The San Francisco call., 1910-06-11
WALL Street CASTS
SHADOWS ON COAST
Securities Generally Weak at
LII Low Levels After Short
Lived Rallies
By PAUL sINSHEIMER

-AQ inactive week has approached its
close. with tac market in the dol
drums. There are bright spots here
and there. bus for the most part the
depressing influence Of Wall street has
east its shadow toward the Pacific.
The rallies that followed last weeks
break were short lived and securities
were generally weak al the lower lev
els The fun promise is held out by
predictions OF an abundant harvest
later estimates even exceeding those
q the earlier season.
B: The mourning note sounded by the
-Iailroads on the Atlantic was ecnoed
ere in the annual reports filed for
2 sssessWent purposes ~ Sacramento.
these show aggregate earnings for
rle 14 California lines somewhat under
those OF last year. The total for pres
eflz levies is S7@,15l,51S against sI5.-
f-s.s52. Gs year ago. The loss Is at
tributed largely TO the showing Of. the
Sapta re. With this company elimin-
AIRED the total would show a slight in
cease, S6o.100. .698.36 gainst s59.531,-
5s1-3s
CONDITION or RAILROADS
Special attention had been called to
e Fse cost OF the Santa 9e by the New
york Financial Chronicle in a recent
issue. IN speaking Of railway condi-
lions generally. il said:
The situs tion as il exists today is
well illustrated in the statement OF the
Atchison. Topeka and Santa Fe for the
month Of April We have in previous
issues referred to the return Of the New
York Central for the month of March as
indicating that, though our roads arc
making satisfactory gains in their gross
revenues, the growth in expenses is
pletelv absorb these gains. leaving the
net results actually smaller than last
1.esr.
~sThc Atchison travels an entirely diff
-ferent section Of the country from the
central but its exhibits are Of the same
character. As compared with the month
OF April last year, the AtchisOn en-
Isrged its gross earnings in amount Of
no less than 1885, ,0O4. This is an addi-
ffou Of almost II per cent, and certainly
reflects a very prosperous condition of
The roads traffic. But note that ex-
penses ran uD in the large sum OF
81 s60.z95- or close to 20 per cent. As a
result net earnings have been reduced
F495491. Furthermore, the company had
10. pay s51.50s more for taxes than in
the same month last year. the addition
IN this case being over Is per cent. In
.4he Gnal result, therefore. there is a
loss in net OF S5s6,995. or about i per
3ent IN other words, in the face of the
great: prosperity the road is enjoying
fts net earnings diminished to the eN-
tent Of II per cent
Net EARNINGS DECREASE
" Following in the same vein, this
sEthority concludes:
with net thus falling away the
.at6hison is obliged to earn a return
OBJ a larger capitalization. To meet
the demands Of its expanding business
the company is required all the time
80 provide new equipment and furnish
additional facilities, all of which means
The constant raising OF new. capital /.
Last year s2S.25S,0OO of convertible
fours were offered to subscribers at
IOf and now S39.000.OO0 more fours arc
being offered at 1929, These two
stenas alone make = total of S6G0Oe,OOO
Of pew pital on which interest has
TO be earned and yet we find that
net, earnings instead Of increasing as
.tiev should are in reality falling on
: ANhile there has been some tendency
10 take alright at this presentation. a
SURVEY Of the freight available for the
~ lr months should allay apprehension.
BIG BOND ISSUE FLoATED
3: >A.:more encourag ging announcement
fcllS Of the successful negotiations for
the dotation in Europe Of a $25.00o.9o0
bond issue for the Southern Pacific.
renewal or the report Of contemplated
improvements Of the terminal faciii-
ties at san Francisco
Interest IN the local market has cen-
tered largely in Associated oil. Car
rled down 10 IS by the wave that
swept over the eastern exchange, the
stock has regained ~ points Al
though still below its previous figure,
IL is firmly held at present quotations.
The company has mailed TO its stock
holders copies Of its application for
the listing privileges Of the New York
exchange. IN this document it sets
forth rs holdings as 20,5S5.14 acres, Of
y which I3,932.73 are held in fee and
552-sl under lease. This acreage is
thus distributed. Kern river field.
2S69-9z acres McKittriek, 257o.2S:
county s.3l7s5 acres. Santa Barbara
county, 529, and Kings county. l.0So
acres.
Estimates made At various times BIZ
experts, says the application. has