Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-05-30
SWEDISH FINANCE
IS ON SOLID BASIS
Kreuger, Match King, Tells
Gotham Capitalists About
Stockholm Conditions.
BY JOHN F. SINCLAIR.

Special Dispatch to The Star.
| NEW YORK, May 30.--Ivar Kreuger
the tall, blue-eyed. quiet-spoken, youth
ful-looking Swedish match king, told a
distinguished group yesterday at the
Bond Club Of New York some startling
Swedish" facts.
Before him sat some of America
greatest business leaders. These Were
Charles E. Mitchell of the National City
Bank, Gerard Swope of General Eco
trio, Charles S. Mccain of the Chase
National Bank, George whitney of the
House of Morgan, his brother, Richard
Whitney, president of the New York
Stock Exchange; Percy A. Rockefeller,
| Clarence Dillon of Dillon, Read & Co /;
Sidney J. Weinberg of Goldman, Sachs
| e Co: Elisha Walker of the Trars-
america Corporation, James Speyer and
James G. Blaine.
Three of Mr.. Kreuger's statements
stand out:
/. The Stockholm Stock Exchange
does not deal in the securities of a sim
gle company whose business Is less than
20 years old. No undigested securities
here.
2. OF the 81 different companies whose
stocks are quoted there every one paid
dividends for 1929. No industrial Swed-
| lsh bond issue offered to the public in
the last 40 years has ever been a de-
fault
3. Swedish industry is international.
out OF 20 companies in the world, the
| most strongly intrenched in foreign
| fields, 5 or 6 are Swedish.
Business may be down throughout
the world. but Swedish industry has
not noticed it yet. Our business activi-
ties for 1880 are fully up to the recsrd
OF last year. And we have not changed
our tariff walls since the war;" were
his concluding remarks.
Plenty to think about here.
Two problems remain before the Ger
man reparations loans Of 5000, 600, 900
Will be announced. The first deals
with the method of amortizing the
loan. 1t seems the creditor nations
| favor drawings every year at par, while
| Germany wants the bonds purchased
| In the open market from the sinking
fund below par whenever available,
thus permitting more rapid payment
| at a lower COST
The second problem is whether the
entire issue of $500, 000, 900 should be
guaranteed by unconditional annuity
payments. The creditor nations con-
tend that 500, 900, 900 of the total issue
should not be so guaranteed, while the
Germans insist that the entire loan
| must be included.
But this much has been decided
the bonds will bear 51a per cent cou-
pons and be sold at around 81 by the
| most powerful banking syndicate ever
formed in the United States, with the
exception of the loan organized by
j. p. Morgan & Co. to handle the
$500 900, 900 Anglo-French 51z loan in
1915.
The report that the issue will be
offered on Wednesday, June 4, Is pre-
mature. The following week is proba-
bly, safer guess.
When John D. Ryan and his asso-
ciateS of the Anaconda Copper Co.
bought the Chile Copper Co. there were
some stockholders who questioned the
wisdom of the move. But that day is
long since past. The investments of the
Anaconda Copper Co. in Chile have ex-
traordinarily demonstrated the foresight
ment, for the Chile Copper Co. has
proved q veritable gold mine for Ana
conda.
The report of the Chile Copper Co.
for 1929, Just published, shows that this
great company produced copper for
4744 cents per pound and made an
operating profit of 13.431 cents on every
pound of copper sold. And it sold 2l2,-
500 900 pounds, at an average OF 1915
cents per pound.
Adolph Zukor, president OF Para
mount-Publix, who returned yesterday
from Europe, sees much hope in a sat-
isfactory settlement of German and
American picture interests, especially
in the matter of patent rights.
Until this problem is settled Ameri-
can picture producers cannot hope for
much business in Germany and Swift
! zerland. But with it out of the way,
Germany will offer big field.
1.-THE Paramount Co. Is moving ahead
with extensive expansion plans just now
which call for the production Of for
eign language pictures on a large scale
throughout Europe" said Mr.. Zukor
This year we hope to Aim 40 pictures
in eight different foreign tongues, and
we will materially step-up these figures
in 1881"
The motion picture industry Is one
of the very few that has come through
1890 so far with flying colors.
Copyright, 1880, by North American News
paper Alliance)