Evening star., 1938-08-25
ANAC0STIAB BONDS
CLIMB FURTHER
New High of 80 Indicates
Belief Holders Have
Strong Case.
Bv DONALD B. HADLEY.

indicated a growing belief that holders
of the bonds, who have filed suit to
establish constructive trust, have a
strong case
Eleven $1,000 transactions were re-
corded today at so, two points above
the last previous sale, Is points above
the next to the last transaction and %
points above the years low Todays
transactions also represented the
largest days volume in this issue in
more than year.
Attorneys handling the suit for the
Anacostia & Potomac holders against
the Capital Transit Co., the Washing
ton Railway e. Electric Co. and the
First National Bank of Baltimore,
trustee, said this morning counsel for
the companies had notified them an
answer to the suit was being prepared
but that an extension Of time would
be required to answer the various al
legations
The new price OF so established for
the AnacoStia bonds today was of par
ticular interest to a number of Capital
banks. who have had these bonds in
their portfolios many years.
ID. c. Inventories Cut.
Washington department stores re-
duced inventories an additional 81
per cent during July. the Federal Re
serve Bank Of Richmond reported
today. Store stocks here at the end
of July were 81 per cent below the
same date year ago. This indicates
the extent to which shelves have been
cleared for new fall merchandise.
Compared with a year ago, the
Capital store stocks showed sharp
reduction than in any other city of
the fifth reserve district Richmond
stores report an increase of s. of per
cent Baltimore stores showed cut
of 6.8 per cent; other cities in the
district showed a drop of IL per cent
while the total for the entire district
was off 81 per cent,
Compared with June this year. the
July stocks al Richmond were down
AZ per cent; Baltimore stocks were
down 10 per cent; other cities in the
district reported drop of 8.8 per
cent while stocks for the entire dis
trict were 81 pc cent lower.
The bank also reported that Wash
ington stores il the seven months had
turnover OF 2.4l times their total
stocks, the highest mark in the dis
trict Other ratios we're; Richmond,
217; Baltimore. 2l9: other cities,
1888. entire district, 224 For July
only, the turnover ratios were: Rich
mond, IS: Baltimore, So Washing
ton 2S; other cities. %; entire dis
trict, 26.
Tie percentage of July ! receivables
collected during July was 297 in
Richmond, 3O,3 in Baltimore, 24,9 in
Washington, 25.3 in other cities. 27.2
in the entire district.
Transit Decision DELAYED.
Financial circles expecting the Pub
lie Utilities Commission this week to
hand down a decision on the valuation
of the Capita. Transit Co., have been
disappointed again. 1t now appears
that the long-delayed decision will
not be announced at least until next
Monday and one member of the COM
mission said it probably would not
appear for a week or 10 days.
The valuation for rate making pur-
poses will provide an important missing
yardstick for the company and invest
ors as well as the commission to view
the present status of the transit lines
When the last fare changes were
granted, the commission went so far
as to decide that the property was
worth not less than s23,0OO.00O, but
postponed to later date the final
decision.
The valuation decision Will have no
immediate effect on rates as the COM
pany is not earning anything like
reasonable return on the S23,OOO,0O0
minimum and competition from
other means Of transportation make it
appear extremely unlikely any rate
increases will be sought in the near
future, but the definite valuation will
go far toward clarifying the position
of the company and providing better
working basis for cooperation with
the commission.
Committee Is Named.
Herbert D. lawson ir.. Of the
Washington Loan &, Trust Co., chair
man of the Membership Committee of
Washington Chapter, American nsti-
tute of Banking, has announced the
personnel of the committee to assist
him during the year.
Serving as vice chairman will be
George R Galleher of the Lincoln
National Bank
Mr., Lawson has been in many chap
ter committees during his years of
service with the Washington Loan g.
Trust Co.
The other members of the committee
are: Thomas j. Norris. Bank of Com
merce g. Savings Jeanette Fuchs,
Washington Loan d Trust Co.; Ken
meth o. Huise, Hamilton National
Bank; Luis F. Corea. Riggs National
Bank; l.. T. Savage, American Security
IL Trust Co.
Carpet Sales Gain.
The Carpel Corp of Washington
food distributors, reports sales in the
first half of 1888 reached 81 .626, ,064 50,
compared with sl.5l7,76955 in tie
same 1887 period, q gain of slOa,275
or 7 per cent.
Net earnings for the same period
we're S53,46l. an increase of sl43OO
over S39,l66 reported year ago. Per
share earnings we're equivalent to
$3.50, against Sl83 in the first half
year ago. For 1887 the corporation
earned 1888 share and paid out
$3.50 in dividends.
Financial District Notes.
Announcement was made Yesterday
of the organization by a group of
Washington flnanciers of a new mu-
tual insurance company, the Capital
Casualty Co., to underwrite all kinds
of automobile insurance.
The new firm will have offices in
the Tower Building. Lewis Eisele,
president of the Southeastern Dis
count Corn will head tho now cop