The Providence news. (Providence [R.I.]) 1891-1906, 1895-06-01
FINANCIAL Ne WS.
Drastic Measures Needed to
Make Erie Prosper.
Great Uncertainty as TO Northwest's
Coming Dividend Rate.
Special TO The News.

NEW YORK, June 1.-The critical period is
approaching-"critical," because there will
unquestionably be some disappointments in
many directions on the question Of dividends.
Erie starts out today with the prospects of an
'Irish dividend" which. when the stock
holders step up 10 the captains Office to pay.
will be found 10 be no light affair. Nothing
but radical and very drastic reorganization
will ever put Erie upon basis TO make its
fixed charges. There.will be no selling from
London Of this speciality until Tuesday next,
but when the Britishers got back from their
Whitsuntide holiday making, and recognize
that they are To bo once again asked to put
their hands into their pockets in order that
their old favorite speculation, "Erie, " may be
provided for. they may conclude to part
company with the stock that has cost England
in particular, and the speculative world in
general a number of substantial fortunes in
the course of the past 30 years.
The directors of Northwest will meet
Thursday to take action on the dividend.
President Marvin Hughitt has not taken any
body yet into his confidence; that is to say,
he has not given any official intimation 10
what the dividend on Northwest will be. The
affairs OF this particular company are in ex-
celient condition, physically, but it can be
Ststed semi-officially that the board does not
know what will yet be done as a body on the
dividend question. The earnings for the
month Of May, not yet completed. will be
complied so that all the data that can pos
sibly be obtained shall be- submitted. 1t can
be stated from absolute knowledge that the
earnings, comparatively speaking, Of North
west for the month, will not show up well
as did those for April. In all probability.
u
full quorum can be obtained without the pres
ence of the president of the ". Y. c.. he will
remain in New York. The, ,vanderbilts are in
favor of l1S.per cent. ON Northwest common.
This action Is both prudent and conservative.
Both Mr.. G. Vanderbilt and Mr.. w. X. Van
derbilt are large holders Of Northwest pre-
ferred Some very large stockholders of the
common have signifed their willingness to
accept IL per cent, but there are thousands
of small stockholders upon which the reduo-
tion will of course, prove a hardship.
The insiders have been dlscouraging Chicago
Gas for some time, nor do they think it will
be prudent to undertake movement until it
is definitely kncwn what Governor Altgeld
will do upon the consolidation act. The pres
ent earnings are ahead of those of last year and
at this time are equal to between 519 and per
cent. ON the stock.
GENERAL FINANCIAL NOTES.
The market holds well, considering the alb
sence of London support.
Holiday in London today and Monday.
Eric securities are heavy on the expected
default in the SIS today.
Reports from crops are more favorable.
The net earnings Of the Ontatio 81 Western
for the month of April increased $50. 365.
II is understood that the assessment on Long
Island Traction will be Sl0 Governor Flower
says the road is in bad shape, and that it was
proposed TO make IL frst-c
Citations were served in Chicago yesterday
on J. b. Greenhut, Peter Hennessey and Mel.
son Morris to appear before Master in Chan.
Gerry Booth today, and to submit to an exam
ination in regard to d. c. +. Trust affairs.
1t is understood that the General Electric
Company has been offered 100 acres OF land
and 81 ,000. 900 cash to consolidate all its fac
tories at one place in New Jersey.
Joseph says: Another dull day will be re.
corded. Don't be afraid Of the bear side OF
Erie. Northwest will work lower. Hold Sugar
and buy Western Union. Keep a sharp eye
on Gas; its rise is pending"
No market in Liverpool today.