Evening star. [volume] (Washington, D.C.) 1854-1972, 1897-07-15
Financial Circles Agitated Over Some
Interesting Possibilities.
METROPOLITAN MAY CHANGE HANDS
Gossip About Combination of the
Belt and Brightwood Systems.
THE TALK ON THE STREET

Street railroad changes seem to be ex-
cluding all other topics in the conversa-
tion heard in local financial circles. Stimuli
taneously with the gossip regarding the
forcing out Of ex-President Harries from
the Metropolitan company. which was cur
rent last week, were rumors that the
ownership of the road itself would prob
ably change. 1t was stated that q strong
syndicate recently formed in Washington,
and which is in control of apparently I'M
limited capital, had offered Messrs. Wea-
yer, Grunwell and s. Thomas Brown s125
per share for their holdings of the Metro
politan stock. and that the gentlemen
named had declined to consider the propo-
sition. 1t was said that they were willing
to sell, however. at $3.50 a share.
Ihe developments in the report made by
Mr.. Harries yesterday are regarded by
conservative capitalists as Indicating that
the stock is likely to command a good
price, provided the present relations of the
company with the legislative powers. ma
tonal and local, are continued. 1t is point
ed out that the present profits of the road
Whlch are now about $150.000 year, must
chlnery is nearly completed in every detail
and the only expense in that part of the
system In future will be occasioned by the
natural wear and tear.
The MetropoIitnn's Condition.
The stock of the road consists of 2O.OoO
shares of par value Of $50 EACH On the
local stock exchange yesterday 113 was
bid for them. Only 5000 shares of the
stock have been actually issued as 5000,
or $25O,Oo0, were deposited as collateral to
secure the interest the convertible 6
per cent bonds redeemable in 1901 issued
to the amount of $5O0OO0 of which s4S3-
1ot,, L.,
be converted into stock at any time at the
option of the holders.
The Indebtedness of the company consists
of $fS3,0O0 per cent convertible bonds
above mentioned: $1.S,0,OOO 6 per cent
bonds, redeemable in 1929, and two issues
of certificates of Indebtedness lettered A
and B. of $250OO0 each, which bear per
cent interest. Yesterdays local quotations
show that the per cent 1925 bonds were
11G bid; the convertible 5's 112 bid and
115 asked, and the certificates of indebted
ness. los bid and no asked.
1t Ia understood, that the average ex.
pense of running the cars per car mile
during June was S.61 cents per car mile.
while the receipts from passengers were
19.6S cents per car mile. The expenses
during June, including all the interest on
bonds. and certificates of indebtedness,
averaged s1G01.7 per day, while the re-
ceipts averaged 81 0O6, a profit of over $500
per day. clause in the mortgage guar
anteeing the payment of the $1.S5O,OOO of
larger than ten per cent per year can be
declared unless $25,000 is paid into a sink
ing fund for the redemption of the bonds
The report Of the retiring president, Mr..
Harries. showed that there were cash and
bonds in the company treasury amounting
to $151 500, acquired in the last nine
months. 80
Other Bits of Gossip.
All these facts entered into the gossip
today about the probable change in owner
ship. 1t was said in some quarters that
the Weaver interest could not be easily
transferred, on account of legal obstacles,
but this was met by the assertion that
these difficulties only existed in the case
Of the Weaver stock in the Belt Line,
Which, 1t was said the late Thomas Weav-
er had provided in his will should not be
disposed of. There was also gossip to the
effect that capitalists interested in the
Capital Traction Company also were anx-
lous to get possession of the Metropolitan
Then, again. it was whispered that the
Metropolitan majority interest was con-
tempating the purchase of the BrghtWood
electric
Another rumor had it that a strong syn
dicate would buy the Belt Line secure a
controlling interest in the Brightwood cleo
trio and run direct city and suburban
line by joining the two systems by build
ing the extension from the Belt to the
BrightwoOd systems already authorized by
Congress Nothing definite could be learn
ed of the truth Of any of these rumors. but
they wer in general circulation and caus-
ed much interesting speculation.