Evening star., 1941-02-20
Capital Banks Plan
S1,050,0O0 Loan TO
TransitCompany
Funds TO Be Provided
For 80 Street Cars
And SO Buses
By EDWARD C. STONE.

NId ~
BY EDWARD C. STONE.
Washington banks are about to
close negotiations with the Capital
Transit Co. to loan the utility con-
cern $1,050,000 which will be used
to pay for 80 additional streetcars
and so buses already ordered.
Terms of the proposed loan, as
outlined by President E. D. Merrill
in a letter to the Public Utilities
Commission, show that of the
SlO5O,0OO needed, S545,000 is to be
borrowed on or about April and
$5O5, 900 on or about July l.
1t is understood that nearly all
the banks in the city will partici-
pate in the loan. The letter to the
Utilities Commission shows that the
terms are much the same as in the
previous loans made by the Capt.
tai Transit Co. for similar purposes. !
The first loan from the banks
made by the Capital Transit Co. for
the purpose of buying equipment |
was made in 1887, when 81 $4,000 |
was borrowed. In 1888 the company |
borrowed 1891 900; in 1899, 1898 900; |
in 1910, s1,326,00o, and early in 1941,
S886,000
New Loan to Run Eight Years.
While these loans were all for |
fve-year periods, the new loan Is
to run for eight years. The Capital
Transit Co. makes payments on the |
previous loans every six months.
Traffic has been increasing at such |
a rapid rate that the company has |
been forced to buy new cars and |
buses much more frequently than
was anticipated years ago. For that |
reason the company asked for a
longer term loan this time. The
loan will be repaid in semi-annual
installments, final payment to be
made on January l, 1949.
According to Mr.. Merrills letter,
the company will get very favorable
interest rates. For the shortest
period the company will pay IL
per cent on amounts payable in
January and July, l942, per cent
per annum on amounts payable in
January and July, 1913; 212 per
cent on installments due in jan
uary and July, 1914, and 3 per cent
on amounts due thereafter.
The company reserves the right
to pay off all the loans at earlier
dates if desired. Details are being
completed by Y. E. Booker & Co.
Virginia Boosts Insurance.
Compared with Washington's gain
of 3 per cent in new life insurance
written in January over January,
1910. Virginia reported a jump of
IA per cent. policies totaling ST.
761000
Maryland wrote new business
amounting to S8,035 900, an increase
of 4 per cent over last year. West
Virginia dropped l8 per cent on a
volume amounting to s3,992,000,
according to Hartford reports.
Washington stood ahead of New
York. Chicago. Philadelphia and
Cleveland in January percentage
gains. Detroit topped the list with
an 18 per cent advance; Boston had
the poorest showing, off 3 per cent.
The sales volume for the whole
country totaled s522, 1852 900, same as
q year ago; South Atlantic, s49,-
473,000, up per cent.
Woodward Dividends Declared.
Directors of Woodward & Lothrop
have declared the regularly quarter
ly dividend of so cents per share on
the common stock and the regular
quarterly dividend of SITS share
on the preferred stock, it was an
today. Both are payable
on March 81 to stockholders of rec
ord March Is.
Directors of the Lincoln Service
Corp. have declared the regular
quarterly dividend of IL per cent
per share on the per cent cumu-
lative participating preferred stock
CT the company, also the regular
quarterly dividend of 134 per cent
on the 7 per cent cumulative prior
preferred stock and the regular
quarterly dividend of 25 cents
snare on the common stock. All
dividends are payable March II to
stockholders of record as of Febru-
ary %.
Special Program Arranged.
Raymond A Du Four, general
acent Pacific Mutual and secretary
Of the Washington Life Insurance
Trust Council, announces that at
the meeting at the Cosmos Club
next Thursday at 6 o'clock there
will be a panel discussion on two
vital subjects. A discussion on
social security benefits will be led
by Sydney H. Karr, New England
Mutual, and John Corson, director
old-age pensions, Social Security
Board.
Directing a discussion on safety
box tenancy and entrance will be
Joseph A. Mari, Penn Mutual; Vic
tor S. Mersch, deputy register of
wills, and Hans w. Ireland, treas
urer American Security & Trust Co.
President MARI will preside.
Common Stocks Make Record.
More New York Stock Exchange |
nsted companies JndH ever De1olc
In the history Of the exchange dis
tributed cash dividends in 1910 and |
common stocks yielded an average
of ST per cent, the Exchange Mag
azine announced today.
This return compares with yield |
of as per cent in 1899 and hasn't |
been matched since 1882, when
ChrySler sold as low as 5, United
States Steel at 2114 and American
Telephone at 70A, the survey adds.
Cash dividends on common stocks
amounted to S2098 ,952 1888 and on
preferred issues to 1886, ,381,4 Ala, CIV
ing a grand total of $2,435, ,333, 1902,
an increase of 13 per cent over 1889
and. excepting 1887, is the highest
for the past nine years. Dividends
were paid on SO per cent Of COM
mon and IA per cent of preferred
stocks listed on the exchange.
The figures include all common
stocks-those that did not pay divi-
dends as we'll as those that did,