Evening star., 1941-09-02
Southern Railroads
Score Sharp Gains
In Seven Months
Net Of S42 2,042,227
Compares With Deficit
In Like 1910 Period
BY EDWARD c. STONE.

interest and rentals, of $42,042 ,227,
compared with deficit of 81, 348,440
in the same period last year.
Those same roads had a net rail-
way operating income, before in
terest and rentals, of SIS, 9,105 1878,
which was at the annual rate of re-
turn of 452 per cent on property
investment, compared with S37 49,
3S4. or 2l4 per cent, in the same Pc
riod of 1910, and S43,370, ,223, or 26l
per cent compared with 1880.
Operating revenues OF Glass 1
railroads in the Southern district
in the seven months totaled 1885,
SGT ,702. an increase of 25.6 per cent,
compared with the same period in
1910.
Operating expenses totaled $780,
079,375 an increase of 10.5 per cent
above 1910, but a decrease of 1863
per cent under 1880.
Credit Control Effective.
Washington bankers started to-
day making loans under the Federal
Reserve Boards new regulations on
inStallment buying. Bankers re-
ported that there was no particular
rush for loans last week before the
rules became effective, contrary to
predictions in some quarters.
The new regulations apply, in
general, to all individuals, partner
ships, corporations and associations.
including banks, loan companies and
finance companies, which extend
installment credit, or discount or
purchase obligations arising out of
extension of installment credit.
Capital bankers have studied the
rules closely and have consulted
Federal Reserve Board officials re-
earding them. Reserve Board Off
cials say the rules are not designed
primarily, and probably will not in
themselves operate. TO curtail pro-
duction of durable consumer goods.
Boardrooms Show More Life.
There was a sharp after-Labor
Day increase in attendance in the
New York Stock Exchange Offices
here today. Increased interest in
the fall market was clearly mani
tested.
While opening business showed
little if any increase in volume,
prices were quiet firm and brokers
said stocks seemed more anxious to
move forward than backward.
PnY1SiGarod
favorable but brokers report that
good many traders are awaiting
final disposition of the new tax bill
before becoming very active in the
stock market.
The pickup in attendance, which
Is of course Nationwide, may mean
that the summer lull is nearing an
end.
Brokerage Offices Merged.
George A. Garrett, resident part
ner, and the staff of Merrill Lynch,
Pierce, Fenner e. Beane, combined
the two Washington Offices over the
week end and opened for business
today under one roof, at BIS Fiji
teenth street.
The final shift from the former
Merrill Lynch Offices at 729 Fiji
teenth street was completed yester-
day. Wire changes in New York
were also made at the same time.
The consolidated Office is one of the
firms largest and finest brokerage
houses outside Of New York City.
In consolidating the two Offices, a
majority of the personnel in both
were retained, it was said today.
Bankers Honor Galley.
Albert S. Galley, executive vice
president of the Lincoln National
Bank, was showered with flowers
and telephone calls today on the
occasion of another birthday ami
versary. Mr.. Galley has been with
the Lincoln National ever since it
was founded half century ago, and
has been treasurer of the District
Bankers Association for about 80
years.
George E. Fleming, vice president
And real estate officer of the Union
Trust Co., has gone on his vacation.
He is motoring to Eastport, Me, and
from there will go to Grand Manan
Island in New Brunswick. He will
be away month.
Robert l.. Flather, assistant treas
urer of the American Security &
Trust Co., was back at the bank
today after months vacation
passed in and around Washington.
He will take an active part in the
convention of the Financial Adver-
tisers Association at Cleveland next
week.
Financial District Notes.
Hemphill, Noyes IL Co., are dis
tributing among clients the results
of any exhaustive study of imitation
and controls which have been ef-
fective in the past. 1T is improb-
able that this country will have a
runaway or monetary type of in
f1ation," the firm says, although
safeguards to prevent it are con-
sidered necessary.
E. A. Pierce, senior partner in
MclllI byIlCIl, FltlCe, rcllllcI 0
Beanes, will address the Financial
Advertisers Convention in Cleve-
land next week, on The Financial
Advertiser Obligation and Opportu-
nifty" At another session, Defense
bonds and their relation to the
securities business will be featured.
Washington Railway g. Electric
participating units are now being
quoted in the financial district at
14A bid and 1854 asked The market
has recently been slightly stronger
in this issue.
From January to August %, de-
partment store sales in the fifth
Federal Reserve district were %
per cent better than a year ago,
the best percentage gain in any of
the u districts. Cleveland and st.
Louis came next with 81 per cent
gains.
Garfinckel Stock Higher.
Garfinckel preferred stock sold at
28l2 on the Washington Stock Ex-
change today, on a 42-share turn
over, up about two points from the
last sale
Capital Transit opened with 81
shares selling at 1875 and closed with