The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1928-03-16
ca | | PEOPLES
DRUG STOCK
BY RICHARD HATTON

Peoples Drug Stores has called
for redemption on May is at III
and accrued dividends the entire
outstanding 8 per cent preferred
stock, amounting to $1,000, 900.
In order to provide funds for tht
retirement Of this preferred stock
and to provide for further expansion
for which plans have been fornnu
lated. reorganization Of the com
pafly is proposed, A special meet
Ing OF the stockholders to pass
upon the same has been called fol
April S.
The plan recommended by the
directors, and to be submitted al
the meeting, calls for the sale Of
$2,500,OOO preferred stock, TO be
presently issued; which will be con
vertible over q period of five years
Into common stock. OF the gu
Ahorized common stock, 100000
shares win be- issued in exchange.
share for share, for the present
common stock The new company
assumes the warrant obligations OF
the present company, and reserves
sufficient number of shares OF Its
comna0n stock to redeem those war;
rants foviston is. also made to
sell ii limited number Of shares Of
the common stock to employees OF
the company.
President Gibbs, in his letter to
the stockholders, states that 1t IS
proposed to acquire additional exist
Ing chains of drug stores, and to
provide for conservative expan-
sion in the future.
Debate Judges
The following judges have been
selected to officiate at the debate
to be held in the Raleigh Hotel this
Avening between the American In.
stitute Of Banking Chapter teams
from Richmond, Va, and Essex
county, N. j.:
Associate Justice Charles II.
the District Of Columbia: John
Poole. president OF the F'ederal.
American National Bank and q
former president of the local chap
ter, and Raymond b. Dickey, dean
pf the faculty Of Washington
"A quarterly dividend OF III per
cent has been declared by the
directors OF the Continental Trust
company. payable March 81, to
shareholders OF record at the close
81 business March %.
Cash dividends distributed to
stockholders OF the various com
panies comprising the Standard Oil
group will approximate $4S,034,626
during the first quarter OF 1928,
according to compilation made
by Carl PfOrzhe iner 8 Co.
specialists Ia Standard Oil securi.
ties. All dividends for the first.
4uarter have been declared with.
the exception of Prairie Pipe Line
Company. Dividends for TIE fitst
nuarter Of this year Compare with
455. s04, 755 distributed IS the final.
quarter Of 1927 and $55,S73,413 In
the first quarter Of last year.
Market Outlook
Hornblower ana Weeks, IN their
Market Investment Review just Is
sued, point out that the recent
changes in viewpoint regarding
loan figures have Increased both
the pace and the price level OF the
stock market. particularly in the.
industrials, to a point where read
5ustment and realignment of prizes
between industrials and rails seem
likely. As TO the bond market. they
believe that while money rates
may firm temporarily because of
industrial requirements for the next
few weeks. the fact that the Gov.
ernment requirements are to be
met by comparatively small
Amount of shortterm obligations
indicates an expectation that later
months with probable lower rates
viii be more favorable for long.
term financing.
The present lull in business
With consequent unemployment is a
temporary. spotty condition Incl.
dent to readjustment in our indus
trial organization and will not af.
feet the fundamental prosperity of
the country. according to Paul NJ.
Mazur, economist and partner Of
Lehman Brothers, bankers. who has
Just completed a comprehensive
survey of the changing American
economic structure The results
win be published tomorrow by the
Viking Press under the title of
FAmerican Prosperity. Its Causes
and Consequences"
For the year 1927. the annual re.
port OF the American Tobacco Com.
Dany. just issued. shows a net
profit Of So, 1908, 689.16. or an in
crease Of $3.50 .594.93.