New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-08-12
brief NOTES OF FINANCE.
Paragraphs of Current Interest
for the Investor.

law tAttHl do 10 luftnti nrlNl-
leees which may be extended In con-
Quoting this branch of the bank The
report Of the Controller of the Currency
states that there are 1885 national
banks out of a total of 1,i73 maintain
ing savings bank accounts. with aggre-
gate deposits Of sS29.070.166. Although
II is not specified in the present banking
laws that a national bank may maintain
a savings department the words "to re
ceive deposits" are accepted as covering
this part of the banking business. Ger
tain restrictions are imposed on deposits
accepted as savings" as they cannot be
invested in real estate mortgages. end
this naturally places national banks ac-
cepting savings deposits at disadvan-
tage with the state chartered savings
institutions. \ provision In the new
currency bill states that national banks
may loan on farm lands. the loan not
TO exceed nine months. but if the period
were extended. IL is conceded by many.
II might cover the requirements relative
TO the investment Of savings deposits.
The Controller of the Currency in a c r
cular letter recently sent to national
banks. asked a number of questions rel
ative 10 savings accounts. the segrega-
ton of these accounts and their invest
ment in real estate mortgages About
5.lS3 replies were received, Of which g.,
5f3 favored an amendment to the law
allowing their inve" men. IN real est 'te
mortgages. and 4.6S2 banks favored au-
thorizng the establishment Of savings
departments The number OF banks that
favored restricting real estate loans TO
a certain percentage Of savings deposits
totalled 4,O34. and the number favoring
segregation OF savings deposits and
restricting Investments. as provided by
mutual savings bank laws, was 2,oil.
Economy in Mergers.
In the United States the disposition Is
to fight combinations regardless Of the
economic necessity which sometimes forces
competitive institutions into mergers. An
instance OF poor business forcing a COM
bIne is in the taXicabs OF London, where
three Of the principal motor cab concerns
are merging as result OF individual un-
profitable operation. In this country Lon
don is frequently cited as city where
ii is cheaper to ride than it is 10 walk,
owing TO low taXicab fares but the record
Of motor car industry i'm London has
been very unsatisfactory. and unless dras-
tic economies resulting from combina-
ton are sufficient to bring a better degree
Of profit the low rates vii have TO give
way to higher ones To insure successful
operation The new combination I'm Lon
don will begin with a capital of over
u.s N nd l.
have been written off I'm the exchange OF
new shares for old
investment Status Of Canada.
Canadian borrowing and the financial
condition OF Canada have been subjects
Of discussion by the press I'm this coun-
try and Canada for some time, and now
the London investment public. which Is
largely interested in Canadian securities,
is reading a series OF articles on the sub
ject OF Canadian borrowing IN The Lon
don Times" which sums UP the case as
follows:
The substance Of the charge against
Canada may b. put In dozen words. IL
is that In the last five years che has over
borrowed herself. This charge does not
lie against the Dominion government.
which has been very moderate In its loan
issues. and has met out OF revenue much
that might properly be called capital ex-
pcnditure The provinces. too have been
small borrowers But the charge Is laid
against the municipalities. large and
small. against the railways and against
the industrial and commercial undertake
ings Of the country. When 1t is devel-
oped I'm detail We find il alleged that
Canada has been living on capital, ana
OF borrowed capital at that; that her land
values are greatly inflated; that her cities
have spent eXtravagantly on public inn
provements. and that railway building
and other enterprises have been under
taken beyond what the country can sup
port Much has been made OF the adverse
balance of trade against Canada. Indeed
the increasing surplus Of her imports over
her exports during the last few years has
been pointed TO az conclusive proof OF
the whole matter"
After reviewing the pros and cons, in
GLIDING the contention that the expendi-
lures of municipalities have not been
greater than was needed and that All the
railway building and industrial eXpan-
sion has been too slow for the country, IN
which the population is increasing at the
rate Of nearly half n million year by
immigration alone. together with other
defences of the liberal spending proclivi-
ties OF the Canadians. THE Times says
that IL is difficult to make anything in
the nature OF judicial summing up be-
tween the two contentious, as they rep
resent merely different points Of view.
and that the validity Of either must de-
pend on future events still uncertain.
For instance, II prices. and particularly
the prices Of raw material and food.
through the world In general. continue TO
rise. the position of Canada will be much
stronger than II they should stay where
they are or should fall
Prospect for Express Companies.
The investment situation OF the express
companies is one that is calling forth
many inquiries regarding the future bust
ness OF the companies and their pros
pective earnings. The future Of express
companies is covered by The tinan-
cier." New York, briefly as follows:
THE express companies of the United
States have only themselves to blame for
their present predicament The Interstate
Commerce Commission decree ordering
drastic reduction in express transporta-
ton charges may he regarded as harsh.
hut this does not of itself Imply that the
order Is unjust. The express companies
for many years have enjoyed a monopoly
do