New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-04-02

netting "a per eent.-adaitional 70 the o per cent
dIvidends-that regular dividend rate soon % Be-
increased.
Canadian Pacific Is but at the threshold o. II.
destined greatness. It's present market valua
must Of necessity rise largely st. Paul. paying
Z per cent, sells . points above Canadian. Pa
eife. Northwest paying per cent. is higher
by almost hundred points. Great Northern.
paying per cent. towers 80 points higher
and St. Paul is worth its 10: Northwest q
worth more than its 245: Great Northern Il IN
trinsicalIy cheap above 800
Canadian Pacihc-with per cent. regular
dividend and Oh per cent. in rights last year
il 0or the present. under 80.
In one particular. notably. Canadian Paclsr,r
ultra conservative financial policies VIII please
the investOr-the upbuildIns OF the propsrfr
out OF current earnings. The constructors -
one richly contributing auxiliary. for eUarnp,.
has been charged against ordinary running ex-
penses-a trunk line 500 miles long. II requires
bravery in hnanciering TO do things Ike that.
laundering which has in the United States
however as has been pointed out in this review.
its prototype in the policy by which our Van
derbft Junior properties are built up-to
stay up
Recently was shown here the extraordinaFy
progress along these lines Of Vanderbilt com
panies like Big -Four and Peoria and Eastern
Nickel Plate and Michigan Central and Omaha
the last marvel Of railway history not unlikely
now to be consolidated on an equality Of maF-
ket value with its parent property, Chicago and
Northwestern.
Particularly strong all the week have been
Peoria and Eastern issues. There seems 70 be
practically no floating stock in the market ANY
actual effort to put up the stock must result IN
substantial advances-the fact suspected being
that the Big Four Company itself IS trying 90
absorb all outstanding stock Peoria and East
ern income bonds have also given good ac-
count Of themselves. After the payment OF the
per cent coupon they sell around SO-they
ought to get very close'tO par. One OF the most
conservative authorities in Wall Street writes
to its clients in this particular as follows:
Peoria and Eastern incomes are in our opin-
Ion absolutely safe. their present phenomenal
attractive prices cannot long continue Instead
Of selling around so they ought to be at least
II points higheF-and they will be- The pay
ment required for interest upon these income
bonds is not only earned but is protected by
surplus earnings beyond II per cent margin"
Normal administration Of the property indi-
Gates an early showing OF over per cent upon
the company's stock. At going prices it would
seem TO be difficult to find in the entire Stock
Exchange list anything more attractive than
Peoria and Eastern. Here is a property i'm
proved close to perfection in its physical eondi-
ton. producing earnings on tremendous
scale-and not yet prOhting marketwise by the
new conditions
There are plans for the rapid expansion OF the
Big Four property; and the very same plans
viii be adopted for Peoria and Eastern and
other related corporations. Peoria and Eastern
stock OF which the market Is bare. may be
fairly expected to command a very much higher
price soon. One OF ths most important mem
bers OF the Vanderbilt family has been the chief
buyer Of Peoria and Eastern stock this week.
Upon the Curb Market the new Leather issues
are strOng-they viii be stronger. What will in
terest fairminded investors is the fact that Ar
mOur & Co. and their associates are uneQuivO-
eally OutspOken in forecasting substantial ad-
vances for these new issues.
Another property in which Messrs- Armour
and their followers have interest Is the Interna-
tiOnaI Paper Company, whose score OF producing
mills can now claim profit production beyond
any past record. With over S2,OOO.OOO per year
average for more than FIVE years past. as sur
plus above hxed charges. there shows verv
clearly the prospect OF dividends for the COM
pany's shares. While conservative banking
houses are commencing TO investors the con-
solidated mortgages OF the company. representa-
tives Of these very same banking houses are
themselves buying the stock.
At the close OF the week there is semi-oficial
assurance OF relief to the Peoples Gas Company
Of Chicago from some OF the most OnerOus bur
dens by which it has been handicapped The
Legislature OF Illinois is about to adjourn for
two years; adverse legislation is thus disposed
Of. There is importance IN this. and. yet II Is but
trivial beside the splendid fact that IN it's opera
tons this corporation has for more than two
or three years past been continually earning up
wards Of IA per cent upon it's capital stock. But
OF legislation might be damaging Peoples Gas
stock ought now to be selling not lower than
$50.
What is at this juncture important Is that
Wall Street interests identified with the prop
erty who have for long time past been con-
tinuaIly apprehensive Of political raids. are now
become staIwart in their bullishness. James r.
Keene Is credited with leadership in a current
movement to put the stock 20 points or more
above present prices.
tended by strength IN Ontario and Western
stock-the Street generally being unable 10
comprehend the movement. A director Of the
New-YorIL New Haven and Hartford Railroad
Company authorizes this statement:
There will be guarantee Of per cent upon
Ontario and Western stock. Whether this d1Vi-
dend will be merely that Of the New Haven
road or whether IL will be a guarantee Joined IN
by the New York Central need not now be dis
closed 1t viii be a satisfactory guarantee