Evening Star Newspaper, October 30, 1931, Page 13

FINANCIAL. Ry OCTOBER /30, 1931 A—13 FIXED TRUST SHARE OFFERINGS |, Money to Loan MAY PRESAGE STOCK UPTURN Jospb i Wells s iow | been upset by the universal character of Special Dispatch to The Star. the decline which has taken place and NEW YORK. October 30.—The fact | In Which, from the highest to the low- | that several fixed trusts hn‘v’e feit st X prompted within the last few to |offer "to_the public n:l mst:[mp:g’wm:m their shares may be & si { nock market s turning upward. It may | llh“fl!;“ trust, from losses of incom Dot bean accurate ane; however, as the | e “m_"‘“u,;r:‘g.‘ & .:yne’!?lrl practice m#egum:&‘.‘ :ao s whole, have been | Of reducing or omitting dividends in | quiescent for several months. They | OFder to protect their cash reserves and WASHINGTON, D. , FRIDAY, STOCKS IRREGULAR AFTER EARLY GAIN_ Advance at Opening Brings Out Further Selling, but . Tone Is Good. FINANCIAL BANK CREDITPOOL | NEW YORK STOCK EXCHANGE GROWING RAPIDLY - THE EVENING BY CHARLES F. SPEARE. invil on high. ings. and part! Fifth District Organization fi\ 1% AMiiated Prod 1 24% Gen Electric (1.60).. Stocks sold In 100-share lete encept those desigmated .rb.‘;‘-“' ,,4'",'_ Has Made Rapid Progress | some 52 i meancoionrss) 1% Gen Eiec spes ($0¢) Baes men Low iow. e -.n‘-u AdQ 0. Migh. Low. Glose Chee. | 47 9% Gen Asphalt (1). 74 25¢ 1008 : 1 1% Airway Eiec Appl. .. 304 Gen ¥ood Corp (1) in Perlec(ing Plans. 204 7 Alaska Joneau (40¢) S&E ENTERPRISE SERIAL l‘l; AN!I::“MAPI- 14% Gen Baking (2). 7 _ Adams Express (1) 3% Gen Cable. 32 Gen Mills (3) 2% Allegany Corn ) R Alleg Cp pf 530 ww 22' Gen Motors ( BY EDWARD C. STONE. Rapid progress is being made in or - nogra 17 Gen Cable pf. T e 25 Gen Clgar (4). ganizing tne Afth Pederal Reserve dis- | triets’s units of the National Credit | 208 Corporation, which is handling th: P ::\ igantic pool to re- frn fromen eredity in the banks. As notsd unht in the United States to complete local organization and subscribe 100 r cent io {he g:nd. almost $4 000,000 being promised by the banks here. John M, Miller. jr. mond, man for the Old “Dominion State, Te- ports that the Virginia organization is actically completed. Mr. Hill states fhat the banks all have the subscrip- tion lormi and he believes there will 100 per cent response D!Abou',"’i"ll Vlntnll banks have ready made their subscriptions, which aggregate about $6,000000. It is anti- cipated that final reports will swell this total considerably and it s also snnounced that the sew Loan Commit- tee will probably hold & meeting within the next 10 days. The other States in the fifth dis- trict are getting their own organizations well under way. Reports from New York, Boston, Philadeiphia and many other piaces outside lh! Richmond Re- serve district indicate great progress. It m forming of the credit pool has h h':? A mm‘fi:mlly beneficial eflect 'on the economic situation all over the: country. Miller Has Brilliant Record. _ ted and unsought fame some- stalks quietly along a per ;‘:‘z‘:md ves overnight. That is what President Hoover’s plan for & Nagion-wide credit pool did for .vuhn ntly made the - ;‘r:! amflln director in the National Oredit Association. For years & widely known financier in the Old Douufion Mr. unler hu 3 suddenly become outsta; !rom Hagerstown, Md., w Col umbh and from Norfolk, Va., to Hunt- \n.um W. Va. His first move in the h-umnl credit’ organization was to ap- organizers in the five States in t,he nm- district and in Washington for forming the necessary local units. Then he rendered every assistance to ‘bankers all over the district, with the result that the organizations have now been completed and the loan commit- tees named. His friends say he is a yemarkably keen banker. ~Born in Lynch on March 31, 1868, began his financial carcer as a clerk In the National Bank in llll he _became cashier of the Firs N-Ian-l Bank in Buchanan, Va. h-nnnt ability became so well that he was m:de a na- t R Ssminer . From 1895 10! he was With the Merchants &) r-nnm Natfonal Bank, Charlotte, N. G PO TR T et imar Bk hmond, of w;nlcn hedl;xclcswll.nr;: hem A former R-m:md Reserve Bank, he is now in mearly a score of very earmmuons. and stands at the very tol Virginia capital bank- ing; et Uriexpect umm Savings Accounts. t both the llmber of depositors the . nt savings deposits hna continued to, l,nsresu year by year for more than 20 ‘years, with the single exception of 1920, and that the total amount hld in_the form of savings deposits merican banking institu- tions is al on twice the size of our entire national debt, were among the interestis ncu brought out in a Tadio & by Howard Biddulph, prestdent of the National Assoclation of Mutual !Iv\x‘%osnnks More than 52,000,000 people in this country, the speaker went on to say, haye sa accounts in banks, or more th: alf the entire population above the age of 10. The total volume of their savings deposits is more than $29,000,000.000. Never before in any | country has so large a sum of money been placed by so many different people in A single form of investment. Today's Trading on Exchange. | ‘The opening sale on the Washington Stock Exchange today was $1,000 trans- fer in Washington Gas 5s at 101. Po-, tomac Electric Power 6s figured in | $1,000 turnover at 107';, while two 81000 sales in Washington Gas 6s, Series A. were made at 100. The Series B Gas bonds moved at 103. important bond sale was $1,000 Wash- | Railway & Electric 4s at 85 ile bonds got the most attention | today, & small lot of Potomac Electric | Pows: & per cent preferred stock moved | at 110, and the corporation’s 5i; per | cent preferred came out at 106. Four 10-share lots of Washington Railway & Elgotric preferred changed hands at 94 ‘ashington Clearing House figures for today, $3,343,084.36. Peoples Drug Stores’ Earnings. Peoples Drug Stores, Inc.. reports for nine months ended September 30.| lDll net profit of $338 447 after thm’(r(‘ Pederal taxes, equivalent after div- | 1dmd requirements on 615 per cent p ferred stock, to $1.80 a share on 122 nospar shares of common stock. This compares with $386589. or $206 a share on 138,603 common shares, in first nine months of 1930 Virginia llway Co. reports Yor nine | months ended September 30, 1931, net | income of $2.377886 after taxes and charges, equal after dividend require- | ments on 8 per cent preferred stock. to _$358 a share on 31 hares of | common _stock. This pares with | $3,122,846, or $5.96 a common share, in | first nine months of 1930 September net income was $447.808 after taxes and chazges. against $404,- 499 in September, last year | Heard in Financial District. The fiduciaries section of the District | Bankers' Association held its first Fall | meeting vesterday afterncon at bankers headquarters in the Becker Building Plans for the coming Winter were dis- cussed and partial committees named to | carry onsthe work. It is probable that | there will be another joint meeting this year with the Life Underwriters' Asso- ciation. Kenneth Brooks presided | William P. Allen of Wilmington, Del . | a member_ of the board of directors of Childs Co, has been elecled president of the companv. Aling the vacancy which Ras existed since March, 1929 Mr._Allen has resigned as vice president | Of E. I du Pont de Nemours & Co. o devote his major activities to Childs Following the resignation of Walter S. Pranklin to become president of the Whabash, the Pennsylvania Railroad an- nounces the appointment of R. K Rochester. general manager of the rail- road’s Eastern region, to succeed Mr. Iln’rlll Mnl of Ilnk of New York & 'nus Co., has bee: Another | - 1204 1521 ana 27% 87 801y 107 665 14% 33 81 62 6% 251 46% T0% 20% 4 6614 7614 30% 228 514 69% 120% » 0y 31 w4 'IM- 69% 53 1% 45 46N 25 16 181% 5215 00 81 304w 28y 4615 Baw ki) 27% 8% 265% 00 22% 170 531y 50ty 174 324 455 100, 1% 234 85% 34 106 70 15 18% 10 . a2 jey 84 30 S 2 Bl 4 12 12 B 18 63 ™ 48T 100 lar quar- terly dividend of 5) cents per share on the common and ¢'ass B common stocks, p-m.r D> mber 1, to Wgiders of record iiosember 20, R4 Alleg On pf w &R Alifed ChaDye (n8). 114% Allfed Ch&Dye pf(7) 14 Allis-Chalmers (1) 13 Amerada Corp (2). 514 Am Agri Chem (Del). 18 Am Bank Note (43). BanBRuaane T ST T T1% Am Can 134'4 Am Can . Am Car & Fary HI 5 Am Comel Alenhol . . o Am Enropsan Secur. 10% Am & For Power. Am & For Pwr 24 nf. Am TTome Prod 4.20. 10145 Am Toe (2 % £ Am 'nnml"un-l . 16 Am Mch & Fay 1.40 5 Am Metal Co . 1'% Am Naturs! Gas nf 14 Am Pwr & Tt (21).. 60 Am Pwr& Ltof (). 7 Am Radiator (8fe). 10 Am Rollin~ Mille, .. 19% Am Smite&Ref (1%) 28 Am Snuff (43%).... 100 Am Snuff 6f (§) 13 Am.Solv & Chem! . 1 Am Solv & Chem of 7% Am Steel Found (1). 26 Am StoresA¥2%)... 33% Am Suear Ref (5) 1214 Am Tel & Telew (3) Am Wat W 1st pf(8) 3%, Am WoolenCo...... 20 Am Woolen Co nf. . 24 Am Zine & Tread. ..., 125 Anaconda Copper. 13% Anaconda Wire & ¢ 13 Anchor Cap-(2.40) R Archer Danfel Mid 20 Armour of Del nf (7) 1 Armourof 11l (A) & Armour of Til pt 4 Artloom Cor 34 Associated Appar 9% Associated Dry G(1) 974 Atch ToAR e (10)..x 1 52 AtlCoast Line () 914 Atlantic Refining (1) 20% Atlas Powder (4)... 5 Atlas Stores (1) 844 Auburn Auto (£4)... % Autosales. 215 Aviation Corn (D). 6% Baldwin Locomotive 28 Balto & Ohlo4). 48% Balto & Ohio pf (4). 99% Ramberger pf (63). 26 Bang & Aroos (3%) 4% Barnxdall Corp'n. 19% Bayuk Cigar (3).... 37 Beatrice Cream (4). 37% Beech-Nut Pkg (3).. 1% Belding-Hemingway 12% Bendix Aviation (1). 24% Best & Co (2). 22 Bethiehem Steel (). 15 Bloomingdale Bros.. 20% Bohn Alumn (1%).. 49 Bon Ami (A) (15) 37 Borden Co (k3). 9% Borg Warner (1) 8% Briges Mte (11%) % Brockway Mot Trk 314 Bklyn-Man Tran (4) 80% Bklyn Ulg:nd s (5) - o Bl emnnuRaRansua N N L Fritie ,._§‘_§=. TN - P L - - s FL4 b+ . e @ +1 FREER BRE2F 'l 18 4% 3% &F 10 Burroueh A lmlli) 15% Bush Terminal(234). 52 Bush Term deb (T).. 114 Bulte Copper & Zinc. 4% Butterick Co. 12% Byers (A M) Co.. 10% Calif Packing (2), 3% Cglumet & Hecla 14 Canada Dry G A 11 Canadian Pacifio 1% . 17% Cannon Mills (1.60). 5% Capital Admin (A).. 33% Crse (J1) Co....... 114 CaterpillarTrac (2). 82 CentRROENJT..... 21 Century Rib Mill 97 Cerro de Pasco (1) 31 Checker Cab Mrtg 2315 Ches & Ohio (23%) 1414 Chesapeake Corp(3). 315 Chi Great Western. . 12 Chi Great Westn pf. 2 Chi Mil StP& Pac... & Chi Ml StP & Pa 21; Chi & Northwest (4 20 Chicago R I&Pacific. 30 ChiRT& Pacpf (6) & Childs Company 11% Chrysler Corp (1)... 6615 City Ice&Fuel of 6% 10 Clark Equipment(1). 9715 Coca-Cola (17%). 4915 Coca-Cola (A) (3)... 28 Coleate-Pal-P (2%). 74 Collins & Alkman. .. S14 Colo Fuel & Iron.... 16% Columb G & E (1%). 76 Col Gas&El pf A (). 33 Columb Carbon (4) 8 Comm Credit (1.60) 20 Comel Credit A (3).. 15 Comel Cred pf B (2). 151 Comel Inv Trust (2) 99 Comel Inv Tr pt 6% 914 Comel Solvents (1). 41 Comwlth & Sou(30¢) Comwlth&Sou pf () 674 Congolm-Nairn (1) 62 Conn Ry&Lt (4%) 46 Consol Crr pr pf 8343 2208 48 Con Ckrprpfxw 6% 90 3% Consol Film. e 22 % Consol FIImBf ).~ 5 Consol Gas NY pf(5) 91 Consol Laundries(1) 20 ConsolRwys Bf (6). % Consol Textile. . 2 Contalner Corp (A). 51 Contl Baking (A).... % Contl Baking (B) 40 Contl Baking pf ( 314 Conti Can (3%) 194 Cont Insur (2.40 1% Contl Motors. ... 415 Contl Ol (Dei).... 14 Contl'Shares . 361 Corn Products (3). 3% Coty Iny 22 Crucible Si 1 Cuba Cane Produets. 20 Cudahy Packing (4). 85 Curtis Publish (4). 1% Curtiss Wright. ... 'a Curtis Wright (A).. POA DRI THOT A D 1950 O 2» T b BaFf B uunrunempl AN = e Zenn~S. [IRVPISIN-S- PP PRSP oSS | 195 5% 26 613 5 58is 16% 695 Bats Del Lack & Wn (2) Denver & RG W pt Detroit Edison (8).. Diamond Mateh (1). Diamond Mteh pf 1% Dome Mines (1). Down Stores (1.20) Doug Ah—cr.runx) Duplan S Dupont de Nem (4) Du Pont de N pf(§) Duques Lt 18t pf (5) Durham Hosiery pf Eastern Roll Milk Eastman Kodak (12) Bastman Kod pf (6). Eitington-Schild pt Elec Auto Lite (4 Elec&Musical Instru Elet Pwr & Lt (1), Klec Pwr & Lt'pf(§ Klec Pwr&LLpf (7 Elec Storage Bat (4) Endicott-Johnsen(3) 50 Eng PubSVe pt (5). 10 Erie RR & 50\ Firestone T&R pf($) 101 Foster Wheeler (1).. 34 Foundation Co. 18 Fourth Nat Inv m§ 5 Fox Film (A), 13'4 Freenort-Tex «3) T8 38% Gen Am rms\u 85 1% It 34 314 258 20 80 1% Gen Motos Gen Outdoor Ad( Gen Theatre Equip. . Saf Rasor... Saf R pf (5). Gimblel Bros pf (7). Glidden Co. Gobel (Adolf). Gold Dust (2%). Goodrich (B F). Goodyear T& R (3). Goodyear 1at bt (7). Graham-Paige Granby Con Min (1). Grand Siiver Stores.. Grand (Tnion. Grand Unfon pf (l) . Grant (W T) (1) Great Northn pf(4). Great Northn Ore(2) Great Western Sug.. Great Wn Sug pf (1) Grigsby Grunow.. Gnlf States Steel Hahn Dept Stores. Hahn Dpt St pr(6%) Hanna pf (7). . Harb & Walker (1).. Hercules Mot (80c) .. Hercules Powder(3). Hercules Pow pf (7) Hershey Choc pf (18 Holland Furn (12%) Houdaills Hershey. Hous ki °in pf 4 Houston Ol Houston O1l (new). . Hudson & Man (334) Fudson Moter (1)... Hupp Motor: Thinols Central. . . Jilinos Cent 11 (4) Indian Refining .. Indust Rayon (4). Ingersoll Rand (4) Inland Steel (2)..... Inspiration Copper. . Insuranshares Del A. Interboro Rap Trans Interlake Iron. Int Agriculture pf. .. Int Bus Machine(n¢) Int Cempent (4) Int Combustion Int Harvester (2%). Int Hydro E1 A (e2). D e Ll T L L U L T Lo ITIore JUrepes—-opn 3 = - Int Nick Can pf (7).. Int Paper & PwrC... Int Printing Ink. .. Int Rys of CenAm p Int Salt (3).. Int Shoe (3). Int Silver. . % Int Tel & Tel (1 % 8% Y 8% LE] 18 41 6y 1 4 ey 13 201 3 16 29% 200 6 V2 % Port R Am Teb (B) Continued on Fagggit) Iat Dept Stores (2).. Investors Equity.... Jowa Central RR.... 57% 24 Jewel Tea (4) 80% 29' Johns-Manvil) 123% 99 Jones & Laugh D((‘I) 1|5K 12 KC P&L 15t pf B(6) Kansas City South Karstadt (Rudolph) . K'mann Dept Strs(1) Kayser (J) & Co (1). Kelly-Spring Tir Kelly-Spr T 8% p Kelsey-Hayes Wh Kelvinator Corp. Kennecott Copper (1) Kresge (S S) (1.60).. Kreuger & Toll 1. Kroger Grocery'(1). Lambert Co (3) Lehn & Fink (3)... Libbey Owens Glass. Liggett & Myers(15) Ligg & Myers B (15) Lima Locomot (m2). Liquid Carbonie (2). " o SenteanaoBan SR80 osm Louis&Nashville(5). Ludlum Steel McCall Corp (2% McCrory (B) (2) McGraw Hill (1) McKeesport T P (4). McKesson & Rob (1). McLellan Stores. MackTrucks (2). Macy (RH)& Co(n3). Mallison & Co pf. ManhatElev mod gtd Marine Midld (1.20). Mathieson Alkill (2) May Dept Strs (2%4). Maytag Co pf (3).... Melvilie Shoe (2) Mengel Co. Miami Copper. ... Mid Continent Petm. Midland Steel (3). Minne & Hon Reg (3) Minn Moline Pow M StP & SSm Isd ( Mo Kan & Texa Mo Kan & Tex pf (1) Missouri Pacifi Missouri Pac pf (5).. Mohawk Carpet. Monsanto Chem (1%) Montgomery Ward Murray Cor Nash Motors (3). 3 Nat Acme Co. i f . wannFansaliafu » 5.8 - B olomannodmmmsumnm 83 2B8-Fa Nat Cash Re‘ A m s Nat Dairy (2.60 Nat Dist Prod (2). Nat Lead pf B (6). Nat Pwr & Lt (1) Nat Steel (2). Nat Supply Co. Nat Tea (1).. Nev Copper (80¢) Newton Steel. . N Y Central (4) ¥ Chicago & St L.. NY N H & Hart (4) NYNH&Hpf (1) N Y Ont & Western.. N Y Shipbuilding. ... N Y Steam pf (6) Noranda Mine: Norf & Westn (112). North Am Aviation. Nor Amer(b10% atk) North Amer pf (3)... rthern Pacific 3) Ohto Oi1 Oliver Farm Equip OlivFarm Eq pr pt Omnibus Corp Orpheum Circuit pf. Otis Elevator (234).. Otis Steel. .. Otis Steel pr pf. Pacific Gas & Bl (2) Pacific Lighting (3) Pacific Mills. Packard Moto! Pan-Am Pet B (80c) . Penney (J C) (2.40 Penney (JC) pf A ( Penna Railroad (2).. Peoples DS pf (6%) Peoples Gas(Chi)(3) Pere Marquette pr pf Petm Corp of Am(1) Phetps Dodge Co. .. . Phila&Reading C& 1 Philip Morris&Co(1) Phillips-Jones Co. .. Phillips Petreleum. ., Plerce Oll. Pierce Oil of. Pierce Petroleum. Pillsbury Fiour (2). Pitts Coal. Port Ric Ai Brnmaren il FIFREFET ¥id 2 10% + % A% 21% 1% 90— 215 <+ 4% 4N 28% +1% 21% +1% 13 51 +1 LY 3% + % 19% + 15 66% +2% 12 17 +2% 4% + % 19 +1% 26 -+ 6 - 18% + 315 + % |over a point to 121. a BY GEORGE T. HUGHES. Special Dispateh to The Star. NEW YORK., October 30.—An irregu- lar price movement characterized trad- ing in stocks in today’s market. Spe- cial lssues were under pressure and re- of the new stock was xvponed $15 a share. American Telephone Telegraph was in good demand and her at the start. but it came down the other utilities subsequently. The Street was inclined to feel , the stock was weak. Mainte- nance of the regular rate on Bethlehem common was reassuring in that it pointed to confidence on the part of the directors In an early improvement in _the industry. Ralls were fairly steady. The influ- ence here was hope that some agreement on wage reductions could be reached and this was strang enough, temporarily at least, to overcome' con- cern over prospective dividend ' cuts. United States Steel. General Motors, General Electric and other leading in- dustrials during the morning hours were steady around the preceding close. Tebaceos Tmprove. One or two of the tobacco issues did better. Lorillard was bought on the prospect of an early decision in the bonus litigation now before the courts. The ofis acted well. The leaders were Standard of California and Standard of New Jersey, which as a rule have kept pace with each other. The market seemed to indicate that the California- Jersey Standard merger terms would call for an exchange of stock share for share. Dividend fears were not s fagtor 1n {oday's trading. The worst that. can uxn along that line this week is a! known. Meanwhile the short in- terest is believed to have been increased and the market to have been strength- ened thet much. Trading was still in small volume. Call money renewed at 2% per cent and was in gcod per cent, against a straight 11 per cent all of Jast month, Opening Is Higher. The market encountered an accumu- lation of short-covering orders at the open!nl and prices opened from 1 to 2 ints higher. Trading, however, was small volume after the intial few minutes. United States Steel at 63% opened up nearly a point. A number of vorable earnings reporta by industr 1 together with a better tone lm um support to the local mar- ket. 1n some of the active lndustrhh e‘r‘nllp oy By 4 4955, up well Doint. Columbian Carbon, Allled chemiml West and Woolworth had similar advances. In the rails, Union Pacific gaifed 2 to_103. Sharp advances oceurred New York Central, New Haven and thern Pacific. In the utilitie American Telephone was more than a point higher. Small improvements were noted in North Ame Service of New Ji Auburn gained General Motors The oils = were MARYLAND CREDIT WORK_IS ORGANIZED Chairman Rieman Announces $2,- 585,000 Subscribed to Assist Banks of State. Bpecial Dispatch to The Star. BALTIMORE, October 30.—National body of the National Credit Corporation, became operative yesterday, and the Loan Committee held its first formal meeting, Charles E. Rieman, chairman, announced. As of the close of business yesterday, Maryland banks had sub- scribed $2,585,000 of the National Credit Corporation gold nof The Loan Cammluee decided that to better serve the county banks the out-of-town members of the committee will deal with the banks in the follow- ing counties: . Howard Duckett, Prince Georges Bank, Hyattsville—St. Marys, Prince Georges, Charles, Calvert and Mont- gomery. Henry Shriver, Pirst National Bank, Cumberland—Garrett and Allegheny. Holmes D. Baker, Citizens' National Bank, Frederick—Carroll, Howard, ‘Washington and Prederick. Willlam S. Gordy, jr., Salisbury Na- tional Bank, Salisbury—Worcester, Wi- comico, Dorchester, Caroline, Somerset, Queen Annes, Talbot and Kent. Anne Arundel, Harford and Baltimore County banks will deal directly with the m':dmmmnm in Baltimore, it was stated. MARKET REPORTS SHOW 2% 161 1k 24'4 + T - l'l's -% 364 <14 @2 -1 1 —% zzt.~h B +% 1% + % FAVORABLE CHARACTER Special Dispatch to The Star. NEW YORK, October 30.—At least 75 i lehem Steel dividend had not been gen- erally expected. Wall Street had an- ticipated an advance in the Federal | reserve rediscount rate to 4 per cent, and Public'! $6,000,000 ab Atlanta, $5,000,000 each at Kansas Bave been among the many victims of | to keep their fixed charges inviolate. declining market. Those thlt were | directly frowned upon by the New York Stock Exchange through omission | from the preferred group receiving list- | ing privileges have, in some cases, | quietly folded up their tents and faded | out of sight. The large distributors o(‘ shares of the fixed character have been | biding their time and waiting for that propitious moment when it seemed rea- sonable to expect stabilization of the | stock market, permitting the inaugura- | tion of another campaign for a public | uflennc of their issues. Difference in Prices. Naturally, prices at which these shares are put on the market differ | greatly from those emitted in large | volume during 1930 and in the nny. part of 1931. Since those good times there have been shrinkages of as much ut out at an averag t of 1929 that it looked to buy these stocks | and profit exc«dmfly thereby. One of | the newer inventions was a trust built | upon the thesis that within two years of 1930 the market would have brought a dolibling and trebling of the values of selected lists of low-priced shares. The trust could then be liquidated with a handsome appreciation to the holders of its securities. This did not work out as had been anticipated, due to the persistency with which stocks that, in 1930, had a'ready slumped 50 to 60 per cent. kept going down the price n. Another difficulty the fixed trusts have faced has been with their income account. They all carefully selected stocks from the three- major groups, ‘hamely railroads, industrials and ‘pub- lic utilities, belltvml that through a sclentific diversification of their capital they could insure themselves and their clients against capital losses. Academi- cally, this is one of the soundest of all investment principles. Practically, it has FEDERAL RESERVE CREDIT ITEM DROPS Outstandmg Loans Decrease $46,000,000 During Week Ending October 28. By the Associated Press. The daily average volume of Federal Reserve bank credit outstanding the week ending October 28, as reported by the Federal Reserve banks, was 2,232,000,000, a decrease of mooom as compcnd with the g week and an increase of $1,2: umn 000 com- p;;ed with the corresponding week .in 1930. On October 28 total Reserve bank credit amounted to $2,211,000,000, a decrease of $27,000,000 for the week. This decrease corresponds ' with de- creases of ‘“.MOMG in money in elreu. lat in bank Teserve blpk deposits, etc., off: decreases of moooooo in monetary gold stock and $13,000,000 in Treasury currency adjusted. Holdings of discounted bills declined $20,000,000 at the Federal Reserve Bank of New York and increased $10,000,000 at Chicago, $9,000,000 at Cleveland, Philadelphia and $19.000, l'. all banks. Open market. declined. st v/hflz holdings of United States | securities were virtually unchanged. October 28 totals (in millions of dol- ](.IIT) with changes from a week ago, ollow: discounted e 1 tary’ gold stock ury currency -dnmea Money In Hreuiatio Hember bank Tesery caplial " funds. " other posits, ete. BROKER LOAN TOTAL IN FURTHER DECLINE Special Dispatch to The Star. NEW YORK, October 30.—The week- ly statement of the Federal Reserve on brokers’ loans showed a decrease of $15,000,000 during the week ended Oc- tober 28 to a total of $869,000.000, a new low record since December 7, 1921, when the figure stood at $831,820,000. This compares with the previous 1931 low of $884,000,000 made last week, and with $2,215,000,000 on October 29, 1930 Loans for own account were ‘$504,- | 000,000, compared with $603,000,000 a week ago. Loans for out-of-town banks totaled $97,000,000 against $102,000,000, others trasted with $179,000,000. Demand loans con- stituted $606,000,000 of the totdl against $614,000,000 & week ago, and time loans were $263,000,000 against $270,000,000. ‘The New York Federal Reserve dis- trict rediscount rate remains un- changed at 3!, per cent. DIVIDENDS DECLARED NEW YORK, Otcgber 30 (#).— Pe- Pay- Rate. riod. able. Extra. United Eng & Fdy.35¢ .. Tnitial. | Nat Serv Cos 34 pf.51 Q Northeast P 8 pf 37isc Q pr pf.....51.370% Q Company. Pellefid Co 72 f.S0c ranklin Giobe mue Fouats & and Thurmys market for bonds sug- this change. But it did not come. | The weekly statement of the Federal reserve banks, showing a let-up in the increase in notes in circulation. h | | means that the hoarding craze is ing, was another satisfactory f. Ariz Coml Min | Union” Mills Inc Mo Markets abroad displayed less nervous- | ness over conditions here, with exchange | rates more favorable to the dollar thxnl they have seen recently. ‘The study of business conditions | '.hmu‘haut the country presented by al tion pointed out signs of memnmm in various industries and in different industrial localities. Fur- ther liquidation of speculative accounts | Cos was emphasized with another reduction in brokers' loans. Then there was gen- eral mphull in foreign dispatches that Prance and Germany will soon get to- gether to ficu.n lhn question of repa- rations and PARIS BOURSE PRICES. PARIS, October 30 (#).—Three cent rentes, francs per cent loan, 102 francs 75 centimes. Exchange on London, 98 francs 50 centimes. The dollar was quoted at 25 n-ulu 43%; centimes. The Bourse day,’ Allen-Betb G Bf.. Am Tobac Bethieher !nl %ine Go Br 1113 l‘ 3 pf..T5c Not' aee ooy 1 Ser A Southern Plu Line. 50c Btand Oit Ty Shis ni 000m 00D © POPPOOO’ POD 000 enun e Hidrs. of | i record. | Shrinkage in Assets. A considerable number of the 25 to 40 | stock issues that appear in every fixed trust portfolio have now gone to lower dividend basis. Some of them no | longer yield a dollar to their holders. Consequently, not only has there been | a shrinkage in the asset values of fixed | trust shares, but reserves set up to meet | rather arbitrary payments of dividends | on these shares have been exhluned’ and the distribution to shareholders has | been smaller. It takes some time to put | BUILDING ASSOCIATION 7th St. and Indi 67th Series of Stock New Open for Subscription INTEREST PAID ON STOCK James E Connelly, President a Ave. Secretary N.W. James F. Shea. into effect the substitution in a fixed trust portfolio of & new dividend pay-| ing stock for one that has to be cast out | of the portfolio when its dividend is omitted. | A condition characterized by the term “evaporation” has developed among some of the smaller fixed trusts, and there were scores of them ‘gh | moted one and two years ago. is | results where the spomsor for the trust | no longer finds a market for additional shares and allows the shares outstand: ing to seek their own price level, In| other wards, he abandons all obligation | and pulls out his bid. Under such circumstances the stock drops well | below its liquidating value. Holders the stock are uppmlehvm and offered cash terms for their shares. | they have been persuaded into a poor situa- tion and are willing to get out of it | if they ‘can save & small part ‘of their || capital. These odd-lot rchmses are built up into units of suflicient size ta be presented to the trustees of the fixed trust and ribed units of | collateral rel E then sold in the market, with the re- sult that eventually there is only a skeleton remaining of the original cor- poration. The fixed trust came into bein after the fi:ml investment trust had its and had captured the imagination of the American to the extent of about $4,000,000, been reckoned that sul fixed trust shares subsequently ran as high as 8500000000 .m.m Hax boen considerable. critieln "of (he percentage of ';ronu made by. dis- tributors. In fact, the history of fixed includes what (Copyright, 1931 ‘Twenty-Year Sinking Fund m&bfim Io-’l‘-“ M 1,1943 payableon ch l 1931, vll;:' paid in New or‘k”nlhto.u or in Boston at his office, 125 Milk Screet. H. Pays 5% ‘This collateral is | Money Available for No Commissions Invest Your Savings Now in These Profitable First Mortgage Securities ‘They are sponsored and guaranteed by this corperation as safe and sound in- vestments. Denominations at low as $100 thi send S0y Payments 4 Doireg REAL ESTATE MORTGAGE & GUARANTY CORPORATION 1610 K St. N.W. National 1403 " 6% Interest , . . Teldvanced to persons templatin inancing Durchasing. Arranged on con- venient terms. wi missiona " cha ru the details -l e NW, Coi ded s.;'.’xfi....,., Rulbuhl.h. Charged 23 Years' Successful Business Without the Loss of a Dime ] Equitable Co-Operative Bld. Ass'n Subscriptions for the 101st Issue of Stock Be'-x Received JOHN JOY ZDSON, m WALTER LOANS N REAL ESTATE, OR TO TAKE UP MORTGAGE No Brokerage . ‘915 F ST. PIRS T If you cbntemplate the purchase of a home, refinancing present in- debtedness or’ improv- ing property, consult us. Applications will receive prompt and courteous attention, No Commissions N.W. MORTGAGES ANINVESTMENT THAT’S BASICALLY SOUND Back of these 6% FIRST MORTGAGES of our securing your money, is im- proved Washington real estate that we have conservatively appraised. Third of a Over a 5 so that you Century Without a runs. Loss May be And the interest is definitely fixed— can count exactly upon what your return is to be throughout the full term of years the mortgage purchased in amounts from $250 up —and upon our con- ' venient Parti wish, B. F..,,,SA National 2100 THERE ial Payment Plan if you ¢ 925 mh sg NW. 1S NO SUBSTITUZE Columbia Building Association ’| 716 11th St, Under Governmeat:Supervisign e