The Richmond Virginian. (Richmond, Va.) 1910-1920, 1916-06-22
! PROFESSIONALS MAKE
RAID ON STOCK MARKET
: xndard Issues ror~ed Down Slight
~. With Much Larger Marking
Down In Specdalties.
ROCK ISLAND BIG SELLER
i'lm Of Reorganization Expected to
Work Things Around SO That As
sessment VII Figure Ont Practical
ty Nothing Net
By BROADAN WALL.

New YorA June a Using reports,
disturbances on the Mexican border
=. an excuse. professional traders
ain raided the stock market today
lsing depresslons ranging from one
two points in standard issues and
gh iarges losses in speoialties In
q early part Of the session a belief
walled that Carranza would back
. vn in the face OF the strong Amer
n note and this was reflected in
;ering by shorts This buying re-
ted In advances of from / to
nts, but upon its exhaustion was
lowed BY the putting out OF add
mai short lines that wiped out the
rly gains and replaced them with
hstantlal declines.
Conservative bankers declared that
bile buying has not been in evil
4 nee to any material extent and that
1st large brokerage firms find their
ms increasing rather than reduced
. a result or the last few days husi
IS. A. the same time ii is stated
at the Mexican situation has re-
tcted the buying power so that
Ices are really susceptible to raids
profess loua3s,
Chicago. Rock Island and Pacific
animated dealings throughout the
ss!on. the turnover in that issue be-
far in excess OF any other stock.
ae demand ~as urgent and contln-
"a W TO the Clcse the final prices
ing the best Of the day.
Plan OF Reorganization.
Purchases OF the stock we're based
= the assumption that the market
alue OF the new preferred to be
.s4sfs-~s.s-- AAasaA9ldeFs -isaE.ag lhe S4D
assessment would be such as 70 re-
luce the assessment to practically
1othing The new reorganization plan
4ceording To large purchasers of Chi
ago. Rock Island and Pacific stock
odaY calls for the givin Of 40 per
cent Of new per cent preferred stock
r payment for the S4u assessment
ana par IN new common stock. The
ae~ Preferred viii he underwater by
oa mixers Tor small commission. In
tstndth az hr stock hoid=fn viii get
he new preferred al par II is wsti
mated that a small commission of
a bout per cent WiH be charged.
81 mon would make the underwriting
prtCe IN fae arignboTn"od OF $4s per
snare. Brokers said that a person
pa yang the assessment of the one hun
area anar9s al the present stock would
receive f0f5Y shares Of the new pre-
ierr@d siOt n with an estimated mar
het value of $500, ~h.ch would
make the new stock about $50 per
thare. Al the same Time the person
the asse ssinAnt would receive
par 1ur common aiocK ia a company.
which. according To IArse buyers Of
;na stock today, is saIu 70 te cara
lng al the rate OF ten per cent on
the c0mmon stock shares ana rs IN
better physiea, condition than in any
time Iva Ils his CRY
k4eIunaers Stili Rich
The committee representing the re-
fundlng per cent bonds 10 not have
any intention OF withdrawing It's suir
fes fore closure. according 10 WeN-ln-
formed bankers. This committee con
tends that the indenture back Of hs
bonds has been violated in that re-
ceiyers' certificates Werc placed ahead
OF the reiundiaE bonds There il o
possi btl.ty. however that their legal
proc eedines might re discontinued II
part of the $50. 0bo.V09 10 be raised
in the REORGANIZATION IS used 10 re-
deem ihese receivers certificates
This would remove the cause of Oh
jec1lon by the rcfunding pondh"iders