Great Falls tribune. [volume] (Great Falls, Mont.) 1921-current, 1922-07-30
BY STEWART p. WEST

Special cerres.ondsnt Of Great ralis TrIbuas
Copyright. 1922. by The Great Falls Tribune
New York, July 29.-Public reactions
to leading events Of the past week
showed pretty clearly that most other
factors having to do with business were
s~ubordinated to developments in the
great strikes. The stock market out
lined the situation through marked de-
cllnes of prices at mid-week. when
doubt about corporate earnings arose
by reason OF emergency measures for
distributing waning supplies Of coal
and in later sharp recoveries when
hopes arose of an early labor peace.
BUSINESS men began to count the costs
Of short fuel production and disar-
ranged railroad service.
The i'll effects Of II weeks cessation
Of anthracite mining and an equal pc
Rod of reduced bituminous output
probably were exaggerated to ONE de-
gree. The situation should be exam
ined with reference to general industry
as affects are sized up to date. 10
accomplish this, %cou should be had
to railroad earnings and car l0adings
to steel mill, production and steel COM
pany earnings. Figures in these lines
show at least what actually has taken
place under the stress of strikes. 1t
would be difficult to find any source
of information at this writing which
would accurately forecast the future,
but from present records and those of
the immediate past, it is possible to
get some understanding and trade.
New York Central Earnings
Among railroad earning statements
of the week with a broad bearing on
business and finance, the New York
Centrars quarterly dividend may be
taken. The road transports all sorts
of merchandise, including coal. Its re-
ports always disclose good and bad
conditions. The New York Centrars
net operating income in June, the third
month of the coal strike, amounted to
a little more than $4,000, 900. This
was nearly $4,000 0 more than for the
corresponding month Of 1921. A bet
ter comparison would be with the re-
suits in May of this year and this
showed a gain of $2.166, 900, or about
5 per cent. In contrast with May. the
Central's gross revenue of S29.462.OOO
displayed an expansion of very nearly
s. 1000. 900. The road lost in coal traf-
fic. but much more than made up that
loss through the transportation of gen
eral merchandise.
The Southern Pacific. which hauls
much manufactured goods, lumber and
farm products, reports an increase OF
S1.774,OO0 in its June gross revenue
and q gain of $33S,OOO in net income as
compared with May. The Union Pa
cific made practically as good a show
ing. The New Haven deficit in June
was much smaller than in 1921. Gen
orally speaking, it was only the roads
which have a proponderance OF coal
from affected regions which suffered
severely in June and contrasts with re-
Suits of the month before or q year ago
while with lines which handled btu
minous coal from non-union territory
the gross and net returns swelled large
lv. The Norfolk & Westerns June
gross was the largest it has ever had
in a single month.
No Fuel Shortage In June
It may be that manufacturers drew
on accumulated fuel storage, but IN
formation reaching Wall Street was
that such was not generally the case.
All through June. steel plants IN the
Ohio valley had trouble getting suffi-
ciept coal. but il was not until this
week that the trade survey disclosed
fears that reserve stocks would have to
be used BY mills in other regions and 1t
vas not evident that such a condition
Ind yet arrived.
In respect to car loadings the record
comes nearer down to date. The rec
ord of July Is, when both the coal and
rail strikes were in force. saw 7S3,573
cars of general merchandise loaded, a
total exceeded in the history of Amerl-
can railroading only on the peak traf-
fic movement Of September and Oc-
tober. 1920. Coal was not in this rec
ord. The coal movement. of course.
was less than in years when there was
no strike.
The L. s. Steel corporations earn
ings for the second quater certainly
gave no reflection of fuel shortage for
the best of three months was June, with
net income in excess of S10,0D.OOO. or
about IS per cent more than in April.
While dividends were not earned in full,
the quarters deficit was much the
smallest since the business depression
of last year began to force red ink
figures into the earnings account.
The proper deduction from all these