Evening star. [volume] (Washington, D.C.) 1854-1972, 1903-08-12
LOCAL FINANCIAL NEWS.

An 1ntimation has been made, and is
given some currency. that the price of
telephone stock may be affected by the
character of the rate decision which the
United States Supreme Court is expected
to make this fall. In the event the deci-
sion Is favorable to the company, it is
predicted the stock Will advance in all
probability ten or fifteen points
This suggestion. In view Of the present
condition of the company, adds to the in
terest which the speculative portion of the
the stoppage of the payment of the per
cent dividend, about a year ago. and the
adoption of the plan of improvements, in
volving the expenditure Of generally put
dollars, the quoted value of the stock has
gradually gone down The las. sale on
the local exchange was $40 per share for
twenty-five shares, and there have been
transactions at lower figures.
The money needed for the improvements
both in this District and in Baltimore and
throughout Maryland. the territory covered
by the company. is being advanced by the
parent company and is in the form of a
floating debt. The changes. which in the
main consist of replacing the overhead sys-
tenn In this city and Baltimore with the
Underground was begun two years ago,
and it is expected another two years will
pass before the entire scheme is carried
out 1t is estimated that it will be several
years yet before it will be possible to know
exactly what the effect of the changes will
be on the revenues of the company.
At present the capital stock of the COM
pany is about two millions and a half and
the bonded Indebtedness about one million
and half. The floating indebtedness will
naturally be provided for by a new issue
OF either stocks or bonds, but which of these
classes of securities will be selected will de-
ha inc Of tLo
In order to earn enough to pay the divi-
dends and interest on the securities under
the new conditions, it is calculated the rev.
enues of the company will have to show
an Increase of about fifty per cent.
There will be no positive decision reached
by W. B. Moses & Sons as to the uses to
which they will put the large building ad-
joining the southeast corner of 18th and +
streets until; the proposed structure is erect
ed on the corner. The entire property is
controlled by this firm. and the new build
ing is to be planned SO to become a part
of the five-story structure which now forms
two sides of the corner lot. In floor space
this new establishment will not equal
the one at the southwest corner of 18th and
+ streets, which has been the home of the
firm for so many years. There are few
dealers in furniture in this country that
can equal the store space which these two
esta biShments afford.
Mr.. w. J. Father put in an appearance
today. after vacation absence. at the
meeting of the stock exchange and took
the chair. relieving Mr.. James NJ Green,
who has occupied it so acceptably for some
time past.
There was considerable buying and SELL
ing today, considering The season of the
year. AS usual, however. the offerings
were not forced. 1t is found that the
capacity of the market is very limited
even more so at this period of the year
than usual, and when a broker has forty
or fifty shares Of stocks to sell he pru-
IDENTIFY takes two or three days to dispose
of them. Otherwise it would be impossi-
BILE to say what would become of the bot
tom of the market.
Capital Traction stock was somewhat
stronger today. although the offerings were
quite small. At one time 1t was predicted
this stock would decline considerably below
the 4 per cent level but the lowest point
reached thus far has been us.
Stock but it has not been possible to get
freely offered it is thought that lower
prices would soon be reached. The fact is
however, that in neither instance have
the stocks been forced on the market nut
continue to be strongly held
Some twenty shares of National Safe De-
post Company were taken at la, but i.o
more could be obtained at a less price
Quite a large block of Union Trust and
Storage Company stock went for 10i1a ;.ad
1O5