The Washington herald., 1913-03-01
million CAPITAL,
LARGE SURPLUS
For Potomac Insurance Com
pany Sold to Foreign
Corporation.
MARCH DISBURSEMENTS
Checks Sent Out for $174,200-Loeal
Stocks Steady-Leiter
Home Again.
BY I. A. FLEMING.

ht 'tli'l di -AINlutHl, i>ilt, did
Assurance Corporation. of Perth. Scot
land, with a capital of practically s5,oO0-
COO and with agencies in every promi-
ncnt city of the world, has purchased the
Potomac Insurance Company, of Wash
ingtOn, D. {.
Four-ffths of the capital stock of the
latter corporation has been secured and
transferred TO the new ownership.
1t is the int antiOn of the great inSur-
ance corporation to increase the capital
stock of the Potomac Insurance Com
pany TO sl.O00.000 and to give it a surplus
of S5o0.0oo According to the laws of Eng
land, this cannot be done until such time
the entire stock issue Of the Potomac
Insurance Company has been obtained,
hut actual control is now settled.
The General Accident. Fire. Life and
Assurance Corporal ton of Perth intends
TO enter the fire insurance field of the
United States through the Potomac In
sUrance Company. The field. one of the
most tempting. has been closed to the
big corporation. although it has long
transacted accident life. and assurance
business.
Before foreign corporation can en-
gage in fire insurance in the United
States il is necessary to have assets of
$500 600 in New York State and 100000
for branches.
Not caring To SeSrCgate such a large
amount of money. the corOoration has
refraineG from writing fire insurance.
Francis Noire-Miller. j. p, is the gen.
craI manager of the big Scotch corpora
tion. Mr. Noire-MiIler was in Washing
ton Il few days ago on business. He as
SuTed the employees of the Potomac In
suranCe Company that they would re-
tain their positions.
The General Accident. Fire. Life. and
Assurance Corporation owns twenty-one
smaller insurance companies.
The Potoma, Insurance Company has
always held a high reputation. 1t was
chartered by special act of Congress in
March, 1881, and was granted an eN-
tTemely liberal charter. and ii is. there
fore very valuable. Efforts have been
made by officials i'm the past to obtain
permission to do a bonding business. but
this has been denied.
The company has a capital stock of
$4,000 and has a long record for prompt
payment of losses. Ii has a number of
agents in the East.
Agents will be appointed throughout
the United States by the Potomac Com
pany.
r. d o. JoIted Again.
Ignored by the Baltimore and Ohio
in its proposed big bond issue. and
forced by the court to go to the Mary
land Public Service Commission finally.
the Baltimore and Ohio has been re-
fused the necessary permission by the
commission to issue its bonds. The
railroad company will now appeal to
the courts.
March Disbursements.
Dividend checks on both the common
and preferred shares of the Washington
Railway and Electric Company were
sent out last evening The common
shareholders received $4,000 and the pre-
ferred sl06.250, a total of s1L,250.
The only corporation making payments
at this time is the Potomac Insurance
Company. It pays per cent quarterly,
SO that its shareholders will receive
$1,000 to-day.
The total March disbursements were
sl7i.2j0.
Mr.. Letter Returns.
President Letter. of the Washington
Gas Company. was back at his desk yes
terday, returning from Hot Springs.
Mr. Letter was positive in the state
ment that there Were no strings to my
election, no understanding that 1 should
resign at any time; none whatever
Nothing uncertain to that
Munsey Probabilities.
Personal representatives of Frank A
Munsey. have been looking over the fl
nsncial field in Washington within the
lest few days. It is well known that MIR.
Munsey desires a tenant for the banking
room in the Munsey Building The sue
cess Of the Munscy Trust Company OF
Baltimore has turned the tide in favor
Of a trust company. 1t is also known
that a corporation with capital of not
less than S2JI0ra0 is favored.
Local Securities.
Three issues of bonds and six issues
of stocks were traded in the local
Stock Exchange Thursday. Most of the
transactions were ofrsmall amounts, and,
with the single exception of Mergen-
thaler. prices were generally steady and
without much change.
Traction IS were favorites with in
vestors at 1fol-4a1l0 3-s. generally IH IS
Riggs realty, long bonds, brought 102 IS.
Railway As were wanted at So. Gas SIS
were nominal, with 100 bid and lO9 IL
asked.
In the stock list Mergenthaler opened
at 21T1-2 and closed at 217 is. 1t has
been evident for a day or two that a con-
siderable block of this stock was over
the market. and the lowering of bids has
followed, with each evidence of this fact.
Lanston brought SsJ
Capital Traction sold at l2S. and was
offered at IL % allcT tne sdlt n niue
Railway preferred brought IS IL.
Gas stock was a shade stronger. selling
AT S. IA.
Union Trust Company. 1876.
The local exchange will stand ad-
journed with the banks on Tuesday,
March 4. Business will go on as usual
on Monday, the Sd.
Wall Street.
New York stocks were decidedly slow
yesterday, without material movement
other than fractional recessions through
gu, the list. General Electric was one of
the strongest stocks, getting back its div
idend and little more. Can opened
high, weakened, and came back to Ia
for a closing.
Railroad earnings continue satisfac-
tory. The street is again speculating
on the Minnesota rate case coming out
on Monday. just as it has for months
past. II il comes, it will, if favorably
decided 10 the interest of the roads,
furnish the incentive to higher prices
and more activity. If against the rail-
roads, it will give the impetus the
other way, while no decision will keep
the market nervous and irregular.
The delay in working out the prob
lens of the Union Pacific Southern Pa
cific split has unquesticnably hurt the
market.
There is big short interest out. and