Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-07-16
CAPITAL BANKERS
TO ATTEND SESSION
Large Delegation From Here
viii Attend A. B. A. Con-
vention in Cleveland.
BY EDWARD G. STONE.

LDCdA DuLlhIlo dlI aAACRNg AAAoAbAANSbA1AS
unusual interest in the annual conven-
ton of the American Bankers Associa-
ton which takes place i'll Cleveland
September 29-October 2. An exception
ally large delegation of Washington
financiers is expected to attend the
sessions. on account of the short time
required in reaching Cleveland and the
light expense of the trip when compared
with the meetings which have been helo
on the Pacific Coast.
Changes in the banking situation
have taken place with almost bewllder-
ing speed since the last A. B. A. con-
vention. When the bankers met last
wear interest rates were higher than at
any time since the war. Cali money
was 20 per cent, while it is now around
2 per cent. The total value OF STOCKS
listed on the New York Stock EXCHANGE
a year ago wa; slightly more than $751;
600 900 600 This list is now Valueo AT
$4,000. 900. 000 Bonds on the. same eX-
change have dropped in Vaiue aoon'
$4,000, 100000 since the last a b. a.
meeting.
RediScount rates and all other money
rates are much lower. The world mas
wstched an amazing drop IN cornilloolly
,rices The prices of wheat, corn, rye
oats. coffee. sugar, lead, copper AIic,
tin. cotton, rubber, hides and SIX are a
good deal lower than they were iaSC
Fall. All these changes must DC III
lowed by bankers who expect 10 Keep
their banks going successfully
And in the banking field, the problems
If branch. chain, group and unit paLh-
inc have come to the front LOT NV
settlement Those in charge Oh tilo
Cleveland program say that all Vi ~
problems must have their INNINGS. h
RI f0rpSPnt an I'M
usual array of facts. so VITAL are tiit
matters to come up for discussion az
the Fall meeting that many bankers
claim il will be the most important con-
vention held by any organization IN TINS
country during the present year.
Exchange Session Quiet.
Trading was quiet on the Washington
Stock Exchange today with very lew
nrice changes. Transactions were con-
fned to Steamboat rights, Federal
American Co. common, National MOTT
CaUe Z. Investment preferred, Potomac
Electric Power 5l2 per cent preferred
and Mergenthaler Linotype. Bono Vrdo-
ing was limited to Washington Gas
issues and Washington Railway d Elec-
trio As.
Early C. & o. Stock Split-up Seen.
The Chesapeake 81 Ohio Railway fore
sees little delay in obtaining approVal py
the Virginia State Corporation Commits
sion of its application to reduce the par
vaIle of its stock to $25 from SlOo, thus
effeetinp a four-for- rome split-up. Appn-
cation was made on Friday, ana IL Is
likely that approval will be received
within week or two.
THE directors meet for dividend action
on the common stock the latter part OF
August The dividend declared VIII De
1 RI ctr
September IL. BY that time, the four
for-one stock split-up probably will have
been effected, so that the next dividend
to be paid on the common stock is likely
to be declared and paid on the new S25
par shares.
When the directors decided upon the
reduction in par last fall it was thought
that an increase in the return to stock
holders might be made by placing the
new S25 par stock on So annual
basis. This would have been equivalent
to sl2 on the 500 par stock, which
has been paying $40 annually.
The reduced business activity since
last Fall, however, has changed tn SIT,
uation to such an extent that the Wall
Street Journal believe. the present $40
basis probably will be continued by
placing the new stock on a 81 SO an !
nual basis.
Hanson E. Ely. jr, district manager |
and special Government representative |
of the talking picture division of the |
Western Electric Co.. has been elected
director in the Federal Storage Co.
He is vice president of Eastern States
Gas g. Power Co. of New York. director
in the Anderson Gas & Utilities Co,
Ct eenwood Gas e. Fuel Co. and the
Sumter Gas e. Power Co., all of South
Carolina.
Mr.. Ely is a graduate of the United
States Naval Academy, class of 1917,
and Is a member of the Army & Navy
Club He is a son of Maj. Gen. Han
son E. Ely. U. S. A. The other di-
rectors include E. K Morris, Robert
Marsh, Charles p Stone, H. Randolph
Barbee, d. p Gaillard, Henry P. Erwin,
C. Griffith Warfield, Daniel L. Borden
and Carroll Morgan.
Earnings Reports Encouraging.
Favorable reports of earnings by
American Telephone, General Electric
and National Biscuit have removed
much of Wall Streets fear that the pub
LEGATION of the second quarter state
mentS would be used as the basis of
new bear drive against security values.
1t is conceded by bankers that in gen.
eral smaller corporations did not do so
NGll as IIlB great ana JfldL
some units have been passing through
very lean period. At the same time,
says the New York Times it is felt that
enough satisfactory reports will be issued
in the next two weeks to remove the
sting OF the poor statements. The re-
ports OF General Motors and the United
States Steel are expected TO compare
1avorably with the three which were
issued yesterday, considering the state
of business in the steel and automobile
industries.
Heard in Financial District.
John Roche Rowland formerly asso-
cited with the Illinois Merchants Trust
Co of Chicago, has been appointed
resident manager of the Washington Of
NJ of G. l.. Ohrstrom g. Co. He comes
here from the firms Philadelphia of
nee. Mr. Rowland is a graduate of the
United States Naval Academy. The
Ohrstrom Co. ceals in investment bonds
and stocks and has been in business
many years.
Fernand Petit, who was formerly
connected with the Merchants Bank e.
Trust Co. and other Washington banks
and later being associated with a mort
gage financing company. has entered
the insurance field, being associated
with the Etna and several other COM
panies, according to announcement
made today.
Word received from Corcoran Thom
president Of the American Security g.
Trust Co. indicates that he is having
most delightful visit in Europe
The subject of simplifed system Of
account analysis for large and small
banks, including a series OF studies and
operating costs on account analysis and
service charges. is discussed in a book
let Just issued by the Bank Manage
ment Commission of the American