Evening star., 1940-08-01
Washington Banks
Ready 10 Cooperate
With Defense Plans
Ample Funds on Hand
. To Provide Expansion,
McLochIen Says
BY HAROLD B. ROGERS.

nounced To-Day by "A. M. McLacnlen,
president of the District Bankers
Association.
In formal statement Mr.. Nc
Lachlen said the banks have 'eX-
pressed their eagerness and willing
ness to cooperate in the great gov
ernmental defense program"
They have ample funds on hand"
he explained, ito meet all sound ap-
plications from individuals and busi-
nesses which desire to expand in
connection with this program. The
banks are keenly desirous of making
every possible loan having to do with
building up of defense for this
country.
Wire Association President.
Recently Washington banks wired
Robert M. Hanes, president of the
American Bankers Association, ad-
vising him of their desire to CO.
operate in every possible manner in
the defense program, particularly
with reference to providing the nee
essary money"
The North American Co., in it's
consolidated income statement, made
public today showing the June quar-
ter net income exceeded that of
year ago, has excluded for the first
time results of operation of the
Washington Railway g. Electric Co.
and its subsidiaries here, although
dividends received are included in a
report on incorporating revenues.
In an explanatory note on the
statement, the company says that
the operations in Washington are
excluded since on December 20,
1889, the holdings of the North
American Co. in voting stock of
Washington Railway g. Electric Co..
were decreased from 5000 per cent to
4746 per cent as a result of the re-
duction in the holdings of common
stock from $3.50 per cent to 1919
per cent"
Declared Special Dividend.
1t was recalled in the financial
district that this reduction was ac-
complished when the North Amer
ican Co. declared special dividend
payable in common stock of the
W. R. & E. Co. Shares were de-
posted with the Bankers Trust Co.,
and units OF participating owner
ship" on a 40-to-1 basis were sold,
have come back to ownership here
in Washington. They are selling
around 20 and 81.
Dividends received by the North
American Co. from Washington
Railway & Electric Co. during the
three-month periods ended June
30, 1910. and June 30, 1889, it was
explained by the North American
statement, were S55 5,60l and $175,-
886, respectively, less than the pro-
portion of the consolidated earn
ings of that company and subsidi-
aries (other than the Capital Tran
sit Co. and subsidiaries) applicable
to the holdings of the North Amer
lean Co. Dividends received from
Washington Railway g. Electric Co.
during the 12-month periods ended
June 80. 1910. and June 80, 1899,
exceeded by s166,975 and $155,334.
respectively. the proportion of the
consolidated earnings of that COM
pany and subsidiaries (other than
Capital Transit Co. and subsidiaries)
applicable to the holdings of the
North American Co.
Figures on Earnings.
The proportion of the consoli-
dated earnings of Capital Transit
Co. and subsidiaries applicable to
the holdings of the North American
Co., directly and through Washing
ton Railway & Electric Co., in excess
of the dividends received by the re-
spective companies from Capital
Transit Co., amounted to S113,064
for the three months ended June 80,
1910; s125,534 for the three months
ended June 30, 1889; $227, 1853 for the
u months ended June 30, 1940 and
S202 1888 fo rthe IL months ended
June 30, 1889"
1t is explained that the policy of
the North American Co. is to in
clude in its consolidated financial
statements subsidiary companies in
which it holds directly or through
subsidiaries both voting control and
IS per cent or more of the common
stock. The consolidated net in
come of the North American and
subsidiaries, excluding the Wash
ington properties, for the three
months ended June 80 was $5,132,-
800, equal, after preferred dividend
requirements, to 49 cents per share,
wit LAT
of $4,481 1888, or Al cents a common
share, for the corresponding quar-
ter of last year.
Wins Achievement Cup.
The Washington agency of the
Northwestern Mutual Life Insurance
Co. was winner of the achievement
cup for the company for the year
1939-40, it was announced recently
at the recent annual meeting of
agents at Milwaukee by Grant L.
Hill director of agencies. The IS
agencies of the company compete
annually for this award which is
based on a graded point system
including -four conservation and
four production factors, according
to their relative Importance Roger
L. Baldwin, local general agent, re-
ported that 10 members of the
Washington Office were in attend
ance at the meeting
Robert V. Fleming, president of
Riggs National Bank, lets today fer
his annual August vacation at his
summer home at Rehoboth Beach,
Del, where other members of the
family who preceded him include:
Mrs. Fleming their sor-in-law and
daughter, William S. Eenchard, as
sistant secretary of the Chemical
Bank and Trust Co. of New York
and Mrs. Renchard, and grand
daughter JEANNE. Mr.. Fleming
plans to return to Washington in
September.
Howard Moran, vice president of
the American Security &, Trust Co.,