Evening star., 1936-07-17
D. c. BANKS SHOW
GOOD HALF YEAR
Earnings in Some Cases Are
Ahead of Last Months
OF 1885.
BY EDWARD C. STONE.

a favorable earning period during the |
past six months. Generally speaking, |
the banks In the Capital have held
their own in earnings. compared with |
the last half Of 1885, and in some in
stances have shown considerable I'M
provement.
Bankers here call the latest state
ments encouraging and say they DEM
onstrate the ability of soundly man
aged banking institutions to earn
profits despite the handicaps of con-
tinued low interest rates and con-
tinued subnormal demand for bank
credit.
Loans during the past six months
have held up we'll, bankers say, main
tanning the levels of the latter part
of last year, and in some cases show
ing increases The situation is per-
haps best mirrored by the number of
amounts of the dividends which have
been declared in the past six months
on local bank stocks. They have con-
stantly reflected increased strength
and caused price quotations.
washington bankers give several
reasons in explaining how they have
kept up or increased bank earnings.
There has been a steady increase in
trust department service, which Is
highly profitable While banks are
anxious to increase loans, yet they
have large sums of loanable funds
constantly at work. At the same
time many bankers stress the service
charges as the greatest single factor
in their present success. by rendering
service at a profit which they for
merly performed for nothing, or even
at loss.
Referring to the bank and bank
stock situation in New York, Hoyt,
Rose & Troster say in this weeks
review that credit expansion is taking
hold, higher call money is helpful.
recoveries are increasing, preferred
stocks or capital notes are being re-
tired or refunded and dividend yields
are attractive. Bank on the bank
stocks" is the firms conclusion after
a study of the June 80 statements.
Maryland to Sell Bonds.
The State of Maryland will receive
bids at the State treasurer's office in
Annapolis, until noon, August -, on
s55,0o0 3 per cent certificates of in
debtedness, known as general bond
issue of 1885. The bonds will be
dated August IS. 1886, and mature
serially 1889 to 1851.
This financing represents portion
of the 1855 900 loan authorized by the
1885 General Assembly. OF the pro-
ceeds. S155 900 is to be used for con-
struction purposes, the remaining
100000 to be applied to the Teach
ers' Retirement Fund.
The first installment of the issue in
the amount of 100000 was sold in
August, 1885. In addition the State
has already turned over $350000 of
the loan to the retirement fund. The
remaining block of S350,000 will be
applied to the teachers fund in the
1887 fiscal year.
Cotton Loan Payments Asked.
The Commodity Credit Corp. has
announced that the 10-cent and g.
cent cotton loans on 1856 c. C. c.
cotton form A, which mature July
81, 1886, will not be renewed and pay
ment will be expected promptly at
maturity.
At the present prices for spot cot
ton producers should have substantial
equities in the cotton pledged to Sc
cure these loans and be in position to
repay the amount Of the loans plus
interest and proper charges. the agency
believes.
Under the 1886 cotton loan pro-
gram, only small number of loans
were made and at the present time
the corporation holds total of 90 ,221
bales as security to these loans.
Home Mortgages Popular.
Stewart Mcdonald, housing admin
istrator for Virginia, reports that the
total volume of commitments to in
Eurcd home mortgages in the first half
of 1886 exceeded the volume for the
entire year in 1885.
While this was not nearly all the
home building, it is considered good
barometer for the entire fifth Federal
Reserve district, as the figures have
closely followed the Virginia activity
before. Building operations generally
in this territory have not been af-
fected by the usual Summer slump.
the sharp June rise in building
activities all over the United States
brought the total value of permits is
sued in the 215 cities for the first
half Of 1896 to $463, ,643, ,5s5, surprising
all corresponding periods since 1881
This was just one-third larger than
the aggregate for the full IL months
of 1884, and compared with $253, ,244,-
099 for the first six months of 1885, or
an advance of 1871 per cent
American Stores Sales Up.
Sales of American Stores Co. for
June totaled S9,262,157, an increase
Of S190,978 over June. 1885, or 81 per
cent. Sales for the first six months
of this year amounted to $57014,545
against $58,776,360 in the like period
in 1885, a decrease of 8 per cent. The
June this year than in May, accord
ing to the Philadelphia monthly re-
port
Transit Stock Holds at Il.
Capital Transit stock held at II on
the Washington Stock Exchange to-
day, the new high for the year
reached yesterday, The turnover was
so shares.
Capital Traction SIS closed at 92as
up an eighth from yesterday, after
opening at 92A. Lanston Monotype
sold at 85A today, new 1886 high.
Many other issues were active.
Heard in Financial District.
Jesse H. Jones, r. F. c. chairman,
announced last night that in connec-
tion with the recent offering by the
Commodity Credit Corp. of $3.50 ,000, 900
collateral trust notes, the Commits
sioner of Internal Revenue has ruled
that such notes are exempt from Fed
eral stamp tax on issuance or transfer.
In the period June l to June 80,
1896, aggregate of s543,ooo principal