Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-09-07
TAXES WILL DRAIN
DC. BANK DEPOSITS
Bankers Wondering About
Next Call by Controller.
Trade on Exchange Active.

Deposits in Washington banks, will
he drawn upon heavily this month
for several kinds of taxes, and bank
officials are wondering whether the
Controller of the Currency plans
making another bank call, which
might show figures far below the
record results from the June call.
Previously the controller used to
make four calls a year, for report
ing on the condition of national
banks. Last year, however. there
were only three calls. So far TINS
year, there have been two calls al
ready. and bankers are wondering.
now, whether the controller has in
mind a return to the old practice
Of four a year, or adhearing to the
precedent of three only established
last year.
Deposits, it is admitted will be
drained to some extent by the pay
ment of several taxes. The third
quarter of the Federal income tax
is due September Is. Real estate
taxes for the District of Columbia,
are due on or before the last day
of the month. And the collector OF
taxes Is sending out notices on per-
sonal taxes.
Exchange Here Active.
Trading on the Washington Stock
Exchange was active today, with
prices retaining their trend of steady
to stronger There was turnover
not ONLY Of the public utilities most
in demand, but also Of some others,
including Lanston Monotype.
The bulletin of the District of Co
lumbia Bankers Association will be
issued this week.
Plans for a merger Of at least seven
chain stores are reported to be max.
ing Roadway, with the J. G.. McCrory
and 10 cent stores as the nucleus, it
was reported today from New York.
Formal announcement is not expected
for several weeks. Mentioned in the
consolidation are j. j. Newberry, F. &
w. Grand, Inc; Metropolitan Chain
Stores, Neisner Bros, Isaac Silver
Bros. & Co. and Mcclellan Stores Cor
poration. The group does an annual
business Of about $75,000,000.
Asked About Exchange.
Undersecretary of the Treasury
Mills in a radio talk over a hook-up
of 80 stations last night to explain
the Treasury's September financing
offer told the story of an American
travelling in India who had received
the message of the Second Liberty
Bonds having been called for Novem-
Der Is next. He wrote the Treasury,
MIR. Mills said, asking that he might
exchange his holdings for any new
Offering that might be put out in ex.
change. Here is a man." said Mr.
Mills, ION the other side Of the globe
10 900 miles from home-who takes
the precaution of writing to the Treas
ury Department months in advance,
in order that he may be certain that
he will not lose an opportunity to
exchange his bonds"
The theme Of the convention OF the
National Association Of Life Under
writer's to be held during October in
Memphis, Tenn, is to be built around
the thought: Complete Life's Plans
With Life Insurance" according to
announcement today.
South American Market.
The growing importance of South
America as an export market for
America n-made automobiles and mo-
tor trucks Is reflected i'm the increased
purchases by Colombia alone in 1926.
according to Kissel, Kinnicut & Co.
Whereas in 1924 Colombia was the
market for only $50 passenger cars
and 252 motor trucks from the United
States, in the two years following the
| figures reached 1915 and 1927, re-
spectively, total increase of 218 per
cent. according to the Department OF
Commerce.
With present production OF electric
power reaching new high levels, cleo.
| trio companies are experiencing the
| best year in their history. according
| to a study of the industry made by
| Hornblower & Weeks, investment
bankers. Since business is increasing
| steadily. new production records
should be set by many companies by
the close of the year. For the first
half OF 1927 electric power production
gained 912 per cent and indications
are that gross reyenu, for the year
1927 will be 10 per cent ahead of a
year ago, the bankers point out.
Operating Costs Cut.
While production figures are increas-
ing steadily, operating costs have re
manned constant or diminished Water
supplies have been unusually abundant
this year due to unprecedented rains
while coal prices have remained
around bottom and labor costs have
been constant. Costs of borrowing
money, which must be considered as
operating costs. have been unprece-
IDENTIFY low. With gross sales at
maximum, indications point to an even
larger proportionate increase in net
than in gross.
Official announcement is made of
the formation of the Massachusetts
Utilities Investment Trust, holding
company organized for the purpose
of acquiring control of public utility
operating companies in Massachusetts,.
Twelve new trustees have just been
added to the board, in addition to the
trustees elected during the preliminary
stages of organization. These include
prominent investment bankers and
public utility executives in New York
and New England.
Albert S. Galley executive vice
president of the Lincoln National
Bank, has returned from an extensive
motor trip through New England and
Canada.
Archibald McLachlen. secretary of
the McLachlen Banking Corporation,