Evening star., 1925-08-11
PEPCO IS PLANNING
CAPITAL INCREASE
Meeting of Stockholders Call
ed to Take ACtion-NoteS
of Local Exchange.
BY CHAS. p. SHAEFFER.

Stockholders of the Potomac Elec-
tric Power Co. (meaning directors Of
the Washington Railway and Electric
Co, which owns the power plant will
De called together at Il am. on Au-
gust 26 for the purpose of considering
ana taking action leading to an in
crease OF its capital stock to $50, ,000.-
600. authorized recently by the Public
Utilities Commission
Inc present stock capitalization OF
the company is $4,000 600. Of which
$o,15O,O00 is common, with the re-
mainder preferred. The recent authori-
Zation by the Public Utilities Commits
sion allows for a stock capital of $50
900, to consist Of 200,0 900 shares Of
preferred stock of the par value OF
SlOO each and 100, 900 shares of com
mon stock of the par value Of 500
each. Thus it is seen that the COM
pany now lacks 1877 500 shares of pre-
ferred and 900 shares of common to
complete its authorized capitalization.
Preferred Stock in Series.
Whatever preferred stock will be
added will be issued in series, having
such dividend rates and redemption
prices, rights, privileges, preferences
or limitations, restrictions or qualifi-
cations as may be fixed by the board
of directors of the company, and 10
bear cumulative dividends, but will be
non-voting, except in the event Of and
during default in the payment Of Ger.
tain dividends.
Little can be learned at this time
regarding the matter. Directors and
officials of the company declare the
subject has never been discussed in
detail at any of their meetings, and
until this is done it will be impossible
TO learn what rate the preferred will
bear, what will be the status Of the
common, and the probable fiotations
of each. 1t seems, however. TO be the
consensus that only relatively small
blocks Of stocks will be issued from
time to time. and that many, many
years will ensue before the total
authorization will. be placed.
The Potomac Electric Power Co.. at
the present time, is said to be slightly
topheavy with bond issues. These
now total $4,000, 200. or more than
twice the amount of stock indebted
ness. An increase of capital would
undoubtedly give the stock wide dis
enable the company TO care for the
rapidly increasing needs for electric
current. Electricity has almost en-
ttrely replaced gas as an illuminant
in Washington, this being attested by
an increase of from % 900 TO 100, 600
users in the last decade.
Stock Exchange Quotations.
Washington Railway and Electric
common stock was quiet on the Wash
ington Stock Exchange this morning
for the first time in 10 days, although
220 shares of the issue changed hands.
Opening at 1875, the stock eased off
fractionally on the next hundred
shares, but frmed up to 149A during
the rest Of the selling. The preferred
likewise was quiet, so shares selling
at So.
Riggs National Bank was the center
of slight foray which resulted in
turnover of 80 shares at a net gain
of more than two points to 800. Amer
lean Security and Trust Company
kept pace, advancing to $50 on sales
Of 10 shares. Capital Traction was
quiet at par and a half, as was Gas
at 621R. Thirty shares OF Real Estate
Title Insurance brought 1541z upward
to 1856
Bonds were firm but quiet.
Personal Mention.
Eugene E. Thompson of Crane, Par.
ris & Co., Is in Gloucester, Mass. to-
day, addressing a meeting of the In
vestment Bankers Association of
America. From there he will take a
week with his family in New Hamp-
shire.
Howard Moran. vice president OF the
American Security and Trust Com
pany, has returned from an extensive
motor tour through New jersey,
Pennsylvania and New York.