The Washington herald., 1912-12-22
by 1. A. FLEMING.


number of stocks that were lower The
street was getting ready for Monday
when every one expects decision in the
Minnesota rate case. Many OF the short
covered and some of the longs also tool
profits and will remain out until sicf
time as the court renders its decision
The coming holidays also tend to limit
operations in securities.
The early gains which were important
amounting to three points in Union Pa
cific, brought out considerable profit.
taking on the part of the holders of Sc
curities and the full advance was not
held to the close.
One Of the good gains OF the day was
in Mexican Petroleum. Copper was
stronger on the advance in London,
Smelter sympathized with Copper, and
number Of industrials moved with the
strong stocks.
II the Minnesota decision is handed
down to-morrpw there will be active
trading and large fluctuations in prices.
The days trading was not large. Read
ing was the active leader and II lost
two points. National Biscuit, the strong
est stock on Friday. dropped three points:
Copper lost a point, Union Pacific sew
Cn-eighths. and the net gains and losses
were about an offset on the records of
the day.
The action of the directors of the
Georgetown Gas Company in deciding on
10 cent increase in the rate for gas
caused much comment around the city.
The inference drawn that the Wash
ington Gas Company contemplates an in
crease in charge is not well founded.
The Washington Gas Company is clos
ing the best year Of its existence and on
basis Of s. cents for gas. That it should
contemplate an increase at this time
would not be in keeping with the policy
Of the corporation.
The Georgetown Gas Company has not
earned any dividend during the last six
months, nor will it declare a distribu-
ton to the shareholders. The dividend
will be passed.
According to inside information the
company has earned the interest on
bonded debt and operating expenses, but
there is not dollar for dividends either
to the Washington Gas Company, which
is the largest shareholder, or to the in
dividual stakeholder.
There was much complaint on the &C
ton that reduced the price to IS cents
a thousand on the part of interests that
have always cOntended that with its Inn
tied field and its developing, but not
profit making territory. the price should
never have been cut from the original 81
a thousand
Prominent interests in the Washington
Gas Company admit that an offer was
made, buy SELL at $50 a share for
Georgetown Gas stock to the Washington
Gas Company, owner of $50 shares of
the former. but that since that PROPOSE
ton was rejected no movement has been
advanced for a contamination of the sale,
no lower price has been suggested and
the Georgetown crowd has stood pat.
Up 10 December l. 1872. the Washington
Gas Company had earned practically as
much net as it did in the full year 1911. |
No one has suggested that it would be |
necessary TO advance the price Of gas. !
The directors of the latter corporation |
have given the stock of their corporation |
no support whatever in the open market. |
but have devoted their time exclusively !
to the manufacture and sale of gas and I
the edu alton of the public to the ad-
vantages of the Illuminating and the fuel
gas
That the presidency OF Joseph Letter
has been Il pronounced success is not
admitted. He has not had the experience
to make a great corporation successful,
lacks the tact in dealing with men and
lad himself open in the case where the
Georgetown Gas Company needed gas
while cleansing the famous water set.
That Mr.. Letter will be reelected pres
ident is not a certainty, but it is within
self The proxies for the annual meet
ing are not out as yet, but through this
method the ms perpetuate themselves
in office.
That there is opposition to Mr.. Letter
is admitted on the street and the chances
are that if any organized effort is made
Il will crystalline, and the proxies be with
held to make the fight interesting.
The baneful effect of the proNie is rec
ognized in corporation matters very gen.
orally. 1t is the method by which the ,
parties in power perpetuate their power i
and keep the outs out.
If little interest can be aroused on ,
the outside. the outs may beat Mr.. Letter
for reelection.
A consolidation of the two gas corpora :
tions would be good thing for the city, .
in that it would permit that section west :
Of the boundary line. Rock Creek, to avail !
itself of Scent gas.
Wherever the matter of gas and gas
rates have been mentioned the sentiment
las been favorable TO a consolidation of
the two companies
Moreover. as stated Saturday morning.
in the exclusive story announcing the Y
4 Ction of the Georgetown Gas Company,
The increase to 81 a thousand cubic feet -
vest of Rock Creek in gas is admittedly r
the strongest argument for utilities
next to the Washington ,
Utilities Corporation, that mas Oeen ad- n
sanced President Weaver. Of the George n
own Gas Company, is a strong advocate n
If consolidation.
The earning power Of the Washington, A
baltimore and Annapolis Electric Rail- Il
Dad is steadily expanding and the Oper- \
LtIng ratio is being held down to
easonable basis. In November gross
operating revenue increased $11.so1 and y
perating expenses increased A,457, the n
,ain in net being 1888. Following is A
he detailed statement for the month of c
and the II months ended No c
'ember so:
1872 Increase NJ
ross operating reT.-........... 81 81 q SlSls
I,Icrating expenses............. SS@z LEgTs Q
Net operating rey........--...-Si.5ss 81 S-S637 |
Miscellaneous income .......... 5S2 BHl
Gross income. ................. Sssz8 azsE 4
Deductions from inc. for A
taxes, int, &c.--........-.-.- 900 s. go Il G.
Net income Slslsa sl1I G.
- cEnt opcr e1r to gross 3,