The New York herald., 1920-01-31
WALL STREET GOSSIP.

The equipment stocks were bought in
response 10 the news that the Baldwin Lo-
comotivc ard American Locomotive com
panics have formed an export corporation
to finance their foreign orders. While the
immediate purpose is to take care of Bel
gan orders, an organization has been Gre
ated which can be utilized for all other
foreign business the companies may book.
Baldwin was bid UP to 12la.. new high
for the movement and an overnight gain
of ) points, while American Locomotive
touched par. The advance in Baldwin was
accelerated by short covering which pow
erful pool buying caused. AS the stock Is
one which would benefit by favorable
stock dividend decision, shorts were in
clned to cover over the week end.
Trading Limited.
Trading yesterday was even more limited
than on the day before. 1t was wholly con-
fined TO powerful bull pools on the ono
side and professional operators on the
other The public was still out OF the
market Commission houses did scarcely
any business The movement today was
the counterpart of what has been Wit
messed every week for some time day
or two before Supreme Court decision day,
which is Monday. 1t apparently was
well managed drive against shorts in an
ticipation of a possible stock dividend de-
cision next Monday. After Monday the
court will adjourn for a month That
such was the motive of the bulls was sug
Ccsted by the fact that those issues which
would benefit most by favorable stock
dividend decision were the ones which
showed particular strength.
Philadelphia Company.
Philadelphia Company is the subject Of
"A special letter issued by Ilirsch. Lilieu-
thai & Co. members of the Stock EN-
change. in which they make an instructive
study of the diversified business and mcri-
torious record Of the company. The COM
pany derives income from many different
lines OF Industry. including natural gas,
electric light aud power, coal mining. oil
production and transportation, says that
circular Its dividend record is an uu-
broken distribution for thirty -four years
averaging 6 per cent year on the COM
rectors TO declare as dividends to the
Philadelphia Company rs much Of the
OF subsidiaries as they choose.
But pursuant to a conservative policy
which according TO Messrs. Eiirsch. Lilicn-
thai &; Co. may be changed at any time.
only regular disbursements to the parent
company are made. As a result OF this
policy. while the annual report will show
only earnings OF about 7G per cent on tho
common stock. the system probably wiz
have earned more than 10 per cent of
which a large part was used In reddcng
capital indebtedness and improvements.
while 6 per cent was disbursed in diyi-
dends
American IInsced.
II was said yesterday in quarters which
have proved to be well informed on de-
in the affairs Of the American
Linseed Company that action on the
plan to declare n stock dividend in now
second preferred shares Is imminent. Tho
Board OF Directors will meet next
" Wednesday, it is expected when they
probably will place the seal OF their APP
proval on the plan. which ha sthe indorse-
ment Of the largest individual interest in
tho company. II is believed that the ar
will be such that beneficiarics
By the dividend Will not be subject 10 an
income tax. regardless OF tho nature OF
tho Supreme Courts opinion on tho pend