Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1923-12-28
CHEERING VIEW
Continued from Page One)

nual dividend from to { per cent.
and the Gulf. Mobile & Northern de-
clared an initial dividend of l per
cent on it's preferred stock. The
Louisville & Nashville railroad de- |
clared stock dividend Of 62a per
cent.
For the first time since 1917 the
railroads showed an increase in the
construction of main line mileage.
Important construction developments
Under way include the linking up Of
the Southern Pacific with Mexico
City. the double tracking of the
Sante Fe. the cutoff operations Of the
New York Central at Albany and of
the Illinois Central on it's main line.
Elimination of the 12-hour day at
the suggestion of the late President
Harding was one of the outstanding
1923. E. II. Gary. chairman of the
United States Steel Corporation, csti-
mated. when the announcement was
made, that the change in working
hours would increase the cost of pro-
duction by Is per cent. Record
breaking building construction, much
of which was delayed by the war, and
unusually large railroad orders helped
to offset the loss of export business
through the economic disturbance of
Europe. Material for reconstruction
work in japan was an important fac
tor in the closing months of the year.
The declaration of an extra dividend
OF Il of l per cent by the L. S. Steel
Corporation on Oct. so was generally
construed As an expression of conf
dence in the immediate business fu-
ture.
Heavy over-production Of crude oil
in California followed by the discov-
cry of big productive field in Central
Texas unsettled the oil market, fore
ing crude prices to very low levels
and bringing about a gasoline price
cutting war in various sections of the
country. despite the fact that con-
sumption was greater than ever be-
fore. The increase in domestic pro-
duction more than offset the loss in
Mexico, where many wells ran into
salt water earlier in the year. In Or
der to conserve their cash resources
and finance huge quantities of oil and
gasoline in storage, several of the
smaller companies were forced to
suspend or reduce their dividends.
The automobile industry had the
best year in it's history, nearly 4,00O,-
600 cars and trucks being manufac-
tured during the year. This brought
the total cars in use in this country
to approximately 100000, or 90 per
cent of the worlds supply. Produc-
tion schedules recently announced by
the larger companies indicate that the
output in the first three months of
1924 will exceed that Of the corre-
spending period in 1923.
Production of railroad equipment
also reached new high records as a
result of extensive requirements made
by all the leading railroad systems. 1t
is estimated that the railroads of the
United States spent approximately
S3,l0O,000.0O0 for equipment in 1923.
Forward buying thus far indicates an
other huge outlay next year.
importation of large. quantities of
cheap copper from Africa and South
America unsettled the domestic CONFER
market. despite the fact that con-
sumption was greater than ever be-
fore. and in excess of domestic pro-
duction. The sharp diminution in ex-
port demand, due to the unsettled
economic conditions abroad, sent the
price OF the red metal down to where
but few companies could operate at a
satisfactory profit. One of the out
standing developments in the industry
was the purchase of the Chile Copper
Company and the American Brass
company by the Anaconda Cooper
Company.
Fear of a sugar shortage in mid
summer, which led to a Temporary
era of heavy speculation in sugar fu-
lures. proved to be unfounded Sugar
producing companies succeeded in re-
couplng some of the heavy postwar
losses, dividends being resumed in a
few cases.
Cotton prices reached the highest
levels in more than three years on q
shortage in the crop, due primarily to
the ravages Of the boil weevil. I'm
seasonable weather and a heavy de-
mand for the raw product were other
contrioutory causes to the higher
prices.
Relatively low wheat prices. due
to reduction in export demand, over |
production and increased competition !
py Canadian growers, led to sugges- |
lions OF reduced freight rates on /
gram Tor export by President Cool
idge and prominent western legisia-
tors. Other farm products showed