Evening star., 1935-01-02
PHONE EARNINGS
ABOVE YEAR AGO
Net Income for II Months
Totals S1,720, ,356, Against
S1,616,978 in 1888.
BY EDWARD C. STONE.

=
e. Potomac Telephone Co. in the
first II months of 1884 stood at ST.
72O,356 against s1,616978 in the cor
responding period in 1888 an increase
of more than 100000, according to
the financial report just filed with the
Public Utilities Commission.
Operating revenues during the ii
months totaled $8.915,531 as COM
pared with S8,330,655 a year ago.
Operating expenses called for So
273177 against S5,74l,637 year ego,
leaving net operating revenues of
$2,642 ,354 as compared with $685.
6l8.
Gross income amounted to $685.
13l in comparison with ST l,899,629
a year ago Interest deductions re-
quired $234,778 against $282, 2,65l in
the same period in 1888.
In the same II months substantial
increase in the number of telephone
calls was noted, 217,706,000 compared
with 2O4941 900.
The telephone company also filed
the financial statement for November
which showed that Washington was
served by 187,770 telephones on No.
vember 80 as compared with IT,
063 on the same date last year. There
was a net increase of l 1888 telephones
during the month of November as
compared with 1,615 for the same
month last year.
Telephone calls during November
of this year were increased 1,054,000
over the same month last year, there
having been 20,134000 calls in No.
vember.
Operating expenses totaled $685.
100 in November against S785,686
in November, 1888 Operating ex
penses were higher, being S655,005
compared with S826,336 a year ago.
Net operating revenues amounted
to $241,155 compared with $3.50, $50
year ago. incorporating income was
very small. Total gross income was
reported as $l76,30l against $685.
665 a year ago. Interest deductions
took S2ll25, this item year ago
standing at $28,034.
After all the usual deductions, bal
ance before dividends, or net income
for November amounted to Sl55,176
against Sl67,63l in November, 1888.
Hartman & Keech Open.
The newly consolidated firm of Har-
rirnan g. Keech. members of the New
York Stock Exchange and many other
exchanges, opened their combined
Washington Office today in the former
offices of Hartman & Co., 815 Fiji
teenth street northwest. The new
firm is made up of some of the former
partners in Clark, Childs & Keech
and in the old firm of Hartman e. Co.
George A. Garrett, who has been the
Washington partner in the firm of
Clark Childs g. Keech, is affiliated as
a partner in the new firm, as is Maj.
Ferry K. Heath, who has been resident
partner in Hartman & Co. The
Keech office at Seventeenth and H
streets in the Metropolitan Club Build
ing has been closed.
The consolidation was carried out
right on time and the merged offices
opened today as smoothly as if they
had been operating for years. The
electric quotation board started with
the first quotation from New York.
All other complete brokerage and in
vestment facilities were available to
customers.
The Encouragement of the Offices is
most attractive and was highly praised
by customers today. Both Maj. Heath
and Mr.. Garrett received many con-
gratulations incidentally, both these
men are optimistic over the outlook for
1885 and look for considerable business
expansion.
Outlook Brightest in Months.
Business conditions are discussed in
the January issue of Banking, pub
lished by the American Bankers Asso-
citation, as follows:
Undoubtedly the general outlook
for both trade and industry is more
satisfactory than it has been for many
months. The new year has back of it
the most active holiday season since
1929.
Banking continues to reflect the
conditions of a borrowers market.
Bankers in all parts of the country re-
port activity in new loans, but it is
evident that the volume of bank credit
outstanding depends more upon bor-
rowers than lenders. In the four
weeks ended December 5, as reported
December II, the reporting member
banks in the Reserve System increased
their loans and investments by $22,-
100000, as compared with an increase
of $75,000,000 in net time and demand
deposits. Their loans on securities
rose from 5000, 100000 to $685.
100000.
Another reason for the improved
outlook is a general feeling that busi
ness, especially industry and finance,
has been released from regimentat tion.
This applies not only to the N. r. A.,
but also to tendency to the regimen
tation of credit. It is not necessary
to agree with Gen. Hugh S. johnson
that the N. r. A. is dead, to realize
that the future of the code system
and all related matters lies with in
dustry itself and with the more lib
eral elements in industry at that.
1T is also pointed out that the
upswing in loans cannot be expected
until there has been a greater up
swing in business. Bank credit has
always Jagged behind business activity
in both its upward and downward
movements, especially those attend
ing a business depression Reasoning
from the experience in other depres-
sions. with due consideration for the
intensity OF Cne present one anu
assuming that the upswing in busi-
ness started in April, 1888, the period
for expanding loans seems to be due
around the turn of the year."
Banker Enters Insurance.
After eight years service with the
Security Savings & Commercial Bank.
Charles NJ. Schwab has resigned ef-
fective December 81 to become asso-
ciated with H Lawrence Choate, gen.
eral agent of the Mutual Benefit Life
Insurance Co. of New Jersey. A ma
tive Washingtonian, Mr.. Schwab is
a graduate of Central High School,
National University Law School,
American Institute of Banking and
a member of the District bar. He
will have his Office in the Saul
rl..ilIitaff