Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-01-25
EXCHANGE TO VOTE
ON SEAT INCREASE
Governing Committee Rec
ommends rs Per Cent Gain
in Memberships.


NEW YORK, January 25.-Increase
OF the membership of the New York
Stock Exchange by Is per cent, making
the roster 1875 and with each member
given the right to dispose of his pro-
portionate part of the increase within
three years, has been recommended to
members by the governing committee.
1t is expected that vote of the men,
berShlp, necessary to approval of the
increase, will be taken within two weeks.
The committees report said the great
increase in the business of the exchange
last year clearly indicated that the
number of members is insufficient to
maintain prompt and efficient service
on the floor, that a substantial increase
must be made and the committee con-
sidered an addition of 275 not too great
for present requirements. 1t was added
that the floor already is crowded. but
that the committee on arrangements is
considering changes which will permit
considerable number of additional
members to use the floor without undue
inconvenience, although more than 275
cannot be accommodated until proper
ties recently purchased by the exchange
are ready for use.
New Trading Post.
AL bllAo COIliIcCClOtl IL WdS learned GIldJ
the buildings recently taken over to
give the exchange complete ownership
of the city block bounded by Wall, New
and Broad streets and Exchange place
| cannot be occupied before 1882. and
| that it probably will be 1884 before a
rebuilding program can be carried out.
The committee on arrangements also
was reported to be making plans for
! experimental use of a new type of in
closed trading post. shaped like ~"
and within which provision will be made
for clerks to assist specialists Although
the posts will be larger than those now
! in use, fewer will be needed, and it is
| expected that considerable floor space
thus VIII be saved. This probably will
require change in the rules of the
exchanbe barring persons other than
members from passing a dead line"
which for years has marked the actual
| trading floor
The recommendation of the governing
| committee, which was in the form of a
resolution in effect approving the re-
port OF committee appointed to in
| vestlgate and report upon the advisable
lty of increasing the number of men,
bers and the methods for accomplishing
that end. will represent. if approved.
declaration of seat dividend which
at prevailing prices adds about SI56, $50
to the value of each seat held
While members are privileged to dis
pose of their additional holdings. the
resolution provides that no new appli-
cant for membership shall be considered
until ne has contracted to purchase the
additional seat holdings of four men,
oers. Power to make necessary reguIa-
lions and to pass upon questions arising
In connection with such transfers would
rest with the governing committee.
Opposes Change in Rules.
The committee declared it was on
posed TO the suggestions of members that
the rules be changed to permit an in
crease In the number of persons author
lzed to make contracts on the floor.
including substitutes for absent mem
bers, or to allow inactive members to
lease their privileges Such proposals.
II was said, involve not only legal diff
cultleS but are regarded as impractical
because of their effect upon the rights
OF regular members and the threat of
weakening disciplinary power.
| The last increase in membership was
made in November. 1879, when 40 seats
were sold to provide funds for building
In 1925 an effort was made to add Is
memberships. but the proposal was
Overwhelmingly defeated. This pro-
poSal, however, provided no benefit to
members, all funds going to the ex-
change.