Evening star., 1932-02-29
DECREASE IN BANK
CLEAR|NGS SHOWN
Association Report Reveals
Drop for February From
1881 Figures.
BY EDWARD c. STONE.

AS mas Deen anticipated since lHe ldSi
report of the Federal Reserve Bank Of
Richmond showed trade in Washington
and the rest of the fifth district to be
lower than year ago, February bank
clearings in Washington revealed an
other drop when compared with the
similar month in 1881.
According to the monthly report OF
the Washington Clearing House Asso-
citation, made public this noon by the
manager, Charles E. Bright, total clear
ings amounted to $80,807, ,544.54.
Clearings in February, 1881, totalled
S96742175 and in February, 1880
reached the sum of 500 ,545, PIP SO. Local
clearings in January of the present
year totalled S92,855, ,73629 the higher
figure than in February being partially
due to the greater number of business
days in the month.
The number of cancelled checks
passing through the Washington Clear
ing House in the first two months of
1881 totalled S2O6 SOC, ,789 "a, compared
with $173, ,663, ,280.83 so far this year
1t is expected, however, that the differ
ence in clearings will be reduced as the
year goes on, partly on account of the
increase in visitors planning to come
here during the Bicentennial celebra-
ton.
The slump in clearings during Feb
ruary is laid largely to the warm
weather that slowed up the sale of
Winter goods. 1t is believed by mer-
chants that the hot Summer sun will
make the sale of Summer goods much
more seasonal. Such a condition will
be reflected at once in bank clearings,
which just now are down in every i'm
portant city in the country. February
may prove the low point for the year.
Safety of Banks Lauded.
Maintaining that hoarders all over
the United States are losing their cash
currency at an extraordinary rate
through robbery, fire, misplacing and
other accidents, the Alexander Hamil-
ton Institute submits that banks are
safer than stockings. Says the in
stitute:
Although the rate of bank failures
in 1881 was comparatively high, the
amount of deposits actually tied up
was only a tiny fraction of the total.
OF deposits thus temporarily tied up
only a very small portion is actually
lost. 1t seems likely that the ultimate
losses to depositorS in 1881 will con-
stitute only a very small fraction of
per cent.
when you consider that the hoarder
of currency is sure to lose interest. say
4 per cent, his position is absurd almost
beyond belief. If, in certain cases, it
might be unwise for him to leave all
his funds in a single bank, the de-
positor can be sufficiently protected by
distributing them among several banks
Should a depoSitorS distruSt OF
banks be utterly unreasonable, however,
then he can at least put his funds into
postal savings and draw per cent.
Postal savings are necessarily, by the
nature of Government obligations, just
as safe as the dollar" the institute
concludes.
C. g. p. Phone Officers Elected.
Lloyd B. Wilson was reelected presi-
dent and Frederick j Irish general
manager of the Chesapeake & Potomac
Telephone Co. of Baltimore City by the
board of directors in Baltimore today.
Other officers reelected were Marshal
D. Sedan Philip o. Coffin and John G..
Koons, vice presidents Walter B.
Clarkson, vice president and secretary;
Thomas B. Clarkson, treasurer; Harry
@. Gretz, general auditor, and Ralph A.
Van Orsdel, general counsel.
Capital expenditures for new plant
and equipment which will provide addt-
tional facilities for telephone growth
throughout Maryland were authorized
by the board. This brings the total ap-
preparation for similar work throughout
the State this year to Sl,474,579, Mr..
Irish states.
Business Advance Forecast.
The Kiplinger Washington letter this
week is devoted to the business out
look. A summary of letters received
here indicates that sentiment and con-
fidence have improved. Kiplinger re-
ports that the majority of correspond
ents do not expect permanent recovery
before next Fall but do not expect lower
levels of business between now and
then. They expect spotty improve
ment in lines dependent upon motors.
The summary adds:
Business sentiment" is said to be
better by at least three-fourths of the
correspondents. Most note change in
the past 80 days. Most say the i'm
provement is very slight, but they seem
TO feel that there will be no repetition
of the recent real panic. There is ''less
hysteria," better acceptance of condi-
tions," feeling that the worst is oyer" !"
determination to work it out" etc.
Main reasons mentioned: Decline of
bank failures, governmental measures
of support, approach Of Spring, adjust
ments Of many corporation budgets to
balance or near-balance, adjustment of
personal living conditions to the same
end, paying off of debt better securities
market
Farmers are mentioned as the heav-
lest sufferers OF any single class, from
the purchasing power standpoint, al
though actual want and privation are
far less in rural regions than in cities
A remarkably large proportion Of men
yuh M
communities go out Of their way to say
that permanent improvement must
await better farm prices. Present
farm prices are characterized as shock
ing"
Telephone Earnings Higher.
Substantial gains in telephone earn
ings were reported today by the Chesa
peake & Potomac Telephone Co., which
filed its January statement with the
Public Utilities Commission. Total net
revenues from operations were S26l 1853
compared with 1921, ,708 in January
1881 After all deductions from gross
the company reported a balance before
dividends of Sl75,023, against $136,433
in the like month year ago.
Trading on ID. c. Exchange.
The weeks first sale on the Wash
ington Stock Exchange today was in
Lanston Monotype, a small lot chang
ing hands at 81.
Mergenthaler Linotype, the other type
stock, also appeared on the board, IL
shares selling at A, unchanged from
the last previous sale.
Capital Traction figured in two sale:
at 1872, same as last weeks close, while
one $500 sale in Washington Gas S:
was recorded at par.
Peoples Drug Stores preferred has
been added to list of stocks now selling
ex dividend. Other stocks in this list
are the Potomac Electric. Power ane
Washington Railway g. Electric issues
Heard In Financial District.
Charles D. Barney g. Co., New York
Exchange house which has an Office ir
III. 80 Mil az l.. -