The Washington herald., 1913-01-05
by 1. A. FLEMING.

BY 1. A. FLEMING.
Wall Street looked through a little
more cheerful glasses on Saturday than
on Friday. The big short interest I'M
Z. dertook to turn a few paper pronts OF
good size into bank accounts. They also
met a little better feeling among the
bir traders on the street who are conn.,
IDENTIFY looking for decision on the
Minnesota rate case from the supreme
Court. This feeling is so strong that an
adverse decision would be a distnct
shock to the street and would bring
about some pyrotechnics on the bear
side OF operations.
THAT they are encouraged to expect
a favorable decision Is due largely 70
the fact that an adverse decision would
be practically an overriding of the IN
dividual members of the court, who In
judicial capacity in lower courts nave
adjudicated on this case
Just what effect a favorable decision
woulds exert on the market Is diffeult
to say. That a favorable decision has
been fully discounted Is a fact.
There are those who opine that Wall
Street is on the eve of receiving its last
bull argument for many day.
That after the decision in the Mime
sofa rate case is in, there will be moth
ing but easy money, plenty OF 1t, and
good earnings to warrant advances,
while the era Of excessive honesty, OF
unusual probity, of individual effort Will
dawn, to discourage all corporate enort,
to worry and depress corporations and
poke the Inquisitorial proboscis into
other people's business as never be-
fore.
Moreover. while 1t seems impossible,
il is believed that the next Attorney
General will Guido Mr.. Wickersham as
the enforcer OF the Sherman law.
The picture is not a very pretty one,
but 1t is in line with the Wilsonian doc
trine of more personal endeavor.
Beet Sugar was a weak sister, dropping
9 Is points, in addition to its smashing
of Friday. All the Petroleum stocks ex-
cept Texas Oil were also on the weak
list. Mexican Petrol going of "a.
American Tobacco was the strongest
stock in the list, making "a points
advance. St Paul and Southern Pacific
were each better by point, and Union
Pacific as well.
The Coppers and Smelling were all
higher. Harvester moved up l ii.
The sales for the two hours were only
10000 shares.
The. bank statement was excellent, and
probably had something TO do with the
uneasiness OF shorts in the leading
by the movement of money day bs day.
Peace news was of a more positive
character in the statement to the Porte
by Turkeys war minister. that Turkey
was In no shape to renew hostilities.
The Commercial National Bank en-
ployes, that is, the male employees. d.
rectors and officers, dined at the Com
merciaI Club yesterday afternoon. They
MI s=l,o rsy ,1sNrfIA ~
of l-2 per cent on their salaries. The
1900 clerk received SIS. the 5000 clerk
500, and President Chaplain, II L. per
cent on his salary" In all, several thou
sand dollars were distributed. and the
employees were highly satisfied with the
sharing plan.
The directors of the Commercial Ma
tional Bank. when they undertook the
establishment of a profit-sharing plan,
decided to make payments of not less
than l per cent on salaries nor more
than 10 per cent, but they did not put
the proposition into effect until a year
ago, at which time they found that the
distribution would total per cent.
That the payment this year is ~ per
cent indicates plainly that 1872 was a de-
cidedly prosperous year for the Com
mercial National, the most prosperous
in its career.
At last the question of legality OF the
ownership of $50 shares of Georgetown
Gas by the Washington Gas Company
has found its way into court.
As to the disposition of the case, the
arguments pro and con, and the final
status, time alone can tell, but il is in
teresting.
The Georgetown Gas Company has
been controlled by the Washington Gas
Company, through Pajority\ ownership,
for seventeen years; although the claim
is also made that former President John
r. Mclean did not deliver the con-
trolling interest to the corporation I'm
til October 2, 1907
The Washington Gas Company exer-
cised all the powers of controlling own
ership until June, 1872, when the trouble |
started.
At that time the directors representing |
a minority of stock refused to permit |
the Washington Gas Company to vote |
the majority Of stock, declaring the |
stock to be illegally held. Before this |
an allotment of Georgetown Gas bonds |
had been made and delivered, the former /
company receiving its share.
When the last dividend was declared, |
only the minority shareholders received |
pro rata of the distribution, the theory of |
illegal holding being maintained. The
The Washington Gas Company direc-
tors took no measures to force the issue.
nor would they agree to the purchase of |
the minority holdings. nor Yet the sale /
of their Georgetown stock, although |
meetings were held and consideration of
the matter given full airing.
Georgetown Gas, which has been sold
as high as s145 a share, has. not been
quoted on the Exchange for some time
Efforts to obtain actual gas by the
Georgetown Gas Company, while clean
ing its own plant, were not successful,
either from the Rosslyn company or the
owner of the Georgetown company, ex-
cept on conditions that were deemed I'M
Just. Finally, the Washington company
did make concessions and furnished some
gas.
The Georgetown Gas Company also is
said to have received gas from the
Rosslyn company, even when conditions
between the two companies were entirelS
amicable, although there is a decided
question as to the right of the Rosslyn
company to sell gas in the District. |
Moreover, the purchase from the Ross
lyn company is asserted to have been at
The expense of the Washington COM
pahy. which should have furnished the
gas.
The Washington Gas Company could
supply the Georgetown company with
gas at a low rate, without material in
crease in cost. and at saving of $4,000
a year between the present aggregated
operating cost, as individual corpora
TONS, the smaller corporation simply
mi sufficient IN hold ffr nha 1