Evening star., 1934-06-19
LAND BANK BONDS
IN BIG DEMAND
Issue 0versubscribed Four
Times and Commands
Early Premium.
BY EDWARD C. STONE.

BY EDWARD C. STONE.
Ticker service in the financial dis
trict here today announced that the
new Federal Land Bank $131 100000
per cent 12-year offering had been
more than four times oversubscribed.
The subscription books were closed
shortly after they were opened and
only a few hours later the bonds COM
manded a premium of more than half
a point in the first over-the-counter
trading.
The group offering the new issue
was headed by Alexander Brown &
Sons and included the Chase National
Bank and the Guaranty Trust Co.
The issue was the first consolidated
offering ever made by the IL Federal
Land Banks.
An oversubscription had been pre-
dicted, but the size of the oversub-
scription and the rapidity with which
the new bonds were snapped up,
caused some surprise in bond circles.
Holders of approximately SIS, 900 900
of the 3A Land Bank bonds, which
have been called for payment July l,
are reported to have rendered their
bonds in exchange for the new issue.
Speaking of the issue, Secretary
Morgenthau commented that the
Federal Land Banks form an essen
tial part of the banking system of the
Nation. They are established under
the laws of the United States and op-
crate under the close supervision OF
the Federal Farm Credit Administra-
al. u, on
of the National Government"
Proceeds of this issue are to be used
to retire the Az per cent bonds OF
the banks which have been called for
redemption July l next. thus ettectlng
an interest saving of $985,000 year.
Holders of called bonds will receive
preferential treatment wherever pos
sible.
Taliaferro Heads Section.
Sidney F. Taliaferro, vice president
and trust officer of the Riggs National
Rank has been elected chairman OF
the fiduciaries section of the District
Bankers Association for the current
wear. The selection was made by the
executive council. David Bornet, trust
officer. National Savings & Trust Co.
was chosen vice chairman, and James
A. SOBER. vice president and cashier
Lincoln National Bank, was named
secretary.
Members of the sections executive
council were elected at meeting late
last week. In addition to the above
mentioned officers, those chosen in
cluded j. Eliot Moran, assistant trust
officer, American Security & Trust Co.,
and Irving Zirpel, secretary and as
sistant trust officer, Union Trust co
The f1duciaries section is one OF The
three important sections Of the Dis
trict Bankers Association, the others
being the safe deposit and auditors
sections.
Insurance Records Broken.
A direct telephone hook-up from
the home Office of the Union Central
Life Insurance Co. to every agency
of the company afforded President
Howard Cox and the vice-president,
Jerome Clark, an opportunity to con-
duct simultaneously Monday morn
ing agency meeting throughout the
country.
The call originated at Cincinnati
and was transmitted over long dis
tance lines of the Bell system to every
agency Office, including washington,
in each of which through the use OF
a loud speaker provided by the tele-
phone company the addresses OF the
officials were clearly heard.
The month of May in production OF
new business broke all previous rec
4f ~, Tyin
celebration of the achievement this
unique feat of utilizing modern tele-
phone transmission to conduct an
agency meeting was projected. The
addresses were heard In 300 of1ces by
approximately 1000 agents.
Trade Is Holding Up Well.
Latest reports from the Federal Re-
serve Bank of Richmond state that
there is no sign of any Summer slump
in either wholesale or retail trade in
the fifth reserve district. For the
first five months of the present year
trade in the department stores in this
area was up 20 per cent over the same
period last year.
The upward swing in the price OF
spot cotton has been helpful recently
and the textile mills have received a
substantial increase in orders. There
is some uncertainty over future prices,
however.
Wage increases by the big tobacco
companies within the past few days
have been among the most important
news announcements. Shipbuilding
wages on the Virginia coast have also
been raised.
While there is a good deal Of strike
talk in some parts of the fifth reserve
district, the situation is considered as
easier. The better textile outlook has
cheered both manufacturers and en-
ployes.
Board Rooms More Popular.
There was more activity in the
board rooms in New York Exchange
Offices here today, following adjourn
ment of Congress. The market showed
strength at the pening and quotations
we're higher on some stocks. But there
was no real change on the day before
Congress adjourned and the day after:
The opinion is frequently expressed
in brokerage Offices here, however,
that there should be some upward
IIlONC llOW JAAdb oAA taAANSA et'NAAe@~S
garding national legislation are end
ed for the present Regardless OF the
usual Summer lull in the stock
market. the adjournment of Congress
is expected to be helpful to the secur-
tiles markets. 1t has been so in the
past.
Any sharp advance, however, Is not
evident yet. But both traders and
investors are glad that Congress is
over.
Today's Trading on Exchange.
Ten shares of Lanston Monotype
sold at At on the Washington Stock
Exchange today. Potomac Electric
Power per cent preferred was strong
at Ill and Capital Traction changed
hands at 24la. In the bond division
Washington Gas SIS, 1860, recorded
$500 sale at 1081a.