The Birmingham age-herald., 1916-04-06
BIRMINGHAM TRUST
 MONTHLY LETTER ON TRADE CONDITIONS
Lack of Furry Over Mexi- can Embrogli0 Shows Pros porous Conditions Are
 on Solid Foundation

The general letter on trade conditions and a business forecast for the month of April, 1916, issued by Birmingham Trust and Savings company, follows, in part:
 The present period of prosperity is so well grounded thatsmoderate adverse con- ditions will not be able to shake it to any apprcciable eNtont The situation in Mxeico even though it develops into a considerable conflict between this coun- try and various Mexican pretenders, is not likely to give business generally any serious setback.
 It is quite likely that we have reached the apex and that some decline from present business levels may be expected. Such a decline would really be in the interest of general prosperity and it would steady conditions and lengthen the period of prosperity. A lower average level of stock prices, some decline in the total of commercial transactions. re- sultng in decrea sed demand for cars, and some falling off i: the average of commodity prices may reasonably be eX- pected This does not mean that some stocks may not go higher, some busi- nesses may not grow larger and some COnlInOOllicS sell dl d IiSliCi PiiSC thuAi at present but the averages of all of these indicate a decline between the pres ent time and the end of the year, the decline in these various divisions of busi- TeSs apparently to cone about Tn the order in which they are named above.
 Bank clearings at 162 cities in February totaled IS billion dollars, compared with l. billion dollars in February, 1915. the actual increase being 5 per cent. Clear ;,,r, ,J,,,i ab1.,1a Ura1tpr at all but IA of the 1G2 cities and in several cases new records for monthly clearings were made during February.
 CIRCULATION INCREASES
 Money in circulation March 1 totaled 1926 million dollars, compared with 3934 million dollars on February l and 34el million dollars on March 1 last year. This is the first time in many months that ere has been q decrease in the circu- lating medium compared with the month previous; it is largely due to decline in federal reserve notes, which decreased nearly 15 million dollars. The per capita circulation on March 1 was SiS.oi. com- pared with SSi.Ss one year ago.
 Dividend and interest disbursements for March will total III million dollars con- pared with 11S million dollars in March last year. Of the total. dividends will contribute "A million dollars, compared with 56 million dollars in March, 1915, while interest payments will amount to 6i million dollars compared With 62 mil lion dollars year ago. During April there will be POO million dollars disbursed in dividend and interest payments com pared with 1S0 million dollars in the same month last year. April dividend dis bursements will total 102 million dollars compared with S7 million dollars last year and interest payments will amount to 9S million dollars compared with 93 million dollars in April a year ago. Numerous initial dividends swell the April total oi payments, industrial companies be,oe largely responsible for the her--- i.- crease.
 Financing by corporations during Feb. ruary totaled BOA million dollars compared with 264 million dollars in February, 1915 | The February total is the largest of any month in recent years and is due tc l financing by industrial companies, thu l output of railroad bonds recording g ! marked decrease. Of the total financing 1 less than 20 per cent will be used for re 1 funding.
 1 Railroad earnings continue to show ] improvement, although the gains re- corded in January are not so large as the increases in the last two months oi | 1915. Gross earnings of 47S railroads I for January aggregated 267 million dollars compared with 220 million dol lars in January, 1915, the percentage | of gain, which partial returns as re- corded in our last report showed as over 20 per cent, now being 21.3 pei cent. Net earnings during January were l79 million dollars compared with 5:
 million dollars in January of last year l a gain of 53 per cent. The opening
 month of the year showed losses 1T l railroad earnings in both 1914 and 1915 | but the earnings in February show total of 66 million dollars compared with 55 million dollars in February 1915. the gain being 20eper cent. l Orders placed during February fol railroad cars totaled 12,SS6 cars com pared with 30,327 in January and 425; l in February, 1915. Of the cars pur- chased in February. 12.757 were freigh
 and 79 were passenger cars. Rails or dered during February totaled 12i