East Oregonian : E.O. (Pendleton, OR) 1888-current, 1907-09-06

New York, Sept. 6.-The bad news
which has been supposed to be hang
ing over the stock market eventu-
ated last evening in the announce
ment Of failure of a stock exchange
house, after which the Burlington
extra dividend declaration came as
a buoyant from the weakness which
had been in evidence yesterday and
early today.
This is the first failure of a stock
exchange firm which has occurred
through all the drastic contraction of
values of securities of the spring and
summer-a record which has been
the subject of. surprise. That trou-
BILE which pulled the firm down was
not of the immediate past, was the
general supposition, surmise pointing
to the shrinkage of some of the north
western railroad group among the
earliest in the severe decline as the
origin of the embarrassment.
The incident called attention to the
fact that an installment of three mill
lion dollars of Great Northern sub
| scriptions is payable tomorrow and
revived to consideration the recur-
rent requirements for capital already
| subsided, but not paid. On Septem-
ber 20 there is payable the final in
stallment on the Union Pacific con-
vertible bonds which will call for
| S37,500,000. 1t was intimated today
that there would be no extension by
| the syndicate which UNDERWRITERS this
/ bonds. and also that only a small por-
| ton of the synhcate's holdings has
| been marketed. In October again
there will be due 11,540,OO0 for sub
scriptions to Northern Pacific stock.
No small parts of uneasiness prevail
ent in the stock market has been due
to the knowledge of the difficulties
involved in finding resources for
meeting accruing calls of this kind
by reason of the tight money mar
| ket.
The special weakness of the Hill
| stocks in the early dealings on ac-
count of the failure was supplemented
by depression in the CONNER stocks.
There was another break in the
prices of copper in London and feel
ing was not settled as to the stability
of the price OF copper here on the
level of this week. on the other
hand, advices from the iron trade
| were encouraging. The easier tone
of time money was still evident but
rates for call loans were slightly stiff
fer.
The extra dividend on Burlington
stock confirmed rumors many times
renewed in the past of an intended
melon cutting for the Hill stockhold-
ers; but the increase in the regular
i dividend was a surprise. The an
nouncement coming in the midst OF
the unfavorable influences OF
the stock exchange firms failure on
these stocks, caused a violent upward
reaction and turned the whole mar
ket buoyant, in which state It re.
manned until the close.
Bonds were firm, total sales par
values s972,000. United States A
declined quarter on call.
| Concerning the extra dividend on
the Burlington stock, ]. j. Hill said;
Northern Pacific and Great North
| eih nave hau bui liHs'ol lor dpou'
six years and during this time Bur-
lington has not paid the carrying
charges of joint four per cent bonds
TO the extent of one per cent per an.
mum, and therefore to equalize thi.
deficiency six per cent additional has
been declared on Burlington stock
The annual report Of 1907 will show
that the Burlington has had the bes
year in its history. The additiona
dividend on Burlington stock will
contribute about sS,25O,O00 apiece tc
the treasures of Great Northern Pa
cific. This is equivalent to more
than two per cent on the capital stock
of Great Northern and Northern Pa
| cific"