Evening star., 1923-10-11
SOUTHERN RAILWAY
/ IN SHARP DECLINE
Delay in Dividend Action
Causes SeIIing-7ires, Oils
and Motors Weak.
BY STUART +. WEST.

Special Dis.;atch to The Star.
NEW YORK, October 11.-Activities
on the selling side in today's stock
market shifted from the leaders of
the steel. equipment and motor
groups to other quarters. With the
publication of the latest copper sta
tistics, showing that in September
output had run 10000, 900 pounds
ahead of consumption, the market for
the metal developed further weak
ness, with quotations down to 123
cents pound. the lowest of the year
ThiS was accompanied by further
selling of Anaconda and talk that the
80 dividend would be in jeopardy un-
less there was a turn for the better
soon. Other copper shares were more
affected than they bad been on We'd
nesday by the drop in Anaconda.
RubberS and Tires Lower.
Rubber and tire stocks were
pressed down again on the plea that
the latest cut in Crude Rubber fur
tlon. and suggested that write-offs
against the fall in the raw material
would be an important item when it
came~to figuring results at the year
end
Goodrich preferred and common
were noticeably weak and Kelly
Springfield was down around its low.
Word that the Southern Railway
directors had done nothing about a
common dividend and would not take
the matter up until the March meet
ing did not reach the street until
shortly after midday. Southern Rail-
way in the meantime had sold above
80 in expectation of favorable action.
Southern Railway Breaks.
WI en- the news came out there was
sank rapidly. The only explanation
vouchsafed was desire to await the
figures for the full year. which wou
not not be serapa ayailaP,e be uItd the meeting in
bearish mood interpreted the delay as
due to a wish to see what Congress
would do regarding anti-railroad leg
islation. and the good impression
made by the Baltimore and Ohio divi-
dend restoration was at least partially
undone.;
Railway shares had been wo5bly
from the start. When the Souti erli
railway directors had been heard
from other rails were rather freely
sold. Chesapeake and Ohio was of
nearly points from its recent high
and Baltimore and Ohio points.
Oil Group Also Weak.
Oil shares as a ErouHwere not re-
sponsive to the decrease reported for
the last week in crude oil output. On
the other hand they We're only slight
ly affected by sharp break occur
ring in ProduserS and Refiners which
carried the stock down within point
of its extreme low. The dividend was
cut in two at the August meeting.
The talk was that it would be passed
altogether in November. and this was
the main reason for the selling. But
at the same time there was the in
evitable rumor of new financing
which accompanies almost every in
dividual break nowadays.
Copper Surplus Piles Up.
A year ago there was no huge cop
per surplus, but production, especially
in South America and in Africa, has
gene on at an accelerated pace. with
apparently nothing practical done to
curtail it, Important interests in the
industry have gone so far as to say
that curtailment would not be en-
couraged by them. The one thing
copper shipments, both foreign an6
metal market, and just the opposite
has existed. September American
Copper shipments, both foreign ant
domestic, were forty-five million
pounds less than in August and sever
million five hundred thousand less
than in July, with the decline mostly
In domestic shipments.
Continental Cans Earnings.
The significant thing about the
earnings results of the Continental
Can Company, as briefly reported to-
day for the first eight months, is tha,
almost as much money was earned in
that period without any revenue from
tinplate included as was earned in
all of 1922 with approximately $1,250,-
= 600 income from tinplate. For the
eight months ended August 81 Conti-
mental Can. after allowing for pre-
ferred dividends. earned the equiva-
lent of S7.20 per share on the out
standing 100000 shares of no par
value common stock. In 1922 the full
years results were S7.94 per share or
the common. 1t is estimated that al
least $40 a share will result from 1928
operations.
At the November meeting of May
Department Stores, it is said, there Is
little lik elihood of directors inereaS.
ing the dividend rate above the pres
ent IS in spite of rumors to that eff
feet which have been heard the pas
several weeks. Earnings are run
ming at the rate of about $40 an.
nually.