Evening star., 1944-10-29
New Transit Bonds
To Be Offered After
War Loan Drive
BY EDWARD C. STONE.

BY EDWARD G. STONE.
According to present plans, the
Capital Transit Co. will offer for
sale to the public s12,500 900 first
mortgage, series A, per cent bonds,
due November 1, 1864, just before
the end Of this year and after con-
clusion of the Sixth War Bond drive.
The amount of the issue as orig
inally proposed, has been reduced
materially through the company's
intention to borrow s2,5o0,000 from
Capital banks, which will bear an
interest rate of 2.65 per cent per an
mum maturing semianually over a
five-year period.
Under the plan filed with the SEC,
the company complies with the SEC
demand for competitive bidding and
asks that bids for the bonds be pre-
sented on or before December 4.
The proceeds from sale of the bonds
and the bank loans, together with
Treasury and other funds, will be
used to redeem, purchase or pay, or
to make provision for payments Of
obligations totaling S16,979, ,798.
Applications to the Public Utilities
Commission of the District of Co.
lumbia and the Interstate Commerce
Commission will be filed shortly, Of
ficials said yesterday.
Acacia Sets Bond Record.
During the first nine months of
this year the Acacia Mutual Life
Insurance Co, largest individual
purchaser of War Bonds in Washing
ton, bought more United States Cow
ernment securities. S11 sol 7l8. than
in all of 1943, President William
Montgomery told directors at the
quarterly meeting yesterday
He also reported that sales Of
new life insurance made record gains
during the same period Assets
reached $127 ,468 100, new peak and
an increase of So ,250,000 in the nine
month period
Despite sharp curtailment in
building construction, Acacia's
mortgage loans in the same period
were above s5,480,000, mostly on
individually owned homes and an
impressive proportion on properties
in the Greater Washington Area, Mr..
Montgomery said.
Store Sales Up Sharply. -
Department store sales in the
| Capital in the four weeks ended Oc-
tober 81 were II per cent ahead OF
the like period a year ago, the Fed
eral Reserve Bank of Richmond re-
od ,lo+ L.
in the 5th district were up 8 per
cent.
Sales in the Capital for the week
ended october 81 were 2 per cent
ahead of the same week last year, the
same amount as in Baltimore and in
the whole 5th district, the survey
| said. Sales were off per cent here
from the preceding week this year.
PepcO Net Income Lower.
| Net income of the Potomac Elec-
trio Power Co in September amount
ed to S299 53l, drop of 3,456 or
| II per cent, from the corresponding
month last year. Operating revenues
| showed a S46,8 1886 decline while the
cut in operating costs was only s14,-
298. Taxes were S63 $50 lighter.
i Net income in the nine months OF
1914 reached 1886, ,766. a decrease of
S278 SOB, or $40 per cent, from the
like period a year ago Operating
revenues were practically the same
as last year, but operating expenses
and depreciation were much higher.
Taxes were S421 ,699 lower.
The figures represent a debit ad-
| juStment of S05 900 in September
and $685. 900 in the nine months in
volved in possible rate reductions
awaiting court ruling.
Pennsy's Earnings Decline.
Net railway operating income Of
the Pennsylvania Railroad in Sep
tember totaled S8,436.496, decrease
of S1l08.529 from September l943.
A drop of 81 .668, BOT in freight rev.
enues was the main reason for the
decline
Net railway operating income In
the nine months amounted to $685.
403, ,604, a decrease of S19,378. .044
While freight, passenger and other
revenues were up S33 ,69l ,692 from
last year. railway operating expenses
increased by SGT ,621 ,160. Taxes were
1923 ,692 lower, the report said.
Peoples Drug Dividend Voted.
Directors of Peoples Drug Stores,
Inc, have declared a quarterly div
idend of 25 cents a share on ths
common stock, payable December 81
to stockholders of record December !.
Treasurer w. H. Churchill announced
yesterday. The stock is widely held
here, the last sale en- the Washing
ton Exchange registering 49,.
Directors of the National Metro
politan Bank recently declared an
extra dividend of per cent, pay
able December 81 to stockholders of
record December IL. The regular div
idend of 8 per cent, due at this time,
was paid on October Is.
The bid for the new National Cap-
ital Bank stock on the Washington
Stock Exchange has been raised to
$50 share, with the stock now be-
ing offered at s2l.50. The opening
sale is yet to come.
Record Attendance Seen.
Clarence E. Kefauver, president of
the District Building and Loan
League, said yesterday that reserva-
tions indicate record-breaking at
tendance of members at the annual
meeting and dinner Tuesday night at
the Mayflower Hotel Members are
arranging to do their full share in
the Sixth War Loan drive and are
perfecting plans for loans to vet
Grams, especially for houses.
Frank M. Hall. of Hall, Peters S
Bryson, and former president of
the Bond Club, is back in the finan-
cial district after vacation.
David T. Beals, members of the
Executive Council of the ABA of
Kansas City, has been elected a
trustee of the Mutual Life Insurance
Co. of New York.
Norman j. Wall, head of the
Bureau of Agricultural Finance, and
Harold w. Breining of the Veterans
Administration will address an ABA
Agricultural Conference in Mem