Evening star., 1924-11-18
BACK DIVIDEND PAID
BY FINANCE AGENCY
international Corporation
Votes Disbursement Which
Was Due in June, 1922.
By CHAs. p. sHAEFFER.

Directors OF the International Finance
Corporation yesterday declared a three
month dividend on all preferred stock
issued and outstanding as of June so
lE1E, 10 be disbursed on December 81
1874. This action marks the first return
10 stockholders in more than two years
Inc company is capitalized at S906,-
go OF class A 2 per cent preferred
STOCK, s34,600 of class "B" per cent
preferred stock and a number Of com
mon snareS OF no par value. The stock
was disposed Of in units Of two shares
or preferred and one of common
II was an open secret that the cor
porations affairs were in very bad
shape two years ago. AT that time
Ernest f. Herrell was induced 10 fake
the presidents chair and bring order
OUT OF the chaos. Dividends at that time
were being paid with consistent regu-
iar7ty, and to the great detriment Of the
invested capital.
Turn In Com mpany's Affairs.
Mr.. Herrell, upon taking Office,
promptly stopped all dividends and
devoted his time and the corporations
profts in liqUidating accounts that
oeyond the shadow of doubt were out
right losses. In the first year Of his
administration, it has become known
rrom intimate sources. every cent,
with the exception OF A few thou
sands of dollars, was utilized in this
way. Hundreds of thousands of dol
lars were expended in giving the
company clean slate, and now Mr.
Herrell, with the major deficits wined
OUT and with clear vision ahead
mas started to pay to stockholders
cumulative dividends suspended dur
ing his reign
So successful has the corporation
fNnrtInnad
that the auditing company in charge
of the books no o'longer requires a re
serve 10 be carried against possible
losses. Loans are being made with
extreme caution, SO extreme, in fact
that but two bad accounts both OF
nominal amounts. have been opened
IN the last year. When liquida ton O
an account is resorted TO il has offer
developed that recoveries have been
| made by the corporation, so close has
It's estimate been.
Management Conservative.
Yesterdays dividend action does
not establish a precedent" the com
pany officials explained this morning
We will never devote our entire
earnings to dividends as long as there
| is represented on our books a sinzlG
bad account. These accounts. we are
glad TO say, have now reached A pro
portion where only a portion of our
profts can be utilized in a gradual
liquidation, enabling US, at the same
tune, to make some return to our
stockholders. We are proceeding cor
servatively, insurins the life OF OF,
company
The stock of the corporation since
inception in June, 1920, has enjoyed
only small turnover. II is not list
| ed' It's transactions being practicalI>
! limited to private sales with inter
mittent dealings by traders in un-
listed securities.
| During the cessation Of dividend
profits Of the company have been SUI
| nClent to enable the payment OF diyI-
| dends twice over had it been expcnd-
| ed in this way.
| Arsentinn;s Wheat Crop.
The first official estimate OF the
production of wheat in the Areen-
tine is 190.000.000 bushels. CONNER
ctal Attache Freely al Buenos Aires
TO-DAY informed the Department OF
Commerce.
The crop is estimated to be $1,000
o0O bushels less than last Years. The
| production only once before has fall
en- as low as this years estimated
| crop, the report said.
| Trading on Local Board.
~Npttai it1S I4ol SloCR continues t.
] De strong factor on the Washing
ton Stock Exchange. In today's ses-
sion 40 shares sold at 931a, with the
exception OF the closing sale OF .
shares, which was made a quartz,
lower. Union Trust Company was
strong at l69, as was Washington
Gas Light at 80. Ninety shares OF
National Mortgage and Investment
preferred changed hands at 9.
Bonds were firm and unchanged
Railway As brought - and $4,000 O.
the refunding 6s of the compapE
changed hands at eS5s.