Evening star., 1939-03-12
Peoples Earns
S3.27 a Share
During 1888
Drug Firms Net Says
To $803, SGT Against
$1,000, 176 in 1887
.By EDWARD c. STONE.

Total net earnings OF Peoples Drug
Stores. Inc. for the year ending De-
cember 81, 1898, were equivalent to
1927 per share on the common stock,
In comparison with s407 share in
the previous year. President M. G..
Gibbs stated in his annual report
made public yesterday. After pay
ment of dividends on the preferred
stock, profit available for the COM
mon stock amounted to S9o3 ,567,
against 81 1.000.176 in 1887.
Sales at retail totaled $21 .734.862,
compared with S22 1888 ,144. a decrease
In 1888 of $648,2S1 or 29O per cent,
the report adds. The severe decline
in practically all lines of business
activity. which began in 1887, carried
through the first nine months of
1888 and is reflected in the decreased
sales volume, Mr. Gibbs says.
Net profits for the year, after pro-
viding for all expenses and charges,
including depreciation in the amount
Of $346.908 and taxes in the sum of
S546, ,683. were SS5S,6o6. From this
total S55,038 was deducted for the
payment of preferred dividends.
Taxes continued to increase. The
total Of taxes paid and accrued, not
including manufacturers taxes, was
$546.683. which was 1890 per cent of
the total profits of the company be-
fore deducting taxes. Mr.. Gibbs
stated. In 1887 this percentage was
1892: in 1896, 25.37, and in 1885,
21.e3.
Peoples Drug Stores furnished
steady employment to more than
1900 employees throughout the year.
The report adds that for every dollar
received for the sale of merchandise
at retail more than II cents was paid
to employees as compensation. Dur
ing the year 1858, 1876, or ST so share,
was paid on the common stock,
bringing total dividends to $423,174.
The balance of net profit, $435, ,43l,
was added to surplus.
President Gibbs stated that the
financial position of the company
continued good throughout the year,
the ratio of current assets to current
liabilities being 3.l5 to 100, compared
with 2.89 to 100 in the previous year
The company reported an operating
profit of sl,035 ,268, compared with
81 ,287 ,443 a year ago.
The balance sheet showed total
current assets of 5000 989 on De-
cember 81, and total current liabili-
ties of 81 ,598 sos. Total assets stood
at So, ,407 ,221, in comparison with So
145,424 at the end of 1887, the report
disclosed.
During the year five retail stores
were opened and three were closed,
leaving 135 stores in operation at the
end of 1898.
d. C. Sales Up IL Per Cent.
Sales in Washington department
stores for the week just ended were
1102 per cent above the correspond
Ing week year ago, the Commerce
Department reported yesterday in
reviewing business conditions in 36
key cities. Sales were on par with
the previous week.
Other cities in the Fifth Reserve
District reported retail sales as bet
ter than year ago, except in
Charleston, S. c., where rain put a
severe Crimp in shopping Norfolk
and Richmond sales were higher
Baltimore reported more gains in
wholesale than in retail trade.
The Commerce report disclosed a
gain in this city in building permits,
SAT 600 comparing with $306,700 in
the same week last year. Washing
ton bank clearings totaled $24 485,-
708, against $24 ,927 ,846 a year ago,
and $22,8 ,807 ,029 in the previous week.
Capital Transit passenger revenues
again revealed gain, $226478 COM
pairing with $213378 in the like pc
riod last year. The number of visi-
tors in the city showed good-sized
increase over the previous week, ac-
cording to Smithsonian reports.
Exchange Prices Steady.
Prices were steady in the closing
sessions of the week on the WASH
ington Exchange. Mergenthaler
Linotype sold yesterday at 2l off a
quarter point from the last previous
sale. Potomac Electric Power per
cent preferred was strong, selling at
1152.
Trading on Friday included sale
OF 100 shares of Real Estate Mort
gage & Guaranty preferred stock at
45s. same as the last previous sale.
During the same session Washing
ton Gas Light common stock sold at
30, gain of full point, and SO
shares of Washington Railway &
Electric preferred moved at 1922.
Brokers in the New York Stock
Exchange Offices here were greatly
pleased with the announcement by
the Securities Commission that short
selling regulations are to be eased.
Ever since they went into effect
there has been wide feeling that
they were too drastic, more rigid
than required in the public inter-
est" The step is viewed here as very
important. Request for the modifi-
cation was made by the New York
Stock Exchange and promptly
granted.
Financial District Comment.
Bank clearings through the Jack
sonville (F1orida) Association during
February were $78,082,78l, almost
s5,O00,000 more than February last
year, and a new high record for any
similar month since 1880. The excess
over February, 1880, was $4,000, 900.
This confirms reports from Wash
ington bankers who have been
south to the effect that Florida Is
having an unusually good winter
season.
M, Albert Linton, president of the
ProVldent Mutual Life Insurance
co. OF Philadelphia, who addressed
the Chartered Underwriters Asso-
clatlon here on Thursday night, said
he received more fauora hle re,aorts in