Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-02-24
NEW YORK BANKS
TO EXACT CHARGE
Local Correspondents to Be
Assessed on Interest of
"Street Loans"
BY CHAS. p. sHAEFFER.

Local banking institutions were ad
vtsed today by their New York cor
respondents that. under a recent ruI-
ing of the New York Clearing House
1t will be compulsory for them to
make q charge Of at least per cent
OF the amount Of interest which local
members would receive for loans made
by New York houses for Washington
banks. The charge is to take efrec'
as of March 1, next.
The following is a copy Of the cIeay-
ing house edIct:
Section 8. Every member Of this
association (and every nonmember
clearing through a member) making
loans for others. secured in whole o.
IN part by collateral other than real
estate, customarily referred to a.
Street loans shall charge and retain
for its services in so doing not less
than per cent of the amount actual
ly received for interest or discount
upon any such loan, whether made in
It's own name or otherwise. (effectiv+
March l, 1920"
The charge Will be deducted from.
interest credits on loans made from
tlHlc 10 tlIne.
New Issue Out Tomorrow.
Considerable local interest Is man
tested in a new issue OF $7,500,000 OF
nVe-year 6 per cent collateral trus'
convertible gold notes, series "A,
which will be offered tomorrow by the
Manufacturer Finance Co. of Balti-
more through a nationwide syndicate
The notes are priced at 99A and IL
n iai
The volume of business Of the Dor
rowing company and its subsidiaries
for the last 10 years has increased
according to President Huntington
from s24,882.739 to s104.1S1, 440, and
net earnings for the same period from
$264.703 to S1.260.067 before deduct.
Ing interest charges. The earnings
reported for 1925 were 2.2s times the
total requirements for interest on both
the funded and short-term debt OF the
company. The collateral trust notes
are direct obligations of the COMPANY
secured by self-liquidating open &C
counts, etc, at the rate of Sl2O
or by 500 OF cash or bank certificates
OF deposit, for each 500 Of the tbtal
collateral trust notes outstanding.
c. & p. 1925 Revenues Up.
Gross revenues OF the Chesapeake
amounted to $S,717.S14.02, an increase
Of s.s7 per cent as compared with
1924. Telephone expenses, including
depreciation and taxes. totaled S..
246,S62.63, an increase of sos per
cent Net telephone revenues were
$1,470.961.19. Other net revenues
amounted to 42,s74.22. giving total
net earnings available for interest and
dividends of 81 .513. 1854. Interest de
q tod 20
ing S1,444,606.24 for dividends.
The annual report preceded election
OF officers for the ensuing year, held
late yesterday, when the following Of
ficers were reelected: A. Z. Berry,
president; Burdet Stryker, vice
president and general manager:
Philip o. Coffin, vice president and
general auditor; John c. Rooms, vice
president; Samuel NJ. Greer, vice pres
ident; Dozier A DeVane. general
counsel; Deruelle S. Porter, secretary:
John F. Slaven, assistant secretary:
Thomas 3. Clarkson. treasurer. and
+. w. s. Evans, assistant treasurer
The board of directors, which in
cludes Charles J. Bell, Alexandei.
Britton. Edwin c. Graham and John
Poole of Washington and Albert E
Berry Of Montgomery County. Nd.
and Walter S. Clifford and Eugene S
Wilson of New York was reelected
The board appointed its executive
committee, which includes Charles j.
Bell, Albert E. Berry, Alexa nder Brit
ton and John Poole, Washington, and
w. S. Clifford. New York.
Capital Traction Eases OF.
Stock Of the Capital Traction easel
of full point from its opening high
mark Of lis on the Washington Stock
/ Mo- YrSJo Ill
ton being made at III. The issue
was in good demand. selling to the
extent of los shares, mainly, it Is be
Eeved on the speculative feature at
tached to the security. Today's open
ing marked the peak on the present
movement.
Railway preferred stock also was in
excellent demand, 225 shares bring
| ing no change from the pegged mar
ket of 81. Mergenthaler sold at Eli.
| Lanston at s21a. and Merchants
| Transfer and Storage, preferred, at
| 101. Potomac Electric Power. pre-
| ferred, strengthened to LOT.
Other Financial Notes.
Representative Edward w. Pou OF
| North Carolina has been elected
| director of the Federal Security and
| Mortgage Co, recently organized here
| by Morris Cafritz.
Total resources of the S,048 national
| banks on December 81. last, were
| S25, 1852 $4,000, the controller of the
! tt,;.