davidaulloa/AmericanStories huggingface dataset:
New-York tribune., 1918-01-09
Inventory Ruling
On Tax Returns
May Be Revised
Recent. Decision of Treas
ury Department Taken Up
by Department of Justice

WASHINGTON, Jan. 8.-The Treas
ury decision that in making inven-
tories for excess profits and income
tax returns dealers in merchandise or
securities mlg..t DISC the cost price or
market value, whichever was lower. is
being reviewed by the Department of
Justice and may be revised. Millions
of dollars in taxes arc dependent on
the final ruling.
Treasury legal advisers were under
stood to have challenged the legality
of the decision. Yhich was issued sew
cral weeks ago on Recommendation of
the excess profits advisers. and Sccrc-
ta'y McAdoo referred the question to
Attorney General Gregory. If the dc
clsion is ovcrrulcd. Congress probably
win ho asked 70 amend The revenue
law to permit the Internal Revenue
Bureau to make such ruling
This point is one factor which has
preyented issuance of forms for tax
returns fer incomes Of more than So
GOO and from excess profits reports.
Both these forms will be completed
and ready for distribution probably by
the middle of next week, Internal Rev
cnuc Commissioner Roper said to-day.
To Clarity War Tax Act
Ry that time also. the excess profits
advisers expect to complete their work
and recommend certain amendments to
clarity tho war tax act. These amend
Mcnts will cover only the points on
which IL is felt impossible for thc Rev
cnGe Bureau to rule without being
challenged in tho courts. Most de.
'isions 80 far have been made with
the approval OF Congressional leaders
on assurance that if they were chal-
l"nrcd amendments could be rushc d
through Congress to support the Ex-
ccutivc action.
commissioner Roper announced to-
day that if the Treasury decision is
upheld by the Department of Justice
tho Revenue Bureau would define" deal
crs IN s"cu''itics' VINO would hc af-
fcctcd BY tho action.
Predict Heavy Loss
Ecvcnnc officials estimated TODAY
that many millions of dollars would
DO lost to the government, as a result
OF the Supreme Courts recent decision
that stock dividends were not subject
TO the income TAX. Some said the loss
m'&ht run us high as $4,000, 900.
Senator Smoot's amendments to tho
war tax law. establishing Il rcw sys-
'cm OF income taxes. arc being stud ed
pN Administration officials. but they
are strongly opposed 10 any attempt TO
collect taNes 'his year under any othcr
SNS'o en- than that in the existing act
amcnded so as TO clarity certain OF its
provisions.
New-York tribune., 1918-01-09
Wireless Earnings
Show Large Gain
Undivided Profits Of Marconi
Company Are Now
$2.15O.OOO

Gross earnings of the Marcon Wire
less Telegraph of America have nearly
doubled during the period of the war,
while expenses, including taxes, were
lcss last year than in 1914. The COM
pany's net income for 1917 was $685.
$50. and undivided profits and reserves
on December 81 last. amounted to s.,
100000. The capital stock is s1O,0O0,0o0
4 comparative summary of receipts
and expenses follows:
1914. 1916. 1917.
Gross earnings N56,572 $a62,5o1 s1,323,525
Total expenses
incl. estimated
taxes ........ es4.ass e24.5ea 57e.o3s
Net earnings from
operations .. S121.6l4 S237, 1882 s752, 2,487
Income from in
vestmt of
plus funds -. 15o.274 os,1o7 e7.442
s27t ass s3a6.o4o sY4e. $50
Reserves for dc
probation go. 1901 76.151 240. 500
Not income for
year 80. s14o.s77 $3.50, 1898 s6oe, ,43o
New-York tribune., 1918-01-09
Promotions Made
Among Officials of
National Banks
Three New Vice-Presidents
Elected by National City
Stockholders

number Of changes in the official
staffs and dircctoratcs Of the national
banks in the city were made at annual
meetings held Yesterday.
Several promotions to important po
sitions took place at the National City
Eank James A. StilIman, son ofJamcs
StilIman, chairman of the board, was
elected genera, executive manager to
succeed William A. Simonson, who re-
tired from that office by rotation. John
Fl. Fulton, recently made the head Of
the foreign exchange department to
succeed John A. Gardin, was made one
Reynolds, formerly cashier; Joseph T.
Coshy. formerly manager Of the for
Cicn department, and Jancs II. Carter
Formerly assistant cashier were elect
cd vice -prcs;dcrts W. s. Kics, for
merry vice president, resigned that
office to devote his entire time to the
affairs Of the International Corpora
ton, Of which he is a vice president.
Walter II. Tappan, Leo j. Burns, Am
brose v Edwards, George A. Kurz,
Ernest L. Ling, James C. MARITIME,
Frank c. Mortimer, John A. Myers.
John c. Emison and Robert Forean
were made assistant cashiers of the
bank. James Addison was appointed
controller and Rcrnhard A. Duis man
agcr of the foreign exchange depart.
mcnt.
At the First. National Bank it was
announced that Charles y. Norton ha d
resigned as a vice president. to be-
come president of the First Security
Company. an affiliated institution. He
succeeds George +. Baker, who becomes
chairman OF the board Changes an
nounced oy other banks were:
Atlantic Natoral-T F.. Andruss and
Bert Forsdike were added to the board;
William F. Fitzsimmons. formerly as
sistant cashier. was appointed vice
presiden
Bank Of the United States Henry
". Pollock and Bernhard H. Marcus
wcrc elected directors. Tho latter was
elected ,'ice PRESIDENT
Battery Park National Welding
Ring was elected a director u succeed
Arthur W. Hildehrand
NhaSe National --AndreW Fletcher,
president Of the American Locomotive
Company, and Carl l.. Schmidapp and
Gerhard NJ. Dahl. vce-presidents of
the bank. were made directors.
Garfield National Samuel Adams re-
tired as a director
Hanover National John p. Stevens.
Of !. p. Stevens & Co.. was added to
the board
Irving National Arthur NJ. Mil
burn. president of the Borden's Con-
densed Milk Company was elected a
director; $. +. Taylor and w. II. Bar
nard retired from the board
Liberty National Henry J. Fuller,
vice pres dcnt Of the Fairbanks, Morse
Company. was added to the board.
Merchants National Frank l.. Hilton.
formerly assistant cashier. was elected
a vice president.
National Park Bank. c. Van Cleaf
and Sylvester ". Labrot were added
to the board.
seaboard National D. H. Z. Jones,
Of j. w. Elwell & Co.. agents for the
Fabre Line, was elected director to
succeed S. G.. Nelson.
New-York tribune., 1918-01-09
Money and Credit

Call money was in liberal supply at
the Stock Exchange yesterday, with
ruling rate of S'@ per cent, compared to
. on Monday. The advance was due to
a moderate increase in the demand for
caiI loan accommodation.
Offerings of funds for fixed matu-
rit'es were somewhat larger, and a
sllghtly easier tone reflected in the
open market rates. Loans were re-
ported on industrial securities as col
lateral at 6 per cent for thirty days to
TOUR months, while some business was
done IN loans on mixture of railway
ana industrial securities at 81. per cent
ior snort maturities and 5A per cent
TOR the longer dates
Ruling rates for money Yesterday.
compared with year ago, were as
follows:
Yesterday Year ago.
Call money. .3Iaoo SO
Time money (miXed collateraD:
60 days. 5I2@5s4oo 40
30 days ..... 5Ia@5s4oo 4oo
months. 5L2@53aoo 49,
5 to 8 months 5Ia@5s4oo 40
Commercial Paper. = Commercial
paper continued to move more freely
New-York tribune., 1918-01-09
Tsf1yT "a K -ATT T1DE SALE,
STOCKS AND BONDS,
by ADRIAN ii. MULLER & SON
OFFICE. % WILLIAM ST.
WEDN ESDAY, JANUARY .. 1918.
= : 'lV n = Oth. 4 III
L y (,II W. L, SAr

EXCHANGE sALESROoM.
nos. "a and IS VEsEY STREET
Fer Account Of Whom It May concera
$4,000 Standard Gas & Electric Co. /,
5000 Mississippi valiev Gas B. Elect.
%. Coli. Trust 80 Bds. 1922
$4,000 Northern States Power CO. Z,
$1,000 Kansas CITY Rvs. 60. I'd Mtg. 81
III shs. Kansas city RNvs. Co. COZ
mon.
g. shs Kansas city Light & Power c.
preferred
$4,000 Chicago Elevated Rwys Co g.. "a.
tended Notes. 1912.
. shs. Grass Creek Petroleum, Co
100 shs. International Motor Co. con-
100 shs. General Motors Corpn ccz.
mon.
30 shs. Scripps Booth Corpn.
> shs. Chevrolet Motor Co
80 shs. -fitna Explosives 60. cemmon
a. shs- International Motor Truck
'orpn. common.
- shs- 1nternational Motor Truck
Corpn. first preferred
70 sns. International Motor Truck
torpn. second preferred
l'e9o shs. Nathodian Bronze Works Inc,
preferred
100 shs Flenish.Lynn Fhonosrarh Co
lao shs lTi144nce &. Trading ccrpl
common
500 shs. Chicago. Terre Hauts & South.
eastern ~. common Y T. c.
Se.ooo Merchants Refriseratlng Co iE 1
RefdS. sc Convt. Bonds, 1881.
$1,000 Park s, Tilford 50 Deb S. F. 3D.,
1925
$500 Merchants Coal Corpn. So S. ?
BIDS, 1891
80 sshs. West Penn Traction { war
Power 60. common
% shs. West Penn Traction g. WatH
Power 60. preferred
40 shs. United Coal Corpn. 5rs Gun
Pfd. stock Trust OF
10 shs United Coal Corpn. Commss
Stock rruSt CT
zoo shs. Tonsoiidated Gas Co cs Pitt
hnrsh 81 cum pfd.
80 shs Common wealth Trust Co ''
Pittsburgh
shs. First Second National Bank Of
Pittsburgh
$1,000 shs. Naco National OH Land & Mn
lns 60. Ltd. of Mexico.
New-York tribune., 1918-01-09

1t is hard to satisfy a railroad
man. Witness the protest of the
chairman Of the executive commit
tee Of the Southern Pacific, at hear
ing before the Interstate Commerce
Commission, against the acceptance
Of the three years ended June 80.
1917, as the base period for deter
mirirg railroad compensation under
government operation. Mr. krutt-
schn1tt proposes. instead. that oper-
atlng income equal to the annual
average for the two and onc-half
years ended December 81 last shall
be guaranteed. because railroad
earnings in 1915 were below nor
NAL" 1t is true, Of course, that
earnings were below normal during
part Of that year. especially the
carly part, but that is no reason why
they should not he included in the
calculation Of the average proposed
TO be guaranteed. When Mr.. krutt
schnitt objects to the inclusion Of
earnings below normal the obvious
inference to be drawn is that he
wants guarantee OF normal earn
ings. Therefore, if the sub normal
earnings of 1915 were excluded, the
abnormal earnings Of 1916 and 1917
would also have to be discarded in
arriving at q figure which would
fairly express normal" income.
The proposal advanced by the Presi-
dent is an cminently fair one, and
the carriers have no valid reason for
complaint against the base period
selected. The average operating in
come for that period was greater
than that of any year in history, en-
cepting only the last two years of
the base period itself. Not long ago
prominent official of one of the
great systems was asked why rail
road men constantly complained Of
poor earnings when the fact was
that they were at high peak. His
reply was that "thosc who habitua]lv
oppose rate advances cXaggeratc
railroad prosperity. and We must cx-
aggeratc on the other side as an off
set: That is the method which the
railroads have followed ever since
they have heen under Federal regu-
lation. 1t has been notably unsuc-
cessful, and incidentally has done as
much as anything else to injurc rail-
road credit.
New-York tribune., 1918-01-09
Gold Exports Falling
Outward Movement Of Silver
Shows Heavy Increase

WASHINGTON. jar. s. Since the
United States entered the war ret cx-
norts OF gold nave been $4,000 900.
or at weekly rate of S2,16S 900. the
Federal Reserve Board announced to-
day Recently the outward movement
has been curta,led. however, to a
weekly average of SS56,0O0. Imports
now come mainly from Mexico, Canada
and South America. while exports are
to Chile and Mexico.
Exports of silver have been heavy.
indicating that it has been substituted
in many cases for gold in liquidation
of international balances. Conclusion
of an agrcemen. by which the govern
mcnt will control the silver market at
Q price near 81 is expected very soon.
New-York tribune., 1918-01-09
Dollar in Foreign Exchange

The foreign exchange market made
10 apparent response yesterday to the
Presidents statement OF war aims.
About the only movement Of Importance
was an advance of i in the rate of Rus
sian ruhles. which moved up to 13H
cents Bills and. London and Paris were
steady. Scandinavian exchange dis
played a sagging tendency owing to the
lack Of demand.
Closing rates Yesterday. compared
with q week ago, arc given 1T the table
below. American bankers have sus-
pended all dealings in German and
Austrian exchange. 50 that daily quo
tations for either marks or kroncn are
no longer available.
toJ 4 ~11- 4 l..
New-York tribune., 1918-01-09
News Digest


London Reports Record Sales of War
bonds-LONDON, Jan. S.-rhe stock
market was quietly cheerful TO-DAY
There was a further slight HARDENING
IN Allied bonds, especially French and
Russian issues, and the latter we're
hard to obtain. Mining shares expert.
enced broadening demand and Ar
genuine rails. Brazilian bonds and shin
ping STOCKS were firmly maintained.
Inc sales of national war bonds ,ast
WecK were near to the &23.OOO,O ,OOO
marx, constituting a new high record
Paris Boursc.-PARIS. Jan. S.-Trad.
ing was quiet on the Boursc TODAY
Three per cent rentes, IS francs % cen
New-York tribune., 1918-01-09
Dividend CHANCES

Lindsay Light. The company has dc
ciarcd quarterly dividend OF ) pc,
cent on its common and an extra divi.
dend OF l5 per cent. Fer the previous
quarter the distribution was 3 per cen,
with an extra dividend of II per cent
Regular quarterly dividend of Il, ne,
cent MAS declared on the preferred
New-York tribune., 1918-01-09

yesterday, with the market established
on o% per cent basis for prime ma
turtles.
Official. rates of discount fo~ each of
the twelve Federal districts are as fol-
lows:
New-York tribune., 1918-01-09

Tho above rates express the cost of
Foreign money ir terms Of the Amcri
can dollar. You buy an English pound
sterling at. say, S4.75',. The intrinsic
parity is SlS66s per polnd. Thus, you
say either that pounds are at dis
count or that dollars arc 1T premium.
which IS owing TO the fact that in Eng
land the demand for dollars With which
to settle accounts in this country is
greater than the demand in this coun.
try for pounds with which to settle ac-
counts in England.
New-York tribune., 1918-01-09
New York


Stock Market Partners Ticket
Named~ he nominating committee of
the Association OF Stock Exchange
Flfms reports tho following ticket for
election at the next annual meeting:
President, Albert McClave; vicc-presi.
dent, Sol Wc%ler; treasurer, Henry f..
Winthrop; for governors to serve three
years, John w. Prentice, George w.
Hodges, Arthur Iurnbull and DYER
fearl; governor to serve two wears.
Oliver Hartman. The committee on
nomination consists of J. S. Bache.
Charles Hayden. Arthur Upper and
William Goodman.
General Motors~Chevrolct Merger
l1enied.- An official of the General
MOTORS Company denied yesterday that
there IS any present intention to
merge the company with the Chevrolet t
Moor Company. Both corporations arc
under the same control
Japanese Bonds Cancelled The New
ork agency Of The Yokohama Specie
Bank, Ltd, has been advised by its Lon
don Office that the imperial Japanesc
government ~ per cent sterling loan
ponds, amounting to $4,000 of the first
series and 10000 OF the second series,
49," \ Dsc'i puiCHdSeQ LOT the account of
the government for cancellation.
Sharinigan Water and Power.
Brown Bros. e. Co., Lee, Higginson &
Co.. Alexander Brown {, Sons and
Jackson e. Curtis arc offering $500
700 Shawinigan Water and Power
company two-year per cent converti-
Bile gold bonds, due December Is, 1919.
at 81 e and interest. to WELD about
7ss per cent Net earnings of the com
pany for 1917, two months estimated.
were $2,151,364
Copper Production of kennecott and
Braden Companies. - The Kennecott
Copper Company produced 7,0S6.O0O
pounds of copper ii December, COM
pared with 7.142.O00 pounds in Novem
Der and 6,S06.oo0 pounds in December.
1916. The Bradcn Copper Company
last month produced 5.936O0O pounds.
against 5,166.0o0 pounds in November
and 4,116,ooo pounds in December.
1916.
Union Oil Company. Of California
Operating profits for 1917 amounted to
Sl2,O6o,oo0. compared with S11.206. 263
for the preceding year. Net profits,
after operating expenses and taxes.
were S7.65o.o0o. equivalent to s21 81
share earned on S35,45S.4o average
capital stock for the year. again #
S21.65 share earned on S3f. 500 300
capital stock in 1916.
New-York tribune., 1918-01-09
American Tobacco Ruoyant

1t was bad day for the shorts m
American Tobacco common. The stock
moved srectacularly, opening . points
up at 1i7, and jumping. to 159 before
d-day: At the top it was up IA
points. but at the close showed a net
gain for the day Of only 1915 points
owing to quick reaction late in the
session. The upward movement in the
stock was response to the announce ;.
ment of he previous day that none of
the new stock authorized would be is
sued, but that the 20 per cent dividends
would be paid in scrip tor The nexe
three years so as to supply tho COM
pany with uch-necdcd working capital.
Tobacco common has now risen more
than % points from its low record
price Of 1913, made in December. 1t
sold at go last March
New-York tribune., 1918-01-09

The action Of the stock market
yesterday was interesting, but not
important. Coming unexpectedly, as
it did, the new statement of Allied
war aims naturally caused some un-
settlement. Prices had been moving
sharply upward after a vigorous
opening, but when announcement
that the President would address
Congress reached the Street the adj
vance halted, and there came a hull
in trading that was not broken until
the text Of the address had been
received. Immediately thereafter
prices began to melt under the
pressure of heavy selling, induced by
the first impression that the pro-
gramme laid out meant a prolonga-
ton of the war. The selling soon
lost force, however. and slight
rally followed as some traders began
to sec in the statement the posi-
bility of an carly peace. Al the
end prices were fluctuating crrati-
cally. with no pronounced trend.
All these movements lacked signif-
cancc because they were produced
by nothing more substantial than
the snap judgment of professional
traders on a matter which cannot be
calculated in terms of stock prices.
The view that the statement can
postpone the coming of peace found
little support in the financial dis
strict except among stock traders.
though it does cffectually dispose Of
the peace rumors which have been
current in Wall Street for some
time, and which have cXcrtcd some
influence on, the course of prices
The Presidents definition of aims,
however, when considered in it's
broader aspects, is constructive.
even from the stock market view
point. Moreover. peace can be no
further away merely because our
terms have been stated more def
nitcly than they had been before.
1t may be nearer. if only because Of
the greater solidarity which will be
effected among the Allies.
New-York tribune., 1918-01-09

London Money Market-LONDON
Jan. S.-Money was plentiful, the rul-
ing rate being 3l4 per cent. Discount
rates.-Short bills. 8 1882 per cent;
three month bills. -32 per cent. Gold
premiums at Lisbon, 40.
New-York tribune., 1918-01-09

times for cash. Exchange on London.
~ francs 20 ccntimes. Five per cent
loan, SS francs 40 centimcs.
New-York tribune., 1918-01-09

Below IS given the current exchange
value of iorei gn money in dollars and
conts, together with tho intrinsic gold
parity, As calculated by the United
states Mirt:
New-York tribune., 1918-01-09

con'pany's property for the year 1917, hs'
been declared. The dividend Is payable jar
uary p to stock Of record January i.
New-York tribune., 1918-01-09
Russian Interest Payment Authorized

The National City Bank was formally
authorized Yesterday by the Russian
Embassy at Washington to pay the in
tercst coupon due on January 10 on the
Russian government 6 !: per cent exter-
mai loan bonds. The payment will in
Noive the disbursement OF approxi-
mately sl.5O0,000. No announcement
has been made as to how the Russian
government obtained The funds needed
to make the payment. The Russian
b'cs were strong on the curb market as
result Of the news. advancing points
TO 56 on the sale Of block of $4,000.
In the course of fortnight they have
risen IT points from the low record of
t5. The 5'cs have also recovered and
are ROW selling around 4S, compared
with Il low of 36c
Watercd Speculation in Chile
The fake oil we'll promotion game. it
appears, is by 10 means peculiar to North
America, or it is being tried in South
Anne RIGA with considerable success. 1t
has recently been discovered that the
wells of the Sociedad Anonima Petrol
lfera Patagonia, in Chile, which were
reported as producing oil. werc in
reality only water wells which had been
primed with OIL The American consul
general at Valparaiso, reporting to the
Department of Commerce, says chat on
the basis of the reported finding of oil
on the property Of this company a
large amount of stock had been sold at
fancy speculative prices.
Union Pacihc's Assets Shrink
II its last annual report, the Union
Pacific Railroad Company showed hold
ings of stocks and bonds of unaffiljated
companies aggregating $l97 O3O,714. A
Wall Street compilation indicates that
in the middle of December the market
value Of these holdings had, as re-
suit OF the great fall in stock and bond
prices generally, shrunk to Sl36 900 900.
representing an asset loss of S61 .OOO.
600, or about $27 share on the com
pany's common stock. At the close Of
the year, however, the market value
had increased to about S145 900 900,
owing to the advance that followed
President Wilson's proclamation An.
nouncing the taking over of the rail
roads. The cost to the road of stock
holdings alone. with a par value Of
Sb4 lo6,S2', was SSO,0S7 900, and AZ tho
low level Of 1917 these investments
haG market value of only s39. .7S5.-
"lO, representing loss from hook
value of S1O,302 900.
New-York tribune., 1918-01-09
Other Countries Expected to Ac;

The Federal Reserve Board at Wash
'Agion has been working for many
months TO solve the unfavorabc ox
ch"ngc situation between the United
states and the South American rcpub
~ lth gold shipments there pro
h'b'ted the American dollar has been
steadily deprcciating in those markets.
ne arrangements with Argentina is
'hc llrst actual step that has been taken
to meet the problem. Other South
American countries arc expected. how
ever TO follow suit. In fact Peru has
alrcadE taken steps to establish a gold
iund here with the Federal Reserve
Bank, which will serve the same nl,-
pose as the Argentine deposit at tbs t
institution.
New-York tribune., 1918-01-09

Bank ClearinRs.--Thc days clearings
at New York and other cities:
Exchanges Balances.
New York S704.711.1o1 $61.7o5, ,2S8
Baltimore ...... 7,341.o91 1861 $50
Boston. 4o142,o36 5oS0.o57
Philadelphia. M 56,62l.610 7.530,419