Evening star., 1924-05-26
$6,074,6OO PAYMENT
DUE THE TREASURY
National Banks of Country to Re-
NIT 5 Per Cent of March
Certificate Sales.
TRADING ON D. C. EXCHANGE
American 7. & T. Stock Offering
Phases Under Discussion.
BY CHAS. =. SHAEFFER


National banks of the country will
pay into the Treasury tomorrow.
through their regional members. Sc
074.600, or 5 per cent of the proceeds
of the March 10 sale of certificates
remaining with them on deposit. The
funds are one-year certificates. bear
ing 4 per cent interest
The original amount of the govern
ment's borrowing on March Is totaled
$400,290,000 of which s137,365, 900 were
exchanges. To date, and including to-
morrow's payment, Sc per cent have
been called in and sI15,417.70 still
remains with the banks.
Following its usual custom the
government undoubtedly will issue as
or June 10 next a considerable sum
OF federal paper to meet current in
debtedness. While the second install
ment Of income taxes natures on this
date, the anticipated receipts will not
be sufficient to redeem the $3I1,1af.
500 of three-year 5$4 per cent notes
and the s135.12S,500 of six-month
per cent certificates which fall due
The new financing, it is understood.
viii be for an amount not less than
S3O0,000,000, while the terms Will be
governed by the money market pre-
vailing at time of issue.
Effect of 4. It. and #. Proposal
The declaration of rights Of the
stockholders of the American Tell
phone and Telegraph Company Will
nave an effect on the price of cor
vertible per cent notes, due August
of next year, which are now selling
at about III. These notes, which
now have fourteen months to run be
fore maturity, are convertible into
capital stock, the notes being re-
ceived by the company at par in pay
ment for stock at los. with an ad-
justment as to accrued interest and
accrued dividends.
Briefly speaking, the notes sell six
points below the price of the stock
and, of course, as the stock rises and
rails through the payment of divi-
dendS or extension of rights to sub
scribe TO new stock. the quotation
for the per cent notes must like
wise be affected. 1t seems strange
that the holders of these notes do not
either convert or sell them In this
market a per cent note is not worth
III. The notes cannot pay more than
per cent, while the companys CAPT
tai stock pays per cent, and CON
tinued ownership of the notes must,
naturally, mean the loss OF per cent
of their par value per year in in
come.
Industrial Revenues.
A decrease of $65.197 in gross rev
enues of the Southern railway IN
April compared with the same month
last year was Offset by a gain Of
s1l3.362 in net operating income uf
S2.377.540.
Directors of the Wabash railway
are expected to consider dividend ac-
tion on the preferred A Shares at
their meeting tomorrow. The recent
movement of the stock has raised
doubt of a per cent annuA rate,
predicted several weeks ago. Gut no
aStonishm would be caused if II
declared dividend at the rate Of
4 per cent annually, which the pres
ent market value of the shares would
appear to have discounted. The earn
ingS of the company have been run
ming to figures which justify such "A
distribution.
The fact that United States Steel
common will sell eX-dividend S1.75
on Wednesday has been a Steadying
influence on the price of the shares
Traders who are long of the stock
are holding it for the dividends;
while spectators for the decline ARD
indispoSed to sell it short pending
the time the dividend will come off
The Great Northern railroad today
asked authority from the Interstate
Commerce Commission TO issue S4,
100000 of per cent equipment trust
certificates. for the purchase, build
ing and rebuilding of 5000 refrigerator
cars. The certificates will be sold
at not less than 81 per cent of par
Trading on ID. c. Exchange.
Trading on the Washington Stock
Exchange today covered a consider
able portion of the list. but in the
main was confined to small lot sales
at unchanged to slightly higher
prices. This was particularly true of
District National Bank. which sold at
1898; American Security and Trust
Company at 304, and Security Storage
Company at 345.
Norfolk and Washington Steamboat
sold to the extent of forty shares at
PA and upward to 21412, and four
shares of Lincoln National Bank
brought 1922. Railway As changed
hands at 49, and Gas 6s of 1888 at
par and an eighth. Lanston was
unchanged at ~.
Personal Mention.
Frank j. Stryker, president of the
Columbia National Bank, VINO mas
been seriously i'll with pneumonia, is
improved and today was allowed To
sit up in his room.
Ernest E. Herrell. president OF the
Int irrational Finance Corporation. III
iured in an automobile accident some
weeks ago. will be allowed TO resume
his duties in a few days.
NEW YORK DAIRY MARKET