Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1921-07-14
GOSSIP OF
THE STREET

THE STREET
Quite a number Of Philadeiphions
are Interested in the proposed rccapi-
talization plan Of the North American
Co. It is understood the plan calls for
exchange Of 297,033 present shares OIL
capital (par value S1O0) for new
G per cent preferred and common stock
with par value of $50. on the basis OF
two shares for one. The company has
been paying IS annually on the w.
703 800 capital stock since 1910.
II the proposed plan Is carried
through, there will be authorized s3o'
OU0. 900 6 per cent preferred stock ana
$50 900 900 common stock. According
to reports it IL the expectation OF the
board to pay So annually on the com
mon stock and, iu addition. make an
annual stock distribution OF per cent
in the preferred stock. On the proposrn
exchange. half Of the new stock VIII
be issued for the present stock. ~ IL
figured on this bnsis the present holders
would receive on the two shares re-
and in addition 2 per cent in preferreu
stock.
Few are aware Of the fact that the
company possesses the only OMNIBUS
charter In existence. 1t is the most
flexible document ever granted In the
history of the country. The company,
in brief, can practically engage in every
possible sort OF business from making
bricks up to running n railroad or any
thing In the banking line.
Good MARKET to Leave Alone
Only a few brokers are making effort
to encourage speculative commitments
| in the current market. The majority
| are only discouraging all operations
until the market has found common
level.
A board room manager OF one of the
larger uptown houses stated yesterday
that he had advised most Of their clients
to leave stocks seriously alone until some
definite tendency is shown. The ma
| jority anticipates a dull and draggy
summer. leaving n slender opportunity
for profitable turns on either side. Sen
timcnt. however. Is more optimistic OF
the future. for it is generally believed
the worst il known in respect to most
industrial affairs.
On the other hand. it is felt there is
n chance of important favorable devel
opmcnts in connection with the rail-
roads. which. il realized. would have
considerable influence in the market.
Steel Buyers Still Scarce
In view of the recent additional re.
duction of schedules by the leading stce
mills, more than ordinary interest wa
attached to the weekly review of tht
steel situation by the Iron Age.
Discussing this angle Of the industry
the accepted organ Of the trade states
! that less, rather than more. buying
has followed the formal posting of tht
new steel price list Inst week and st"c
works operations have not improved
Buyers do not question that prices arc
generally below cost but they need little
steel and await the effect of labor and
freight adjustments.
Market prices of some products. in
Guiding hot and cold rolled strip steel
are not well defined. lrrcgulnrity ap.
pears also in seamless tubes. While
2.60c is regarded MS tho Steel Corpora
tion's price on hot rolled strip. sales by
other makers are reported at 2.J0c and
| lower.
New structural projects total .OlN
tons. nearly half of which is for build
! ing in the Grand Central area in New
! York. Contracts awarded involve about
| 1000 tons sizablc jobs. while capacity
of country's fabricating shops exceeds
40. 600 tons per week.
Marked increase in interest on the
| part of pig iron buyers in several I'M
! portant centers. with sales OF fair tom
nagcs. has caused more cheerful SEN
timent, but business IL being taken at
! further price concessions. Southern
I hou :
cngo charcoal has been marked down
81 80. while other grades have declined
81 in that market. and lower prices are
also noted at Pittsburgh. whore an offer
TO buy 1900 tons basic at SIS. or 81 20
! below prevailing quotation. is consld-
cred TO represent views of buyers.
Georgia Coming Back Fast
| A very cheerful resume. relative to
agricultural conditions in tn" state oil
Georgin, and predicting rapid rcStora =
| tlon of confidence and business hrliNl-
ties. is given by the industrial depart
mcnt of the Georgia Railway and Power
| Co., the securities of which enterprise
! arr widely held in this city. III" state
mcnt asserts that business conditions IN
the state are improving More than
thirty State Banks that were closed last
fall have reopened for business.
| 'Conhdence OF the DuSlhB pup'!' h"'
been restored" the report continues
Retail merchants have unloadcd war
stocks--sOme OF them at tremendous
loss--and are placing fall orders ON the
new basis with considerable optimism
Merchants believe that the fall season
will initiate several years of unusual
activity. -,
1T was predicted that the South,
largely agricultural. would be the first
to recover from the depression. This Is
proving true, particularly of Georgia.
1T is too early to predict the out
come of this years cotton crop. Present
Indications are that it Is about CT pei
cent of normal. Cotton acreage Is re
duccd approximately 2S per cent. Bar
ring any adverse developments, such a
boil wccvil and carly frosts, Gcorgir
should yield this wear around LII ,4OC
bales of cotton. There Is still much OF
last years crop in warehouses and on
| TrtIU, TlND AIlIND