Evening star., 1933-05-13
new RESERVE HEAD
HAS FINE RECORD
Local Bankers Laud Black as
Expert on Finance and
Fearless Official.
BY EDWARD C. STONE.

BY EDWARD C. STONE.
Washington bankers are enthusi-
AStic over the appointment Of Eugene
Black, who has been governor of the
Federal Reserve Bank of Atlanta, as
head Of the Federal Reserve System.
Mr.. Black is personal friend Of sew
eral local f1nanciers and close friend
of George j. Seay, governor of the
Federal Reserve Bank of Richmond.
The new chief of the Federal Re-,
serve System comes to position which
many financial leaders consider the
most important in the Government
outside of the White House, especially
in depression times.
Mr.. Black Is known as an outspoken
official, far more free in his statements
than most other men in public life.
Back in 1880, when many predictions
were being made to the effect that
Black startled the country by saying
the end was nowhere in sight.
People cannot prosper with such
enormous debts around their necks, he
asserted, and added that nobody with
a heavy mortgage on his home could
be happy or contented. In those two
situations alone he saw prolonging
of the depression. Time has proved
his ability as forecaster. He has
declared, however, that unfavorable
conditions could and would be coped
with successfully and now considers
the outlook favorable.
Mr. Black Is native Of Atlanta,
university graduate, lawyer, former
bank president, and has made. bril-
liant record in everything he has un-
dertaken. He's married and has a
family. He is Baptist and has always
taken a deep interest in civic affairs
Roy Young Breaks Long Silence.
Breaking a two-year silence in re-
gard to business conditions, Gov. Roy
A. Young of the Federal Reserve
Bank of Boston, speaking at the an
Flour Exchange, said he saw some
thing hopeful and cheerful" in the
business prospect.
The better prices for wheat. cotton,
corn, and particularly wool, are being
reflected In the metals-steel, copper
and silver-he said.
He added: There must be monetary
stabilization throughout the world and
there must be tariff adjustments. But
all these are coming"
Gov. Young, it will be recalled, was
governor of the Federal Reserve Sys-
tenn before Eugene Meyer took the
reins While a resident Of the Capital
he attended several of the annual con-
centions of the District Bankers As
Sociation, but usually lodged making
any set speeches. When he left Wash
ington, he said he was accepting the
Boston position on account OF the diff
ference in salary.
Local bankers will be glad that he is
once more talking for publication. as
he is considered very keen student OF
banking ard other financial affairs.
Life Insurance Moves Explained.
William c. Worthington, one Of
.Washington's prominent life insurance
men, has one of the many booklets
brought out on the Moratorium on
Cash and Loan Values" This one is
written by Abner Thorpe, jr.
The booklet relates especially to &C
ton taken in New York State prohibit
ing life insurance companies making
loans in that State to policy holders or
surrender values. While such rules GO
not apply in the District of Columbia,
yet policy holders have been asking q
good many questions rs to why such
action was taken elsewhere.
Briefly, the action was taken to pre-
vent too heavy demands on any life
insurance company at one time. NO
company is in q position to pay Its
policies at once if all policy holders
died at the same time. The same Is
true if all cash surrender values were
demanded at once. Furthermore, the
companies did not want to be put in
a position where they would have had
to dispose of prime investments In
depressed market to obtain an extra
amount OF cash.
. OF course many companies are still
loaning on policies. The moves taken
have been wholly protective, "for the
good of the policy holders as well as the
companies" the author says. To MI.
Worthington and his associates the ex-
plantations are considered both informa-
tive and reassuring.
A. & P. Sales Reported Lower.
Great Atlantic & Pacific Tea CO.
estimates sales for four weeks ended
April 90, 1888, at $61 ,055, 1924, comparing
with $72 ,706 for like period of 1882,
q decrease of $11, ,312 1882, or 1860.
Tonnage sales for the four weeks
period are estimated at 405, $50, against
422714 in corresponding period of 1882,
a decrease of 17,054 tons, or 4.0%.
Average weekly sales for the four
weeks ended April 29, 1888, are esti-
mated at $15,263 1856, comparing with
S1O,USL.1it Ill tilt 1900 pC1 q Ut
crease Of $2,828,221. Average weekly
tonnage sales were 101, AIS, compared
with 105.678 in similar period Of prev
ious year, a decrease of 4,263 tons.
Estimated sales for nine weeks ended
April 49, 1888, without consideration of
change in number of stores during the
year, totaled $136,036, ,969, as compared
with $161 ,291 ,945 for like period Of pre-
ceding year. decrease of $25, ,254977.
or 1852. Estimated tonnage sales were
9OO,852, against 942,976, decrease Of
AZ, 124 tons, or 4.49o.
Sales of American Stores Co. for the
four weeks ended April 20 totaled So
349,021, against $9,471, 1888, decrease
of S1,122,812, or 11.8 per cent For the
first four months of the present year
Americans sales amounted to $35,378,-
1854, in comparison with 40,326277 in
the like period year ago, a decrease
of $4,948,113, or 1872 per cent. April
sales show an improvement over the
longer-term record.