Evening star., 1927-11-06
v. R. & f. COMMON
SCARS 70 POINTS
D. C. Financial District Agog.
Washingtonians Holding On
to "Mystery' Stock.
BY EDWARD G. STONE.

Washington Railway & Electric
Market at $50.
| That was the amazing news that
reached here just after the close of
the local Stock EXchage yesterday
where a bid of 400 for the stock had
been made after call. with none of.
| fered.
| Two sales We're recorded on the
! New York Curb, the first being st
425. Then the stock jumped IS
points to $50. making the Startling
advance of 40 points for the day.
New York dispatches assigned as
the reason for the unprecedented leap
of the stock a desire in certain quar-
ters to obtain all the minority stock
of the company in connection with
the proposed local street railway mer-
ger. The soaring of the stock was
also partially due to the very limited
amount outstanding.
The North American Co. is. Of
course. the corporation referred to as
desiring to obtain controlling interest
in the company and ownership cf all
the stock.
Stock Still Remains Mystery.
Members of the Washington Stock
Exchange refer to Railway common
as a great mystery stock" Why
it should soar 20 points in one day
because of the revived street railway
merger discussions is more than they
can understand.
The anxiety to obtain it in New
York is the cause of constant tele-
phone messages and telegraEls to this
city. Brokers here could buy some
every day for the outside interests
Il it were not so tightly held. Hun.
dredS and hundreds of shares of Rail.
way common are being held by Wash.
ingtonians with a grip OF steel.
While the North American Cos.
holdings of Railway & Electric COM
mon stock constitutes a majority of
that issue Of $6,500,000, yet they do
not give the corporation voting con-
troll In addition to the common
stock the local street railway company
has outstaning an isue of $500 900
in preferred stock which has equal
voting rights with the common. And
North American states that it owns
only small block of this.
Frank l.. Dame, head of the North
American Co, said only few days
ago that his concern had no plan to
make an offer shortly to minority
stockholders of the Washington
utility company. Reports had become
current that such plans were already
under way.
Many Wall Street RumOrs.
Reports have been spread around
Wall Street for many months to the
effect that Washington Railway &
Electric common was worth a great
deal more than it was selling for.
The assertions were backed by rather
vague statements that some day the
stock would derive great benefits
from its direct connection with the
Potomac Electric Power Co. The
latter company is often referred to in
New York as gold mine"
The last sale of Railway conon on
the Washington Exchange took place
on Friday at the new peak of $50.
1t was a 10-share transfer. The low
for the present year Is 1S0. SO 1t has
gained 2l0 points on the local board.
The spread between the lowest sale
In Washington this year and the
highest sale in New York is $50
points.
The stock has par value of 100 and
some months ago the dividend was
raised from to Z per cent. At pres
ent quotations the return Is under 9
per cent.
Local Securities Hold Firm.
Local securities remained firm on
the exchange yesterday. Capital Trac.
tion opened at 1071a and closed at
1919 on 20-share turnover. Ninety
shares of Washington Railway &
Electric preferred changed hands at
par, rs shares Of Federal-American
Co. common came out at 38, Columbia
Sand & Gravel moved at 1927 and
Lanston figured In 5.share sale
at 105.
In the bond division Potomac Elec.
trio first IS sold at 1914 and the
Consolidated IS at I03. City & Subur.
ban 5s sold at SO. The usual weekly
calling Of the unlisted securities
showed an advance in the bid on
Northeast Savings Bank from 10 to
II and the lowering Of the bid price
for the City Club IS from so to SIS.
The bid for Washington Base Ball
Club stock was raised from 40 to 45
this move possibly being the first inti-
nation that another flag may float
over the Georgia avenue grounds next
season.
Insurance Men Meet Friday.
The District of Columbia Life
Underwriters Association will have
it's next dinner meeting at Hotel
Raleigh next Friday at pm. Six
new membership applications will be
acted upon.
The speaker will be Ralph G.. En-.
geisman of New York, a member os
the Million Dollar Personal Pro.
ducers Club of the United States. He
IS only about % years old. vet after
nve years in the business produced
81 .0O0.o 900 in insurance iii a year. For
three years he wrote no policies for
less than $500.
The young man is former teacher
OF practical salesmanship in New
YORK University. Local agents say
they are very anxious to hear him, so
tnat they can write the same amount
OF new business in a year.
Other Financial Notes.
B. Jean Raleigh, former owner OF
Raleigh Manor. Raleigh Club and
Wardleigh Club, has become as
sociated with the National Surety Co
in the Edmonds Building as sales
manager
Howard Moran. vice president Of
the American Security & Trust Co.
IS expected home soon from a visit
TO his daughter in Northern Mexico.
having gone thera from the A. p. A.
convention.
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NEW WELL BROUGHT IN.