Evening star., 1938-10-24
STEADY BUSINESS
GAINS FORECAST
Bank Review Finds Leaders
Boldly Counting on New
Period of Expansion.
By EDWARD C. STONE.

Banking official organ of the American
Bankers Association. A representa-
tive group of active leaders from every
section of the country recently eX-
pressed unanimous belief that the
trend is definitely upward. Recovery
of pre-depression good will is consid-
cred the most important single factor
In the development Of mild boom
psychology"
The sort of confidence that was
lacking in 1886 and the first part of
1887 is now factor to be reckoned
with and it seems to be genuine enough
to stand quite bit of pounding In
spite of an occasional discordant note,
We appear to be closer to an era of
national teamwork at any time in
half dozen years and this is reason
enough for whatever confidence exists,
the review asserts.
Banking's cross section for the first
time this year shows more business
reporting improvement than an un-
favorable trend. In poll of $500
bank directors and business leaders,
representing every part of the country
and all principal lines of activity, 80
per cent reported an upward trend,
81 per cent said that there was little
change one way or another and 80
per cent stated that the direction was
the best showing, followed by the in
dustrial group with the agricultural
responses showing up least favorably.
Last month the index showed Is per
cent upward. 38 per cent unchanged
and 81 per cent downward
A small increase of loans to industry.
agriculture and commerce has provided
encoura cement. There was never so
much bank credit available but until
it is used there can be no genuine, nat
ural recovery. Banks probably have
been making more new loans in recent
months than their net figures indi-
Gated. Merchants and manufacturers
have been liquidating their stocks and
paying off loans in volume that eX-
ceeded new lines of credit.
Prospects of new financing are good
compared with any time in the last
few years. Recent issues have been
pun llIdStli, llle dUuS.
Bonds Hit New High Mark.
Anacostia & Potomac River R. R. SIS
1949 scored new peak on the WASH
ington Stock Exchange today when
they reached 1914 This was a gain
Of one-fourth point from the last pre-
vious sale recorded last week. The
final bid was 81 with 90 asked. The
i,, ;e
very closely as they are so widely neld
in the Capital by the banks and in
dividual investors.
Washington Gas Light preferred
stock was strong again today, 10
shares changing hands at l0l. A sin
gle share of Washington Railway g.
Electric preferred moved at 1929.
Building, Loan League Meets.
All of the % associations are ex-
pected to be represented at the annual
meeting of the District Building and
Loan League, which takes place to-
morrow evening at 600 F. street NV,
with President Arthur G. Bishop WELD
ing the gavel.
Final plans for the national con-
Vention in Chicago will be approved
and the session will act on the recon-
mendation of the executive council
that Washington invite the national
body here next year. About 40 men,
bers are expecting to attend the COM
ing convention in Chicago.
F. Wilson Camp, secretary. looks
for record attendance at the meet
ing tomorrow evening, starting at 8
o'clock Every effort is beng made
to pay special tribute to Edward c.
Baltz, who is president of the United
States Building and Loan League and
will preside at the Chicago meeting.
Counter Trading Report Due.
A securities dealers association fash
Toned along the lines set out by the
Maloney Act for regulation of over
counter trading is expected to move
a step nearer organization tomorrow
morning when members of the Board
OF Governors of the Investment Bank
ers' Conference will meet in Wash
tngton to hear a report from Nevil
Ford of the First Boston Corp. regard
ing the proposed structure of the new
association.
The general belief is that the Sc
curities dealers association will be
based on the framework of the Invest
ment Bankers Conference, which it
will supplant.
Potomac Power Net Reported.
The report of the Potomac Electric
Co, for the II months ended Septem-
Der 30, 1888, subject to audit, shows
net income of S4405, ,40l, after Fed
eral income taxes, depreciation, inter-
est, amortization, etc, which compares
with net income of S4,823,838 in the
II months ended September 30, 1927.
Approval of the proposed issue of
S8,5oo0o0 Washington Gas Light 4
per cent bonds by the Public Utilities
Commission, recently announced, had
been anticipated in the financial dis
tr1ct. The new bonds, which take
the place of the same number of per
cent bonds, are to be sold at six in
surance companies at 1O1. The old
bonds are to be called in at 1O412.
The Riggs National Bank will act as
trustee for the new issue.
The hearing before the Securities
and Exchange Commission is in con-
nectlon with the company's request
that the bonds not be registered with
the commission since they are to be
sold privately.
Heard in Financial District.
Recent weekly reports from the Cap
ltal Transit Co. indicate that the Sep
tember report, due this week, will make
much better showing than last year.
The company was in the red in Sep
tember, 1887. This year it will be well
into the black.
Secretary Of Labor Perkins an
nounces continued gains in business
employment conditions. Requirements
in September reached the highest
point during the year, the Labor Secre-
tary says
John K. Ottley, chairman of the
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