Evening star., 1933-05-23
BUSINESS better
IN F|F TIL DISTRICT
Richmond Reserve Bank Re.
ports Wholesale and Re-
tail Trade Gains.
BY EDWARD C. STONE.

BY EDWARD C. STONE.
Business improvement continues In
the Fifth Federal Reserve district. with
retail and wholesale trade. as well as
industry, feeling more optimistic than
has been the case for more than year,
according to reports from the Federal
Reserve Bank of Richmond. Further
reports from this territory state:
Excellent weather has benefited the
retailers, and Summer goods are NOV
feeling the effects of replacement orders
and several lines report excellent gains
over last month and over the same
month of last year.
Industrial activities have been ex-
panied In tobacco, cotton. rayon, wood
products, tin cans and paper and fiber
board containers. While the number
of workers has not jumped materially,
the hours of operation have been ex-
tended in numerous plants, resulting in
larger pay checks.
In its weekly review of conditions in
all the IL Federal Reserve districts the
New York Times observes that an
increase in employment and advancing
wage SCdlCS al SCNCldl O1oSllSto WCAC
among the more important improve
ments noted in the week. The likelihood
of generally higher taxes was only
moderately depressing. Attention OF
investors was focused generally on the
railroads and the utilities. While the
Government has a coordination plan
for the former, which have some dead
wood to clear away during the recovery,
the latter appear to be facing mounting
burdens
Especial Importance, the review con-
cludeS, is attached to the administra-
-tion's policy with regard to manufac-
turing industries and to the plan to
modify application Of the antitrust
laws in order to alter competitive condl-
tions and eliminate waste.
Chevy Chase Bank Congratulated.
>, Depositors In the Chevy Chase Saw
2 ings Bank extended many congratula-
tions today to President John G.
Walker and his board Of directors over
the sale of the bank to the Riggs Ma
tional Bank and the resulting an
nouncement that the depositorS and
shareholders will soon have freed 60
per cent of their deposits. In fact. %
per cent of the deposits will be freed by
the addition of per cent, which have
been held in a bailee account and which
are available at any time.
Depositors so far heard from con-
slider the move the very best that the
Chevy Chase Bank officials could make.
Attempts to reopen the bank as an in
diyidual unit had failed After 10
weeks the bank still lacked a Govern
4 ment license 10 operate. 1t was also
known that Treasury officials wished to
see fewer banks in washington, which
. clearly called for consultations.
The Chevy Chase officials preferred
to become a branch of the largest bank
in the city than to join any OF several
> consolidation plans. The present deal
is not a merger, but an outright pur-
|, chase by Riggs of the live assets Of the
. bank. the other assets to be sold by the
conservator, John G. Walker. to the
. best advantage possible. This means
that in addition to the go per cent OF
deposits to be freed by Riggs, further
payments will be made to 7depositors as
other assets are "thawed out"
The Chevy Chase Bank will be re-
opened by Riggs on June Is. 1t viii be
=, the parent banks seventh branch.
President Robert v. Fleming and his
associates are enthusiastic over the out
look. The important move is the first
definite settling of the future of any
of the 13 local closed banks, although
most of the others are hard at work
; on merger or other plans.
Bank Makes Additional Payment.
!. Judge Eugene O'Dunne in Baltimore
. has signed an order in Circuit Court
authorizing the receiver for the Chesa-
peake Bank of Baltimore, which closed
: December 9, 1890, to make a 10 per
cent distribution to depositors of the
: institution. The payment will be made
around July !. This viii bring the total
amount paid to depositors and creditors
to 325 per cent as q payment OF 22.5
per cent was made December Is. 1881.
The Homewood Bank at Pittsburgh
Pa, with capital of 100000, has been
admitted to Federal Reserve member
ship, according to the Federal Reserve
Board. This brings to As the admis-
sions to the system since the bank holi
day There have been 25 voluntary
Withdrawals.
Indicated building expenditures in
April increased 21.2 per cent, as COM
pared with March, but dropped 51.3
per cent from April. 1882, the Bureau Of
Labor Statistics reports. Total opera
tions were estimated at $29, ,756, ,038,
against $24,560,176 in March. The
April increase was higher than the in
crease shown when comparing these two
months in any Of the previous three
years.
Norfolk Southern Railroad has issued
1ts pamphlet report for year ended De-
cember 81, 1882, showing net loss of
Sl,103, ,406 after taxes and charges, COM
pairing with net loss of $498,043 in
1881 The statement covers entire f1s-
cal year, corporate from January /, to
July 81, 1882 and receivership from
July %, to December 81, 1882.
Merger Plan Advances Further.
Definite entry of the Northeast Saw
ings Bank into the proposed merger OF
six local banks into one institution was
announced last night after a special
meeting of stockholders and depositors.
Such action had been expected, but at
the same time adds strength to the
present campaign. The bunk now
starts in earnest to raise its quota OF
new capital, the amount being much
smaller than what would have been re-
quired for a separate unit. Officials OF
the bank are now much pleased with
the idea of going in with five other
banks as the Hamilton National.
Washington Railway & Electric pre-
ferred opened trading on the Washing
ton Stock Exchange today, 80 shares
changing hands at 861a. Capital Trac-
ton was up a full point, 20 shares
moving at 91z.
Georgetown Gas Light IS figured IN
$4,000 turnover at 1929 and $1,000
Anacostia & Potomac Railroad IS came
out at 81. Norfolk & Washington
Steamboat stock sold at 10, the ex-
change governors having ruled that all
transactions in this stock shall 'be on
the basis of ex-privilege redemption. as
already stated to stockholders Of record
March 4, 1888"
Bank Stocks Show Gains.
The New York City bank stock mar
ket recovered during the past week, tht
aggregate market value. OF the 16 lead
ing issues as compiled by Holt, Rost
& Troster, ending the week at 81, ,422,
705 ,O00 compared with 81 ,382, ,905 900 a
the close of the previous week, an in