Evening star., 1933-05-18

Mergenthaler Linotype stock has
been very widely held in Washington
for many years. The stock is listed on
the Washington Exchange, now selling
between 25 and &c. Recently trading
has been much more active. There are
also two local directors on the board
who look after the interests of local
shareholders in the company
The company is steadily expanding
Its business and is now putting out
many products in addition to the
original business of manufacturing and
selling linotype machines.
Insured Deposits Strongly Urged.
Insurance of bank deposits is proving
one of the most controversial issues in
the Glass bank bill. AS noted, the Amer
lean Bankers Association is bitterly
opposed to the amendment on account
of the expense which it will place on
good banks to protect the depositors in
poor banks.
The deposit guarantee amendment to
the bill, however, is making a strong
stand in Congress. according to the COM
mittee reports. The present status of
the House bill is the same as the bill
introduced a few days ago by Mr.
Steagall with only minor changes. it
was stated by the author of the bill
Mr.. Steagall declared his bill is sub
Stantialy the same as the Glass bill so
far as the provisions are concerned as
relates to banking practice.
The House bill provides that State
non-member banks may be admitted to
the deposit guarantee arrangement by
merely making deposit of the requisite
funds and obtaining certificate of
good character from State banking au-
thorities. The Senate bill requires non-
msmoer banks as a condition of ad-
heSiOn to the guarantee arrangement
to become in substance members of the
Reserve System for the period in which
their deposits are guaranteed.
From bank depositors, there is a great
deal of support for the guarantee of
deposits. Of course safety is the big
point. Many depositors say they will
put great deal more money into the
banks and keep more in the banks If
their deposits are protected against loss
They claim the banks can well afford
to furnish their share of the funds
needed for the general safety fund
From postal savings alone would come
more than enough funds to offset the
cost, it is claimed.
Telephone Dividend Hailed Here.
The 10000 local holders of American
Telephone & Telegraph stock were
greatly pleased that the directors de-
cared the regular quarterly dividend of
$2.25 per share. 1t is payable July Is
to stockholders of record June 90
The fact that the regular dividend
was voted when the last quarters earn
1ngS did not cover the full disbursement
is taken here to mean that the heads of
the company believe there is a sub
stantlal advance coming in business all
over the United States.
The long lines and toll business of
the American Telephone g. Telegraph
Co. has shown substantial improvement
since the banking moratorium, officials
reported when the regular dividend was
announced
The net station loss of the Bell Sys-
tenn has been slowing up, officials add.
April net disconnections were approx
mately 900 fewer than in April, 1882,
when they amounted to 105 900.
The Chesapeake g. Potomac Tele-
phone Co. is unit of the Bell System.
Its recent reports have shown to
better advantage than those in many
other sections of the country.
Bond Men Plan Gala Day.
Pool operations and lively bull market
swings will be transferred from arti-
flolally lighted board rooms to the wide
open spaces on Friday, June 2, wher
the Bond Club of Washington will stage
Its annual outing at the Manor Club.
Early bookings, plus acceptances Of
guest invitations from Baltimore, Phila-
delphia and New York, indicate that
the 1888 edition of this yearly relax
ntion by Washington's financial world
will upset records set last Summer
when the bankers and brokers as
sembled for day and evening at the
Burning Tree Club
This years program is being prepared
by committee of which Carl R. Kurtz
is chairman and which includes James
P. Nolan, Aubrey Lanston, Carroll
Morgan, Baker T. Robinson, G. F.
Cramer and Frank P. Morse AS was
the case last year, golf during the
day, a Stock Exchange session in the
late afternoon and dinner in the eve
ming. followed by bridge and other tests
of skill, will be the heavily featured
activities on this Summers program.
Mergenthaler Makes Whole Market.
Mergenthaler Linotype stock drew
practically all the attention on the
Washington Stock Exchange today
News of the passing of the dividend
caused a large volume OF transactions
The market opened with six con-
secutive sales of 10 shares each and two
50-share blocks changing hands at 25.
off 4 from yesterdays closing sale.
Despite passage of the dividend, the
and so shares changing hands at 251s.
The closing sale was a 40-share lot
which moved at 25l4, bringing the price
back to where 1t was yesterday. The
market closed with 25 offered and 26
asked for the stock, the days turnover
being 22O shares.
The only other sale was a single
share of Washington Railway & Elec-
trio preferred, eX dividend, at 1924.
Both Potomac Power issues and both
Railway g. Electric issues are now being
quoted ex-dividend following recent
declaration of the usual disbursements
at this time.
Comment in Financial District.
The Advisory Council of the Federal
Reserve Board met with President
Roosevelt yesterday. After the confer
ence it was said that conditions in each
Federal Reserve district were i'm
proving.
Applications totaled 1884, ,6S5, 900 for
offering of s7500000 of 9l-day Treas
ury bills, to run from May II. Bids
were opened on May Is and the amount
dllOIteO lCtdtdiCu Sto,x1S,ooo. ave- o6S
rate on a bank discount basis was about
0.45 per cent
J. c. Penney Co. declared the regular
quarterly dividends of 80 cents on COM
mon and $3.50 on preferred, payable
June 80 to- stock of record June 20.
The accounting firm of Tyler, Stovall
& Co. has moved into new offices In
the Southern Building.
Atlantic Coast Line Railroad Co. re-
ports for quarter March 81, 1888. net
income of s3l6,597 after taxes and
charges, equivalent after dividend re-
quirements on per cent preferred
stock, to 80 cents share on 1913, ,427
shares of common stock. This COM
pares with net loss of $119,542 in first