be able to resume payments in the old way for some British investors sent funds to the United States either to be invested in good necurluu or to be placed on amm. strong banking institu- Subsequently these funds were lnnly withdrawn. It was only when the premium on money rates in New York over open market rates in London was established at such a high wel that British capital again moved fluly in this direction. (Copyright, 19%0. e U. 8. TREASURY BALANCE. ‘The United States Treasury balance, snnounced today as of close of business April 14, was zmmmlo Customs R T to the New Straight Eight Line A Slightly Smaller, Equally Fine Car NEW YORK AND BALTIMORE $TOCK EXCHANGES Associate Member NEW YORK CURB EXCHANGE Mackubin,ugs?mqérich & Co. P IERCE "A RROW i ' A DDS BANKERS SALTIMORE. MD. financial offairs generally. These letters are on file in our Custom- ers' Board Room, and we invite you to make use of them. 1508 H STREET WASHINGTON, D. & DECORATION BY ROCKWELL KENT CUT IN WOOD BY J. J. LANKES Investing in Electric Power IROSS revenues of the electric light and power industry in the United States have increased each year during the last decade. The annual rate of increase has varied from 7% to 18%, and the average per year has been 10.8%. This industry deals in a necessary commodity for which the demand is but moderately affected by periodical business declines. The uses for electricity are constantly broadening and distribution is constantly widening. More people are buying electricity, and the average consumer is buying more of it. United Founders Corporation has important investments in the electric light and power industry and other divisions of the public utility field. Through its principal utility investments its interests extend to electric power and light, gas, telephone, water or transportation service furnished to com- munities in forty states of the Union. With the increasing population and widening use of electricity and other services, its invest- ments in the public utility field should ultimately enhance greatly in value. United Founders Corporation is also exten- sively interested in other fields of invest. ments, and holds a diversified portfolio of securities. Through its controlling interest in American Founders Corporation it com- mands the service of the extensive economic, analytical and research organization devel- oped by American Founders. Coupled with this organization are extensive banking and investment connections, which contribute to the strong position of United Founders Corporation as an institution investing for the long pull. 2% UNITED FOUNDERS CORPORATION 4 This advertisement is the second of a series outlining the investment activities of United Founders Corporation 1727 Conn. Ave. Sal IN CREATING this newest car of today’s Pierce-Arrow line, its designers and engineers achieved the seemingly impossible. There was permitted no departure from a single element of famed Pierce-Arrow fineness—no single com- promise with the traditions which embrace America's finest motor car. Model C, as a result, is endowed with every feature that contributes to the greatness of its distinguished line. It has, for example, the new Pierce-Arrow transmission—which permits quiet gear-shifting at any speed —and an intermediate like ordinary high. Also, of course, such features as non-shatterable glass, hydraulic shock absorb- ers, super- safety brakes — in fact, every device and appointment that promotes the safety and adds to the luxury of fine car ownership. These new creations are of the same low- swung, slender elegance as dlsnngmshes today’s Pierce-Arrow the world over. The interiors and colorings are of equal beauty and distinction. All things considered, no finer expression of Pierce-Arrow was ever before offered at so low a price. And, if one chooses to buy out of income, the amount each month is so modest a sum, com- paratively, as to remove the last barrier from Pierce-Arrow ownership. Three New Groups of Straight Eights Group A: 132 Horsepower . . . 144-inch Wheelbase . . $3975 to $6250 Group B: 125 Horsepower . . . 134-and 139-inch Wheelbases $3125 to $3825 Group C: 115 Horsepower . . 132-inch Wheelbase . . $2695 to 82875 (ALL PRICES F.0.3. BUFFALO) SPRING SALON SHOW All new models now on display. Custom and Standard Built. HARRY SOMMERS, Inc. DISTRIBUTORS Potomac 0858 1909 M St. N.W. Service—Parts