Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-02-04
GAS LIGHT CONTROL
TO REMAIN IN D. c.
Company Stockholders Seat
Three Representatives of
New York interests.

Control Of the Washington Gas Light
Co., over which there has been such in
tense interest for several months because
of heavy accumulation of the stock by
out-of-town financiers, will remain in
the National, Capital. as result Of the
annual meeting o. the stockholders, held
this noon at the eompany's headquarters
on Tenth street.
Generous representation, however. was
given to the New York interests, which
have been purchasing the stock, three
new members being elected to the board
of directors.
D. A. Pearson, the New York financier
who engineered the campaign which re-
suited in the purchase of large blocks of
stock, including 1000 shares from the
Letter estate, was added to tn, board:
II. Prescott Galley also was named, and
w. j. Lambert, who has been assisting
Mr: Pearson in obtaining stock, also was
asked to serve on the board.
Preston Makes Report.
The other directors elected today in
cluded Ord Preston, for several years
president OF the gas company; Robert
D. Weaver, James M. Green and Will
liam King. Joseph Letter retired from
the board, while Edward j. Stellwagen,
president of the Union Trust Co., and
G. G. Glover, jr., member of the in
vestment banking firm Of Glover 81
Flather, withdrew to make room for the
Pearson representatives, the board
membership being limited by law to
seven.
President Preston presented his an
nual report to the stockholders. this
showing an unusually successful finan-
cial year. The gas light company had
total net income Of $658, 1889, in
comparison with "a net return in the
previous year Of 583,088.33. an increase
in earnings in 1928 of SIS, ,780.56.
Mr.. Preston reported that during the
year the Public Utilities Commission
had drawn $62,000 in cash for expenses
in connection with the present revalua-
ton proceedings and that the company
had expended $101 900 for the same
purpose. Had it been possible to have
added these sums to the net income for
the year, the company would have had
a phenomenal year, the figures indi-
Gated.
The presidents report also showed
that $3.50, 1888 had been transferred to
surplus during 1928 and that the usual
dividends had been distributed, amount
ing to $468,000.
During the year a reduction of per
cent was made in the loss Of gas from
the time the product leaves the works
until it should reach the consumer
This figure was cut from 6 to per
cent, which Is held to be a record.
The Washington Gas Light Co.'S total
assets now stand at $24. 4.103,245. Total
surplus was reported as $6,883, ,433 SIS.
The company had 103, ,889 meter users
in 1928 and the average price for 1000
cubic feet of gas was 98 cents.
improvements Cost S721,Oo0.
The financial statement also showed
that $721, 900 was expended during the
year on extensions. equipment. con-
struction and betterments, while the
amount paid for labor totaled 81, ,S85. .3O4.
Today's annual meeting drew an un-
usually large number of shareholders
on account OF the many reports regard
ing the possibility in a complete change
In control. Much of the stock pur-
chased recently carried the provision
that proxy rights should be transferred
at once to the new owner--that is. soon
enough to be used at this meeting.
Recent demand for the stock caused
an advance in the price to SIPS per
share, a new high mark for all time.
So far as Washington is concerned
there has been much more interest in
the gas company situation than in the
spirited row between John D. Rockefel-
ier.. jr., and Col. Robert Stewart over
voting control in the Standard Oil Co.
Of Indiana.
While purchasing his holdings of
washington gas stock MIR. Pearson
stated ne was acting for a group of
New York investors, who believed it a
good investment and also felt that earn
lngs later might be greatly increased.
1t was feared by some stockholders.
however, that some outside utility COM
pany might obtain sufficient stock to
substitute foreign management"
The proceedings were enliyened by
the presentation of three resolutions by
Julian Pierce, librarian in the American
Federation of Labor library, the first
OF which related to valuation for rate
making, the second to propaganda for
or against public ownership and the
third to the hve-day week.
President Preston referred to the
resolution relating to public ownership,
stating that the directors and officers
never had engaged in any propaganda
for or against public ownership of any
utilities. or In connection with any |
other public policy. Mr.. Preston said |
he Saw no reason why the company |
should change its former attitude.
After pause the motion of Mr.. |
Pierce relative to the resolutions was |
and the resolutions were held
for future consideration.