Evening star. [volume] (Washington, D.C.) 1854-1972, 1904-09-28
BANK OW NERSHIP
SOME PHASES OF THE CURRENT
GOSSIP ON THE SUBJECT.
A Million and Three-Quarters Required
to Secure a Bare Control of Three
Banks-Minority Stockholders.

There is a feeling on the part of those in
control of some Of the national banks
mentioned in current gossip as likely to
undergo a change in control that the dis
cussion is apt to convey a false impression.
This is the case with the Metropolitan
Bank, which, as has been stated, is credited
in the talk that prevails in finsncial circles
as likely to pass to the same ownership as
that of the Citizens and the Traders. As far
as can be learned no definite conclusion has
been reached in regard to the Metropolitan
Bank although the belief is quite prevalent
that negotiations are in progress.
There is no change in the opinion which
generally prevailed and was mentioned in
The Star the other day that the bank pur-
chases, past, present and prospective, are
on behalf of large banking interests in
New York city. The ultimate purpose, ac-
cording to the general belief is to organize
a large bank in this city and possibly a
trust company on the harmony interests
plan.
If the policy is continued in regard to
future purchases which have been pursued
in regard to two banks already partially
secured, then only a majority of the stock
in each instance will be taken.
On this basis an estimate can be maze Oh
the money that has been and will be ex-
pended. A bare majority of the stock of
the Traders Bank is 10O1 shares, for which
it is understood $165 per share was paid
In the case of the Citizens 2.501 shares
give a control, and $27O is believed to be
the price; 1901 shares constitute con-
troll of the Metropolitan, and the price
which is generally mentioned In the event
a sale is made is at least $500 per share.
The minority stockholders are naturally
interested to know what effect the change
of control in the banks will have on the
value of their holdings. AS far as known
no indication has been given of a purpose
to acquire more than control sufti-
cient amount of stock of the Citizens Bank
was secured from few persons to give the
control. The largest Individual owner was
the president of the bank, Mrs. Stevens,
whose holdings are said to have been ! 800
shares. Then Capt. Moore, the vice presi-
dent, and Mr.. Chester, the cashier are said
to have controlled 700 shares, and Charles
P, Williams and Walter Heiston about 500
shares. The sum of over $1,750,0OO repre-
banks at the figures usually accepted as
the price.
1t has come out since the agreement was
made to purchase control of the Citizens
Bank that at the time there was pending
deal which would have resulted in the
consolidation of the Metropolitan and Citi-
Zens banks, with Mr.. f. Soutard Parker,
the president of the former, as the head OF
the united institutions. Before, however,
this transaction could be consummated the
interests that had just acquired the control
of the Traders Bank, having failed to come
to terms about the Citizens Bank, made
another offer for majority of the stock.
This proved to be larger than the figure
proposed in the deal with the Metropolitan
Bank and 1t was accepted.