The Washington times., 1912-10-06
IN,LOCAL FINANCIAL CIRCLES
BY I. A. FLEMING.

Everyone 10 awaiting with interest the
official announcement OF the directors
Of the Maryland virginia Company as
TO the aims and purposes Of that cor
poration. :,
That It has passed beyond the original
plans Of financing the Washington
Railway and Electric Company Is
plainly evidenced by the announcement
that the directors of the Washington
Virginia Company have recommended
the sale Of the company and It's prop
critics to the Maryland Virginia Com
pany. ~ lAH Va
When the announcernent was nrst
made Of the purposes Of the company
officials Of the Washington Railway
and Electric Company. II was said Ia
be plan for financing the Washington
Railway and Electric Company. with
the addenda that every public service
corporation in the city was near the
end OF its financial resources for future
new 1000, 900 corporations would be "a
vehicle for their convenience II they
sought nt to make. use OF IT," meaning
porstion v the utility companies cared
to come In.
Stock has been freely bought and
turned over to the Maryland virginia
Company;. much stock has been inter-
changed on basis. not made public.
probably on q basis OF % for the COM
mon stock Of the Washington Railway
and Electric and 30 for the Maryland
Virginia,
II is not expected by the financiera
back Of this Maryland Virginia. OF
other corporation, movement that the
matter will require the approval OF
they DO not intend to destroy the ex-
listing companies. TO seek enlarged cap
italization, certainly not In either the
gas company, or the traction company.
as this would necessitate acts Of Con-
gress. But they propose to make the
and in the case Of the Washington
Railway Company. and the Washington
and Virginia Company, II would be a
holding company Of holding companies.
1t is generally understood in financial
interested Hatelss s have V gone further than in.
dicated by developments made public
up to date. II is stated that the fscal
plans have been entirely agreed upon
and that New York money will finance
public utility companies Of Washing
The names Of william Solomon & Co.,
and Kuehn, Loeb. q Co., are freely
mentioned as underwriters and also
Jacob Schiff.
When the time comes to carry out the
plans on a broad basis bonds Of the
Maryland Virginia Company will prob.
ably be offered for sale. Back OF the
bonds will be the shares OF the utility
corporations that have been purchased
by the Virginia Company
and bonus Of stock In the latter cor
poration will probably be offered with
each block OF bonds.
In the meantime the local security
market Is dragging. No one cares t6
venture far, neither dare they sci
freely, although quite a bit Of preferred
stock of the washington Railway ant
Electric Company has come out during
the week and prices have been lower
by several points.
II necessary the Maryland-Virginit
Corporation could acquire the contro
or the entire capital stock OF the Capi
tai Traction Company, at the price q
| which officials of that corporation hav,
indicated their willingness to sell. SIS
a share, SlS,0o0,o0O for what is now wortl
on the market about SIS, 900, 900. Tht
would not be such an e1orbitant price
all things considered. -
washington Gas shares have attracted
some little attention. without develop
| ing any activity.
The stsck Is held very strongly ant
bears as hard as almost anything OF
tho list.
| With disbursements Of nearly 10000
October !, the local stock market di'