davidaulloa/AmericanStories huggingface dataset:
New-York tribune., 1918-06-27
News Digest
Foreign

Russian Securities Mount on London
xchange.-LONDON, June 26.-Much
interest is being displayed in the stock
market in Russian securities, which
have shown increased activity in the
last few days. This was especially the
case with the Russian per cent loan,
which has been in good demand at
prices from to 3 points in advance Of
the previous quotation. Other Russian
government securities have risen SYM
pathetically, showing an average gain
of about 5 per cent for the week. The
interest has also extended to Russian
mining securities. industrials and mu-
nicipal issues, which had been dormant
for long time. but now are being in
quired for and purchased in moderate
quantities. Market experts attribute
the hardening in Russian stocks to a
belief that events are shaping for a
more stable government in Russia.
Paris Bourse Busy.-PARIS, June 26.
Trading was fairly active on the
Bourse to-day. Three per cent rentes
brought 60 francs 25 centimes for cash.
Exchange on London was quoted at 81
francs 16 centimes. Five per cent loan
sold at 88 francs 25 centimes.
New-York tribune., 1918-06-27
Short Line Roads
Get Time Extension
Congressional Committees
Recommend No Lines Be
Relinquished Before Jan.

WASHINGTON, Juno 2s. - After
amending so as to prohibit relinou,sh-
ment of Federal control over ono rail-
road while control over a competing
line is retained, the Senate Interstate
Commerce Committee to-day ordered
favorably reported resolution extend
ing from July l, 1918, until January
/, next, the period provided in the
railroad control act during which the
government can return carriers to pri-
vate ownership.
Adoption of the amendment was
urged before the committee by repre-
sentatives Of the short line railroads,
who asserted that because Of the Ad-
ministraticns' attitude toward them
10000 miles Of those lines are threat
cned with bankruptcy.
The resolution was introduced at the
request of Director General McAdoo,
who said that. because of the numer-
Gus questions connected with the TAX
ing over of the railroads, he was un-
able to determine all within the period
designated in the act.
The resolution also was ordered
favorably reported by the House Com
mercc Committee with similar amend
ment
New-York tribune., 1918-06-27
Union Pacific Pays
Over 6l-2 Per
Cent for Money
Other Offerings Expected
to Follow Placing Of
$2O,oO0,000 Issue


The likelihood Of railroad financing
on large scale by New York bankers
in the near future was forecast yester-
day by the announcement that the
Union Pacific Railroad had sold to
Kuhn, Loeb & Co. an issue Of $20,0o0,-
600 ten-ycar 6 per cent bonds, which
are to be offered to the public at or
near 98 The Baltimore E. Ohio, it was
also announced, has arranged with
Kuhn, Loeb & Co. and Speyer & Co.
for loan Of s1o50O,oO0, consisting of
three months per cent notes, secured
almost entirely by stock of the Read,
ing Company. The proceeds will be
used to take up s7,500,000 one-year
per cent notes, due July /, and $3,000,-
600 in bank loans, also due on that
date.
The bankers paid the Union Pacific
95 y for its bonds, and Kuhn, Loeb &
Co, as syndicate managers, it is under
stood, will receive a commission of II
of I per cent The commission to syn
dicate participants will be 2 per cent.
The cost to the company was, there
fore. over 6 Y per cent.
The sale of the Union Pacific bonds
has been approved by the Director
General of Railroads, with the stipuls-
tion that the following securities are
used as collateral: S2,0OO,OOO Chr
cago g. Northwestern general mort
gage per cent bonds, due 1887; 81
100000 Chicago & Northwestern gen
1897; s3,OO0.O00 New York Central
Railroad refundng and Improvement
mortgage ~ per cent bonds. due:
2O13; sl,oooOOo Pennsylvania Railroad
consolidated mortgage az per cent
bonds, due 1860; S2,5o0.00O Pennsyl-
vania Railroad general mortgage ~
per cent bonds, due 1865; $S,000,o00
Southern Pacific Railroad first refund
ing mortgage per cent bonds, due
1855; s4,OOoOO0 Baltimore e. Ohio re-
funding and general mortgage per
cent bonds, due 1895; S5,0OO.OOO liiln-
ois Central joint refunding mortgage
: per cent bonds, due 1868. and $4,000
900 Denver Union Terminal first mort
The Canadian Northern has arranged
10 provide funds to pay off on july 10
an issue of s5,7O0,O00 secured notes
due on that date. 1t was understood
that the money was supplied by the
Canadian government, which owns all
the stock Of the railroad company. This
is the third maturing issue of the
Canadian Northern which has been
taken up in cash in the last nine
months, the previous issues amounting
10 s1,75o,ooo and s1,25o,ooo, respective
lv. On September 10 there falls due
S1O,00O,OOO Of notes which will prob
ably be paid OFF in cash.
New-York tribune., 1918-06-27
Railroad Boards
Defer Action on
Their Dividends
Pennsylvania, B. & o. and
Panhandle Postpone
Declarations

Temporary technical difficulties aris-
ing out of government control of the
railroads and failure of the govern
ment and the roads to reach an agree
ment on a standard form of contract
have compelled several Of the large COM
panies to defer dividend disbursements
due to stockholders at this time. Yes
terday the Pennsylvania Railroad. it's
subsidiary, the Pittsburgh, Cincinnati,
Chicago & St. Louis Railway, and the
Baltimore g. Ohio postponed action on
dividends.
The Baltimore E. Ohio directors is
sued the following statement after
their meeting:
"The question Of dividends was not
given conside ration at the board meet
ing. Ordinarily the meetings Of the
board have been suspended during the
months Of July and August, but in view
of this suspension, action on the divi-
dends has been taken at the June
meeting. In view Of the present situa
tion, however, it is anticipated that a
meeting Of the board will be held In
July"
The Pennsylvania Railroad directors
will meet next month to take action
on the dividend payable August 81.
The statement issued said that "in
view of the fact that the board Of di
rectors has determined not to adjourn
ever the summer months, as has been
usual heretofore, it was not necessary
to declare the dividend on the stock
payable August S1.'
Before the new consolidated Pitts
burgh, Cincinnati, Chicago &, st. Louis
Railway, known as the Pan Handle,
can declare its dividend, approval must
be obtained from the government. The
company's statement, issued yester-
day, said:
"The new consolidated Pittsburgh,
Cincinnati, Chicago & St. Louis Rail-
way Company, having commenced bust
ness January 1, 1917. has no dividend
record during the three years test
period. Under the provisions of the
act of Congress applying to such cases,
the approval of the government of the
declaration of dividend must first
be secured. The board, therefore, de-
fcrred action until such approval has
teen secured, and the money there
for obtained from the government, on
account Of compensation for the use
of the property"
Directors Of the Chicago, Rock ISL
and & Pacific Railway Comp<ny de-
clared the regular semi-annual divi-
dends Of 81 per cent and per cent
on the per cent and per cent pre-
ferred stocks. respectively, Yesterday.
approval for the disbursements having
been obtained from the Director Cen
erai OF Railroads. A statement issued
on behalf of the Rock Island said that
pending the settlement Of the ques
tion of rentals the Director General
will advance funds for the payment of
these dividends and for other pur-
poses"
New-York tribune., 1918-06-27
Ban Placed on Big
r. r. Expense Bill.
McAdoo's New Ecor,--
Measure Will Save Million
a Year
Especial Correspondence

CHICAGO, June ga new oraer -
ceived here to-day from Director Cen.
eral McAdoo puts an end to lary. ~.
pense bills on the part of railroad a..
ficials. Regional directors have h..,
Informed to notify the men in tbeir
territory only expenses for actual
necessities could be charged up here.
after. The order is blow to elaborst.
entertaining, expenses for the familie,
of railroad officials at luxurious hotel,
and at the system Of bonuses. II is
estimated that economy in expenditures
of this kind will result in saving of
at least $1.0O0,o00 throughout the coun.
try.
+. Z. Calvin, president of the Union
Pacific Railroad, and ]. E. German. first
vice-president of the Rock Island, it is
said, will be named Federal managers
of their respective roads. The choice
of a chief operating official for the
Santa Fe has not yet been made. Samuel
Moody, passenger traffic manager of the
Pennsylvania Lines west of Pittsburgh,
will retire on July 1.
The Chicago Telephone Company de.
sires to issue $4,o0O,O0O Of additional
capital stock to finance this years ey-
tensions and improvements. The Pub
lie Utilities Commission is considering
the question of approving the proposed
issue. If sanctioned the new stock will
be offered at par to present sharehold.
ers.
New-York tribune., 1918-06-27
Securities at Auction

The following securities were sold
Yesterday at the Exchange Salesrooms
OF Adrian Fl. Muller:
For Account of Executors.
5000 Imperial Japanese government I'd series sterling
loan 415 per cent. due 1925
$f,uVo Imperial Japanese government sterling loan
OF t3O1. series No. 315 per cent due l947 Ga
LOO shares Cheshire Mining Co. (sa5 each);
40 ol u. s.
:. shares United States Pin Co $ia5 eac.D lot s5
ei' shares Victor Sewing Machine Co. (s25 cach) .
' - :. ............,....... SIS
% shares Scranton Steel Co tsloo cacia) lot s25
For Account of Whom 1t May Concern.
100000 Appalachian Corporation s per cent non
registered coupon bonds. due 1887 lot 1870
LOO shares Hspano- American Manufacturers Agency,
20 shares Lawyers Title Trust Co tsl0o caeh) s5is
~ shares Schieffeln & Co pref 1890 cachl -. 30
shares United Gas 4 Electric Company Of Con
nectie'it LIST pref. ($l00 cacll) .....4 40Is
$4,000 VIM. Il. Jenkins Company lot m,gc per
cent bonds. due May l. 1883 (lo Of 81 900 each
aud 81 OF $500 eaeh) lot. ot....,....-.......s 81 oiO
5lsooc William Il. Jenkins Company list uatse 4 per
cent gold bonds, due 1893 us Of 81 900 each. and
o OF 500 eachl. lot. .-....................s .s2lb
10 shares Commercial Trust Company OF New York
,o sa'sI '.-.. ITO
ov shares commercial Trust Company OF New York
SA'" csSA' -...ssps .llo
New-York tribune., 1918-06-27
F a cto in Ira d 6
A c &C ptance
Financial Editor. The Tribune.

AAu~AC1AI CuItOl, AH6 tribune.
Sir: None of the writer's who have
recently written about trade accept
ances have touched on two very i'm
portant factors. Permit me to intro
dUce them
If you hold my ordinary note for
$1,000, it might be for a loan or a
poker debt; the more such floating
around urindorsed the worse my
ciedit. But the trade acceptance nee
eAs.-ily he:.@s the statement that il %
in payment for merchandise. which i'm
plies tho reception of assets which,
when sold, should more THAN cover the
amount of the note.
The opposition to such acceptances
comes largely from the local banks
which would sooner discount dealers
rote at 6 per cent and compel him to
keep at least one-fourth of the proceeds
On deposit to be loaned to some one
else than have him give trade ac-
ceptance, which the Federal Reserve
Bank would handle at 4h per cent.
know a manufacturer who insists on
receiving trade aceptances, but as di-
rector in two local banks decrics them.
ROBERT GRIMSHAW.
New York, June 21, 1918.
New-York tribune., 1918-06-27

Finance Economics
Telephone.
Hanover 6514

months. paper is being discounted on n
straight Is per cent oasis.
Bank Acceptances.-Broke reported
q broad demand for bank acceptances at
the following rates:
Thirty Sixty Ninety
Spot de- days. days. days.
livery: Per cent. Per cent. Per cent.
E gible
banks. .4l4@4 4A@4h 4A@414
Z igib lc
nOn-mem
Der banks.4n @4ls 4aa@4l4 4s@4A
l II C & Nb c
bank bills.sI4@4s4 54@4s4 5L4@424
For delivery within thirty days:
Per cent.
Eligible member banks ....... 4La
Eligible member banks 80. 456
Ineligible bank bills. 6
Discount Rates.-Tne following table
gives the current rates of the twelve
Federal Reserve banks on commercial
paper on all periods up to ninety days:
New-York tribune., 1918-06-27
The Dollar in Foreign Exchange

Exchange on Sweden continued to
display strength in this market yester-
day, with Stockholm crown checks
quoted at $500 cents, All advance Of
60 points. Rates on the other Scan
dinavian countries were steady.
Rates on London and Paris were un-
changed from Tuesday. Italian lire
were shade fir1ner.
Closing rates yesterday, compared
with a week ago, follow:
Quoted dollars to the pound.l
New-York tribune., 1918-06-27
Chile Takes Gold
$3,coo,ooo Is Shipped to Pay
for Nitrate Sent Here

'he National City Bank of New York
arranged yesterday for the shipment of
s3,Ooo,oo0 in gold bars to Chile. The
metal is going forward for the account
OF the Chilean government and and is
TO pay for nitrate shipments to the
United States from the South Amer erican
republic. Special permission was oh.
tanned from the Federal authorities a.
Washington for the expectation of the
gold. which will be sent to Chile on
board Chilean warship.
There have been several shipments
Of gold to Chile on this account during
the past year. The total of the move.
ment SINCE last October aggregates ap-
New-York tribune., 1918-06-27
July Disbursements

During the month of July American
corporations, municipalities and the
national government will 'disburse to
security holders an aggregate of $780,
$4,000 in interest and dividends, ac-
cording TO the compilation of 1.-THE
Journal Of Commerce" This compares
with total disbursements of 1921 $685.
938 in July, 1917. The sum of S99,926,-
S68 will be paid to stockholders in the
form of dividends, a decrease of s1o,-
390,426, compared with year ago. The
amount to be paid out in interest will
call for approximately $3.50, ,593,
compared with S20,271, ,544 in July last
year. 1t is estimated that the govern
ment will disburse approximately $780,
100000 in the form of interest on the
AZ per cent certificates of indebted
ness that mature July 8 and July 16.
New York City will distribute $780,
600 in interest and has besides revenue
bonds maturing aggregating $45,OO0,-
900.
New-York tribune., 1918-06-27
Brokers to Form
War Savings Society

The members of the New York Stock
Exchange will be urged this morning
TO become members OF the Government
War Savings Limit Investment Society.
The prerequisite for membership is the
purchase OF $1,000 Of war savings GER
tiacates, which to-day can be had for
1894. Between II a. m, and o. m.
post will be erected on the floor and
regular trading will be suspended dur
ing the sale of the stamps. Charles Nc
Donald. door member, is Chairman Of
the war savings committee.
New-York tribune., 1918-06-27
Higher Wheat Price Discussed

Representatives Of the grain trade
were in conference here again yester-
day on the matter of fixing the price of
wheat to meet the increase in railway
freight rates, which went into effect
this week. Another meeting will be
held to-day, after which it is expected
that statement will be issued an
nouncing the decision of the Federal
food administration authorities in the
matter. The grain trade is being rep
resented at the conferences by an ad-
yisory committee recently appointed.
Milling interests arc also represented.
New-York tribune., 1918-06-27
The Silver Current

Silver continues to flow eastward in
steady stream from the melting pots
OF the United States into the Golfers
OF the Indian banks at Calcutta. Sixty
tour million silver dollars have been
melted into bullion and most of it has
been shipped to India since the enact
ment of the legislation of two months
ago authorizing the melting down of
the silver dollars employed as reserve
against silver certificates in circu1a.
ton. According to Philadelphia N.'sI aS.
vices s11, 100000 in silver bullion vas ya
shipped from the mint in that citv
The Philadelphia mint is now melting
a day '-00'0oo
New-York tribune., 1918-06-27
Elections

G. B. Seger and A. c. Rearick have
been elected directors of the Baltimore
g. Ohio Railroad Company. succeeding
George W.. Stevens and G. 3. Wall,
resigned.
A. c. Bedford, chairman of the board
of the Standard Oil Company of New
Jersey, has been elected president of
the Peoples Natural Gas Company,
succeeding John G. Pew, resigned.
New-York tribune., 1918-06-27
WALL STREET OFFICE:
Mills Building, Is Broad St.

AAOOSH Vic IlOu. tOitti NhC1LOu
Williams recently warned bankers
against profiteering, and told them
that the carriers would not be per-
mittcd to pay more than 6 per cent
for funds, a railroad of such good
credit standing as the Union Pa
cific finds the cost of money rather
more than Ga per cent. 1t is
very high price to pay, but in spite
, Of the Washington view the road
| is fortunate to get money even at
that rate, for there are ways in
which banks and investors can
safely employ their funds to yield
higher returns. Sound public util
ity and industrial corporations have
recently had to bid from Z to per
cent for money. Since the Union
Pacific must pay so high price for
funds, it is plain that there are
many roads which cannot hope to
finance their requirements through
the ordinary channels, except at
, rates far out Of line with Washing
tons 6 per cent theory. It is to be
expected, therefore, that the car
riers will rely on direct advances
from the government as far as pos
sible. To the extent that they find
it necessary to finance their require
ments through public offerings of
securities, they will certainly have
to pay rates commensurate with the
returns obtainable on other good
/ securities.
The fact that banks are able to
employ funds in this country at
such remunerative rates as can be
! obtained at present suggests that
there may be some shifting of bank
balances from London and Paris to
New York. Last week approxi-
mately 100000 was transferred
to London by New York banks, but
that was probably the result of some
special transaction, and does not
indicate that any general movement
Of the kind is to be expected. On
the contrary, the tendency will be
decidedly in the other direction.
Some American banking institutions
have very heavy balances in Lon
don and Paris, in the aggregate, per-
haps, $500, 100000 or more; and on
these balances they can earn, at a
liberal estimate, no more than 44
per cent. The same funds, if
loaned out here, would net the
banks at least 6 per cent. More
over, there is urgent domestic need
of all available credit. The banks
have found it impossible to meet
all the demands that have been
made upon them. That is why they
have been considering the advisa-
bility Of drawing down their bal
ances abroad. There is little doubt
that they would do so promptly if
it were not for one consideration,
namely. the adverse effects which
such an operation would have on
the money markets abroad, and,
more important, upon the franc and
sterling exchanges. Undoubtedly
the repatriation of these funds
would tend to seriously depress
francs and pounds. Rather than
embarrass the Allies in any way, it
may be that the banks will unself-
ishly sacrifice the profits that could
be made by bringing their money
home.
New-York tribune., 1918-06-27

The above rates express the cost Of
foreign money in terms of the Ameri-
can dollar. You buy an English pound
sterling at, say, s4.75ss. The intrinsic
parity is $4.865s per pound. Thus you
say either that pounds are at a dis
count or that dollars are at a 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., 1918-06-27
Reserve Bank Dividend

The Federal Reserve Bank of New
York declared yesterday semi annual
dividend of per cent for the first half
OF the current calendar year, payable
June ~. The dividend amounts to
about $59S,00O on the capital stock out.
standing.
New-York tribune., 1918-06-27
Stock and Bond Averages
STOCKS
Relevant Comment
Tobacco Merger Rumors

The Street was filled with rumors
after the close of yesterdays stock
market session of an impending i'm
portant announcement concerning the
merger Of three tobacco companies
whose shares arc listed on the OK
change. There was really nothing new
Ii the character of the reports and so
FAR as could be learned there was no
moro reason for their circulation than
statement nay be issued to-day by one
of the companies that at least so far
as it is concerned it has not intention
of entering into new consolidation.
New-York tribune., 1918-06-27

Bank Clearings.-Bank clearings yes
terday in New York and other cities
were:
Exchanges, Balances.
New York 49,. $672, 2,226, 121 $76,365,913
Boston ...... 79,427,9 8,773,990
Philadelphia :. 76.O40,242 2O,130,470
Silver.-Bar silver in London was
4S%d, unchanged; New York, 9shc,
unchanged; Mexican dollars, 77c, un-
changed.
Sub-Treasury.-The banks gained
from the Sub Treasury yesterday
$197, 900.
LONDON, June 26.-Money was firm
at 8 per cent. Discount rates were:
Short bills, 31s per cent; three-month
bills, 9-16 per cent. Gold premiums
at Lisbon were at 1870.
New-York tribune., 1918-06-27

Below is given the current exchange
value of foreign money IN dollars and
cents, together with the intrinsic gold
parity. rs calculated by the United
States Mint:
New-York tribune., 1918-06-27
Car & Foundry Shares Strong

American Car & Foundry shares adj
vanced into new high ground for the
year yesterday, the closing price of
863s showing a net gain of 22s points
over Tuesdays last sale. The recent
strength displayed by this issue is said
to have been in antic patton Of the
favorable annual report which is ex
pected to be made public this week.
New-York tribune., 1918-06-27
Wool Acceptance Credit

Bankers here were much interested
yesterday in an announcement from
Chicago that plans for an acceptance
credit between a group of Chicago
banks and the government involving
81, 100000 have been completed. The
funds advanced by the banks will be
used, it is said. by the government in
the purchase Of wool through the Ma
tional Wool and Warehouse Company.
The matter Of arranging the terms was
left by the banks to committee con-
sisting of Herman Waldeck, vice-presi
dent of tic Continental and Com
mercial National Bank. chairman; John
Poleson. vice president Of the First
National Bank, and W. r. Dawes, vice
president OF the Central Trust Com
pany of Chicago. According to the ar
rangement the warehouse company will
receive compensat for purchas-
ing and storing. the wool, while the
bankers will have general supervision
of the transaction.
New-York tribune., 1918-06-27
Money and Credit

Offerings of call money were fairly
liberal at the Stock Exchange yester-
day, where the ruling rates were Az
to S per cent, compared with 4 to Az
on Tuesday. In the afternoon the
rate on mixed collateral call loans
cased off to 3s4 per cent.
There was a moderate volume of
activity in the market for fixed date
funds, but rates remained firm and un-
changed ct 5% to per cent for the
regular maturities.
Ruling. rates for money yesterday,
compared with year ago, were as
follows:
Yesterday. Year ago.
Per cent. Per cent.
New-York tribune., 1918-06-27
Market Barometers
Stock Exchange Transaction:

Day Year
Yesterday before before
U. S. gcy.$4,93 900 s5,225,o0O $2,2t7, 600
Railroads. $4,000 $4,000 $4,000
Others -. 1901 COO 1,os3,o0o 100000
All bonds. 6,511,ooo 6,6Ae,ooo 1851 900
January to date: