The Washington herald., 1914-10-09

probable that any decision on the matter
win be postponed until the last moment
Some three weeks ago the belief was
current that the payment Or nonpqymert
Of the dividend would depend on me
events Of the six weeks preceding the
meeting. So far these events have been
rather unfavorable than otherwise. Steel
orders In the domestic market have been
considerably lower than production while
foreign orders have not been IS heavy as
anticipated Unless there should be an
Important change very shortly 4 Is prob
able that the corporationf directors in
view Of these facts and OF the low earn
ines Of the frst half OF the year, as well
as on account OF the financial uncertainty
and doubtful outlook for the future, win
regard unfayorabiy any disbursement on
the Junior Issue.
,PuBlie Utility EARNINGS.
There is no doubt that public utilities
have q stability of earning power that
Is equal 70. IL not better than, that Of
any other class of corporations. This
subject. says the Electric Railway Jour
nal, has been widely discussed IN current
periodicals. and detailed arguments
thereon are unnecessary. But It is in
teresting to note that during 1913 ao-
cording TO the report OF the comptroller
Of the currency. the q, 900 banks OF this
ColllIL llCICAtEQ llClE uOlQlnBG IN pun
lie utility bonds by &11S 1000 and re-
leased so, 10000 Of steam railroad bonds.
This rate Of gain for public utility bonds
is larger than ever before Even such
q world catastrophe as the European
war should have little effect upon the
earning power of these properties. There
may be some sympathetic reaction In
prices or q temporary decline caused by
a rapid foreign liquidation, but the
stability of the issues as regards perma-
nent investment will not be impaired.
FsreiEn Exchange Market.
Pronounced frmness characterizes the
sterling exchange market Demand
sterling yesterday morning advanced TO
Ls7 and cables transfers to LsS. In we'll
informed circles the rise Is associated
with accumulation Of credits OF London |
in anticipation of maturing finance bills |
War developments also have immediate
sentimental effect on the market Rise |
in exchange regularly accompanies ad- |
vices of German successes. Francs as
usual were devoid of any particular In |
terest, being 606a5S for cables and /
checks, respectively. Marks continue
heir saSging tendency and are reported
II 81 for checks and cables.
Norfolk and Western.
Norfolk and Western in August re-
trieved the poor showing with which II
started the new fiscal year in July. and
the combined results OF two months are
very favorable, particularly in the matter
1f net earnings. The increase in net ng-
lres over last year, both in August and
Tor the two months. can be attributed to
additional economies in operating ex-
1enses which were effected in August, as
The gross business of the road, while
showing an increase in August, for the
.wo months Is still below that OF year
Ago.
As Norfolk and Western depends for q
arge proportion Of total operating reve-
lue on its bituminous coal tonnage,
which business improved IN August over
July, the roads gross showed q similar
ChesapeaIle and OhIO. |:
It was not Chesapeake and ohio's In
bility to increase the volume OF its
ross business in the last fiscal year that
D within $4,000 of reQuiremnts. An in
rease of S.6DLTl2 In gross revenues over
be previous, year was more than swept
way by higher operating costs and
dded interest burdens The ever present
ugaboo Of the high cost Of doing busi-
ess showed its hand with the Chesa-
cake and Ohio in an increase OF SIS. 900
! transportation costs almost half Of
he gain in the gross revenues.
Other contributing causes Of the disap-
earance Of the increase IN revnues were
500, 900 increase in interest charges, and Z
he expenditure OF s4l7, 200 more on main
snace Of equipment
CIearing-h0use Meeting.
A meeting of the Washington Clearing !
louise Association has been called for to- /
ay when members will be given the 8
Irm of receipts for their contributions
} the gold fund. Chairman Father yes
erday received from Chairman Virgins,
the gold pool committee, letter re- !
arding the local contribution. The !
ioney will be held here until Mr.. Wig Q
ins asks for it. The fact that New 9
ork is in no hurry for gold occasions :
considerable favorable comment