The Washington herald., 1913-02-05
WALL STREET GOSSIP

| II auu VI Au11 uVUNkk
| 1t Is reported from responsible in
vestment sources that there is an in
crease of capital diversion into the good
railroad issues.
Accumulation OF Amalgsmated is said
to be going on in considerable quaint
ity.
Philadelphia interests are found buy
ing Reading on breaks. 1t is said they
are replacing stock sold before the
Balkan slump.
Union PACIFIC and Subway matters are.
holding in check the operations Of
some of the bull pools.
information channels show that pro-
fessional traders continue to be besrish
on the market in majority of cases,
and are inclined to sell on rallies.
| The short interest has started to. in
crease again after moderate reduction.
Private borrowing of Steel. Amalga-
mated. Smelters. Union Pacific, and
Reading indicates this.
One Of the largest international houses
Is reported to be buying the Hill stocks
on a scale down whenever weakness Is
exhibited.
In France, Germany, and Austria alone
more than siOO.O0O,O0O is being boarded
pending peace declarations.
Evans-Market is backing and filling
without showing any tendency, awaiting
n
expect any immediate movement of i'm
portance When the real move comes /
think 1t will be in the direction Of lower
prices.
The price, that the Union Pacific will
pay for the Central, Pacific is between
500. 10000 and sl05.Ooo.oOO. Stockholders
of both the Union Pacific and Southern
Pacific will be- gi'-en the privilege OF
subscribing to the Southern Pacific stock
on a basis that will give the Southern
Pacific stockholders a little better than
their pro rata share Of the issue. The
Southern Pacific stock will be UNDER
written by a syndicate. it is understood.
at 81 and will be offered for subscrip-
tion to stockholders at par. 1t is ex-
pected that an official announcement OF
the plan which has been agreed upon
by the directors of the Union Pacific and
eraI will be announced on Thursday OF
this week.
4 Washington dispatch says: IL was
announced Monday that all further
hearings for this session before the In
terstate and Foreign Commerce Com
mittee of the House were Cancelled. This
action was taken on account OF congested
condition of legislation in the House.
d. hnlF FANp
on the long and short haul clause OF
the act to regulate commerce or the Fed
eral regulation of insurance companies,
or rates Of transportation during the
present session
The hearing yesterday was on safety de-
vices for railways.
The dissolution OF the Union Pacific
Southern Pacific merger which Is now
In progress is expected to result in some
i'm mportant changes in the railroad map
and in alteration of the routing methods
which have prevailed for a long time. II
comes from important sources that close
relations may be estab ablished between the
Southern Pacific and Rock Island sys-
TENS and statements TO this effect are
in part borne out by a study of the
new organization Of the Southern Paci-
fic Company The statement is definitely
made that there is in prospect diver
gence of the Southern Paciffc-Los
Angeles-Chicago business from the
Union Pacific to the Rock Island. Under
the arrangements the business will be
shipped from Los Angeles on the South
ern Pacific line to FL Paso and then
transferred to the Rock Island lines
for transportation to Chicago.
Missouri Pacific system December total
operating revenue increase, sISs09i.
Operating expenses increase. sfIS, ,5e1.
Net operating revenues increase, S10.03.
Gross income increase. sl9s.5Si. Net in
come decreased, s22.SI.
Union Pacific will take over Central
Pacific system for cash, present plans
indicate. Southern Pacific stock now in
treasury OF Union Pacific will be under
written by syndicate and offered to
both Union and Southern Pacific stock
holders at around par. Washington
dispatch states that a plan of guarantees
for safety of deposits will be incorporat-
ed in banking and currency reform bill
TO be presented to House early in Wilson
administration. Steel specifications
heavy, iron transactions light, sharp
break in tin and offerings of copper
freer at concessions. Milwaukee and
West Allis properties OF Allis-Chalmers
Company sold to reorganization commit
tee interests for 2bVo,VD.
Jerome ID. Greene recently elected to
the directorate Of the Western Maryland
Company, was yesterday elected TO serve
on the executive committee. He succeeds
Winslow s. Pierce.
onativia-I hear from very good
sources that the railway strike and
steel strike will not amount to &hything.
Contrary to general expectation, the
American Can will not pay eff the en-
tire 32Z per cent of the accumulated
dividends on preferred Immediately. A
substantial reduction of this accumula-
ton will probably be announced very
shortly, but how large this will be is
uncertain. 1t would be impossible to pay
OF the entire amount unless earnings
previously put into improvements. &C..
were capitalized, and the interests con-
trolling the company, It is learned, do
not favor such action, as they consider
ii would tend to weaken the company's
financial position IL these earnings were
used for paying dividends.
The decline in Can was accomplished
by rumor of a suit to enjoin the bond
issue. The ticker lawyers said the pro-
posed financing was Illegal. and they
gave many reasons, ineligible, no doubt,
to themselves. but quite too abstruse to
be understood -by others. why the pro-
posed plan could not be carried out
American Cotton Oil was strong spe-
cialty. Its rise was attributed to the
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