Evening star., 1928-03-01
PEOPLES DRUGPFD.
MARKETFEATURE
Scars to 130-FirSt Trade in
District National Sc
CuritieS Shares.
BY EDWARD G.. STONE.

also look place To-Day. tne HISt wv
sales including so shares at 10l. Th
next sale was made at l0l'a and tn
market closed with two shares reach
ing l02.
Capital Traction again sold at III
Railway & Electric preferred at 103 /,
Mergenthaler at log, LanSton at 1909 :,
Potomac Electric Power 81, per cen
at l07is and the per cent issue a
lllas.
Only one bank stock was out today
Commercial National. which sold a
265 on sale of but two shares. Wash
ington Gas 6s series A, were the onl,
bonds moving. Two $500 transfers wer,
made at LOG and $4,000 bond sole
at l057s.
Il. & o. Net Income Declines.
The Baltimore & Ohio Railroad
earned Sll.l0 share on the average
amount of common stock outstanding
III 1927, Daniel Willard. president. in.
formed the stockholders today. Earn.
ings in 1926 were equivalent to $l7.2(
a share on common stock outstanding
on December 81. The earnings Wcrt
computed after dividends on the pre-
ferred issue.
Although the roads net income fcl
the year. S22,632 ,345. decreased S4.977.-
Ala from that of 1926, it was the
second largest net income in the his
| tory of the company. Net railway
operating income for the year declined
to s44Sl7.277 from S50,l63,850 after
all charges and dividends. surplus
remained Of s9,3l3,326. a decrease OF
S6.825, $50.
During the year" says Mr.. Willard.
your company increased its capital
through the issue and sale. as of june
| 9. of S63.242500 additional common
stock at Sl0750 share. From the
proceeds your company was enabled to
retire on or before January l. 1928.
obligations in the amount OF S35.8O0.O 600,
the balance of the proceeds being avail
able for additions and betterments TO
| the property. BY virtue of this sale
of additional shares. the fixed charges
of your company will be reduced by
S2l44.000 per annum.
The number of passengers carried
during the year decreased 6.28 per cent,
compared with 1926. and the passenger
revenue decreased 6.5S per cent"
Southern's January Net Lower.
Freight revenues for the month Of
| January on the Southern Railway
amounted to s8,l48.0o0. as compared
with S8,287. 900 in January, 1927. a de-
crease of l67 per cent. Passenger
| traffic shows no improvement. Pas
seneer revenues for the month were
| s.. I6l 900 as compared with s2,53l,-
| 900 in the previous January. This
represents a drop of l4.6 per cent in
| receipts from passenger travel.
Southern's total operating revenues
were Sll,l59,000 as against $1l.73l 900
in January. 1927, a decrease of s572.-
900. or 40 per cent.
Net railway operating income
amounted to sl660,000. against ST.
TIL 900 in January. 1927. The net
available for the common stock after
allowance for all fixed charges. deduc-
tons and preferred dividends amounted
to 5000 per share, as compared with
$3.50 per share in January, 1927. Com
parsons with past years show that
January and February are the poorest
months in the year for this roads
earnings.
| Credit Men to Hear Miller.
Stephen I. Miller. executive manager
| OF the National Association OF Credit
Men. will be the guest OF honor and
| chief speaker at the annual dinner and
dance OF the Washington Association
| Saturday evening at the Willard. The
| dinner begins at O'Clock and more
| than 100 members and guests are plan
| ming TO attend.
MIR Miller Is a brilliant speaker. He
| was formerly educational director OF the
| American Institute OF Banking. and
| gave an address before the local chapter
a year ago. Paul Phillips, manager OF
/ the Eastern division, also Will speak
The POSTMASTER will be Harry V.
| HAYNES. president Of the Farmers q,
Mechanics National Bank.
Lister r. Watts is president OF the
| local credit association and he will pre-
side. Frederick p. II. Siddons OF the
! American Security e. Trust Co. Is chair-
man of the banquet committee: the
local association has grown steadily dur
| ing the past three years and has come
TO be an important organization.
| Savings Banks Rates Defended.
| ID, S. Sylvester, executive manager OF
| the Savings Banks ASSOCIATION OF MAS
| Sachusetts. says:
| "The American Bankers Association
Journal gives a statement by Charles
! r Mitchell. head of the largest bank
| In the country TO the effect that diVi-
| dend rates must soon be lowered. ana
| he takes occasion 10 point particularly
! 10 what he calls the average AZ per
cent rate Of the Massachusetts, savings
! banks as being in line for drop IN
! the near future. The Massachusetts saw
| ings banks. while recognizing Mr'
| MitchclIs undoubted authority TO speak
| for commercial bank rates, doubt his
correctness In the Use OF the word soon
80 far as mutual savings banks are con-
cerned.
"Mr. Mitchell says that since the yield
on high grade Investments is the bank
| only source Of revenue, d lesbeilng o'
the yield must be passed on In lower
| rate 10 the dep0sitGrs. This is true and
!t is particularly true In the commercial
banks which Mr. Mitchell represents. a
| mutual savings bank. however. usually
| buys with the intention of holding u
maturity and is, therefore. not affected
by market changes 10 any great extent
| Again, more than tWo~thitds or the
| savings banks In Massachusetts have al
least 50 Der cent Of their assets invested
In first mortgages on which u per cent
rate may be expected for some time u
come"
Heard in Financial Districts.
Washington bankers are freely dis
cuhsing the interest rate problem
| which Is grtting 80 much attention else
| where. So far AS can be learned nc
change Is likely here at present.
Several new Old Dutch Market stores
are likely ~ be added ~ the present
chain III the near future, according u
the plans ot the American Stores Co.
which recently bought out the ioca
| ctJUpsny.
President Coolidge announces thai
from the latest reports which have
come W him business conditions 0VeI
the country as Whole are being wei
maintained.
| The Echuite Retail Corporation ha:
declared IA regular quarterly dividend
~ 81 ou preferred stock, payable II
Apfii, on stock of record March ~,
The i.abpr Department reports tha
Wholesale prices IN January averaged
slightly i1Wfr than In December