Evening star., 1933-07-31
U. S. Financing Watched.

Much interest is shown in financial
circles here in the Governments new
financing. including an issue of bonds
for half a billion dollars, and Treasury
notes in the sum of about $3.50, 1000,
for carrying the administration recov
cry program.
The bonds carry interest at 34 per
cent, from August Is, 1888, and are due
August l, 1941 A feature of this issue
Is the small denominations. The low
est price is $50, with the sizes On bearer
bonds with interest coupons attached
ranging upwards at S1e0, $500, $1,000,
$4,000, $4,000 and 100000. Bonds
registered as to principal and interest
will be issued in denominations of $50,
500, $500, $1,000, $4,000, $4,000,
$50,000 and 100000 Provision will be
made for the interchange Of bonds OF
different denominations and Of coupon
and registered bonds and for the trans
fer of registered bonds, without charge
by the United States, under rules and
regulations prescribed by the Secretary
Of the Treasury.
The bonds will be exempt, both as
to principal and interest, from all taxa
tion now or hereafter imposed by the
United States, any State, or any of the
possessions of the United States, or by
any local taxing authority, except (a)
estate or inheritance taxes, and CO.
graduated additional income taxes,
commonly known as surtaxes, and ex-
cess-proflts and war-profltS taxes, now
or hereafter imposed by the United
States, upon the income or profits OF
individuals, partnerships, associations
or corporations. The interest on an
amount of bonds authorized by said act
approved September "a, 1917, as
amended, the principal of which does
not exceed $4,000, owned by any in
corporation, shall be exempt from the
taxes provided for in clause (b) above.
The bonds will be acceptable to Sc
cure deposits of public moneys, and
will bear the circulation privilege as
provided in the act approved July %,
1882, as amended. They will not be
entitled to any privilege of conversion.
The Treasury notes bearing interest
at l5s per cent are dated August is,
1888, and will mature August 1, 1885.
They will not be subject to call for
redemption prior to maturity Bearer
notes with interest coupons attached
will be issued in denominations of $100,
$500, 1000, $4,000, $4,000 and $780,
900. The notes will not be issued in
registered form. They will be exempt
from all taxation except estate or in
heritance taxes, will not be acceptable
in payment of Federal taxes, will be
acceptable to secure deposits of public
moneys, but will not bear the circula-
ton privilege.
Depositors Increase.
Depositors in mutual savings banks
of the USited States increased by 5,0s7
In the first six months of 1888, revers-
ing the trend in the latter half Of 1882.
The total on July l was 13,3O3,553,
within 100000 of the record for all
time.
The surplus account of mutual insti-
tutions at the end of the first half year
reached a new peak of sl,171 ,773,818, a
gam OF $29 $50, ,799 for the period. This
reserve fund provided 1872 per cent sur
plus for every dollar of deposits, the
highest ratio ever reached by mutual
savings banks. The figures compared
with lis per cent six months ago.
Philip A. Benson, president of the
National Association of Mutual Savings
Banks and head of the Dime Savings
Bank, Brooklyn, N. Y, said that he con-
sidered the increase of depositors and
surplus accounts as heartening signs Of
the times. THE true measure of saw
ing is to be found in the number of
cAFCio dIlo IlOt tlle dIIlOuIlbS lIlVOlVeQ,
said Mr.. Benson Mutual institutions
IN particular were founded for the spe-
cial purpose of helping the little man
toward financial independence and these
hgures make it evident that the average
citizen is more determined today than
ever before to set up a cash reserve"
The last official figures Of the Fed
eral Reserve Board placed total bank
deposits for the country exclusive Of
tnterbank deposits at SAL SAB 900 900.
Upon this basis, the owners of mutual
savings accounts hold % per cent of all
deposits in the country
Increase in employment from 33,-
$4,000 in May to "a, COS 900 in June, a
gain of 78l, 900, is reported by the Alex
andria Hamilton Institute In its monthly
survey of employment
In two previous months, ,118,000 per-
sons obtained work, so that the total
increase during the last three months
OF business recovery amounted to L.
899 900 persons. The number of persons
employed in March, when employment
reached the lowest level Of the depres-
sion, was 32,706,000.
Dealings on d. C. EXCHANGE.
There were only two sales on the
Washington Stock Exchange today,
Washington Gas IS SO bond went at SO,
and Potomac Electric Power 51a stock
went at 108A.