davidaulloa/AmericanStories huggingface dataset:
The Washington times., 1930-11-03
nancaI Market Nes Stocks Bonds Commodities and Comment
Steel Trade Outlook for
1881 Called Good

continual climb. The sharp drop
in 1908, when output declined to
l4,023,247 tons, was the result Of
the depression Of 1907, which had
not begun to be felt by the
steel industry until the late
months Of that year and the
following year.
The 1921 business recession,
which came earlier in the year,
was almost Immediately reflected
in the drop In output from Az
l32,934 tons in 1920 to 1878, ,797
tons in 1921.
In both instances, however,
there were sharp comebacks in
the following years. production in
1909 getting up to 23,955,021 tons
and in 1922 to 1902 1926 tons.
Thus far this year more than
80, 1000, 900 tons Of steel have been
produced. against a total Of 81 :
1927 for the entire year Of 1929
It can be safely estimated that
the total for the year will amount
to more than 100000 tons.
This relative decline in steel pro.
duction this year, as compared
with 1908 and 1921, is considera
bly, less. Moreover, it still is pos
Sible that there will be sufficient
railroad buying during the next
month or two to bring the total
output for the year close to the
As, 600, ,0O0-ton figure.
Prices Getting Stabilized
And, after all, it only takes one
of the leading industries to start
the ball rolling. This was en-
phasized early in the present cen
tury, when a similar condition
existed, and one Of the leading
railroads went ahead. taking ad-
vantage Of the low prices to place
large orders for steel. This served
to inspire similar buying and the
industry was soon out Of the rut.
The price situation, however, Is
thorn in the side of steel pro-
ducers. Recently there has been
a greater sterilization Of the
price structure than for some
time past, and, unlike most other
trades sterilization Of steel prices
tends to increase the number Of
inquiries, which ultimately results
in orders.
If the steel industry can hold
to its present rate Of about so
per cent for the balance Of the
year, next year should witness a
fair-siZed> comeback, provided, OF
course. present plans for new con-
struction and railroad buying are
carried through. Once these
three industries start increasing
activities in their respective
fields, then the automobile indus
try will take care Of itself and
undoubtedly follow along, result
ing in further increased demand
for steel.
The Washington times., 1930-11-03
mo- TORS THIRD
. QUARTER NET
S25,470,697
A. P. Sloan, Jr., President OF
Firm, Sees Two Additional
Factors in Auto Field

Net earnings Of the General
Motors Corp. for the quarter
ended September 30. amounted to
$25, ,470, ,697 or SO cents share on
the common stock, compared with
$53, 3,386,768 or SLIT a share In
the previous quarter and $70,988,.
025 or $1.58 a share in the third
quarter Of 1929, Alfred p.
Sloan, jr., president Of the corpo-
ration announced today.
For the nine months ended Sep
tember 80, net earnings, including
operating and homecoming earn
ings, totaled $131, ,4O3,125. equal,
after allowing for preferred divi.
dendS, to $2.85 O share on the
common. The equities in undi-
vided profits of subsidiary and
affiliated companies not consoH-
dated, as well as Incorporating,
homecoming profit of $9,517,043
realized in the second quarter
from the sale Of common stock
to the General Motors Manage.
ment Corp, are included in this
total. In the same period last
year, net earnings amounted to
$222, ,848,335. equal to $4.06 a share
on the common. a4
The progress Of the company,
Mr.. Sloan said, cannot be mear
sured entirely by the income fig.
ureS.
1.-TWO additional factors, Of
greater relative importance this
year than last, are, first, that
during this period General Mo.
tors obtained q larger percent
age Of the total automobile
business in the United States
as measured by new car regis.
tratiOns, than in 1922" he said,
"and in August obtained in ex-
cess Of 36 per cent of the do.
mestic business; second, the
corporations net profit is not
greatly out Of line with the vol.
ume of production" +.
Cash, United States Government
and other marketable securities as
of September 80, totaled $202, ,064,.
$50, against $127,351.530 at the
end of 1929, an increase Of $74,.
713,430. Net working capital on
September 80 was $285, TIT, TAO,
against $251,287,7 ,782 on December
81.
"WhiIe earnings have declined
when compared to 1929, due to
perfectly evident and fully ap-
preciated reasons" MIR. Sloan
said, 'T believe the General
Motors organization has estab-
lished an operating record equal
to and perhaps more OutStand-
ing than in previous years.
feel that as an organization we
have a thorough appreciation OF
the necessity of continuing and
completing the efforts we have
put forth during this period.
Any organization which viii
recognize this job and accom-.
plish il is bound to enter the
next general forward movement
with an attitude Of mind and
an intensity Of purpose and ct.
fectiveneSs that will enable it,
in every sense, to justify It's
existence
The Washington times., 1930-11-03
COPPER MERCER
SLATED SOON

Steps looking to the merger of
Phelps Dodge Corporation and
Calumet & Arizona Mining Co.,
have progressed to the point that
something definite will probably
be forthcoming some time in De
cember. This, however. will not
mark the end of the Phelps
Dodge expansion plans.
With Calumet & Arizona in
the fold, the enlarged Phelps
Dodge organization will have an
annual producing capacity Of
425, ZOO, 900 pounds Of copper:
through Nichols Copper Company
a refining capacity Of 100000.
900 pounds and through National
Electric Products fabricat1ng ca
pacity in excess Of 200,OOO.OOO
pounds of copper.
It is this latter division that
further expansion will take place,
bringing capacity Of manutac-
turing operations closer to mine
output. The Nichols Copper ana
National Electric Products trans
actions we're affected through ex-
change of stock and the Calumet
81 Arizona merger will be effected
on the same basis.
Cash, call loans, Government
and other marketable securities
which totaled $l7,610,388 on De-
cember 81, 1929, were down to
$8. 8.397.792 on June 80. Further
inroads, must have resulted since
copper inventories have increased.
Phelps Dodge Corp. has out
standing 2,822,912 shares. Calu-
met & Arizona has 842, ,857 shares.
prior to the acquisition Of Nichols
Copper and National Electric
Products, Phelps Dodge had an
annual capacity equal to approx
mately 125 pounds of copper per
share Of stock and Calumet &
Arizona more than 200 pounds per
share of stock.
The coordination of these vari-
GUS properties into an enlarged
Phelps Dodge Corp. is likely to
bring about substantial savings in
operating costs, particularly in
the handling of the smelter pro-
duct at the Nichols refinery in
Ell Paso, Texas, which will effect
a saving in freight charges over
the former method Of shipping
to the Atlantic Seaboard.
The Washington times., 1930-11-03
GAIN IS SHO WIN
IN BANK DEBTS

For the week ended October Is,
1880, bank debts, outside of New
York City, showed an increase
over the week ended October 18,
but declined from the correspond
ing period in 1929. Total loans
and discounts of Federal Reserve
member banks, although showing
a fractional change from the pre-
ceding week, were lower than a
year ago. Interest rates, 10th
for call and time money, while
showing no change from a week
ago, were considerably lower than
last year. Prices for representa-.
tive stocks and bonds were lower
than the week ended October 18.
Wholesale prices, as measured
by Fishers index, showed no
change from the preceding week,
but were considerably lower than
for the same week in 1929.
For the period ended October
18, 1880, increases occurred over
the preceding week in the pro-
duction of petroleum and lumber
and in the receipts at principal
markets of cattle and calves. De-
clineS from the previous week oc-
CURED in the production of bi-
luminous coal and steel iugotS, In
the value Of building contracts
awarded and in the receipts Of
wheat and hogs at important
centerS.
Bank loans and discounts were
greater, and the prices paid for
representative bonds higher for
the period ended october IS, 1880,
when compared with the week of
October 27, 1928, two years ago.
The Washington times., 1930-11-03
Income Rise Barred
BU Great Western

CHICAGO, Nov. "A gain of
~ per cent in net income applica-
bic to preferred stock over Sep
tember Of last year, a gain of 26
per cent in net railway operating
income, and the best operatink
ratio attained in any month since
the passing of Federal wartime
operation, were disclosed in the
statement Of the Chicago Great
Western Railroad.
The Washington times., 1930-11-03

Publication this week OF thlrd
quarter earnings by hte two
largest enterprises in the steel in
dustry in this country, the United
States Steel Corporation and the
Bethlehem Steel Corporation
showing substantial declines In
earnings, only serves to emphasize
the barometric position Of the
steel industry in relation to gen
efal business.
Current operations Of the Stcel
industry are around 81 per cent
of estimated capacity. While
operation may slide off a little
further, there is every reason tc
believe that within the next two
or possible three months an UP
turn will be noted in the stee
trade.
Reasons Explained
To understand the reasons fol
this it must be recognized that
three Of the largest users OF steel
the automobile industry, the rail
roads and the building trade, are
currently purchasing a minimum
amount of the product. Com
bined, the automobile and rail
road industries annually use be.
tween 35 and 40 per cent Of the
total output of the steel industry
while building construction also
utilizes a large percentage OF the
total output.
James A. Farrell, president OF
United States Steel Corp, in an
address this week before the
American Institute Of Steel Con
struction, declared that in 1925
more than 3,550,000 tons Of steel
were used in the construction OF
steel buildings, bridges and lesser
structures.
From this it might be CLEANED
that the three principal users o1
steel annually take about SO pei
cent of the total output. The
present plight of the steel in
dustry cannot be so bad If, with
out even close to normal orders
from these three sources, opera
ton can still be maintained at
approximately 81 per cent OF
capacity.
The railroads already are be.
ginning to place orders for gon.
dola cars, rails and other equip.
ment, which must necessarily be
reflected in a larger output of
steel. Some idea as to the
amount Of steel used by the car.
riers can be had when one con.
Siders the fact that recent order
placed by the Pennsylvania Rail.
road for a number Of gondola
cars will require $4,000 tons OF
steel.
Production Grew Rapidly
Production Of steel has grown
tremendously during the past
Is years. In 1905, for the first
time in the history of the in.
dustry, production exceeded the
twenty million ton figure. With
the exception of 1908 and 1921
production Of steel has never
fallen below that figure. AS a
matter Of fact, there has been a
The Washington times., 1930-11-03
Underwood Earns
1881 Per Share

NEW YORK, Nov. s. Under.
wood Elliott Fisher Company
more than earned its dividend
for the nine months ended Sep.
tember 80, for which period the
company reports consolidated net
income of $2,S05. .789, equivalent,
after preferred dividends, to 1881
a share on 696,835 common
shares.
This compares with similar net
income Of $4,711.532 for the first
three quarters of 1929, or $685. a
common share on the same num-
Der of shares.
The Washington times., 1930-11-03
National Tile Net
81 Gents O. Share

NEW YORK, Nov. 3.-The Ma
tional Tile Company reports net
earnings in the nine months
ended September 80, of $110,260,
or 81 cents per share on the
10000 shares of common stock
outstanding. This compares with
$430,53S, or $3.50 per share in
the first nine months Of 1929.
The Washington times., 1930-11-03
Exchanges of N. Y.
Will Close Tuesd0u

NEW YORK, Nov. 3 UN.sO.
All leading security and COM
modify exchanges will be closed to-
morrow, election day.
The New York Stock Exchange
the New York Curb Market, the
New York Produce Exchange the
Chicago Board of Trade, the New
York Cotton Exchange, and the
New Orleans Cotton Exchange
are some Of the markets that
have signified their intention to
be closed.
The Washington times., 1930-11-03
of Rubber
Totals 39.467 Tons

NEW YORK, Nov. 3.-Consunnp-
ton Of crude rubber by nanufac-
turers in September was 25,28S
long tons.
Imports was 39.467 long tons.
Domestic stocks on hand and in
transit were 169,607 long tons.
Crude rubber afloat for United
States ports was at 60,923 long
tons.
The Washington times., 1930-11-03

ing stocks for a while and doing
pretty well in the bond market
I am told. There have been
golden opportunity also recently.
For example, the Alchemy Bonds
broke badly about a week ago
and then recovered sharply. The
same occurred in the Brazilian
issues, which snapped back
quickly on announcement OF
heavy shipments Of gold to this
country for interest and sinking
fund requirements.
There were big and quick
profits to be made in each case.
Even the highest grade issues
offer opportunities in a market
like this, for they are often ul1-
duly depressed by forced liquida-
tion induced by stock market
losses. It need not be said that
the holder of a bond has a much
better chance Of getting his
money back even in case Of
severe paper losses than the
owner of common stocks.
Rumor has it that the bears
are planning to go after Wool
worth on theory the stock is
vulnerable because Of its low
yield at current levels. Wool
worth pays $2.40, which makes
the return at present less than 4
per cent. With earnings for the
year estimated at $3.70 the
stock is also selling at q higher
ratio than Steel, Can and others.
Here and There
Recent selling Of Chrysler has
been from tired-out holders Of
the stock. All the buying has
been coming from sources close
to the inside. Directors meet
for dividend action this month
and I understand are split on
what to do. The general belief
is that the rate will be cut to 81,
though Chrysler, with its huge
cash resources, could easily pay
more.
Brooklyn Union Gas, earning
about So and paying IS, is be-
ginning to look attractive. The
company will figure in a big
merger with Consolidated Gas
some day, and Gas will have to
pay a pretty peny for it, am
told. .-'...,..
There are many stocks selling
in the pup" class (below 20)
that will be the foundation Of
future fortunes.
Action of Worthington Pump
indicates a good-sized and I'M
easy short interest.
Briggs is getting aggressive
market. sponsorship.
Another member Of the 200
club went Saturday, Diamond
Match. Allied Chemical just
nosed back, however, thus keep
ing the, number at three. The
others, are Norfolk and Western
and Peoples Gas.
The Washington times., 1930-11-03

Business Research and Former Econ
omist of Federat~Trade Commission.
The cotton situation has been
gradually getting ready for fun
damental improvement. Cotton
cloth prices have shown indepeli-
dent strength. The only danger
now is that the anticipated recov-
cry will be discounted too soon.
Such q sharp rise in cotton prices
as had occurred prior to a day o"
two ago is likely to defeat the
fundamental constructive forces.
Cheap cotton-and cotton has
been very cheap-has two effects.
It tends to reduce the acreage
that will be planted by the farm
ers next season. 1t tends to slim
ulate investment buying.
Southern bankers and the Gov
ernment can urge acreage reduc-
ton till they are black in the face,
but 1t will not come unless and
until cotton prices are so low that
they discourage the planter.
Nothing would so certainly insure
a small crop next year as would
10-cent cotton.
Exports Running High
The low price, to, has resulted
in unusually heavy exports. For
eign spinners have been buying
at a rate which, if continued,
would mean exports of well over
100000 bales for the season.
American cotton had fallen
low enough in comparison with
competing Indian and Egyptian
cotton to make it attractive
again.
But such a premature rally as
has developed recently tends to
defeat crop-reduction forces and
foreign buying. Already the ex-
port movement has been checked
and the gain over last year has
been considerably reduced.
You may say that the rise in
cloth prices juStifieS an advance
in raw cotton. This, however, is
not true, simply because the
manufacturers profit margin is
still too low. If the average cot
ton manufacturer is to make any
profits he must get cheap cotton.
This suggests another problem
that the cotton textile industry
faces. It is essential that cotton
manufacturers continue to keep
production curtailed for several
months yet. They should hold
production down until stocks of
goods are further reduced and
the spread between raw cotton
and cotton yarn and cloth be-
comes large enough to give them
a decent profit. If a little i'm
provement in cloth prices should
now lead them to speed up the
looms they could soon undo all
the progress made.
On the bull side of cotton are
the large exports, the probable
reduction in acreage (if cotton
prices stay DOWN, and the indie
pendent strength Of the goods
markets.
On the bear side of cotton are
CA1C NCAJ 4d4 &c fLoADAC supply O1AC
large ginnings Indicating a larger
old crop than eStimated), and
world business depression.
Low Price Would Help
The fundamental situation is in
line for improvement, If the price
Of cotton stays down. I think it
will. The recent rise was too
fast, and such rallies are likely to
prove short lived. If this opinion
is correct, however. the basis will
be laid for a considerably higher
level before 1881 is half over.
I think, too, that the cotton
manufacturers are going to stay
curtailed this year. This policy
would tend to prevent an undue
advance in cotton, and by 1881
the best shape they have been in
would put the manufacturers in
for several years.
The Washington times., 1930-11-03
Puzzles

Puzzles
The past week witnessed sharp
breaks In stocks of soft drink
manufacturers on the theory that
legalized beer, if and when ap,
proved, would hurt their sales
The bears made much OF this
and hammered Coca Cola ane
Canada Dry to new lows for the
year.
Yet, strange as it may seem,
other stocks that would benefit
from any modification Of prohi-
bition were sold as freely. For
beer would be a boon to the agri-
culture community in taking up
much Of the surplus grain.
This would be distinctly bulliSh
a farm implement manufac-
SAeers, mail order houses, bottle
and cap makers, in particular,
and the list, as a whole, in gen.
eral. Which indicates the In
consistency of things.
The danger of staying short OF
stocks like Allied Chemical and
Coca Cola was apparent Satur'
= day when both rebounded sharply.
Each has been meeting excellent
support buying. In addition, ]
understand short covering is be-
ing forced in Coca Cola. Since
the floating of each company is
very small, those who overstay
on the short side are likely to
pay through the nose.
General Foods
Earning about 81 and paying
So, General Foods looks attrac-
tive at current levels. The COM
pany is one of the leading fac.
tors in the food industry, which
is coming through the depres-
sion with flying colors.
In addition, /. understand Gen.
eral Foods is negotiating a deal
with one of the leaders in this
industry on the continent for the
sale of its quick-frozen products,
which is bullish on it's long term
prospects.
I like General Foods and con-
slider it attractively priced at
current levels, but I hear pos
sibilities of forced liquidation in
the stock, and I advise avoiding
it until the present market tur-
moil shows signs of reaching its
end.
Sharp break in Gillette is a
reflection of the unpleasant feel
ing, charges and counter-charges
regarding the merger with Auto
Strop and alleged stock deals of
the directors have left on stock
holders. It looks as though the
bears are making capital of the
situation, though there is further
evidence Of liquidation. Gillette
seems in a mess for the moment,
but I don't see how Auto-Strop,
with its proven and increasing
earning power, is going to be
affected very much.
New. "SharpshOOting"
Smart traders have been avoid
The Washington times., 1930-11-03
Borg Warner Net
S1.93 Per Share

CHICAGO, Nov. 3.-Borg- War
ner Corporation reports net in.
come in the nine months ended
September 80, of $2,574, ,205. equiva.
lent, after preferred dividends. to
S1.93 q share on 1,230, ,769 shares
M common stock outstanding.
The Washington times., 1930-11-03
Coffee Sales Set
SeDtember Mark

NEW YORK, Nov. 3.-SaleS of
Chase and Sanborn Coffee in Sep
tember achieved the greatest
volume in any month in the com.
pany's history, according to 10,
seph Wiltshire, president Of Stan.
dard Brands Incorporated.
The Washington times., 1930-11-03
UNCERTAIN TREND IS SEEN
IN STOCK MARKET
Possibility of Vets Gaining Many Congress
sional Seats in Election Tomorrow Seen
Holding Back Mart For Present
BY THE SPECTATOR

BY THE SPECTATOR
The market enters week with the future course q
prices still couded in uncertainty Stocks lost more ground
last week but showed real resistance at their lows OF the year
and closed with a rally Saturday. . ,.-....
election tomorrow Of than ordinary hgncace
and likely today significant movements
In either direction results be interpreted Iavoraoy
likelihood big gain for the wet element IN Con
greSs. - -. ro ro~,, Ior
see, how advance can go very A
at the moment and advice is still to stano aSi"e
The Washington times., 1930-11-03
Wall Street
Hears:

That Lambert's LAM net
will fan slightly below last
years.
That Westinghouse Air Brake
(WKM) earned It's dividend this
year from the operations of It's
subsidiary, the Union Switch q
Signal Co.
That the copper situation win
begin to look . little better
from now on.
That Gulf Oil (GOP) is being
bought for the long pull.
The Washington times., 1930-11-03
Local Stocks

FURNISHED by ". 3. Hibbs 4 Coz
SALES
Washington Railway & Electric,
As $100O0893s.
Washington Railway & Electric,
pfd. 100982.
LanSton Monotype, 10010S, 10
@108.
Mergenthaler Linotype, 5000.
Potomac Elec Power Co., 5hs,
pfd., 100 108as, 1501083s.
AFTER CALL
Washington Railway & Electric,
pfd., l00983s, 100983s, 10@9S3s,
100 98%, 10@982s, 10@9SA, 10
@9SA, 10@98A, 10@98H.
Capital Traction Co., $3.50, 4
@50.
The Washington times., 1930-11-03
BAD S|DE1
To BULGE IN
COTTON
Economist Says Situation Has
Reached Point Where I'm
provement May Be Started
By LEWIS HANEY

Director New York University Bureau Of
Business Research and Former Econ
omist of FederaI@Trade Commission.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-05-02
Fall Of Pemberton Mill.
nv ELIZABETH STUART PHELPS.

elizabeth Stuart Phelps, IS44-lgll. was
AmsFcf Pb.p psr bSt WreG
Stuart was the author OF THE Gates
Ajar.'D
cat 10 minutes before on Tuesday,
the 10th of January, the Pemberton
mill, all hands being at the time on
duty, fell to the ground" 30 the record
flashed over the telegraph wires. sprang
into large type in the newspapers and
passed from lip to lip. A vast crowd
surged through the streets. Women
with white lips were counting the mills
Pacific, Atlantic, Washington, Penn
berton! Where was Pemberton?
Where Pemberton had blazed with
its lamps last night and hummed with
its iron lips this noon, q cloud Of dust,
black, silent, horrible, pulled q hun
dred feet into the air.
Tsenath opened her eyes after time.
Beautiful green and purple lights had
been dancing about her, but she had
had no thoughts. 1t occurred to her
now that she must have been struck
on the head. The church clocks were
striking 8. A bonfire, which had been
built at distance to light the citizens
in the work Of rescue, cast little gleam
in through the debris across her two
hands, which lay clasped together at
her side. One of her fingers, she saw,
was gone; her feet, still tangled in the
gearing which had tripped her, were
buried beneath a pile of brick. A
broad piece of flooring that had fallen
slantwise rooted her in and saved her
from the mass of ironwork overhead.
Fragments of looms, shafts and pill