Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1919-04-23
GOSSIP OF The STREET
.FINANCIERS SEE END
OF EXTRA DIVIDEND
ON STEEL COMMON
Most Brokers Think Cary's
Statement Indicates Only
Regular Declaration

The statement of Judge Ebert H..
Gary, chairman Of the United States
Steel Corporation, at the annual meet
ing in Hoboken on Monday was COM
mented upon favorably in the financial
district yesterday. Among the brokers
a moiarity were of the opinion that
IL means there would be no extra divi-
dcnd declared on the next dividend date.
The part Of Judge Gary's address which
aroused most comment was his refer
ence to the difference of opinion between
the railroad administration and the in =
dustrial board. But every one did not
agree with the judge that the question
Of sterilization of steel prices in this
connection is dropped for all time.
There are many who believe the trouble
arose through a misconccpton on the
part Of the railroad administration Of
the power and aims of the industrial
board, and that there will be another
conference on the subject as soon as
some differences are smoothed over.
One broker said he believed the most
convincing argument advanced by Judge
Gary was the fact that the United
States Steel Corporation last year con :
.tributed to the. railroads $500 900.
This. he said, would give an idea of how
much was contributed by tho other stcel
manufacturing concerns outside tho
United States Steel Corporation and its
subsidiaries. It is deplorable, he added
that the railroad administration has not
seen its way to approve the prices ar
rived a. by the conference. and is there
by holding up the biggest industry IN
the country and also in measure all
the many other industries which are
either allied or dependent on it.
1--WE must he remarked. give the
steel men credit for honesty of their
statements. unless we are prepared to
prove to the contrary; and when they
say they cannot bring the prices of steel
down any further without a reduction in
wages, and when every one knows what
move of that kind would mean until
costs of living come down. it must be
accepted that the conference prices arc
tho best obtainable.
a bankcri who commented on Judge
Gary's statement said the latter part of
1t seemed TO him aS an intmation to
the business men of the country--cspc-
rially those who arc waiting to place
orders for steel products--to ignore the
action of tho railroad administrati ion
administration and accept the findings
of the conference on prices as conrIu-
sivc and place their orders at once. if
d they want TO seq the steel and every
other 3ndustry Of the country return TO
the period Of prosperity which it had
started prior to the price stabilizing
conference.
y The Judges remarks on that point
were as follows:
IF. you ask Irc how soon thr Stori
.industry will return to tho period of
prosperity in which it had started prior
to tho action taken by the director gen
ffal;of railroads with respect to prices.
cannot give you definite reply. The
=M,te is not 50 important as the exact
'fatSs. The date depends largely on the
business men themselves throughout the
country and not upon any single indi-
vidual or corporation. believe II ma
jority of these men know something
about the resources Of our country and
have confidence in thcm."'
The address Of Charles T.. Mitchell.
president of tho National city Com
'pany, Of New York. before the Cana
dian Club in Montreal Monday night
;on the railroad situation in this coun-
fry attracted tho attention Of some
bankers ard brokers in this city who
are interested particularly in anything
which directly or indirectly affects rail
road securities. Some were of the Opiu
ion that the rise in stocks of several
railroads early in the session yesterday
was indirectly traccablc to Mr..
'Mitchell's speech. until it was pointed
out that the roads whose stocks wcrc
most affected were what are now be
coming TO be known as oil roads that
is. such roads as pass through and in
many INSTANCES own property in the
recently developed oil districts in Texas
and Oklahoma.
One banker said he would add that
first of all the roads should be restored
physically at once to a standard at
least equal to the condition they were
lin when taken over. He said he con-
sidered this the most important. as il
would also probably bring around some
settlement of the steel controversy. An
other said the most difficult of Mr..
Mitcheil's requirements to agree upon
would be the determination of the capi-
talization of the roads as a basis for
distributing the surplus profits above n
;reasonable return. but he believed if
matters had reached that stage a solI-
: tion satisfactory to all would bc found.
Expects Exodus of Many Foreigners
A banker when speaking of the ex-
pected industrial boom in the United
States as soon as the peace treaty Is
signed said there are some very i'm
portaht factors in connection with tho
boom which will bear watching. In
the first place, he fears a shortage of
labor during the coming summer if the
great increase in industrial prosperity
which every one seems to anticipate ar
riyes. through an exodus of a large
: foreign element which has not vet be-
come assimilatcd to this country's wsys.
In support OF his contention he drew
attention to the following from recent
letter sent out by the Guaranty Trust
Company, Of New York:
1.-THE steady drift of alien residents
Of the United States back to their no
tive lands. especially in Europe. since
the signing of the armisticc. is creatinp
situation which may have serious CON
sequences in various directions. The
: outward movement. as recorded at the
wise Office of the custom house. shows
a gradual rise from 331 day in No.
vember to the high mark of 1881 reached
on April L., The outgo BY months since