Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-02-23
Merger Ruling Awaited.

Convertible bondholders of Chess
peake and Ohio Railroad are showing
considerable interest in the pending
decision Of the Interstate Commerce
Commission regarding the merger uf
the carrier with the Nickel Plate SIS
TEN. The decision must necessarily al
feet the market on c. & o. common.
into which bondholders must CONVEX
their holdings before April ]. On tha7
date the basis of conversion change.
a nd instead of being able to exchange
each 900 bond for II 1-9 shares o.
Chesapeake common, each bond will
be good for only 10 shares. Assum-
ing a market value of 118 for Chess-
peake common the bonds are worth
1871. If the stock is selling at the same
price on April = the bonds still out
standing will be worth only about the
same price s the stock.
Bond Authority Granted.
The Baltimore and Ohio Railroad
Go. today received authority from the
! Interstate Commerce Commission to
issue S34 30S 500 of refunding and gen
eral mortgage ) per cent bonds.
The authority specifies that $4,000
: 900 of the amount may be sold at not
. less than 92.J of par and accrued in
terest The remainder or any part
thereof may be pledged and repledged
from time TO time until June so. 1929,
as collateral security for any obiga
tons that may be issued by the car
, rier under section 20-A of the trans
portation act. and in substitution for
or i'll equalization of existing collat-
eral.
The commission also extended IL
subsidiaries of the road the right to is
sue various bonds and deliver them 10
f, the railroad company upon its order
, and to trustees under certain previous
ly made mortgages.
The company's application TO have
! set aside that part of the commits
sion's order of October 81 last, which
gave the privilege Of issuing S6.l2o,0V0
F, of refunding and general mortgage u
| per cent bonds. was approved.
Life Insurance Sales.
The sales of ordinary life insurance
| in the United States during the month
! of January totaled S512 639, 600, ac-
cording to a report just published by
! the Life Insurance Sales Research
Bureau of Hartford. Conn. This fig
ure includes the sales of new paid for
ordinary insurance, excluding revivals,
! increases. dividend additions. reinsur-
ance from other companies and group
f; insurance. The report includes the
| figures of 81 companies having iii
/ force SSoo of the total life Insurance
outstanding In the United States lega.
reserve companies. January sales
show an increase of $4,000 900 over
! the sales of January, 1925. or 30.
! Practically every section of the
! country shows gain over a year age.
The largest increases in January are
! in the South Atlantic section. with Il
| 1870 gain. This section comprises the
! following States: Delaware. Maryland.
! District of Columbia. Virginia. West
! Virginia, North Carolina. South Caro-
| lima, Georgia and Florida.
! In spite of the fact that sales in
! Florida for December were higher
! than in any preceding month, sales
i during the month Of January We're
| LOG per cent higher than in January.
| 1925. Sales in this State totaled
| sS,4S1 900, as compared to S4,ll9,000 III
! January. 1925
The gain i'll the II months ended
| January 81. 1926. over the preceding
u months is Il per cent. Every sec
ton of the country shares in the gen
eral gain. The increases range from
per cent in the Mountain States. To
10 per cent in the South Atlantic
| States.