Evening star., 1923-07-27
S1Q,0DD,00O BOND
SALE IS PLANNED
Step Is to Further Farm
Credits-LocaI Stocks
Active.

debentures of the new intermediate
credit banks, representing the first
lnstallment Of a series of similar Is
| sues designed to finance the new farm
| credit system.
The hrst debentures will bear inte!-
est at Il per cent, and will have q
maturity in six months. Other issues
Will follow at short periods until $50
| ooO'o00 has been raised, to be added
10 the like sum appropriated by Cor
sress for use as a working capital
| Of1cials of the Farm Loan Boar
declined today TO comment on a sue
/ gestfon put forward by farm organi-
cations that the government advanc,
| credit against wheat held in farm
| warehouses. 1t was said certif1cation
J or a warehouse as acceptable for stor
age was left by the statute to the
| department of Agriculture and ths
board would follow the recommends
tions of that department
Washington Stock Exchange.
Well variegated trading at .un
changed to slightly lower prices
proved the note of the day on th4
Washington stock exchange this
morning. Popular issues Dredom
| mated
| Lanston Monotype sold to the eA-
| tent OF twenty-six shares at "a, and
| railway common again broke into
the sales column, at IS. ten shares
changing hands. Gas stock eased or
to 4sA and u. Capital Traction held
nrm at par and quarter. and Mer-
chants Bank and Trust Company sold
| at 1.279. Fifty shares Of Colum bia
Title Insurance Company brought y,
and eleven shares OF Department
Bank were sold in the unlisted de-
partment at 6& and 6, the trend
| being downward
Bonds were almost neglected, $3.5oo
| Railway As selling at I'm and r. and
$500 Traction 5s at 96a.
Suit Against Directors.
The suit filed in New Jersey chan
cery court recently by the Universal
| Security Company to recover S3,427.-
| 600, alleged to have been used ex-
| travagantly in the construction of Co
lumbia Graphophone Manufacturing
and Toronto. is against directors in
| dividually, two of whom are stir
| members OF the board.
This is the second action of a sim
! liar nature brought by the Universal
| Security Company of Jersey City. The
| frst against the company, was dis
| missed in U. S. District Court at Will
| mington, Del. in February, 1922, on
the basis of statements filed by the
| company showing that creditor In
\
| of their claims. 1t is understood that
plants referred to in the complaint
\ are not now operating.
Columbia Graphophone Manufactur-
| ing Company has been endeavoring TO
dispose of large surplus factory ia
| cilftieS, as well as excessive inYen-
| tories, commitments of raw materials
and finished products. In November.
| 1922, its British subsidiary was sold
and satisfactory working agreement
entered into with the purchaser pro-
viding for the continued marketing
lof the company's products abroad.
This policy has been followed in 1928.
and in January, sale of the dictaphone
department was completed. In June
| Gimbel Brothers purchased $4,000
grafonolas, having retail marke,
price of s7,50O.O06. Further action
along these lines is expected to bring
! about readjustment Of the com
pany's present financial situation.
/ The showing of the company dur
ing the past three years has been
most discouraging. The report OF
1922 disclosed a deficit of s7.32S,6 COS
after all charges. depreciation and
of s15,710.33O in 1921. making total
the profit and loss deficit, s21.903.4S7
as Of December 81. 1922.
Columbia Graphophone Manufac-
turing Company has outstandlng
s9.642.572 Of preferred stock; sl2.
s66.512 common and s6.o00.00o five
year per cent notes due August J.
legation of the company but not Sc
cured by a mortgage. Interest was
paid to April I. 1922. and plan
providing for the freezing OF the
entire debt from that date TO August
II, 1925 became operative May II,
i1922 The notes are now selling
around u. the preferred at t5' ana
4 the common at !, which would seem
TO indicate that the most drastic sort
Of reorganization or receivership has
been discounted marketwise.
B. and o. Income Increases
Net operating income Of the Bal
timore and Ohio Railroad Company
for the six months period Of 1929
amounted to s22,s25.sos, as against
s14.5so.2s5 earned in the correspond
ing period of last year, or an increase
of sS,245.613 for the period.
| During the month OF June the car
rter showed an operating income OF
S40o459o, in contrast with S2.ooo'os-
for June, 1922, an increase Tor the
month of s1,3SS.25s. Operating re%e
5f5.545. expenses to $17.27S,011 and
deductions to $1.232,s44.
Banking situation Quiet.
The government Of Colombia has
advised its legation here under date
| of July 90 that the alarm which broke
/ out among the people or Bogota
few days ago, and caused the closing
of the Banco Lopez, has been allayed'
due TO active steps taken by the gov
ernment and the foundation OF the
Ranco de la Republica, which recently
| started operations.
The situation is reported as again
being normal and tranquility reigns
lin banking and commercial circles
there.
straus Buys Bond Issue.
6. W. Straus & Co. have purchased
AN issue of sS.250.000 first mortgage
i6h per cent three to twenty year
serial coupon bonds of the Develop
ments Corporation of Detroit, Mich
a subsidiary of the Book Estate.
| The security is the land and TWEEN.
lty-nine-story Book Cadillac Hotel
now being erected in Detroit. Inter
est coupons are payable October and
April /. ]. B. Book, jr., Is president
of the borroginE df,,so e9rpSiTathion %i ha the tall
est transient hotel in the world and
will represent an investment Of as
lproximata.J $14,0o0,s-.
North Americans surpIS-.
| Report of the North American Com
pany and subsidiaries for the twelve
months ending June 80, 1928, shows a
surplus of s13,4S3.254 after taxes, in
| terest mad preferred dividends, but
before depreciation. This is eQuiva-
lent to Sc. SO a share (par 800 earned
on 2.420,249 shares outstanding com
mon stock, as compared with 1884,
3s7, which. computed on the basis of
| the present $40 par value common
| stock, was equivalent to $4.22 share
on 1,73S,620 shares outstanding in
previous twelve months!
| Personal Mention.
| Charles E. Bright. manager of the
| Washington Clearing House Associa-
| ton. has returned from an extended
vacation in Wisconsin, where he was
the guest of his son.