New-York tribune., 1911-12-06
FINANCIAL MARKET
Wabash Issues Decline on Pro-
posed Reorganization Of Com
pany'S Finances.

Rig business interests throughout the
country doubtless will construe the
Presidents message as helptui ana
constructive document. especially the
recommendation regarding federal IN
cornoration law. which the President
saws would provide for the voluntary
formation Of corporations TO engage III
domestic and foreign commerce gov
erned by specific provisions for inc
building up and regulation of Legitimate
domestic and foreign commerce. Ihe
President saws q federal incorporation
law will facilitate the squaring of great
industrial enterprises 10 the rule oil ac-
tion laid down by the sherman anu
trust law. and he adds that the purpose
of the anti trust statute is not TO con-
fiscatc property and capital of offending
trusts but to prevent their violation oil
the law. Furthermore, the President
points ont that the recent decisions ol
the Supreme Court make clear that
there is nothing in the statute which
condemns combinations Of capital or
mere bigness of plant organized TO Sc
cure economy in production and a re-
duction Of its cost The statute Is vio-
lated only when the purpose or heces-
earv effects of the organization ana
maintenance OF a combination OF great
size are the sitting Of competition, act
nal and potential, and the enhancing OF
prices and establishing monopoly
Traders in the stock market did little
before the publication of the President :
message. and operated on the pear sue
after its salient features became pubic
nropertv on the old theory OF selling on
the receipt Of good news. Efforts 10
shake out stocks, however, were not
eucceesful. except to some extent in the
case of the Wabash issues, which were
sold bv people who were unable TO ap-
,,reciate the importance Of the tenta-
five plan for the reorganization ana re-
,diustment Of the Wabash Railroad
This road has had bad past but there
6 now reason to believe II VIII ENJOY
tappv future. Kuhn. Loeb q Co. inc
Union Pacifc bankers. have taken
charge Of the finances of the WABASH
and they are in q position to supply the
relatively small amount of capital heeu-
cd 10 make II real railroad. AS lar
as managing the property is concerned
tho coulds have been eliminated and
tho election Of new directors suggests
,ba, actual control Of the road mas
nsssed TO new interests. Wabash pre-
ferrod showed q maximum loss OF more
than points and the common more
than points The general market
closed heavy and inactive
Renewals in the call money market
were made at Az per cent yesterday
and there appeared TO be an aouhdaht
supply Of funds available at that igure'
Time money was more active. the banks
ezreriencing no difficulty in placing
their cash for all msturities from sixty
davs 10 six months at per cent Al
though they were not inclined to buy
comme, Ella, paper at somewhat hleher
rates. Offerings Of mercantile bills were
light I'm volume. The best names were
quoted at ~ to AZ per cent but the
lending institutions evidently believed a
aiting policy in the matter Of buying
naper would result In better profits than
could be secured at the quotations re-
ported. While the higher rates Tor
money in the call and time department
of the market are beginning TO attract
currency from out -of-town points. the
New York banks continue to lose on
their operations with the Sub-Treasury'
transactions on this account since last
Friday showing a gain by the govern
ment Of more than s5,0000oO' notwith'
standing the fact that so far in the cur
rent month the governments ordinary
disbursements have exceeded receipts 10
the amount of $500 900, with denclt
or all accounts Of upward Of sl2OO,OOo.
Interior institutions continue to settle
obligations due the government by
drafts TO the Assistant United states
Treasurer IN New York on their bal
auCes with local banks. There is no
uneasiress heve over the monetary situ-
alton Indeed bankers are quite well