Evening star., 1938-03-29
WASHINGTON GAS
EARNINGS CLIMB
$202,596 Net in February
Is $63,687 Higher Than
for 1887 Month.
By HAROLD b. I.OGERS.

income of $202,596, which was $63, ,687
more favorable than a year ago, ac-
cording to the monthly report filed
with the Public Utilities Commission.
Operating revenues for the month
of February were 1926, 1868. an increase
of $78,257 compared with the revenue
of $748,31l for February a year ago.
Operating expenses increased $35, ,9O2
from $522,104 for February, 1887. to
S558,006 for February this year. These
figures result in net operating rev.
enue of $268,562, or an increase of
$42,355. Incorporating revenues in
creased $20,832. due to the inclusion of
interest from subsidiary companies for
which there was no comparable rev.
enue IN February last year since this
interest was at that time accrued
quarterly. The February earnings
make the net income for the first two
months of the current year 1910, ,797,
compared with $264,94s for the same
period last year.
The company also reports gas sales
Of 1,212,492 Met, representing an in
crease Of lib per cent compared with
February last year. As of February
%, 1888. there were 149,858 meters in
service, or 4,6l4 more than at the
same date last year.
Credit Caution Urged.
Norman e. ToWson, assistant treas
urer of the Washington Loan g. Trust
Co., yesterday told the Newcomers
Club at the Carlton Hotel that, al
though he was not opposed "in princi-
pie to the practice of selling goods on
time" he would advise that caution
was essential.
During period of def1ation," he
said, when business is slow, prices
lower than the customary average,
and borrowing is at minimum,
there is much to be said for the wis
dom of banks contributing to the
acceleration of business through the
granting Of loans for consumer pur-
chases.
Caution is, however, essential" he
said. The practice of mortgaging
future income, if it is carried to an
unreasonable extent, puts drag upon
purchasing power during that future
whose income is thus made subject
to claims created in the present and
may result in purchasing power be-
ing lowered by an incalculable amount
at some later date"
Conservatism Vital.
Bankers by their nature are con-
servative and reticent," said Mr.. Tow
son; "the successful banker today
must be conservative; he must con-
stantly keep before him the fact
that the money he is handling is
not his own but that of his de-
positors."
Many of the critics of banks lend
ing policies, the speaker said, seem
somewhat confused From recent
proposals to facilitate access to credit
and expositions of the need for do
ing So" he added, 'it appears that
what people really want is capital
There is ample credit, readily accessi-
BILE to those entitled to it. Manufac-
turers and factory distributors are
willing to place their goods in the
hands of retailers on easy terms, in
stallment sales are being made in
considerable volume, and banks are
bulging with money with which they
are anxious to make loans"
But bank loans" he said, "are
made out of funds left with the
banks by their depositors, to whom
the funds must be Immediately re-
paid on demand. Banks cannot,
therefore. turn these funds over to
others except on the reasonable GER
tainty of their early repayment"
The District of Columbia Bankers
Association, he said, "is keenly in
terested in Washington and its de-
velopment."
O'Connor Record Cited.
Controller of the Currency J. F. T.
OConnor, who was rendered a testi-
monial dinner last night prior to his
departure from the Government serv-
ice by resignation April /, has taken
an important part in the local bank
ing situation.
He showed a personal interest espe-
cially in the handling of receiverships
of closed banks here Coming into
Office after the bank holiday of March,
1888, his biggest problem here was not
so much with the banks which were
reopened after the holiday as with
the reorganization of those which
had closed and the liquidation of
those assets in receivership. The last
important step taken by his Office
in the matter of controllers receiver
ships was the sale of assets of the
Fidelity Building and Loan Associa-
tion to the First Federal Savings and
Loan Association, now operating as
a part of the Federal Home Loan
Bank system.
The controller of the currency by
law exercises supervision over all
banks and trust companies and build
ing and loan associations in the Dis
trict of Columbia. Mr. O'Connor was
we'll known in local financial circles
and was paid tribute at the dinner
last night by the presence of nearly
200 local bankers. Among the speak
ers was Robert v. Fleming, president
OF Riggs National Bank, who was
former president of the American
Bankers Association.
Mr.. Fleming said the retiring con-
troller had added luster to great
office. He has given splendid service
to the American banking system and
the American people,"
Comment on the O'Connor dinner
was general throughout the financial
district today. One prominent official
of leading bank expressed what he
said was general feeling in local
financial circles, when he said Mr..
O'Connor had made wonderful con-
troller."
Wins Bowling Honors.
Winfield S. Dampier of the Bank
OF Commerce & Savings, was the win
ner of Glass A bowling honors in the
annual Washington Chapter, Ameri-
can Institute of Banking annual bowl