Evening star., 1916-09-05
LARGE GAINS SHOWN IN
EARNINGS OF GAS CO.
For Six Months Net After Interest
and Taxes of Washington Cor
poration Was $416,000.
No Change in Dividend Rate in 1915.
Active Day in Stocks and
Bonds-Prices Easier.
BY I. A. FLEMING.

l.. E
For the six months ended with July,
the Washington Gas Light Company
earned, net, after taxes and fixed
charges, s416.ooo, the largest net in the
history of the corporation for any six
months
On this basis the 1916 net earnings
available for dividends. before deprecia-
tion, would be ss32.ooO. while the pay
ment Of the $3.50 quarterly dividends on
each share of the capital stock would
call for s624.0o0.
New customers to the number Of 1900
were added to the corporations con-
sumers in the first half of 1916, and the
sales of gas stoves and appliances were
largely in excess OF previous nke
periods.
The recent cut in the prices of the
product made by Congress will become
effective with October l. and will nat
ural1y make a material reduction in the
receipts for the last quarter OF the year.
President Reeside is authority for the
statement that the dividend on the pres
ent basis will be amply earned for the
current calendar year and that there IS
no probability of any cut being made in
the distribution.
The summer months are likely to
show lessened sales, although officials
of the corporation expect the consump-
ton to increase with October, while
the net returns will show more or less
Shrinkage.
The public utilities commission has
the entire gas situation under con-
sideration, Is continuing the work of
Washington Gas Light Company. and
will either ratify the congressional rate
or make new rates. the judgment of
the commission suggests.
Railway Is in Collateral.
In the ssoo.o0o.ooo collateral put up
by Great Britain to secure the pay
ment of the s25O.Ooo,o0O recent loan
large amount of the per cent bonds
of the Washington Railway and Elec-
trio Company are included. These
bonds were held by English investors
and were taken over by the British
government in negotiations for seq
gregation of holdings of subjects.
Purely Personal.
Daniel Fraser, James A Cahill, E. E
Thompson, G. B. Chapman, E. S. Wolfe,
c. ]. Bell and Tucker Sands were
among the bankers and security men
who returned to their duties this morn
ing from vacation trips.
Baltimore Gas.
During the last six years the price
of gas furnished by the Consolidated
Gas Company to its Baltimore consum-
crs has decreased from 81 per 1000
cubic feet gradually. to rs cents per
thousand. During this period the sales
of gas have increased 43 per cent.
Each reduction in price has resulted
in largely improved demand, the sales
Of the last fiscal year showing an in
crease of 3o4,Ts2,500 cubic feet.
With this record in Baltimore, it is
suggested within the possibilities that
the local producers of gas may be able
to report largely increased consump-
tion as result of the cut in prices
Good Business on Change.
There was a decided improvement in
the volume of business transacted to-
day on the local stock exchange. The
attendance was the largest for sixty
days and brokers were favored with
moderately large buying orders, which
they were able to fill to a large extent.
The fact that the stocks of local cor
porations are not subject to the four
tenths of l per cent intangible tax may
have been partially responsible for the
inquiry.
Bonds, however, furnished quite a
large part of the business, the buying
being inspired by concessions in prices
Sales were made at 1919 for Potomac
Consolidated 5s. 103a4 for District ASS,
I05N for Chesapeake and Potomac
Telephone 5s, 101 for Graphophone 6s
and 105A for Capital Traction 5s
Interest centered largely in the call
Of Washington Gas. The closing sale
on Friday was at 73, with stock offer
ed at that figure. Only one sale was
reported today, that at II. with more
offered at that price and 10 the best
bid
Quite a fair volume of trading was
shown in Capital Traction at IS.
Railway common was held at 50, with
lsl2 bid: the preferred, II bid. with
50 asked.
An odd lot of Mergenthaler sold at
100
Randall II. Hagner has been elected q
director Of the Commercial National
Bank.