Evening star. [volume] (Washington, D.C.) 1854-1972, 1922-04-08
LOCAL BONDSARE
ACTIVE AND.F|RN
Temporary Home Uptown fol-
Hamilton Bank-Freezinu
Graphophone's Big Debt.
BY I. A. FLEMING.

BY I. A. FLEMING.
| Business on the local exchange to.
day was decidedly larger, trading IL
bonds being especially active. Price,
were without material change from
quotations that have been current
\ most of the week
| Gas tx notes brought los, this beins
a slight recession, but the sale in.
cluded only two $500 lots. Gas 5,
! were steady at 92Ik; Potomac first 81
firm at IS, General Mortgage 6s al
39b and per cent bonds at ao6h
stock trading was featured by sale
OF siXty-eight shares Of Columbia
Iltle insurance, at 5 u, the FIRST trans
| action Of the year to, date
Capital Traction, ". rsRadiwsS
common, steady at $50: with the pre-
ferred firm at 6S
| Hamilton In Temporary Quarters.
During the construction of the per-
| manent home for the Hamilton, Saw
| lngs Bank on the corner of i4th, street
| and Park road. the bank will be tenn
| porarily located in the Park road sta
| ton of the United Statss, post Office.
building will enablefeshe Hamilton
Savings Bank to care for its Gus
! toners comfortably during the IN terim,
and 1t is hoped, according TO, NJ. Z.
Allies. president of the Riggs Ma
| tional, that the new building Will be
ready for occupancy by GSkobar. l..
On Monday of next weekhdhe1 work
OF Wrecking the building,'iB5 o. Penn
sylvania avenue, adjoining rhe Riggs
s Saiio o1ni Ban k bq qs
Bank, will commencesf - a.. .,,.
Inc small army ofsclerks IN. the
transmission, saVingSS aHdh clearings
sections will be convrpkntly housed
in the temporary nezZsnfne Nat.
forms that have been EonstructeS
house IS is
The structure formerly occupied by
Lewis. Johnson & Co. and the Airing
ton Fire Insurance Company will be
| entirely RACED. = ~
Personal Mention
Victor B. Deyber. president Of the
| Second National Bank. isin New York.
Freezing a Debt.
| 1t is now proposed. to freeze" the
Company from April II 1922. to Au-
gust l, 1925, SO that the chilly opera
| ton has started.
| The total debt is given as around
| S20,000,000. The new arrangement,
| probably worked out by the creditors
| who largely dominate the directory
| of the organization. is referred to by
| the Wall Street Journal this morning
| as follows:
"A plan dealing with Indebtedness
| of Columbia Graphophone Manufac-
| turing Company, which provides for
| freezing the entire debt of the COM
pany for the period from April l,
1922, to August 1, 1925, after deduct
/ ing an amount not in excess of aggre-
gate bank deposits on September Is,
mittee formed to protect interests of
| holders of the five-year per cent
notes, the bankers committee and
committee representing merchandise
and supply creditors. Total debt in
volyed will be around s20,o00,0 900. This
| means that both interest and prin-
cipal Off due in that time) will be de-
| ferred for three years, at end of
which time, interest adjustments will
no doubt be considered if company
works out of present difficulties.
plan provides for adjustment OF
interest on all debts to April l, 1922.
Provision is also made for appoint
, ment of a new committee to repre-
sent the total debt, which will rank
equally. This committee, known as
the readjustment committee. is com
posed of NJ. NJ. Buckner, Benjamin
Joy. J. C. Neff. William C. Dickerman
and G. Herman kinnicutt
Funding the debt in this way
will, in opinion of the committee.
provide opportunity for the company
to work out of present financial diff
ficulties. 1t is not considered that
any public financing will be neces-
sary. With approval of the com
, mittee, company will be given power
to borrow should funds be necessary
for working capital. Circulars pre-
senting the plan will be mailed TO
noteholders for their approval some
time next week.
Balance sheet as of December 81.
1921. showed bank loans sl3.650,o0o,
~ fSac III
counts payable and accruals s3,213,-
| SAB, making total current liabilities
S16.901,321. Total funded debt totals,
s6,25o.000. including 100000 five
year s per cent gold notes due 1925.
and s25O.000 mortgages on real es-
tate due 1928"
Protecting InvestorA
Seymour L. Cromwell. president of
the New York Stock Exchange, ad-
dressed members and their partners
yesterday at a called meeting on the
methods of protecting investments
and investors. Because of the fact
that there has been restricted pub
licity OF the protective measures. the
public has not known of the meas
ures taken and has blamed losses on
the exchange that have really re-
suited from the work of sharpers
out of more than threescore firms
! whose failure has been announced
three were members of the exchange.
! In ten years the failures on the ex-
change have averaged less than one
half of l per cent-even a smaller
| percentage of failures among ex-
change houses than among banks.
I'VE are about to put into effect
plan of closer supervision by the
exchange over its membership.
Our Investigations have developed
the fact chat a few houses through
pressure of business have failed to
take trial balances at sufficiently fire.
Quent intervals and have thus per-
mitted themselves to be involved.
Must Take Trial Balance.
at is now compulsory for each mem
Der to take a trial balance monthly
and no excuse will be deemed valid
for failure. "A QUESTIONABLE viii be
sent out to members twice year.
which will cover all points necessary
to develop their condition"
The president appealed to the mem
bership to refrain from seeking or
ders over the telephone. We all know
that. non-member houses have lists
of names whom they constantly solic-
it, I'VE know they scrutinize the obit-
uary lists and puruse the heirs of
estates.
ticss Let US, without mincing words.
warn the public that this method of
obtaining business is contrary to
proper standards, SO that when q
man RECEIVES a telephone message of
such a character he can be sure that
it is not his broker calling him up.
Opposed to Incorporation.
1--WE hear a great clamor for the in
corporation of the stock exchange.
IF the exchange were incorporated
its power to effectively discipline its
members would be gone. A member
detected in improper conduct could