The Bridgeport evening farmer., 1914-08-22
BANKERS PREPARE FOR FOREIGN LOANS
 AFTER WAR ENDS
Rarrcn Financial News.)


 New York, Aug 22-The action of Chesapeake 6 Ohio directors in de- ferring consideration of the quarterly dividend until Nov vember was not un- expected, though the official intin1a- ton that the company has in mind the adoption of serni-annual declarations instead of. quarterly payments may mean that the dividend declared In November may be considered as a pay ment for the half year. With the provisions of the recent note sale agreement in force, by which the com pany is committed to pay quarterly to the pote trustee $500.00 before <divi- dends are declared, 1t is probable the manage of the road regards fl more expedient to gauge it's dividends by semi-annuaI periods instead of quar- terly.
 In a statement issued by the direc- tors explaining the postponement of
 the dividend, it was said that since the inauguration of the dividend pol wages and taxes now aggregate about 1-2 per cent. per annum on cne
 stock. The statement also said that the decision of the Interstate Com
 merce Commission in the freight rate increase matter was a distinct disap pointnent. Bankers with an eye on the future are wondering what will happen to railroad bonds and other securities
 with fixed low rate of interest when Europe begins to bid actively for re- construction funds after the close of the war. Undoubtedly after the war ! is over Europe will demand vast sums 1 of money for rehabilitation and offer a high premium the worlds SUD- ply of capital. Not only will this demand come from industrial cen ters, but the warning nations will have | fr1 Hn a ar1dn a If ernment financing. ~
 It is considered not unlikely that in | the severe competition for funds that | is sure to develop, government loans
 may have to be placed at per cent and perhaps high as per cent. Bankers express the opinion that some
 such contingency is bound to eventu- ate and are beginning to look care fully in their strong boxes for the
 purpose of clearing shelves for just
 such an emergency.
 Shipments of American copper to Europe are resuming. The war risk has been greatly reduced, and the to- tai insurance rate at the present time Il is about one-third of what 1t was ten days ago. Freight and handling rates are still much in excess of what the ey are in ortdnary times, but a, further considerable decline in war risk, in- Isurance and freight rates to somewhere near normal is looked for in the near l future
 j. The American Cotton oil co. ap-
 pears to be one ofsthose fortunate con
 cerns for whom the benefits derived from the European war will outweigh the disadvantages. Austria and Spain the 1atIer the greatest olive oil export ing country, have both declared an Iernbargo upon olive oil, thus cutting l off the supply to the Latin olive oil
 consuming countries of the Carribean land South America. The United States Lis the only country in a=pasition to make an effort to obtain from the cotton oil output.
 Furthermore cotton oil and It's com pounds are important factors to the army commissary and are not contra band of war. The American Cotton iOil. Go. has already received Ian or der from the French governSaent for immediate shipment. Following g a con lservative policy, the company sells for lexport only to concerns with New
 York credit balances and in this way lavoids war risks.