Evening star., 1941-09-15
GarfinckeI Sales Up
B.2 Per Cent in
Fiscal Year
S4,653,603 Volume
Reported by Schmid
At Annual Meeting
By EDWARD c. STONE.

pal lcOll Nllll po'Oot sSOO"fA Al bAbS RAN-
vious year, a notable increase in
sales volume of S966,340, or 262
per cent, William E. Schmid, presi-
dent, reported at the annual meeting
of the stockholders held in Fairfax,
Va, today.
Net profit after the deduction OF
all charges against income, but be-
fore the provision for income and
excess profits taxes, amounted to
S379,29732. This, when compared
with the net profit of $3o5, ,753 .46,
before taxes, earned one year ago,
shows an increase of s73,525.86.
Because of higher Federal taxa
ton, including the excess profit tax,
a provision of 100000 is made this
year against S65,7OO year ago.
leaving a net result of s277,279.32
in the current year, compared with
net profit Of S240,053.4 .46 for the pre-
yious year, an increase of S37 ,225 Sc.
Net earnings this year are 81
times dividend requirements of pre-
ferred stock and equivalent after
deducting such preferred dividends
to Sl84 per share of common stock.
One year ago, earnings were 80
times dividend requirements on the
preferred stock and after deduction
of such preferred dividends, the sum
of $3.50 was earned per share Of
common stock.
Regular dividends at the rate of
per cent per annum were paid on
the preferred stock on September
80, and December 81, 1910, and on
March 81, and June 30, l94l, and at
the rate of TIA cents quarterly on
the common stock on September IA,
and December IA, 1910, and on
March 81, and June 30, l94l. The
total amount of dividends paid to
all stockholders was sl52,01239 and
Sl25,26693 was carried to earned
surplus, Mr.. Schmid reported.
Working capital at the years end
was adequate, current assets being
81 1,626,22584, compared with current
liabilities of s524,9l2.7l, a ratio of
81 to /.
Chain Store Stocks Studied.
THE Place of Chain Stores in
Distribution and Investment" a Al
page booklet prepared by Merrill
Lynch, Pierce, Fenner g. Beane,
was being distributed among clients
here today.
The review is unusually interest
Ing and complete and presents the
12-year records of sales, earnings,
dividends and price ranges OF 80
leading chain store companies. How
much of the consumers dollar goes
into the chain stores and a host
OF other facts of interest to in
vestors are included in the review.
Average annual earnings per share
and average annual dividends per
share are reported. Among the
chains mentioned are American
Stores, A. & P, Kress, Mcclellan,
Lerner, McCrory, Montgomery
Ward, Murphy, Peoples Drug, Safe
way. Sears Roebuck. Western Auto
and Woolworth.
Bankers Open Bond Booth.
The District of Columbia Bankers
Association, backed by the American
Bankers Association, opened a Ma
tional Defense savings bond and
stamp booth today at the Mayflower
Hotel in connection with the con-
vention of the National Retail Dry
Goods Association.
The booth was in the main bali
room along with host of other ex-
hibits, a one-day National Defense
Clinic to demonstrate how National
Defense bonds and stamps are being
sold by banks, post Offices and
various retail stores throughout the
country.
Early today the booth attracted
much attention. 1t was in charge
OF William R. Pennington of the
American Security & Trust Co.. as
sisted by Miss Helen C. Oehmann
OF the same bank.
Attendan nee Best Since 1929.
More than 400 members of the
Financial Advertisers Association
attended the annual convention at
Cleveland, the largest turnout since
1929, Robert L. Flather, assistant
secretary OF the American Security
& Trust Co., reported today, Mr..
Flather is member Of the Board
of Governors.
Every phase of modern financial
advertising was discussed, the forum
sessions proving of special interest.
Delegates from all part of the coun-
try reported boom conditions due to
the defense efforts, many of the
speakers urging steady expansion in
advertising.
The delegates included a particu-
iarly large number of chairmen of
bank boards and of bank presidents.
Mr.. Flather commented
Bank Credit Up Sharply.
The Federal Reserve Boards Sep
tember review states that in the past
year the country has experienced the
most rapid increase in the volume of
bank credit during its history. Loans
OF commercial banks have expanded
by nearly $4,000 100000
The country's abundant supply of
bank deposits and currency in circu-
lation has also increased further,
the review says. The turnover of
bank deposits. which represents the
rate at which deposits are being
used, has increased.
While there has been some re-
duction in the volume of bank re-
serves in excess of legal require
ments, excess reserves are still very
large. amounting to about $5000,-
100000 for all member banks in the
Federal Reserve System.
One of the outstanding banking
developments since the start Of the
defense program has been the rapid
growth of commercial and industrial
bank loans both for defense and
non-defense purposes, the review
adds.
Heard in Financial District.
I. j, Roberts, assistant cashier Of
the Riggs National Bank, has re-
turned from months vacation
t,assed at Chatham Mass on Cane