Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-10-30
Everybody's
Business
International Credit Corfo-
ration TO Convert German
Short-Terr Credits Into
Longer Obligations Be-
l;eved Perfected.
BY DIR. MAX wINKLER.


NEW YORK, October 30.-Plans
are understood to have been per-
feeted for establishing an information
al credit corporation, whose princi-
pal aim will be TO convert German
short term credits into obligations run
ming from three to five years. 1t is
quite possible that the plans for the
formation Of this bank were taken up
in washington in the course Of the
Hoover-Laval conversations.
It is generally felt that the French
viii net oppose the project, especially
because Frances short-term invest
ments in Germany are merely nominal
While a funding operation will result
in tying UP fundSa for longer period,
it should be remembered that it should
exert a most favorable influence upon
German economic conditions, which in
turn cannot but prove beneficial to
Germany's neighbors.
After the sensational events Of the
last few weeks, especially Great Brit
aims suspension of the gold standard,
It should be apparent to every sensible
American that the administration at
Washington will be prepared to receive
with an open mind any fresh debt pro-
pcSals of a constructive nature that
emanate from the governments of Eu-
rope. according to Thomas w. Lamont
Hoover Receptive.
The Morgan spokesman adds that
President Hoover himself has given
clear intmation Of this fact in his re-
cent and notable statement that had
to Go with unified measures to meet
Americas economic difficulties.
Despite poor earnings, Bethlehem
Steel declared a dividend on it's COM
rsv1ff inn kA C6a
The outlay which such distribution
calls for is not likely to prove strain,
especially in view of BethlehemS I'M
usually strong financial position 1t Is
felt that payment was prompted chiefly
by the desire to create a generally more
confident feeling.
On the grounds that the Central
Railroad of New Jersey has paid out
already in dividends so far this year q
total of SO a share, the quarterly pay
ment of 50, due November Is, will not
be made, according to an official state
ment by the company
Non-Dividend Rails Grow.
The list of non -dividend paying rail-
road shares is increasing steadily. There
are few indeed who would have ex-
pected the Jersey Central to take so
drastic step. Since 1849 payments
have been made regularly, with the ex-
ception of 1858, 1877-82 and 1858.
Since 1909 stockholders have received
each year not less than $40 share,
while during 1920 $12 was paid an
nually, of which 81 represented extra
distributions.
Omission of the dividend is likely to
affect, among others. the Reading COM
pany, which owns about So per cent of
the outstanding shares of Jersey Gen.
trail.
Economies Reflected.
Economies already effected by Ameri-
can Type Founders should be reflected
in increased profits long before the re-
turn of sales to former volume. accord
ing to Joseph F. Gillick. president Al
though earnings for the year ended
August 81 were not sufficient to cover
dividend requirements, payments were
made partly out of surplus, since it was
the belief of the management that the
regular DIVIDENDS on both preferred and
common could be paid without impair
ing the financial structure of the COM
pany.
The increase in earnings of Monsanto
Chemical Works in the first nine months
of this year over the same period last
year Is due largely to the fact that the
third and fourth quarters of 1880 were
unusually poor. according to Edgar M.
Queeny, president
The relatively unsatisfactory showing
last year, continues Mr. Queeny, was
the result Of homecoming losses and
write-offs, so that the company is now
in a position to receive the benefits of
about $4,000, 900 invested in plant dur
ing the past three years.
Kelly Springfield Shows Profit.
The Kelly Springfield Tire Co. has
been able to report net profit for each
month since May of this year. accord
ing to William H. Lalley, president.
The affairs of the company are show
ing progressive improvement, con-
tinues Mr.. Lalley, who adds that despite
general business conditions sales have
held at a steady level and that ship
mentS to dealers for the first nine
months of 1881 have exceeded those for
the same period last year.
To those who view foreign invest
ments with skepticism, the activities of
be very interesting. European sales of
the company,s tabulating division in
September showed an increase of 245
per cent over the September, 1880, fig
ures, and represented new high record.
Despite the worldwide business de-
preston, the company has been able to
make a good showing. as evidenced
from the TACT that earnings IN the nrSt
nine months of the current year were
sufficient to cover by a most adequate
margin the entire years dividend of Sc
a share Earnings for 1881 are expected
to exceed 1880 figures by about $780, 900,
according to very authoritative source.
Faith in Spain Shown.
American capital is beginning to
evince faith in the Spanish situation.
This Is evidenced by the formation, un-
der the laws of Spain, of a company
with a capitalization of 10000 900 pese-
tas, for the purpose Of erecting a plant
and cooperating in the identification
of the Spanish railways
The necessary capital is furnished by
the General Electric Co, the German
General Electric, in which the Ameri-
can company isSheavily interested, and
the French affiliation Of General Elec-
trio
The material required for the program
will be supplied by the German and
French companies on the basis of to 2.
This plan is expected to aid the Ger
man General Electric Co. and through
it the American concern.