Evening star., 1939-07-25
Sale Of Washington
Gas Stock Will Aid
D. {. Exchange
Return of OId-Time
Trading Volume
Seen by Officials
BY EDWARD c. STONE.

stock will prove a great boon to
business on the exchange.
AS already noted, the Washington
Gas Light Co. recently filed a regis
tration statement with the Securi-
ties and Exchange Commission COW
ering 1862 .558 shares of no-par COM
mon stock
The First Boston Corp. and Glore,
Forgan & Co. were named as the
principal underwriters, although
several other investment dealers,
including a number of firms in
Washington, will have blocks of
the stock for sale.
1t is reported in the financial
district that the underwriters are
hard at work preparing to bring
out the stock and place it on the
market. The exact price will be
announced in an amended state
ment to be supplied to the Securi-
ties and Exchange Commission.
Following approval by the Secur-
tiles and Exchange Commission, the
Offering will be brought out at a
time when market conditions are
considered most favorable. The
stock is to be listed on the Wash
ington Exchange and quite probably
on the New York Stock Exchange.
Heavy Trading Predicted.
1t is anticipated that a large
number of the 1862 ,556 shares of gas
stock will be distributed locally
and for time all the transactions
in the stock may be made through
the Washington Exchange This
should restore business to it's old
time vigor. With such a large
amount of stock out, trading is GER
tain to be active.
Trading on the Washington Ex-
change recently has been painfully
quiet, partly because holders of
many of the issues refuse to sell
at any time. Members have plenty
of orders which they are unable to
fill, they say. In many cases. the
bid and asked prices are too far
apart. But with distribution of the
gas shares, the volume of trading
will be certain to bound upward.
The good old days of 20 or 80 daily
transactions may come back.
The stock has previously been
held by the Washington and Subur-
ban Companies SO there has been no
trading in it. When it is distrib-
uted to the public, the situation
will be entirely changed. That is
why exchange officials and other
members are so jubilant
When the stock has been distrib-
uted by public Offering. the Chase
National and other out-of-t town
banks will no longer be interested
in control of the Washington Gas
Light Co. The company will be-
come proxy controlled" situation
which will make the next annual
meeting by far the most important
and interesting in years.
Pennsy's Net Earnings Gain.
The June report of the Pennsyl-
vania Railroad today showed a net
railway operating income of $780,
37l, gain of S417,934 over June,
1888. Gross revenues totaled S33,-
1875 ,O2O, compared with S29,017,28O.
Freight revenues scored a gain of
S3,527 279 over June. 1888; passenger
revenues were up s949 ,480. and ex-
press, S243156. At the same time
expenses were higher than a year
ago, making dent in some of the
income increases.
The Pennsylvania S report for the
first half year was substantially bet
ter than last year. Gross revenues
amounted to S189 623 ,4O4 against
Sl67, ,524,652 in the first half of 1888
Net railway operating income in
the six months amounted to S26,-
546,569 in comparison with $685.
844 in the like 1888 period, or an
increase of s6,667,725, the report
stated.
Mortgage Insurance Falls Off.
For the first time since the spring
of 1888 the volume of home mort
gage insurance applications selected
for appraisal by the Federal Housing
Administration has dropped below
the levels of the preceding year
Reports covering the three weeks
ended July Is shows that the VOL
ume of such applications in that
period amounted to 59877 $50, de-
cline of 10 per cent from S65 ,180, ,l29
in the like period of 1888 Prior to
the development of this decline the
F. H. AS volume of new business
had registered a cumulative increase
of 80 pei cent over last year
A sharp drop in insurance appli-
cations covering houses already con-
Structed has been responsible for
this decline. Applications covering
new houses to be built under F. H.
A. inspection ran about IS per cent
larger than year ago during the
three-Week period, as contraSted
with 68 per cent increase earlier
this year.
Financial District Comment.
The Equitable Life Assurance So
ciety of the United States is OBJ
serving its 80th anniversary with a
three-day convention in New York,
which is being attended by members
of the Washington staff. The pro-
gram includes a special celebration
at the Worlds Fair.
Charles Carroll Morgan of Laid
law CS w. lCdNCO llClC ldUc Llllo WSCh
for the Wilds of Canada for his
vacation. Some big fish are in seri-
GUS danger if he makes the same
record that he did last year.
A. Chester Flather of Auchincloss,
Parker & Redpath will leave Wash
ington next week for his vacation,
much of which he will pass at
WinSted, Conn.
c. j. Gockeler, Hamilton National
Bank official has returned from
short visit at Ventnor, near Atlantic
City, N. j.
Mackubin, Legg g. Co. have pre-
pared "a circular entitled Invest
ment Essentials in Insurance
Stocks"
Express business in Washington
in May was 5.3 per cent better than
in May, 1888. according to Railway
~