Evening star., 1934-07-14
TRANSIT BONDS UP
ON D. c. EXCHANGE.
Increase in Value Since
Merger Estimated al
80 Per Cent.
BY HAROLD p. ROGERS.


with increased passengers. and q
steady accumulation Of earnings, one
Of the features Of the Washington
Stock Exchange has been the sub
stsntial gain in prices Of local rail
securities.
Bondf Of the merged companies.
stiil listed under their own names.
are on the upgrade. with an increase
in value estimated today at around
30 per cent. since the merger.
Earnings for the first six months
on the capitalization Of $4,000. 900
figure out at the rate Of t243 a
Atare. The earnings from December
TO the end OF May total S5s2.5l7.
Reports on June earnings are ex-
pected TO be- filed with the Public
Utilities Commission within about 10
days.
There has been much conjecture as
TO whether the company would de-
clare a dividend, but opinion seems
to differ on this. especially in view
of the announced intention OF the
company to spend substantial sums
for improvement Of the service. This
will be done in rerouting. and in the
purchase OF new equipment. A new
type of light, high-speed car is
under consideration, and will be put
on the rails as soon as practicable
under plans OF the management.
Other Rail Issues Gain.
Capital Traction SIS, which last
December were around so, sold yes
terday at 80 on the local exchange
Traction stock stood at "a bid, 2494
asked
Other local railway bonds which
have appreciated substantially since
the merger include. AnacoStia IL
Potomac Railway SIS, quoted yester-
day at 70 bid and 73 asked: Ana
costa g. Potomac guaranteed 5s.
at 90 and l0l; City and Suburban
SIS at 7lia and 70, Washington
Railway g. Electric As stood at 9e1a
and e7A.
Washington Railway e. Electric
common is selling around 3l5 and
preferred between 9934 and 1904.
Other utilities have not been neg
iected on the local board, Washing
ton Gas Light Refunding SIS selling
yesterday in three blocks OF 1000
each at esl1 and es34. This latter
is q new high for the year and COM
pares TO the low of months ago
OF rs.
woodward a. Lothrop, preferred
which is closely held, and seldom out,
turned over last week in a block of
10 shares at Ito, a new high for
this year.
A large sale OF Mergenthaler. at
324 shares, during the week went at
%, a shade lower than recent sales.
b. a. o. Financing Watched.
There is considerable interest here
In action Of the Reconstruction
Finance Corporation In underwriting
the marketing of a 0,000 900 flve-
year note issue Of the Baltimore e.
Ohio, to be sold through private
bankers The road will pay Al per
cent either from investors or from
the Government, under the new
financing. as contrasted to the and
0 per cent 1t has had to pay the
II. r. c.
Third-quarter business starts from
the best position in five years, ac-
&pIAhAk W DuAl O. biuocL1CCis AuI.
"All primary indicators point def
nitely to the fact that, in distribution.
prices. wages, employment and gen.
eral activity, industry is on a higher
level than at this time year ago"
said an ANALYSIS of the situation.
With gains of the early months of
1884 extended and consolidated, q solid
base has been formed from which fur
ther broad-scale and Nationwide
progress will be possible, according TO
the survey of industry for the second
quarter of 1884
"On the breadth of the foundation
which has been laid during the past
six months, the third quarter is being
launched from a position of the great
est strength that has marked the be-
ginning of any quarter in the last five
years. All of the seven primary fac
tors established an impreSsively ia
'vorable trend during the quarter just
closed. as commercial failures declined
almost uninterruptedly, commodity
prices revealed sustained strength,
while wage scales we're definitely
higher. Fluctuations in employment
were attributed chiefly to the out
break of strikes during this period, but
an improvement was maintained.
For industrial sales a further eX-
pansion was reported, and industrial
activity continued to gain. The
broadened volume of bank clearings
carried the aggregate for the second
quarter to more than $4,000, 900 900,
making the largest three month
clearings total that has appeared on
the records since the first quarter Of
1882
Supervised Shares Report.
The quarterly report of Supervised
Shares Inc. being sent to stock
holders today, states that funds of
the company have been kept almost
fully invested during the past quar-
ter
The directors have maintained
this policy" says the report, in the
belief that prospects for near-term
business improvement and imitation
airy tendencies were sufficiently strong
as to dictate against altering the in
vestnent position Of the fund. despite
an anticipated seasonal decline in
1@SAAANSS o1NiNANa AAA MS NAlV 0AAAA-
mer"
Investments based on current mar
ket quotations as of June 80 totaled
SS,0l0S25. compared with cost of So
S34,77S. The net asset value of the
Common shares amounted to Sl24.
compared with $3.50 at the end of
the preceding quarter During the
period a net profit Of S3l ,SS2 resulted
from the sale of securities. after pro-
vision for Federal income tax bring
ing total realized net profit TO date
after taxes, TO SCI .945,
Comparatively few changes were
made in the company's portfolio dur
ing the quarter. Stocks OF Allied
Chemical a. Dye Corporation. Amer
ican Tobacco Co and the Borden Co
were added from the approved list
and stocks OF Cerro de Pasco Copper
Corporation and Commercial Solvents
Corporation were entirely eliminated
The portfolio as of June 80 was made
up OF 669S per cent OF industrial
stocks. 1905 per cent Of rails, - 40
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