Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1914-09-14
NATIONAL BANKS
INCREASE HOLDINGS
! OF UTILITY ISSUES
Government Figures Show
Growing Demand for This
Class of Investment Sc
curities Three-cent Fare
Fight Still On.

Notional banks of the country are
.onc the most conservative purchasers
:, ,oourities. Their directors consider
r,,sov and well before they invest the
r,oneys Intrusted to them, and 1t Is ap-
,orent that any security which they pur-
ohsse must have behind 1t, to marked
dooree. the safety and conservatism
.,hich characterize the conduct of the
banks themselves.
II Is interesting to note what the ma"
,ionsl banks have been doing In the last
few years along the limo of public utility
Investments. Figures compiled by the
United States Comptroller of the Cur
,oncy establish the fact that the only
securities In which these banks Increased
their holdings In the last five years were
those of public service corporations.
There was consistent increase each
year until 1s1g-the last figures available
when the percentage reached 1874 per
oent. Railroads aggregated 1913 per cent.
NJ the bank holdings In 1909: In 1912 they
had decreased to 3O4 per cent. and last
vssr they represented only 2s3 per cent.
limited States bonds represented 112 per
cent. of the holdings in 1909, but by 1918
thew had decreased to 15.2 per cent. State
and municipals decreased from 23.7 per
cent in 1909 to 15.2 per cent. in 1913. These
asrres represent percentages of the total
Investments.
The principal reason for the increased
popularity Of public utility securities Is
the fact that they combine safety of
principal and interest with attractive
Weld. 1t costs more to live these days
than It did ten years ago. The conse-
ouence is that the investor, to meet the
additional drain on his income, naturally
turns to investments In securities which
Yield the largest return and are, at the
same time, safe and conservative. Cap
ital flows into Investment channels where
there is the greatest return, founded, first
OF ALL OH stability. High-grade public
utility bonds offer these inducements in
q marked degree to prospective investors.
The report OF the Interborough Rapid
Transit Company for the year ended
June D, 1914, makes favorable show
Ing. Passengers carried increased 7570,-
lSi gross earnings increased s1,0l7,525.
Bath. n. Y, wants to build q $4,000
municipal light plant. The plan is being
opposed by the Bath Gas and Electric
Company and the Empire State Gas and
Electric Association.
City Solicitor OF To'edo, O., has been
direct 4 by the county to produce "con-
crete objections" TO the complaint of the
Toledo Railway and Light Company
against the enforcement of the three-cent
fare ordinance. The company says It
has lost an average of $1,000 a day since
March IS, when the fare ordinance be-
came effective. through Its refusal to ac-
eept three-cent fares on its cars.
The Arkansas Light and Power Com
pany has been Incorporated at Little |
Rock, Ark, with s65O,o0O capital to build |
and operate power plants.
commonwealth Power, Railway and
Light Company. one of the largest pub
lie utility holding companies I'm this coun-
uy' gained 90 per cent. In gross, IL per !
cont IN net and 7.3 per cent. in balance
IN the l2-month period ended July 81 last.
GROSS earnings OF the company for July
increased a9 per cent. and net gained
w w per cent. The company operates in
Mlcnisan. Illinois. Indiana. Ohio and Wis
eonsin. e. W. Clark & Co., of this cIty.
are associated in its management
Lehigh Valley Railroad has netItioned
The Public Service Commission of New
lorK Tor permission to discontinue pas.
sshser service oh its branch line from
ueheVa to Seneca Falls, through Water
!oo attorneys for the road declare that
a'eiase passenger receipts were only l6.b