Evening star., 1939-04-26
B. 90. Profits Climb
To S2,025,490 Mark
During March
Net Contrasts With
Only $42o, 1878 for
Same 1888 Month
BY EDWARD C. STONE.

Net railway operating income OF
the Baltimore & Ohio R.R. revealed
another surprising gain in March,
according to the monthly report
made public today, which showed
net earnings of S2,O25 AGO, in COM
parison with only $420,978 in March,
1885, an increase of $16045l2.
Naturally, the largest part of the
gain was in freight revenues, which
reached $11 051 ,496, an increase of
$1995 979 over March year ago.
Passenger revenues were $4,000
lower than last year.
Railway operating expenses were
kept we'll in hand, a total of So
3242l7 being only $454226 more
than last year. Total deductions for
taxes, equipment, rents. ETC.. were
$4,000 lower than year ago, tax
accruals alone being down more than
$4,000
Substantial improvement in the
first quarter was disclosed. Net
railway operating income amount
ing to S4o56 668, against deficit
year ago of S202 936, turnabout so
far this year of S5,159606 Freight
traffic brought in s30928,5 ,545. an up
turn of S4956 1923, today's report said.
Committee to Study Changes.
Ralph D. Quinter, president of the
Real Estate Mortgage & Guaranty
Corp, announced today that at the
suggestion of some of the larger
holders of preferred stock of the cor
poration and pursuant to resolu-
ton of its board of directors, he had
appointed committee of five of the
largest holders of preferred stock
on the board to consider and to
report to the board at the next
meeting on May II changes which
should be made in the capital struc-
ture of the corporation with the
view of eliminating the further &C
cumulation of dividends which. it is
believed. is affecting the market
value of the stock.
Any plan approved by the direc-
tors will have to be submitted to and
voted on by the stockholders.
District Loan League Lauded.
George E. McKinnis of Oklahoma.
past president of the U. S Build
ing and Loan League, addressing the
monthly meeting of the District
Building and Loan League at the
Raleigh Hotel yesterday, compli-
mented the local group for having
given the national body such able
leaders. He spoke especially of
Edward C. Baltz and C. Clinton
James.
Martin A. Cook, chairman of the
ninth annual Banquet Committee.
Informed the members that despite
the recent affair being the largest
in the history of the league, sur
plus was turned back to the treasury.
Wilfred H. Blanz and c. Clinton
James both heading Legislative
Committees, made brief statements
on the work intrusted them.
It was decided that beginning May
Is and continuing through Septem-
Der IS summer closing hours of 4
pm. would be observed except on
pay days and Saturdays when the
usual hours would prevail. Arthur
G. Bishop. president of the D. c.
League, acted as chairman.
Reilly Addresses Lions Club.
John A. Reilly. president of the
Second National Bank, reviewed the
importance of financial leadership
IN democracy. in an address before
the Bethesda Chevy Chase Lions
Club at the KenWood Country Club
last evening. He stressed the i'm
portance of sound finance and free
enterprise, saying in conclusion:
The smooth functioning OF in
-, ,4o1 L,
a pronounced effect on all Of our
people. In this program manage
ment plays a prominent part. Man.
agement acts as a steward for the in
Vestor. the laborer and consumer.
Management must be honest. capa-
bic and fearless. 1t may be kind
but not sentimental; liberal but not
extravagant; frugal but not ultra
conservative. It should have three
definite objectives:
''FirSt-Service to the public. Sec
ond-A complete and broad under
standing of the rights of labor. We
should be conscious of the fact that
fair wages and reasonable hours are
essentials if business is to really
prosper. Third-The rights of the
llNCSlol, wiz Always lldNC q
fair return on his investment"
Pierson on Trade Program.
Warren Pierson of Washington,
president of the Export Import
Bank, will be one of the chief
speakers at the 18th annual meet
ing of the Bankers Association for
Foreign Trade at French Lick, Ind,
tomorrow and Friday. Grosvenor
Jones, chief of the finance division,
Department of Commerce. and Nor
man E. ToWson, assistant treasurer
in charge of the foreign department,
Washington Loan & Trust Co., will
also attend from Washington. The
association embraces only banks
operating foreign departments but
the program will interest all other
banks.
The effects of economic grabs
abroad" on international banking
and commerce will be fully discussed.
Mr.. Jones will speak on Banking
and Trade Conditions in Germany
and Southeastern Europe"
Financial District Comment.
The Southern Railway had Il net
income in March of approximately
$4,000 compared with {. deficit of
s558,564 year ago, President E. E
Norris reports. For the first quarter
net loss was $253O0 contrasted with
net loss of s2,548,7O3 year ago.
In the II months ended March 81
the North American Co. earned $16l
a common share against SLIT in the
preceding IL months and $155 g
share in the calendar year 1888.
c. L. Robey, president of the Vir-
ginia Bankers Association and OF
the Purcellville National Bank, is
among the 300 financiers attending
the A. B. A. meeting at Hot Springs