Evening star. [volume] (Washington, D.C.) 1854-1972, 1907-11-28
PEOPLE BUYING STOCK
Getting Good Securities at a
Low Price.
CLERKS WORK OVERTIME
Thousands of New Certificates Being
Prepared.
INCREASE IN SHAREHOLDERS
Experts Agree That Present Quo
tations Are Abnormal, Being
From to 80 Per Cent Too Low.
IN SHAREHOLDERS
BY WILLIAM E. CURTIS.

known in New York for years, and
many people over here think that
calico balls will be fashionable this
winter and sheet and pillowcase parties
will take the place of empire teas: The
president Of one Of the biggest corpo-
rations told me yesterday of some Of the
sacrifices he and his personal friends have
been making because of the depression in
stocks, but he saw fringe of light
around the horizon which betokens better
weather. The rich men of New York
have been through a fiery furnace and are
still wearing scorched garments. But they
are hopeful; they are confident that the
worst is over, and are exercising their
philosophy.
There used to be wise old Irishmap
with quaint wit in charge of one of the
elevators of the Treasury Department at
Washington, who saw the good side OF
everything. His optimism was contagious
and he had cheered many respondent
soul. One morning a veteran clerk was
complaining of his eyes; he feared his
sight was failing and expressed his con-
Germ for the future in a gloomy way.
20 quit ye'er complainin', said the
elevator man. land thank the good Lord
that we've got nose on which you can
hang some specs"
Occasionally you find such a philosopher
on Wall street and lower Broadway, and
in these dark days they are welcome
guests everywhere. Mr. George w. Per-
kins, formerly of Chicago and now a
partner of Mr.. Pierpont Morgan. is one of
them. He has been able to discover many
encouraging symptoms in the financial
situation. 1t is good time to listen to
men like Mr.. Perkins. Their hopeful opin-
ions are stimulating.
Good Securities at Low Prices.
lone notable advantage of the present
depression Mr.. Perkins says, lis the
opportunity it offers for people of limited
means to invest their savings in sound
dividend paying securities at low prices.
Everybody believes that stocks and bonds
will begin to rise very soon. The pres
90 or 20 per cent of the actual value OF
the standard securities, and those who
buy now will get the equivalent of and
Z per cent upon their investments In
or per cent stocks and bonds. There
has been no falling off in earnings; divi-
dends have not been reduced, and are not
likely to be- but there have been so many
forced sales by people who were compelled
to have cash that prices are still very low.
There never was time when the pub
lie has bought SO many small lots" said
Mr.. Perkins; mot only ten and twenty
shares at a time. but even one, two and
three shares. These small purchasers have
sent in ten or twelve millions of dollars
already, which has helped the situation
There are no large dealings
now. If you will look at the daily quota
lions you will notice that most of the
trades are limited to small orders. The
largest number of orders come from New
England. Many of them are only hun
dred dollars or two hundred and hfty
dollars and similar amounts. This is
most encouraging sign. because it shows
that the public at large understands the
situation; that it has perfect confidence
in the prosperity of the country: that it
is ignoring the causes of low prices and
taking advantage of them to make wise
and permanent investments"
Working Overtime on Certificates.
What Mr. Perkins says is confirmed at
the transfer Office Of every railroad and
industrial company. The transfer Of
ficers say that their clerks are over
wfelmed with work, and some of them
are kept regularly until midnight making
out certificates for small amounts. 1t
takes just as long to fill out certificate
for two shares of stock as for 1000
shares, and the name and address of
every holder must be recorded in the
transfer books. At the Pennsylvania rail-
road transfer office, 128 Broadway, they
tell me that they have an extra force of
twelve clerks making out certificates OF
stock for new buyers, and that the GER
titicates will average ten shares each. The
number of stockholders in the Pennsy.-
vania company is larger than those OF
any other corporation and has stood ats
about $1,000 for several years. Within
the last few weeks this total has been
advanced to more than 10000, and al
though no statistics have been kept, it is
the opinion of the officials that 10000 of
those stockholders hold an average of ten
shares each. Nearly all of the new GER
tidcates are for a hundred shares or less.
was quoted at 140. The other day it was
down as low as 106. and those who are
buying now will get the equivalent of 5
per cent for per cent stock.
Alexander Miller. secretary Of the
Southern and Union Pacific railroads,
tells a similar story He has been COM
PEELED to employ extra clerks to make out
the new certificates, and they are work.
ing overtime. Most of the certificates. he
says, are for twenty, fifty and one hun
eral- for one, two and five shares each,
while a large number are for ten shares.
Buyers in Villages and Towns.
Mr.. James L. Carter, who has charge of
the transfer department of J. P. Morgan
& Co., says: While the average num-
Der of shares represented by the new
varies from twenty to fifty on
the different railroads. we have issued
great many for three and five. and still
more for ten shares. AS you know, every
is required to furnish an ad-
dress to which his dividend checks may
be sent. In that way We learn where the
new stock is going, and the great ma
jority of the buyers live in villages and
small towns throughout the country
Vice President Nichols of the Great
Northern railway says that the trans
fer department of that company is
swamped with work and Is now nearly |
two weeks behind in issuing certificates
and in sending out blanks for the ad-
dresses of the new stockholders. He |
says that the number of shareholders in |
the Great Northern railway is likely to !
be doubled by the present purchases The |
same Is true of the Northern Pacific. The |
Great Northern company owns a control |
ling interest in that road, so that the |
books is much smaller than those OF |
other roads, but recently issued certifi- |
Gates have been split up SO much that
the number has more than doubled with |
IN the last six weeks. |
Increase in Stockholders.
The following table will show the num-
Der of stockholders In the companies
named at the date of the latest dividend, |
usually some time during the summer,
and the number on November 25:
Latest dividend Nov. 25, 1907.
lew York Central 49,. $500 iS0oo
Ohio.... 1000 2SOO
Southern. .............. 1880 1920
SH ar.halg p i,.i,sa.....'.. 80 1910