Evening star., 1934-05-01
Pecora's Figures Also Re.
veal Huge Losses Dur
ing Depression.
$4,000, 900 NET AVERAGE
REPORTED BY CONCERNS
Answers to Questionnaires Draw
Complete Picture Of Stock
Market.
BY the Associated Press.

! Statistics showing members Of the
! New York Stock Exchange made
nearly billion dollars in the past six
years-and that some of the firms suf-
fered huge losses along with gains
were given today to the Senate Bank
ing Committee.
Evidence furnished by Ferdinand
Pecora. committee counsel. showed
one of the biggest on both sides of
the ledger was Goldman, Sachs g. Co.,
which reported net profits of Sc ,681 .578
in 1928 and $7,900.842 in 1929, but
losses of s9,o49.742 in 1880. $2,I83, ,003
in 1881 and 1922 ,820 in 1882.
Showed Profit in 1888.
The firm returned to the right side
of the ledger in 1888 with a profit of
$270,731 for the first eight months.
The 1880 figure was chiefly at
tributable to operations in securities,
including pools, which brought a loss
of S9,264,943.
j. P. Morgan & Co. listed the fol-
lowing profits from commissions on
stock market transactions:
1928-S546, ,842.
1929-s1,177,23
1930-$754.o1I.
l931-s6O3. .7O5.
1932-S567 7,022.
1e33-S495, ,377.
Lehman Bros. Listed.
Lehman Bros. with which Gov.
Lehman of New York was connected,
In the boom days-Sl2 ,479 ,693 in 1928
and Sl2 .40l oil in 1929.
Losses Of $l,502, 1892. s2,915,363. ST.
204.236 and s137163 were sustained in
1880, 1881, 1882 and the first eight
months of 1893.
Richard Whitney g. Co., headed by
the president of the New York Ex.
change. showed the following profits,
respectively. for the six years: s3l3,.
140, s1,112,231. S526,226, 1921, ,307,
$170,7o2, s23I1s7
Kean Taylor & Co., headed by Sem
ator Kean, Republican, OF New Jer.
sey. showed the following profits and
losses:
1928-$200, ,293.
1929-$345,97l.
1930-S365, 1886.
193l-Sl95, ,905 Ooss).
l932-sl94,0l0 Qoss).
1933-S152,146.
The data showed exchange firms
averaged almost $4,000, 900 apiece in
net profits during the two boom and
four depression years.
The statistics showed they have had
a total gross, income of more than
$4,000 600, 900 during the period.
During the nighttime years OF 1928
and 1929 their gross annual revenue
averaged far more than $1,000, 900
apiece.
Legislation Near Test.
These and a mass of other hitherto
undisclosed statistics relating to mar
ket operations were presented to the
committee as Stock exchange control
legislation approached the test in both
houses of Congress.
Concededly the disclosure of this
data was timed to put the bill "over
the top" The move followed charges
in the House yesterday of vicious"
campaign of misrepresentation"
against the legislation by the New
York Exchange.
Buried in the mass of statistics was
an amazing story of the depression's
effect. 1t showed member firm profits
dropped from $349, 9,e00,0"0 in 1928 to
loss of s6.000,000 in 1882 and rose
again to 500. .0O0, 900 for the first eight
months of last year. The total net
profits for the period were $685.
1877 ,686.
Other high spots in the voluminous
data showed that:
The 63l reporting firms had 1,371,-
920 customers in 1929, of whom 811,-
986 or SO per cent were cash customers
as contrasted with marginal traders.
The firms had 1,028,4 ,491 customers
during the first eight months of 1888.
of whom 596,376 or 56 per cent were
cash operators.
Made Total Of S65.0O0, 900.
Out Of 120,0c0,000 shares of stock
sold on the exchange during July,
1888. representing 240.000,000 sales
and purchases. member firms, their
partners and individual members Of
the exchange. made SOS 100000.
Member firms had 269,9l5 margin
accounts on their books June 80. 1888.
as contrasted with high of 340,019
July 81, 1929 and 203, ,450 at the end
of 1882.
Member firms or their partners par
ticipated in profits or losses from 2l3
pools during the six-year period.
-Pecora contended the statistics
gathered from questionnaires submit
ted to the firms and to individual
members Of the exchange presented
the most comprehensive picture ever
drawn Of the markets oprations.
He planned to follow them up with
similar statistics for the New York
Curb and other smaller Exchanges
throughout the country. He intends
Continued on Page 2, Column 81