Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1922-08-29
FREE SELLING Of
LAKE SUPERIOR
Pennsylvania Also on Tap De-
spite Much Better Earning
Outlook Of the System

Stocks seemed to be freely on tap i'll
two different spots in today's local
market. while the general list continued
marking time. The two sources Of sup
ply were Lake Superior Corporation
and Pennsylvania Railroad. For the
heaviness of the former, which made
a further descent to ~. there was no
need to look further than the annual
report published yesterday. The sorry
showing made by the company was not
of n kind to give much courage to any
holder. Indeed. 1t was surprising the
market for the stock held up as well
as it did. The lower quotation Of the
day left the stock only y of point above
the extreme low level of the year and
over So n share under the years best
price. What hurt the most was the
exposure of the complete unreliability OF
recent reports circulated concerning the
operations and prospects of the COM
pany. 1t would be difficult to trace
the source and authority Of these state
ments, but yesterdays figures showed
them clearly to have been n clean-cut
case Of absolute Misrepresentation.
The feeding out of Pennsylvania
Railroad, causing further dip to 40 1s
Notwithstanding subsequent rally to
46l2. would be more difficult to explain
More especially In view of the fact the
prospects of restoration of the q per
cent dividend rate are brighter at the
moment than since the promise was
made. With the resumption of bitumi-
nous mining, it is certain the traffic Of
the system will be materially increased
from now on. which in turn is bound 60
swell the gross income, signal which
the board has been awaiting before
making any change in the dividend
policy.
As the contributing lines or feeders of
the Pennsylvania system virtually tap
almost all of the more important indus
trial plants, and as these. according to
the Government priority program, are
to be given the first call in fuel demand.
there is every likelihood the equipment
of the system will be heavily taxed to
meet the requirements Of the time. The
management claims shop forces are
nearly normal, so there should be no
drawbacks in matter OF sufficient work.
ing equipment. All of which apparently
foreshadows substantial increase in
earnings.
According to the street reports there
has been quite n good deal of switch
! ing since the possibility of Government
control of the railroads again became
an issue. The disastrous scrambing
of the equipment during the war period
and the semi Decentralization Of organi-
Zntion have not been entirely forgotten.
and naturally even the hint of this con-
dltion recurring produces more or less
apprehension among holders of rail
road securities. Perhaps some of the
selling of Pennsylvania has come from
such timid holders, which. if so. is TO
be regretted. as in better Informed cir
cles the veilcd threat of Government
control is regarded as nothing else than
cold bluff in the checker game being
! played between political and labor in
| terests.
In the general list trading was some
what restricted. rPtlecting n continued
waiting attitude ON the part of most
all market interests. T.. G.. !, was
again on" OF the stronger spots, almost
getting back to the high figure reached
yesterday. but the dealing lacked the
! snap of the preceding session. indirot tinr
! the urgent demand for the tImo bein"
! hAd been satisfied. Little interest was
! shown In either the Philadclphia EIer.
tric shares and the street railway is
| sues. Philadelphia Company cunulativc
| preferred benefited by the wider mar.
ket for the public utility shares. espc
| clal!y IN the gas companies. advancing
/ I" 43'2. United Railroads of New Jcr-
sry on small transactions reached nov
top price at 2O0ii. West Jersey md
/ S'AShor" had a firm market at 80, Few
shares of Minehill were taken at ~
a rise Of point.