davidaulloa/AmericanStories huggingface dataset:
New-York tribune., 1922-08-07
Wants Z Per Cent Bond

Question-What bond bearing a coupon
gate Of at least I per cent and selling at
the present time or below par would
you suggest l buy? I want a bond which
has least ten years to run. Have no.
ticed several isstes X hich to me seem TO
met my requirements, but wish you
views l realize that ! WIN assume some
risk IN buying such a bond. and am in
POSITION TO do so, II possible please name
~ least three bonds in the order of their
merit-E. j. 7.
Answer--The trouble with many
Aonds IN the class you specify is that
they are subject, to call ct the COM
panys option and may or may not
remain outstanding ten years or more.
For instance, these bonds are selling
at or below par: Robert Gar Company
Is, 1897; Hood Rubber Us 1895; Lu-
zerne County Gas and Electric is, 1947,
and Department of Seine Is, 1912. There
are others, of course, but these ENJOY
a ready market and will serve as ex-
amples. The first is caliabie at l10
at any time, the second at los after
1926, the third at 1o5 and the Seine
bonds at los after 1852. If you do
not object to the call features and are
willing to accept the risks involved,
such bonds, may serve your purpose
Our choice would be in the order
named
New-York tribune., 1922-08-07
Radio Stocks Decline

Question--some time ago L bought 100
shares Of Radio Corporation common at
"a per share. Since then II has dropped
steadily to AZ. I bought II dus to the
craze Tor radio, realizing that it was a
speculation but figuring that there wa.
splendid chance of It going much higher.
/ am only a working man, and while I
do not need that money now, still II "A
hard earned money and l would appre
cfate advice whether to sell same From
your information. Is the drop a natural
market condition or Is the company in
bad condition?--I. G.
Answer-The advance Of the COM
mon stock of Radio Corporation Of
America from about to 6 may be at
tributed almost entirely to the pur-
chases of stock by you and others who
looked at the outlook for radio as you
did. The subsequent reaction to g.
little above is due to the decreased
demand for this stock on the part Of
the speculative element in the face Of
inceased selling by those who bought
at lower levels. In other words, the
price fluctuations have been Influenced
almost entirely by speculative activi-
ties, as the condition Of the company
has changed but little in the last few
months. There is nothing in the situa-
tion that would warrant the belief that
the decline in the stock could be at
tlibuted to any financial difficulties.
New-York tribune., 1922-08-07

an income statement because the
Urban Company is not yet an oper-
ating company. This remark surprises
US, because James w. Elliott, head of
the Business Builders, Inc. which
marketed the Urban securities, char
acterized rs investments, recently in
formed the financial editor of The
tribune, in conversation, that the
Urban Company was actively selling
Movie Chats. subsequent telephone
to the lnspirational headquarters of
the Business Builders in the Knicker-
becker Building brought an assurance
from one of the officers Of the stock
selling organization that Urban Pic
lures was an operating company.
The shares were recently quoted in
the open market at Sd to Sc for the
common and $40 to $12 for the pre-.
ferred
AS for visiting the plants, it is often
a good thing for a shareholder to do
so to supplement the information he
has CLEANED from financial statements.
without balance sheet and an in
come account you could no more Judge
the worth of the enterprise accurately
than you could tell the solvcncy of a
bank by examining the character of
the office furniture. AS a general rule
unwilllngness or stated inability to
make public financial statements con-
stitutes a red danger signal for the
investor to detour.
New-York tribune., 1922-08-07
The Future of Cerro de fasco

cuestlon-As a reader of your valuable
paper. would be very much obliged for any
Information you could give me regarding
Cerro de Pasco Copper Corporation As
stockholder for several years, would you
consider it a good copper stock for one
who can AFFORD to Waite. H. Il.
Answer--You do not state what price
you paid for your Cerro de Pasco
stock. but If you are carrying it at a
loss you should bear in mind that the
company is one of the lowest cost pro-
ducers of copper and should be among
the first to benefit from a substantial
improvement in the industry. On De-
cember 81, 1921, the net tangible assets,
including stockholders equity in owned
properties, applicable to the 89S, ,320
shares Of no par value capital stock,
amounted to $3S,727,992, or s4,311 a
share. Ahead Of the stock is an issue
of $685. ,O00 ten-year convertible sink
ing fund per cent bonds, due January
l. 1881. The companys properties are
located in Peru.
New-York tribune., 1922-08-07
Strengthening Would Help

Question: hold the following securities
and they constitute my sole resources I
DO not depend on the income exactlys but
would prefer to err on the side OF safety
DO yoE consider my holdings safe? Would
you advise selling my one Liberty bond for
some such Issue as Montana Power SIS or
New York Telephone? Also 1 have from
$500 to $1,000 moro to invest; what would
you suggest Securities: $1,000 Postum
Cereal .preferred' $1,000 Reynolds pre-
iean &c an Agricultural A Chemical 71As; $1,000
goodyear Goo oa ,Fnn RTbber Ss $1,000 Detroit city
Brazilian Government ss; $500 Barnsdall
Series A, IS S100 New York Tele-
phone; 5000 kronen Norwegian bonds.
supposed to yield about 6 per cent-D p
Answer-We would not say that you
have erred in purchasing these securi-
ties, nor would we give you credit for
leaning very heavily toward conserva-
tism. This investment, as it stands
now, is suitable for a business man
who can keep in touch with pertinent
Developments. Keep your Liberty bond
as the keystone of an investment that
is none too well supported by conserva-
tive bonds, and with your new capital
buy some more New York Telephone
6s, 1941,
New-York tribune., 1922-08-07

since you are not, allow US to point
out to you that we are unable to
furnish you with the information you
request, since our company is not as
yet an operating company and our
finances were for the purpose Of build
ing and equipping plant and prin-
cipally producing the Spirograph ma
chine, although it would appear from
the newspaper articles, as rule, CON
corning our company that we are just
one of the usual producers of motion
pictures.
Our company would be more than
pleased to have you learn little
something about us, and to this end
we extend you a special invitation to
visit US at Irvington, and thus obtain
some real first-hand information on
our proposition"
Sometime when the lure of the
country impels us we may journey to
lrvlngton to look at the proposition,
but we are rank amateurs in Judging
the equipment of Spirograph factory.
In the mean time, we urge you sin
cereiy to remain sedulously away from
the securities of a company which says
1t is unable to comply with request
for financial statement. Unless you
can get a balance sheet certified to
by a public accountant avoid the Sc
curities of any company Mr. Tucker
implies that he cannot furnish us with
New-York tribune., 1922-08-07
First Mortgage Bonds

Question-What is your opinion Of s. w.
Straus & Co. first mortgage bonds as an
investment at 6!t per cent? Would you
is your opinion of the first mortgage GER
ihcates OF the Title Guarantee and Trust
Company &c. II.
Answer-From an investment view
ooint Title Guarantee end Trust Com
pany first mortgages must be given 8
higher rating than S. w. Straus g. Co.
bonds, although the latter are gen.
orally suitable for an investor who
holds other good readily marketable
securities and who is in position to
watch earnings of the property. Title
Guarantee and Trust Company certif-
Gates are issued for not exceeding two
thirds of the appraised valuation Of
the property securing them, which
makes them legal for savings banks
and trust funds in this state. S. w.
Straus G. Co. bonds are not bound by
these restrictions. The trust company
certificates have another distinction
in that the principal is guaranteed by
the trust company and by the Bond and
Mortgage Company, an affiliated organ
ization. Straus bonGs are not guar
anteed, although, the company would
not sell bonds which it did not believe
would be repaid at maturity and has
long record for good judgment in Sc
lecting first mortgages. Briefly, the
trust company certificates are high
grade investment securities, as the
return of 51e per cent indicates.
Whether you should take long or short
term obligations depends largely on
how long you wish your funds invested,
as this form of security has limited
New-York tribune., 1922-08-07

Question--Would you give me your opin-
ION OF the Lshigh Coal Sales common
stock as an Investment My legal ad-
wiser tells me he has held II for twelve
years and regards 1t as an unusually safe
Investment for a conservative ana anxious
investor like myself. ! cannot afford nor
GO wish. to speculate, needing every
cent of income to live and provide fof
others.--Miss Nj. D.
Answer-It cannot be denied that the
stock of the Lehigh Valley Coal Sales
Company pays attractive dividends
but because Of the fact that the amount
OF these dividends is dependent on
business conditions as affecting the
business Of selling coal, we class this
stock as suitable only for a business
man or for the investment of small
percentage of the capital Of woman
in a position to assume business risks.
If you are inclined to worry over
your investments, first grade bonds
returning or 51s per cent, would be
more suitable, in our opinion.
New-York tribune., 1922-08-07
Rating South American Bonds

Question-Win you kindly give me your
opinion Of the following South American
ities: United States Of Brazil. 2o-year
per cent, nor Ca liable due June J. 'sal;
Republic Of Chile. 20-year. per cent, due
February /, 1871; State of San Paulo.
Brazil. l5-year per cent due January
l. 1896; CITY Of Rio de Janeiro. Bra5n' M
toher J. 1931, due October !, 1916; Re-
public Of Bolivia, 25year. per cent, nor
callable for is years. due May 1, 1s47;
per cent. non-ca:lable for 10 years due
Catharlna is now being offered by Haisey;
Stuart & Co. but is not as yet llste0
you also give me your opinion OF the pre-
rrc4 and co-ernon stocbs of the Morocco
Holding Company, which are now being
common at $3.50 each, $3.50; or $3.50 par
Pierce & Co, Is West Forty-third Street.
New York cIty.--Miss NJ. c. d.
Answer---We do not rate any Of the
South American bonds which you men
tion as better than business mans
Investment, and one or two Of them
hardly deserve that Classification. The
Chile 5s deserve, perhaps, the top rat
ing on the list, with second position
accorded to the Brazil and San Paulo
bonds. The Rio IS are reasonably
safe for man with sufficient holdings
to permit Of an extended and we'll bai-
snced investment and in a position to
follow market and financial and eco
nonlic conditions generally. The 30
liyian and Santa Catharina bonds are
hardly better than second grade. Inc
Morosco Holding Company shares are
highly speculative.
New-York tribune., 1922-08-07
Not HieE, israda Bond

Quest!on--would you kindly give your
opinion on the following bond, as q busi-
ness mans investment; The Consolidated
Tool Machine Corporation OF America first
and closed mortgage rs. twenty-year sink
ing fund bond Il. 5.
Answer--The Consolidated Machine
Tool Corporation rs, 1912, can be re-
garded only as medium grade bond,
suitable for a person who feels he
can afford to assume the risks in
volved to obtain the higher yield. The
property securing the $3,6o0,0o0 issue,
appraised at little more than twice
this figure, is scattered over four
states and might or might not be suffi-
cient to repay bondholders in case of
foreclosure. Moreover, the bonds are
rcdeemable on thirty days' notice, which
is an unsettling factor for an investor
who wants some degree of permanency
in his holdings. The corporation was
formed last June to take over and
consolidate the plants Of six tool
manufacturers.
New-York tribune., 1922-08-07
Bay State Gas

Question--A number of years ago my
father, now deceased, purchased Bay State
Gas stock to the amount Of S1.750. l do
not know just what he paid per share, but
mother still holds the stock certificates,
all fully paid for, l wondering whether
not they would ever be OF any value to
her. Do you thirk they will ever get back
on the market where she would be able to
get back at last part of the amount In
vested "A. B. c.
Answer-Bay State gas stock is
listed in Boston, and sales have been
made this year ranging from few
cents o share up to about 25 cents a
share; present range around six cents.
We do not think there is other than
the speculative value represented by
the sale price in these shares.
New-York tribune., 1922-08-07
Sweets Earnings Small

:, Qsnea'!on--I have been an Interested
reaaer or your investors information
eolumn for long time and am now tais
ing THIS opportunity of asking you for
your opinion concerning the Sweets Com.
pany OF America as an investment ,ropo-
si.loh together with any information that
you may have about this company. 1t is
listed on the New York Stock Exchange
ana Is selling for about SO a share. /
nave been advised by friend that It's pos
Aoiiities are very good---F. Il. NJ.
Answer--The Sweets Company of
merica, Inc, was INCORPORATED in 1919
nd is engaged in the business of
manufacturing and selling Wholesale
andes, confectioneries, novelties and
ough drops. The capital stock of the
'mpany consists of 100000 shares of
~ par value and mortgages on New
ork real estate carried by the com
any amount to $4,000. Income ac
cunt for 1921 shows net profits of
1886, or SO cents q share. We fail
to see anything in the report that gives
the stock of this company the sem
blance of an investment.
New-York tribune., 1922-08-07
Four full columns of in
restnsent questions and an
e7rers scilf be published in
The Tribune eUery Sunday
ard Monday. On other days
one fuH column scilI appear.
Experts Say Europe Can Offer
Little Competition in Tires

AKRON, Ohio, Aug. European
rubber and tire industry has receded
from the new high point reached last
fall and for the present does not offer
sign for immediate revival, according
to the most authentic information
which has been obtained by American
manufacturing experts who recently
made survey of conditions abroad.
Because OF this condition, coupled with
government policies, handicapping ex-
port business, the Continental plants
fail to offer any real competition in the
foreign field to American manufac-
turers at this time. it is stated.
New-York tribune., 1922-08-07
The Balance Sheet VS.. Plant Inspection

Q"estininctod
P@ :" "s coHpang what the selling
ma""Jo"rsng at irpngton-on-eHudson pcraon-J
AnswerWe have consistently purchase
OF Orpan Motion Picture Industries,
data with which specific questions NJ E. A.
the
relevant reports
In reply wrote eve little
al the information request
en writing about assumed
authority
New-York tribune., 1922-08-07
See Lower Yarn Prices

PHILADELPHIA, Aug. 6.--Bullish
traders are surprised at the continued
indifference of yarn users regarding
their future Supplies; It is evidenced iia
the yarn market here. Values during
the past week were barely steady as q
result Of the consumers waiting atti-
tude. Although yarn men profess to
regard their customers waiting policy
as involving the risk of being squeezed
later on, it is conceded that slightly
over yarn prices may be witnessed
when the new cotton crop begins 70
move to the markets In voiGss&
New-York tribune., 1922-08-07
c. l. & L. Preferred

Question--Will you kindly give in
formation to Chicago, indianapolis g.
Louisville Railroad preferred 4 per cent
interest guaranteed by Louisville & Nash
vile Railroad? 1 have Few shares and
would like the bid and asking price
c S. 3.
Answer-Tke Louisville G. Nashville
Railroad Company controls the Chi
cage, Indianapolis & Louisville Railway
Company through ownership Of SO per
cent of the common stock and II per
cent Of the preferred stoekh. Dividends
on the preferred stock at the rate OF
A per cent have been paid since 1900.
Net operating income, after rents, for
the first five months of 1922, was $725,-
916, as compared with deficit of $685.
525 for the same period last year. The
quotation for the preferred stock.
which is listed but inactive, is az bid,
asked 30, with only few shares for
sale.
New-York tribune., 1922-08-07
Oil Company Evaporates

o Question: hold in my possession forty
of OIL Companies, incorporated, l believe
about 1920 The president at that time
as signature upon certificate indicates. was
j. MacMasters At present ! do not know
who the board of directors are, but if
your access to information is such that
you can supply me with the information
of how much value this proposition is, the
president of the corporation, and, in fact
whatever other information you may have
and can send me I would feel most CRATE
full to you.-J. w. B.
Answer-Shares of the Fulton Group
of Oil Companies are worthless
and at the last given address OF the
company, 10 West Forty-fourth Street,
we we're informed that the office was
deserted about six months ago.
New-York tribune., 1922-08-07
Good Preferred Stocks

Question--Having approximately $500
for investment. l would appreciate your
Bethlehem Steel per cent preferred and
shares of United States Steel per cent
preferred. I believe both of these stocks
are cumulative as to dividends, but II
not would like to be advised as well as
TO preference regarding assets and the
dates upon which dividends payable.
II stock IL purchased before dividend is
paid but after the books have closed for
the payment of such dividend is the
new purchaser entitled to the dividend or
the aeller? l understand tho purchaser Is
1T sells ex-dividend on the exchange, but
does it sell ex-dividend the day the books
close or the day the dividend is pay
able? VIII you please mention some
yielding about the same rate the
above Pc. G. B.
Answer-Bethlehem Steel 8 per cent
preferred is preferred as to cumulative
dividend over both the 7 per cent pre-
ferred and common stocks. It shares
pari-passu with the per cent pre-
ferred in distribution of assets, both
of which receive preference over the
common. United States Steel preferred
is entitled to cumulative dividends at
the rate Of 7 per cent and is pre-
ferred as to assets. If the stock is
recording stockholders the seller re-
ceives the dividend The stock sells
ex~dividend on the day the books close.
The following preferred stocks are
cumulative and almost of the same
grade as the. two you mention: Ameri-
can Locomotive, per cent; American
Woolen, per cent; American Tobacco,
6 per cent, and National Biscuit, per
cent.
New-York tribune., 1922-08-07
Bonds of Longer Term

Question-Would you advise exchanging
$500 Liberty bond. four Az, 1888, for q
United States Rubber yielding ia? whet
do you think of the American Writing
Paper bonds as investment? Are they
now yielding or per cent Miss K. r.
Answer-The coupon rate on Amer
lean Writing Paper first mortgage
bonds, 1889, was reduced from to 6
per cent on January I, 1922, according
to the loan agreement, but at recently
quoted prices these bonds yield about
71a per cent to maturity. They are
assuredly not the kind of security to
take in exchange for Liberty bonds,
especially where the investor is
woman. If you are determined to dis
pose Of the Liberty bonds United
States Rubber SIS, 1947, would be more
suitable than the 7hs,, on account of
their longer term
New-York tribune., 1922-08-07
Franklin Stock Offering

Question--Will you kindly give me your
opinion. as an investment on the H. H.
Frankln Manufacturing Company OF SYRIA
cuse. N. Y. per cent cumulative sinking
fund preferred stock at par Of si00 per
share and common stock (without bar
Value) at $50 per share. Any advice YOU
may given me Will be duly appreciated
Answer-H. II, Franklin Manufacture
ing Company's stock has been discussed
several times in these columns since
the offering several months ago of ad-
ditional stock, but judging from the
frequency of inquiries from upstate
readers sales are again being pushed
and it may be well for the benefit of
those who missed previous discussions
to mention these stocks again. The
company is one of the old, established
manufacturers of motor cars. Before
the present offering of $4,000 900 Of
preferred and 10000 shares of common
there were outstanding S5,04730 pre-
ferred and 284,650 shares of comm on.
IF the common stock outstanding a
arge part was held by officers, direct
ors and others associated with the
company. The raising of additional
capital is for the purpose Of placing
on the market a new m odel at a moder-
ate price to compete with manufacture
ers of $1,000 cars. From an investment
viewpoint the preferred takes prece-
dence over the common in that it has
greater safety of principal, but there
Ire callable features which restrict the
permanency of the investment. Divi-
dends on the preferred are cumulative
at the rate of per cent annually. Two
previous issues of preferred have been
retired at 110 and the company in time
will in all probability retire the present
issue. The common has paid an aver
age of 1914 on each share of 500 par
value in addition to stock dividends
aggregating 562 per cent in twenty
years. For persons in position to
ssume the risks involved the. stocks
hould be suitable, greater security at
achir~ to the preferred and greater
possibilities of g speculative nature at
taching TO the common. The company
endeavors to provide market for pur-
chasers of its stock who have occasion
to dispose cf their holdings and are
unable to find buyers. The stock is not
listed on any exchange, but is traeded
in in the open market in New York.