Evening star. [volume] (Washington, D.C.) 1854-1972, 1903-07-07
LOCAL FINANCIAL NEWS.

aOlderS OF the DOn0S or the CneSape2k0
and Ohio Canal Company Of the issue OF
1874 have recently received an offer for
the purchase of their holding at n cents on
been accepted and some blocks of the bonds
have changed hands. Acting under the adj
vice of the corporation counsel the Com
missioners of the District have written in
response to a proposition to buy these bonds
held by the District that they have no au-
thority to sell. The bonds. which are said
to aggregate about half million. are quite
largely held by estates. 1t is not known to
what extent the effort to acquire these Sc
curities have succeeded. but it has attract
ed more or less attention in local financial
circles.
It can only be conjectured why there
should be demand for these bands at this
time Some four or five years have elapsed
since the last attempt was made to buy
them. and then the offer was % cents on
the dollar. This apparent appreciation in
the value Of these securities gives color to
the theory entertained by some that the
present movement is speculative one
based upon the probability of the enhance
ment in value of these securities. AS is
well known. they are not only motgage
covering the entire property of the canal
but also its earnings. Since 1869, when a
great freshet practically destroyed that
section of the canal known as the George
town level. no interest has been paid on
the bonds. Since then the canal has been
unable at times to earn enough to pay even
it's operating expenses and a floating debt
was formed.
1t is now said that the canal has come
into more prosperous times The floating
debt has been wiped out. and the revenue
easily meets the expenses. The receivers
appointed have been discharged and the
canal is now operated by trustees of the
bondholders of 1874, under the supervision
Of the court. 1t is pointed out that the
prospects of an increasing business are
good and that as an investment the bonds
may be looked upon as affording a chance
for profit at present prices.
On the other hand. there are those who
look upon the right of way owned by the
canal as its most valuable asset and such
persons are inclined to think that the prop
erty is wanted for a steam road. Accord
ing to the current gossip on this subject
there are two railroad companies that
would be likely to gain control OF this prop
erty if they had the opportunity. One is
the Baltimore and Ohio Railroad Company
and the other is the Gould interests. or
what is more generally known as the Wa
bash system. The latter Is credited with
desiring an Atlantic seaboard outlet, and
in pursuance of this scheme the Western
Maryland line has been secured, which
brings them into Baltimore. Now 1t is ar
gued that their system could connect with
the Central West Virginia line, which it
owns. with new line coming down from
Cumberland over the present route of the
canal This would give a terminus in
Georgetown.
The Wabash has been credited recently
with the purpose Of gaining access to this
city by so many routes that 1t may appear
this latest theory only adds one more to
the number. However, as that is a part of
the current gossip Of the day. it Is given for
what it is worth.
Gas securities occupied the center Of the
stage today at the meeting of the Wash
ington stock exchange. They gained posi-
ton through the animated efforts Of Mr..
w. B. Hibbs. The dealings outside Of these
securities were without interest.
Some three hundred shares of gas stock
were dealt in. and the result of the selling
and buying was that the quoted bid price
advanced half point over that Of yes
terday. At the close of the call 64X was
bid for the stock and IS asked
Seventy-five hundred Of the gas certifl-
Gates were traded in. Twenty-Five hundred
went for LII and 5000 for 1907
Mr.. w. B. Gurley has taken the sea trip
to Boston and expects to be back by Tues
day next.
Advantage is being taken of the season
by w. B. Hibbs & Co. to have the walls of
their offices decorated and the wood work
touched up. The private office is to be
changed to the rear from the front of the
suite OF offices.