Full text of Commercial and Financial Chronicle : February 26, 1942, Vol. 155, No. 4050, Section 1

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

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Final Edition

T H U RSDA Y

Number

SEC Rules Securities
~

New

4050

York, N. Y., Thursday, February 26, 1942

Registrations Are Subject

'■

To Wartime Restrictions

REPORTER'S

Rules

affecting the registration of securities in wartime have
the Securities and Exchange Commission, these rules
providing "for the omission or confidential treatment of any informal
tion, the publication of which is inconsistent with the standards of
the Code of Wartime Practices promulgated by the Office of Censor¬
ship." "Such rules," says the Commission in its announcement, issued
Feb. 19, "are applicable to all fil-<£
ings under the Securities
Ex-'
ship in the Code of Wartime
Practices deems adversely to af¬
change Act of 1934 and the Public
fect the war program and which
Utility Holding Company Act of
1935." In making known its action
thus,, under the Commission's
the Commission says:
new
rules, is to be omitted or
•
treated confidentially in any fil¬
Procedure
has
been
estab¬
ings under the .three statutes
lished whereby the Commission,
mentioned above, is summarized
in cooperation with the Office

SEC

.OUR

;

•

v - ■ -•"'**

In 2 Sections

v

been adopted by

follows:

quarters,

currently,

interest

in

is

the

the

buying
condition

the

market, a
which naturally tends to discour¬
age new undertakings by corpo¬
rations with financing or refin¬
ancing in mind.
It is not

ions in

acter, and location of ships in
construction, or advance infor¬

bonds

mation

of the seasoned

a case

market actually

Censorship, will upon request
render advance, informal opin¬

vailed.

of

in

doubt

which,

or

the

to

as

the

or

other persons are
extent

to

survey

of

secret"

from

the

"

that appro¬
priate generalization or group¬
ing of certain detailed informa¬
survey

tion is practicable, would pro¬
vide protection for investors and
would avoid any

the

to

trary

disclosure con¬
In future

Code.

filings, if any such generaliza¬
tion or grouping should not in a
particular case be practicable,
the

rules

new

omission

authorize

will

confidential

or

treat¬

ment of the material deemed to

.violate the Code.
in

noted

since

this

June

that

connection

26,

be

It should

under the Securities Act of 1933

provided

for

the omission

confidential treatment of

tracts
fense.

con¬

affecting the National De¬
This rule was recently

broadened

relating

to

to

contracts

include

those

as

of

the

United

<

The general type

of informa¬

tion which the Office of Censor-

has

the

have

-

utility

bulk

centered

years,

of

in

re¬

eased

an

of only about

average
or

which

ac¬

point,

a

the

equivalent of .05% in
yield basis, since Jan. 1, last.

material

available; or
While investors, particularly in¬
"round-ups"
of
stitutions, have been inclined to
locally published procurement hold off from additions to their
data
except when such com¬
portfolios, they have not, on the
posite information is officially other
hand, shown any disposition
approved for publication.
to lighten such holdings in a man¬
(3) Specific information about ner that would reflect in volume
the location of, or other infor¬ sales.
mation about, sites and factories
The market, according to
already
in
existence, "which
traders who are in daily con¬
nation

-

would

aid
to

access

other

wide

.

saboteurs
*

than

in

gaining
them;—information

that

tact

readily gained

through observation by the gen¬
disclosing the locaf

established,

the nature of

or

uation

buy

Any 'information

the

is

have

to

an

their,™

use

That is, the sit¬
in

one

that

still

which

resting

it

is

tions

use

the

of

secondary offerings, but

report itself appears to indi¬

growing importance of
secondary
distributions.
Stating

Journal"

in

Washington
had the

ket at

to stay, the "Wall Street

come

advices

bureau

from

following to

19

say:

of

announcement
.

•
,

I
The

Securities and Exchange

sues,

the

known

is¬

Besides

occurring

or

What

place increasingly, in better

en

known stocks. In 1940, the aver¬

exchange

age

distributed
York

Averages

issues

Stock

of

volume

the

exceeded

volume

What has taken

place since the
is revealed best,

turn of the year

perhaps, by

look at the averages
by Moody's Investors

a

Service.
Here it develops that Triple

Commission, acting pursuant to
authority conferred upon it by
(Continued on Page 844)

A

utilities have

moved

like

a

Show

down

losses

the

on

the

New

Exchange.

brokerage
business on the Exchange, the
SEC report finds.
As

ing

an

instance

of

importance

distributions,
Stock

of

adopted

a

has

plan,

■

'

"

'

•>

Page
Our

Reporter's Report..

Bank

and

Insurance

833

Stocks.......,, 838

Calendar'of New Security Flotations 845

Investment

Trusts

839

grow¬

Personnel

Railroad

Items

Members

New

York

Stock

Exchange

836

,

Securities

...........

837

Securities Salesman's Corner (The).

839

Tomorrow's

Market—Walter

64 Wall Street
Commission

Bond
Our

837

Selector

Reporter

(The)....,;.;.
on

Orders Carefully

and

for

Institutions

Uptown After 3.,...,..........

for

THE

PROVIDENCE,

.

CHASE

Troy

Albany

6

and

7

£3,000,000

William Street,

King

RHODE ISLAND

service with Chase

correspondent

HIGH-GRADE

facilities
E.

C.
Members

Williamsport
^

BANK

INVESTMENTS

PHILADELPHIA

Pittsburgh

I

£3,000,000

LONDOjtf AGENCY
BOSTON

844

Broaden your customer

BANKERS
Cairo

....

FUND

848

F. H. PRINCE

New York

Individuals

120 BROADWAY, NEW YORK

1

841

Governments

recently

approved

Cairo

Register No.

FULLY PAID CAPITAL
RESERVE

Executed

Office

Head
Commercial

Whyte

Says

OF THE CITY OF NEW YORK

of EGYPT

INVESTMENT SECURITIES

840*

secondary
New
York

the

Exchange

the

NATIONAL BANK

R. H. JOHNSON & CO.

the

Municipal News and Notes....

of

amount

'•*.

NATIONAL

FM, WILSON & CO.

which

capital gains,

said..

INDEX
■'

temporary trial by the SEC, for

(Continued On Page 839)

tax

offset

fre¬

more

quently, distributions have tak¬

to

rating

establish

during recent months.

average

carrying
higher.

the

assets
and
persuading
many
wealthy men to maintain larger
(Continued on Page 841) .•

Stock

Exchange is¬
secondary distributions

in

in

contrib¬

^Inheritance taxes also were
materially in the same
period, inducing the liquidation
of larger portions
of estates'

among

York

taxes

probably

raised

propor¬

represented

tionately
sues

better

more

large

Appreciable in¬

income

30's

would

par¬

than

were

New

stocks,

absorb

sought

to

gath¬

ondary distributions far exceed
their profits from handling a

maintained

*

ticularly

common

to

uted to the liquidation of blocks
of securities as holders

the subject by the SEC

on

show that

to

loans

middle

SEC

The profits accruing to mem¬
bers from participation in sec¬

of BAA

or

relative to its action:

ered

data

in

creases

the growth will not continue.

voluminous

exchanges

report states.

growing in a
which exchange

volumes
have
dropped
off
markedly. There are no indica¬
tions, the study comments, that
The

reasonable price.

a

blocks of stock, the Commission

been

during

orders

new

Commission's

period

to

rising tide of secondary
offerings has not been due sim¬
ply to a decline in the ability

ing

have

with

concessions

The

the

Feb.

on

facilities,

price

dealers, when such blocks are
not readily marketable on the
floor through the auction mar¬

that according to the Commission
secondary distribution of stocks
has

exchange

special

the

cate

utility

about

series

a

"special offerings."
The plan
permits large blocks of stock to

sufficient

been

of

on the report deals with the
studies and analysis of the func¬

absorb such offerings as have
made
their
appearance
in

-

secret military designs,
factory designs for war
production.
The following is the full text of
or

is

market"

found

their production.

(4)

it,

phraseology!

tion of sites and factories yet to
be

with

-""order

eral public,

of allies of the United States as

well

interest

generally

second

The Commission's release bear-3>

ing

A

Measured by

technical de¬

the military forces

States.

pre¬

the

problems facing the nation's securities mar¬
study of this series, released in November, 1940,
analyzed the problem of "multiple trading" on securities exchanges.

cent

new

has
or

has

is

made public a
Secondary Distri¬

first

bonds, in

581

Rule

1936,

condition

report

has

on

current

on

The

tions

critical

is

nature

studies

that high-grade public

or

the

or

production
schedules, dates of delivery, or
progress
of : production;
esti¬
mated supplies of strategic and.

dicate that little information of

"military

opposite

Commission

The

type of production,

ma¬

contained in the public files of
the Commission.
It is apparent

outstanding

as

Exchange

Exchange Stocks.

(2) Specific information about
war contracts, such as the exact

terial filed during the past year
under the various statutes in¬

a

far

as

of

cepted barometers, it develops

commissionings;

or

physical set-up

other document.
a

to the date of launch-

having weakened

concerned. Rather quite

are

and

tails of shipyards.

particular information may be
disclosed in a registration state¬
ment,
prospectus,
report,
or
The results of

as

the

Securities

study by the
SEC's trad¬
and
exchange
division
showed that secondary distribu¬

ings

in which,

manner

..

number, size, char¬ perceptibly,

(1) The

where issures, un¬

cases

derwriters,

•

of

side, of

as

.

The

kets.

The major complaint in invest¬

Copy

a

Report Sees Growing Importance Of
Secondary Distribution Of Exchange Stocks

bution
of

dearth

Price 60 Cents

report by its Trading and Exchange Division

REPORT

ment

Section 1

.*

Office'

R«. U. 6. Pat.

Volume 155

*

Branches

in

principal

Watertown

Toivns

EGYPT

Wilkes-Barre

all

the
New

in

York.

Boston

Chicago

Stock

Member Federal

ts

Exchanges

Deposit Insurance

Corporation

SUDAN

the

and

NATIONAL BANK
Specialists in

CarlM.Loeb,Rhoades&Co,

Over-the-Counter

61 BROADWAY

Securities

of INDIA, LIMITED
Bankers

to

Kenya
Head

Government

the

26,

London,
Branches

NEW YORK

Kobbe,Gearhart&Co.
V

•

Y. Security Dealers

45 Nassau Street
Buonot Aires

Tel. Rector 3-3600

Ass'n

New York
Teletype M. T. 1-176

fiY V V




,

Capital. ...£4,000,000
Capital
.
.£2,000,000
£2,200,000
.

The

.

HART SMITH & CO.

.

Members

Fund.

Bank,

conducts

banking

and

Trusteeships
also

■

Zanzibar

Subscribed

Paid-Up

RAILROAD STOCKS

Ceylon, Kenya

and

Aden

GUARANTEED

Bishopsgate,
E. C.

India, Burma,
and

Reserve

INCORPORATED

Members N.

London

in

Colony

in

Uganda

and

Colony

Office:

every

exchange

and

description

of

New
52

WILLIAM

business

Executorships

undertaken

York

Bell

New

York

Security
ST.,

N.

Teletype

Dealers

Y.
NY

8-MM

1-386

Montreal

nil

Aisn.

HAnover

Toronto

GUARANTEED

Telephone
BO.

Or. 6-6400

RAILROAD

STOCKS-BONDS

12 Broadway

Teletype

NEW YORK

N.Y. 1-1061

THE COMMERCIAL & FINANCIAL CHRONICLE

834

-

Thursday, February 26, 1942

;

.

MARKETS FOR
For

CERTIFICATES
issued
BOND

HOME

not fail

TITLE

Y.

If

if you

send for

CO.

MORTGAGE

&

have

you

or

CO.

MORTGAGE

&

TITLE

to read

interesting

facts

aid

to

not

Worthwhile

-.,

No Priorities

latest bulletin

our

|

CO.

CO.

MORTGAGE

LAWYERS TITLE & GUAR. CO.
N.

STATE

and

RAILROADS to mainlain HIGH EARNINGS

CO.

GUAR.

INSURANCE

TITLE

LAWYERS

in retailing RAILROAD BONDS do

by

MORTGAGE

&

sound

you

MORTGAGE

received

this

bulletin

'Especially

desire additional copies, please
immediately.
.

local

other

companies

V*

Members

40 Wall

Stock

York

Neio

NY

Teletype

32

New

York

Security

Broadway, New York
Bell Teletypes

1-2033

Dealers

Assn.

g.;,r

«
DIgby 4-8640
1-832 & 834

NY

;

.

cialized in corporate

Inequitable, Working Hardship On Stockholders

Punta

In

Sugar

detailed 8-page study of the proposed change in the Excess

a

Vertientes

Camaguey Sugar

that

J. F.Reilly&Co.
'•

;

"7'

Members

Security

York

New

50 Broad St.,

New York, N. Y.

IIAnover 2-4660
Belt

N.

Teletype.

System

-

Dealers Assn.

;,;

j-

1-24*0

Y.

his. attitude

deavor

Corp. 6-49

Amer. La France
Shuron

S1/^ & Com.

Optical

Minneapolis Gas Light 4s-50
Great Lakes

Utility 5^

Journal of Commerce
61

42

-

*

-

Broadway 4s-50

the

"From

Clifford

Mr.

Members
64

New

WALL

York

Curb

YORK

HAnover 2-9470

Albert Frank
'"•

lack

a

■}

131

of

sole

the

as

basis

for

,

"4. It would work

a

investment value rests

deter¬

follows:

with

courts

problems,

in fact.

constitutes

"2.

that

infers

It

Stevens &

Thompson Paper 3 'As, 1958

more

forum

Westchester County Mortgage
Certificates and Bank Stocks

climax

the

INC.
120

BROADWAY

tional

NEW YORK, NTY.
REctor 2-7634
Bell

S.

MArble

.Teletype

NY

the

States

N.Y.

7-8500

1-2361

ment.

Arkansas

Highway

3s

3V4»

&

Consolidated Coal Com. (St. L.)

Com.

Utilities

Missouri

Power

&

Pfd.

&

Light

Pfd.

Edward d.1ones& Co
Established

Boatmen's

1922

Bank Building, ST.

LOUIS

Fleek

Stock

Exchange
Exchange
Chicago Stk. Exch.
Chicago Bd. of Trade
Assoc. Member Chicago Mercantile Exch.
New
York
Curb Exchange Associate
St.

Louis

Phone
CEntral

Stock

Postal

7600

Bell

Long Distance
Teletype—ST L 693

of

invested

to

be

a

the

Public

meeting

mittee

national

of

public

Officials of the Treas¬
Department and of the Treas¬
ury's Defense Staff from Wash¬
ington and Chicago are scheduled
to participate with representatives
of the nation's securities selling
business in a thorough discussion
of means whereby that business
perform its maximum part in
promoting the sales of securities
finance

the

war.

advices

The

Cen¬

Washington officials
the meeting are
George Buffington, Assistant to
Among

for

Mercantile

National

all

of the Treasury,

in

cially

Van

Nat'l

ern

Director, of the Defense Savings
Staff.

Mr.

Buffington

sions

formerly in the securities busi¬
ness in Chicago anu is in charge
of the Treasury's sale of Tax

be

will

by

WHitehall 4-8565

discussion

fill

the

entire

a

forum for the discussion of
securities

business

conditions,

Jay

&

Co.,

of

Chicago,;

big enough to

At

6,

a

forum

dividual floor broker; prior
to

,
•

v

A-L
.w;

by

&

the

Frederic H. Hatch & Co.
63 Wall

York

Security Dealers Association

St., New York, N. Y.

cur¬

of taxing

municipal

J.

Tobin,

'

V

Bell Teletype NY 1-897

v

York

of

Hulburd,

Warren

&

^

assistant: general

the

Authority

Port
and

of the Conference

on

(

inquiries and furnish

Trading Markets in

Petroleum Conversion Corp.

of

Virginia Iron Coal & Coke Co. "
Oklahoma Interstate Mining

*

se¬

curities will be discussed. Aus¬

; counsel

there¬

partner in Sweetser

of - the

Group, the

question

income from

Incorporated
New

a

and

We invite

Bank & Trust 1

Committee

States

live

Co.

was

Bruce'

Co., Chairman of the Municipal

Central

re¬

Friday morning,

on

conducted

Securities

he

Chandler.

munic¬

on

Mr. Fox has

a

Vice-President of the IBA and

mittee.

City, members of the

Exchange.

cently been in business as an in¬

Bacon,

Chairman of its Education Com¬

<>/v

York

New

under

conducted

Whipple

N.

Whipple

Staff in Illinois,

INSURANCE STOCKS

New York, N. Y.
Teletype NY 1-1102

Robertson Go. Partner

Illinois National

•

5s

James M. Fox To Be

H. DeSwarte of the Continental.

BANK STOCKS

w. s.

Theatre

ses¬

pro¬

*

participate.

An attendance

England

Com.

Harry Parker Co.

Stock

Administrator, of the De¬
Savings

New

74 Trinity Place,

for

present

State
Administrator,
John G. Gallaher, Deputy

fense

&

5s

Pfd. & Com.

Industrial Real Est. Tr. 3s,
Poli

the

the

Dodge & Co., of New
In addition, Norman B.

Collins,
and

Fireproofing

the meeting except
opening luncheon on
Thursday, March 5, when W. A.
Patterson,
President
of
the
James M. Fox, member of the
United Air Lines, will speak on
the air transportation during New York Stock Exchange, will
and
following the war.
On shortly
become
a
partner
in
Thursday afternoon there will Robertson & Co., 40 Wall Street,.

in Washington on leave of ab¬
sence
from
his
present firm,
York.

and

will

gram

for

Savings Notes. Another former
Chicago investment banker to
take part will
be T. Jerrold
Bryce,
a
dollar-a-year
man
with the Defense Savings Staff

Clark,

Com.

city underwriting firms.

Forums

was

&

5s

Camp Milk Pfd. & Com.

Fulton Ir. Wks. 6s,

of

with an espe¬
representation

scope

strong

Properties Com.

Radiator

Monon Coal 5s, w. s.

from New York and other east¬

State

from the Association also state:

expected

Secretary

4-0488-89-90-91

rela¬

rector, and R. W. Sparks, Field

States

subject.

to

the Cen¬

WHitehall

Philadelphia Dairy Com. & Pfd.

includes

tional
the

Exchange

Com¬

Eugene W. Sloan, Executive Di¬

be devoted to the

Members




Tel.

Illinois,
Indiana, Wisconsin, Iowa and
Nebraska.
With its special fea¬
tures this year, its sponsors ex¬
pect the meeting to become na¬

.

Stock

the Asso¬

Conference of the

which

of the Invest-<§>
Association

Group, is to be held.
The "Fir
nancing Victory" session will be
held on March 6, when the entire
afternoon will

v

York

of

Group, seventh of
series, has itself been
attracting increasing numbers
of bankers each year from out¬
side the territory of the Group,

'

4-4970

directs

New

BROADWAY, NEW YORK, N. Y.
Teletype NY 1-1702

4,

3

States

rently

ST., N. T.
WHitehall
Teletype NY 1-609

Members

65

annual

an

by John S. Loomis,

Co. of Chicago, and Chairman of

the Central

of

tral

tin

7» PINE

DURYEA & CO.

As¬

March

March

on

Information

which

ciation's

5s, 1931

G.A.Saxton&Co., Inc.

Warrants

Trading Department

President

Bankers

here

held

and

the investment

of

of representatives

Air Lines
Bought—Sold—Quoted

Triumph Explosives

to

same

of

ipal finance

'

the

Association's Board of Govern¬

*

Both

-March

Seaboard

bankers

in

Cleveland,

sociation

The

can

Members

York

New

earlier

of the Investment

ors

ury

Missouri

Common

America, are the
regular winter meetings of the

"6.

America, under whose auspices
the meeting, the Seventh Annual
Conference

OFFERINGS WANTED

Group

Bankers

>•'

BH 198

Triumph Explosives

These meetings, also an¬
nounced on Feb. 24, by John S.

be held in Chicago, March 5

of The Illinois

BROADWAY

YONKERS,

special
financing is one
swelling the numbers.
war

week.

probably flood our
highly controversial
the question of what
true invested capital

and 6, and the
program will be a forum on "Financing Victory and
the Investment Securities Business Can Play in the

that

,

anticipated,
the

investment

Chicago

as

Announcement of the program was made

President
tral

20

gathering

business will

of

Part

Job."

Schoonover, deWillers & Co.

is

in

Furtherfore, two other meetings
have been timed to bring addi¬

upon

Of I.BJL OT Holi:: J
Conference En Chicago On "Financing Victory''

securities

All

on

factor in

Central States Grasp.
war-time

•

New York, N. Y.
NY 1-1557

tions program.

First

Tudor City Units

bankers
interest

define.

centage of profit regardless of the
'risks' involved; this is contrary

Houston Oil Co. Preferred

...

25 Broad St.

San Francisco

Philadelphia

exceedingly complex and very
difficult both to determine and to

capital is entitled to the same per

Stevens & Thompson Paper Common

Exchange

Brown-Marx Bldg.
Birmingham, Ala.

Direct Wire

V

New York

Chicago

wide

C/Os

Phils. & Read. C.&l. 6s 1949

Advertising in All Its Branches

ment.

capital and
to sound principle, as the hazards average earnings have value as a
of various industries differ widely. basis; each protects a particular
"3. It fails to differentiate be- class from injustice."

Phils. & Read. C. & 1.5s, 1973

Members New York Stock

Maritime Bldg.
New Orleans, La.

■

raise the meeting to the status
of a small convention of invest¬

is

invested

all

'■

hardship, if

"5. It would

implies that the amount

It

"1.

Incorporated

1957;

Steiner, Rouse & Co

Gnentlier Law

-

Cedar Street

Boston

future
expectancy
of
earning
capiacity and income than upon
invested capital.

mining the Excess Profits Tax.
My major reasons may be epitom¬
as

Debardelaben 4s,

ready to

Telephone COrtlandt 7-5060

pot an injustice, ..upon investors*
tion of this problem, and from my including educational institutions,
37 years of experience in the field insurance
companies, etc., who
of investment finance, I am of the are bona fide holders of common
opinion that it would be a serious stocks bought upon the long estab¬
mistake to employ invested cap¬ lished and sound principle that

Exchange

NEW

ST

Teletype NY 1-1140

oAAr

critical examina¬

a

resulting profits; this is not true

Frank C.Masteison & Co.

and

stand

we

provide—in terms of your
own requirements.

"

of invested capital determines; the

w. s.

hand,

one

HA 2-2772

Birmingham El. 7% Pfd.

principals will

our

services

t\

research,

those qualifications on the other
It
penalizes
efficiency
equitable levy of taxes, and thai hand.
their money be wisely spent."
\ with undue severity.

conclusion,

/

well directed effort and initiative
on

1920

Security Dealers Ass'n

Alabama Mills
.

v

.....

intensive

management,

heavy taxes; but they are within
their
rights to insist upon an

ized

6^s-47

—

tween results obtained froin good

The

demands
that good
citizens should be willing to pay

ital

*

en-jSg—

an

emergency

In

Cassco

"not

taxation.

evade

to

states:

v

is

York

Exchange PL, N.Y.

adver¬

gladly explain the particular

the

proposed change fundamentally defective and inequitable adding
that it would work an unwarranted hardship upon owners of many
common
stocks, of choicest investment quality.
Mr. Clifford states

of

one

A. M. Clifford, of A. M. Clifford and Associates, invest¬
ment counselors, 639 South Spring Street, Los Angeles, Calif., calls

Profits Tax,

Alegre Sugar

New

BEIiL TELETYPE NY 1-423

tising and public relations.
It is on this premise that

.

West Indies

40

cap .assure yourself of
able cooperation in this- re
spect by engaging an agency
which, since its inception in
1872, has successfully spe'

You

■y

Calls Proposed Change In Profits Tax Defective,
Associates

Established
Members

•

v

Eastern Sugar

KATZ BROS.

may

in cogent,

V;

„

Subject to market change

- foresight,
fur¬
be expressed
forceful, prestige'
building advertising.

thermore,

Lebanon

City

Atlantic

Philadelphia

Members

WHitehall 4-6300

St., N. Y.

Bell

Exchange

514 s

at

'Managerial

straussbros.

Newburger, Loeb & Co.

*

Market 2—

this time, fore
sight is a primary requisite
of intelligent management.

same

Checking:

MISSOURI PACIFIC

Good Will...

oil

TITLE GUARANTEE & TRUST CO.
All

fM

g

New

Secretary
State De¬

fense, will speak at that forum.

S. Joseph Florentine
Established

/■'
11

1937

BROADWAY, NEW YORK

Telephone WHitehall 4-0386

^Volume 155

THE COMMERCIAL & FINANCIAL CHRONICLE

Number 4050

COMMERCIAL

and

FINANCIAL CHRONICLE
U.

Reg.

i

S.

We will be

Office

Patent

dealers

William B. Dana Company
\ -Publishers'
• v

.

I,':

25

the

■

of

securities

•,

BEekman 3-3341

Frederick

W.

Jones,

the

BONDS and PREFERRED STOCKS

Chicago &

'

Managing

Editor

William D.

|

We have

Riggs, Business Manager

BELFRY

Spencer Trask & Co.

the

in

Thursday, February 26, 1942

continuous interest

a

Bonds

new

and

25 Broad

Stocks

twice a week- (every Thurs-.
clay (general news and advertising issue)
with

a

Other

statistical issue

on

ALBANY

PHILADELPHIA

Chicago—In charge of
Fred H. Gray, Western Representative;
Field Building (Telephone State 0613).
London—Edwards & Smith, 1 Drapers'
Gardens, London, E.C;
1942

William

by

B.

:•

''

f,;

*

Reentered

as second-class matter Sep¬
12, 1941, at the post office at
New York, N. Y„ under the Act of Mar.
8. 1879.

and other Exchanges

New York

Telephone: REctor 2-5000

tember

19

Congress St.

Boston

•
:

Telephone: LAFayette 4620

i Subscriptions in United States and
Possessions $26.00 per year; in Dominion
Of

Canada, $27.50 per year; South and
Central
America,
Spain,
Mexico
and
Cuba, $29.50 per* year; Great Britain,
Continental Europe (except Spain), Asia,
Australia and Africa, $31.00 per year.
)NOTE—On account of the fluctuations

NASD Committees And
Chairmen Announced

in the rate

of exchange, remittances for
subscriptions
and
advertise¬

foreign

ments must be made in New York funds.

Formation of the District Com¬
mittees

tion

of

the

of

National

Securities

Associa¬

Dealers,

Inc.,

and the election of chairmen and
DIRECT PRIVATE WIRE TO LOS ANGELES

other officers for 1942 have been

completed.
TRADING

MARKETS

SECURITIES

Wyetii

,

,

Member Los

40

Angeles Stock Exchange

wall

street

*

Telephone Whitehall. 4-0650

New York

Purcell To Address
N. Y. Dealers Dinner
Association
Hon.

Security Dealers
that

announces

the

Ganson

Purcell, Chairman
Securities & Exchange Commis¬
sion will be the Guest Speaker at
their
On

Annual

March 26,

room

Dinner

to

be

held

in the Grand Ball¬

of the Waldorf-Astoria.

As reservations

rapidly be¬
ing received, the Association sug¬
gests that anyone who desires to
the

attend

the

with

are

communicate

Dinner

office

at

42

Broadway,
:

DI 4-1650.
5

Suitable entertainment will fol¬

low the Dinner. Subscription $7.50

per person
jacket.

(tax included). Dinner
,?

W. A.

Ertinger Bow
Willi llewborg S Go.

i

Newborg & Co., 80 Broad Street,
York City, Members New
York Stock Exchange and other
New

national

W.
ner

&

Exchanges announce that
Ertinger, formerly a part¬
in the firm of W. L. Ertinger

L.

Co.; has become associated with

January,

~

.

1 (Idaho, Oregon
Washington)—Richard
H.

Martin,
Ferris
&
Hardgrove,
Portland, Ore., Chairman; Archi¬
bald W. Talbot, Hartley Rogers
& - Co.,
Seattle,
Wash.,
VieeChairman; Beardslee B. Merrill,
Richards & Blum, Inc., Spokane,
Wash., Secretary; Frank. A*-Bosch,
Warrens, Bosch & Floan/, Port¬
land,
Ore.;
Waldo
Hemphill,
Waldo Hemphill & Co.', Seattle,
Wash.; George R. Yancey, Murphey, Favre
&
Co.,
Spokane,
Wash.

The New York

until

serve

-

District No,

and

Co.

Inc. 'J'

will
1943, are:

chairmen

and

who

PACIFIC COAST

the

of

Members
their

committees

.

.

District

No.

Nortb—(San

Members

•

dors in the strongbox?

can't

but

dog's off

Curb

We

the

first

two,

the

on

cats

and

take

your hands!

Obsolete Securities Dept.

WORCESTER
York

you

can

HARTFORD

FALLS

New

help
we

99

Exchange

WALL STREET, NEW YORK

Springs, Colo.; Paul E. Yoiimans; waukee ^ Company,
Milwaukee,
Sullivan & Co., Denver. :
•
Wis., Chairman; Howard F. Allen,
District No. 4 (Minnesota, Mon¬ Central
Republic Company, Chi¬
tana, North Dakota, South Da¬ cago,
111.,
Vice-Chairman;
L.
kota)—Norman
Nelson, v Piper, Raymond Billett, Stern, Wampler
Jaffray & Hopwood, Minneapolis, & Co., Inc., Chicago, 111.; Louis J.
Minn., Chairman; Wilbert W. Wit¬ Cross, Paul H. Davis & Co., Chi¬
tenberg, Wittenberg Merrick Com¬ cago,
111.;
Charles
B.
Crouse,
&
pany, Minneapolis, Minn., Secre¬ Crouse
Company,
Detroit,
tary; Homer Collins, Homer Col- Mich.; Michael D. Dearth, Mur¬
line & Company, Duluth Minn.; doch, Dearth & White, Incorpor¬
Stanley Gates, Stanley Gates k& ated, Des Moines, Iowa; Noah M.
Co., St. Paul, Minn.; Almon A. Dixon,
The
Dixon-Bretscher
Greenman, Greenman & Cook, Company, Inc., Springfield, 111.;
Inc., St. Paul, Minn.; Dewey F. Walter E. Kistner, A. C. Allyn
Gruenhagen, Thrail West Com¬ and Company, Chicago, 111.; Au¬
pany,
Minneapolis, Minn.; Wil¬ gustus Knight, Knight, Dickinson
liam Mannheimer, Mannheimer- & Co., Chicago, 111.; Bennett S.
Caldwell, Inc., St. Paul, Minn.; Martin, The First Trust Company
Clyde C. Needham, Needham & of Lincoln, Neb., Lincoln, Neb.;
Company,
Inc.,
Minneapolis, G. William Raffensperger, RafMinn.; Elmer L. Williams, Alli¬ fensperger, Hughes & Co., Inc.,
son-Williams
Company,
Minne¬ Indianapolis,
Ind.;
William
C.
apolis, Minn.
Roney, Wm. C. Roney & Co., De¬
District No. 5
(Kansas, West troit, Mich.

WHitehall

4-6551

,

Dana

120 Broadway

and

Telephone:

Members New York Stock Exchange

Company.

GLENS

SCHENECTADY

Members New York Stock Exchange

Josephthal&Co

"

Teletype NY 1-5

•

BRIDGEPORT

Tuesday]

offices:

Copyright

BOSTON

—skeletons in the closet—or cats

Street, New York

Telephone HAnover 2-4300

Published
1

BATS IN THE

Listed and Over-the-Counter

Northwestern Ry. Co.

:

Wijliam Dana Seibe,rt, President
;

LiCHTfnsifir

High Grade

-

AND COMPANY

..

Editor and Publisher

■

Inquiries Invited On
"

of

potentialities

various

Herbert D. Selbert,

■I'

glad to discuss with

the

Spruce Street, New York

i

835

Missouri,

Oklahoma)

—

Harlan

Herrick, The Lathrop-Hawk-Herrick

Company,
Wichita,
Chairman; *" Howard
H.

Stern

Brothers

&

Co.,

Kan.,
Fitch,
Kansas

City, Mo., Vice-Chairman; George
K. r Baum,
Baum, .... Bernheimer
Company, .Kansas 'City,
Mo.;
Harry'A. Beecroft, Beecroft, Cole
& Company, Topeka, Kan.; G. H.
C. Green, R. J.
Edwards, Inc.,
Oklahoma City, Okla.; Eugene L.
Young, Kansas City, Mo.

District No. 6 (Texas)—Wm. P.
2V (California)—
L. Smallwood, The State Investment

Francisco)u Roy

District

No.

9

Co.,
Denver;
Edward
B. pany, Inc., St. Louis.
Coughlin,
Coughlm
and ' Co., 1 District No. 8 (Illinois, Indiana,
Denver; Robert D. Sims, Sims, Iowa, Michigan, Nebraska, Wis¬
Newman
and
Co.,
Colorado consin)—Paul S. Grant, The Mil¬
&

Pennsylvania Wtr. &

Amer, Car & Fdy. Motors
Preferred

Joseph IManus & Co.'
Members

New

39

Nashville, Tenn., Vice-Chairman;
R.
Hirshberg, Norris &
Hirshberg, Inc., Atlanta, Ga.; D.J.
Lucas, G. H. Crawford Co., Inc.,
Columbia, S.
C.; Porter King,
King, Mohr and Company, Mo¬
bile, Ala., Secretary; Henry J.
Blackford, A. M. Law & Company,
Spartanburg,
S. C.; Francis B.
Childress,
Childress and
Com¬
Julian

J.-Mills Thornton,
Ala.; Macrery B.
Wheeler, Wheeler & Woolfolk,
Incorporated, New Orleans, La.

We

No.

11

(District

of

Tele.

Are

NY

1-1610-11

Specialists

In

REAL ESTATE SECURITIES
Inquiries
Lawyers

and

In

Co.

Title

Co.

Ctfs.

Mtge.

&

all

Bank

Invited

Mtge.

Co.'

Ctfs.

Title

Co.'s

Lawyers
Bond

other

Trust

Ctfs.

Participations

Complete Statistical Information

LJ.GOLDWATER&Ca
:vV;v v: .INC.
>'
Members New York Security Dealers Assn.
39

Broadway, New York, N. Y.

HAnover

2-8970

Teletype NY

1-1263

American LockerCo."A"& "B"
Brinks Inc.

Nat. Fire

Proofing Co. 5s, 1952

South Coast Corp. 6s, 1950
'South Coast Corp. Pfd.

Orleans,. La^
Montgomery,

.District

Broadway, New York ^

DIgby 4-2290

A. Evans, Clement A.
Company, Atlanta, Ga.,

Chairman; Brownlee O. Currey,
Equitable Securities Corporation,

York

Curb Exchange
Chicago Stock Exchange

—Clement

&

Pr.

Common

ida, Georgia, Louisiana, Missis¬
sippi, South Carolina, Tennessee)
Evans

Machinery

Common

(Alabama, Flor¬

Fort
Worth
Texas,
Shurtleff, Chairman, Blyth & Co., Company,
Inc.; H. R. Baker, H. R. Baker & Chairman; Jack P. Brown, Dallas
Union
Trusfr'Company, Dallas, pany, Jacksonville, Fla.; Jo Gib¬
Co.; Spencer Brush, Brush, Slocumb
&
Co.; Thomas M. Hess, Texas; Elmer A. Dittmar, Mahan, son, Jr., Webster & Gibson, Nash¬
Dittmar
&
Gibbons
&
Company, San An¬ ville, L Tenn.;
Hess;
Norman. D.
John
B.
Shober,
Weeden, Weeden & Co.; South tonio, Texas; Donald' D. • James, Woolfolk Huggins & Shober, New
(Los Angeles): Ralph E. Phillips, E.J.Roe and'Company, San An¬
Vice-Chairman, Dean Witter & tonio, Texas; Robert E. Moroney,
Co.; Warren H. Crowell, Crowen, Moroney, Beissner & Co., Hous¬
Weedon & Co.;
Colis MitChum, ton, Texas; J. L. Mosle, Mosle and
Mitchum, Tully & Co.; Donald Moreland, Galveston, Texas.
O'Melveny," O'Melveny - Wagen- "vUistrict- No. 7 (Arkansas,. East
seller & Durst;
Charles F. Sin, Missouri- Kentucky)—Jpseph .G.
Nelson Douglass & Co.; A. S. Van Peterson, Eckhardt-Petersen and
Denburgh, Jr., Van Denburgh & Co., Iiie:, St. Louis, Chairman;
John
D.
McCutcheon, John D.
Bruce, Inc.
and
Co., Inc.,
St.
District No. 3 (Arizona, Colo¬ McCutcheon
rado, New Mexico, Utah, Wyo¬ Louis, Vice-Chairman; Firmin D.
ming)—Jerry
C.
Vasconcells, Fusz, Jr., Fusz-Schmelzle & Co.,
St. Louis; A. B. Tilghman, A. G.
Vasconcells, Hicks & Co., Denver,
Edwards & Sons, St. Louis; J. R.
Chairman; Malcolm F. Roberts,
Sidlo,
Simons, Roberts & ' Co., Vinson, J. R. Vinson and Com¬
Vice-Chairman; Arthur H. Bos- pany, Incorporated. Little Rock,
worth,
Bosworth,
Chanute, Ark.; James ' C. Ward, G. H.
Walker & Co., St. Louis; Louis J.
Loughridge & Co., Denver; Don¬
ald F. Brown, Donald F. Brown Nicolaus, Stifel, Nicolaus & Com¬

United Shoe

Steiner, Rouse & Co.
Members New York Stock Exchange

Columbia, Maryland, North Caro¬

Maritime Bldg. Brown-Marx Bldg.

Virginia, West Virginia)—
E.
Demuth, Mackubin,
Legg
&
Company,
Baltimore,
Md., Chairman; L. Gordon Miller,
Miller
&
Patterson
Richmond,

New

lina,

Orleans, La. Birmingham, Ala.

Howard

Va., Vice-Chairman; Oscar Bur¬
nett, Oscar Burnett and Com¬
pany,
Inc., Greensboro, N. C.;
James
Parker
Nolan,
Folger,
Nolan

&

Inc., Washington,
D.
C.;
Harold
C.
Patterson,
Auchincloss, Parker & Redpath,
Washington, D. C.; Harry R. Piet,
Jr., John D. Howard & Co., Balti¬
more,

Direct

Md.

No. 12 (Delaware and
Pennsylvania)—Pittsburgh: /Na(Continued on Page 838)

them.

BH 198

New

NY 1-804

York, N. Y.

WHitehall 4-6830

Eyre To Be Partner
In Delafield Firm

Co.,

District

Wire

25 Broad St.

Beverley M. Eyre will shortly
partnership in the
York Stock Exchange firm
of Delafield &
Delafield, 14 Wall
Street, New York City. Mr. Eyre

be admitted to
New

will act
V.

alternate for Benjamin

as

Harrison, Jr.

on the floor of the.
Exchange under section 15 article

IX of the Exchange's constitution.

Mr.

Cleveland Bend Club

We

are

thereto

Annual Winter Dinner
CLEVELAND,

VIKING PUMP CO. Common

Bros.

HART CARTER CO. Common

Bond

Club

nounces

OHIO

—

of. Cleveland

that

its

party will be held

annual

Eyre in the past

dividual

interested in the following stocks:

The

floor

was

&

Kerr.

a

Co.

was

in¬

an

broker,, and

prior

partner in Hubbard
and

Berg,

Eyre
-

.

&
■

•

,

an¬

CENTRAL PAPER CO. Common

winter

March 4th
at the University Club of Cleve¬
land. Dinner and a hockey game,

HART CARTER CO. Conv. Pfd.

Cornell-Duhilier

GISHOLT MACHINE CO. Common

Electric Corporation

free to members, will be features
of the party. *
*

ROCKFORD MACHINE CO. Common

on

"

FOOTE BROS. GEAR & MACHINE CORP. Common

McQuoid In Hollywood
(Special to The Financial Chronicle)

•

Common

"Stock

y

:

Bought—Sold—Quoted
.

FOOTE BROS. GEAR & MACHINE CORP. Cum. Conv. Pfd.

,Complete statistical report
sent

on

'

>

1

request

■

HOLLYWOOD, CALIF.—Frank
McQuoid has opened offices in the
Guaranty Building to engage in

f

,

a

securities

he

was

an

business.
officer

In

of

the

past
Industrial

Investment

Corporation and did
business .as an individual dealer, i




A.C.AUYNANDCOMPANY
CHICAGO

;

.

...

■

_

f/

•;

^

\ •

^ '

•

R.E.SmitT & Co.
,

Incorporated

NEW YORK

;

i

,

.

kirnoPnoiTfO

.

40 EXCHANGE. PLACE, .NEW YORK

Tel.:

HAnover 2-0510

Tele.: NY 1-1073

THE COMMERCIAL & FINANCIAL CHRONICLE

836

Thursday, February 26, 1942

DIVIDEND NOTICES
Allied Chemical &

DALLAS

Dye Corporation

Canadian

New York

61 Broadway,

f/:;

Corporation

quarterly dividend No. 84
of One Dollar and Fifty Cents ($1.50)

r,'lV-*

J>:

-

UTILITY PREFERREDS

j-;

''4 *'

Funds

U, 5,

Traded in

,"L:V

<

'v-

"M5retT"20r 1942, to
the
March 6, 1942.

Great Southern Life Ins. Co.

F.W. Macdonald&Co.

w. C. KING, Secretary.

)

CONSOLIDATED

HECLA

AND

CALUMET

Broad St., New

41

COMPANY

COPPER

HAnover

TorontoV

($0.25) per
be
paid
on
March
13,
1942,
to
the
outstanding Capital Stock of
cents'

will

share

■

of

holders

Old
'

•

v

A.

"

*•'

RAUSCHER, PIERCE b CO.

Electric
dividend

Company
(Delaware),
at
a
meeting
February 17, 1942, declared a quarterly
of
thirty-seven and
one-half
cents

(37V2c)

per

held

February 16, 1942
The Board of Directors has declared this day a
dividend of $1.12# a share on the outstanding
Preferred Stock, payable April 25, 1942, to stockholders of record at the close of business on
April 10, 1942; also $1.25 a share, as the first
•'interim'' dividend for 1942, on the outstand¬
ing Common Stock, payable March 14, 1942,
to stockholders of record at the close of business
on February.24, 1942.
.w
1
•

on

share, on
the Class
A Common
Company, for the quarter ending
28, 1942, payable by check March 25,
1942, to stockholders of record as of the close
of business February 28,
1942.
At the same meeting a dividend of twentyfive
cents
(25c) per share was declared on
the

D.

of

the

February

Class

for

B
Common
Stock of the Company,
quarter ending February 28, 1942, pay¬
by check April 28, 1942, to stockholders

the

able
of

record

28,

1942.

of

as

the
G.

close

W.

of

business

February

KNOUREK, Treasurer.

NEW

UNION

YORK,

Webb

with

has

Irwin

Broad

Y—Franklyn

Webb

has

become

Townsend,

Co.,

25

Mr.

spe¬

In

&

Lichtenstein

O.

affiliated with J.
Chamber

the

of

has

become

S. Bache & Co.,

Commerce

Lichtenstein

with Merill

associated

Graff
„

.

ton

associated

Spellman

in railroad issues.

burg.

CARKIDE

N.

become

S.

Street, where he will

cialize

with

Electric Power & Light Corporation

SECURITIES

>

.

D.

W. F. RASKOB, Secretary

Dividends

LISTED AND UNLISTED

If you contemplate making additions to your personnel, please
send in particulars to the Editor
of the Financial Chronicle for pub¬
lication in this column.

Stock

Building.

formerly

was

Lynch, Pierce, Fenner

Charles A. Parcells 6* Co.

& Beane and Fenner & Beane for

Naum-

Members

prior thereto he
Clark, Childs & Keech.

many years;

with

..

Preferred Stock

35

Cents

CORPORATION

per

H.

E.

A cash dividend of

DIXON, Treasurer.

(75(0

share

per

Seventy-five

cents

the outstanding

on

to

The

Financial

Chronicle)

(Special

to

Stock

Exchange

BUILDING

DETROIT,

Chronicle)

Tha Financial

PORTLAND, ME—William M.
Lawrence, 3rd, and Philip F. IIo- MacLeod, previously with Wil¬
gan have become connected with liams & Southgate, is now asso¬
Preston, Moss & Co., 24 Federal ciated with Graham, Parsons &
Street.
Mr. Lawrence was pre¬ Co., 10 Post Office Square, Bos¬
viously with Hayden, Stopp & Co. ton, Mass.

BOSTON,

was

share on the $7 Preferred
Stock of the Corporation for payment April 1,
1942, to stockholders of record at the close of
business March 6,
1942.
and

(Special

ANDCARBON

24, 1942, a dividend of 30 Cents per
declared on the $6 Preferred Stock

February
share

<&

Power

Electric

the Board of Directors of
Light Corporation held on

of

meeting

a

Detroit

PENOBSCOT

on

& $7

$6 Preferred Stock
At

of

was

'

■

Antonio

and

& Company

Wilmington, Delaware:

TEXAS.*®tK

DETROIT

PERSONNEL: ITEMS

ILLINOIS

of Louisville Gas

L I. du Pont de Nemours

mm

'

Southwestern Securities

on

OF

Board of Directors

The

'

Curtis

8c

us

Ft. Worth-Houston-San

ELECTRIC COMPANY

LOUISVILLE- GAS AND

1942.

CHICAGO

:

JLackson

1-1619

NOTICES

OFFICE

NICHOLAS, Secretary.

D.

NY

V New, York

■

DIVIDEND

record at the close of business
28, 1942.
Checks will be mailed from
Colony Trust Company, Boston, Mass.

Boston, February 18,

Check

,

Utility Preferred Stockg

'DALLAS,

Cepper

of

Company
February
the

Consolidated

Hecla

and

Calumet,

the

«

;;

Dallas Ry. & Ter. 6% 1951 £

r

All Texas

1

York, N. Y.

Tele.

2-7673

,

No.. .39.

Dividend

.

Stock Exchange

Toronto

Members

Southwestern Life Ins. Co.

;

.

*

Quoted

—

Pepper

Republic Insurance

stockholders of record at

close of business

Sold

Dr.

New Mexico Gas Co. Com. & Pfd.
"

t:onvpany, payable
common

—

-

of the

share on the Common Stock

per

^

\

has declared

~

Bought

Securities

February 24, 1942
Allied Chemical & Dye

'

MASS.

Charles

—

MICH.

H.

NEWARK

capital stock of this Corporation has
THE

ELECTRIC

STORAGE BATTERY CO.

been declared,

from

the Accumulated

Sur-

plus of the Company a dividend of Fifty Cents ($.50)
per share on the Common
Stock, payable March 31, 1942, to stockhold¬
record

of

ers

close

the

at

March 10, 1942,

business

of

Two

HOLLANDER & SON, INC.

dividend
the

on

to

stockholder^

business

will

Checks

of

be

25c

4,

of

share
1942,

New

STOCK

York,

N.

record

at

the

These

close

of

amounts

dividend

business

are

of

rates

one-half

$1.50

per

the Preferred Stock
the

($6) and $1.25
$5 Preferred Stock.

of

D.

W.

JACK,

March

Newark, N. J.
February 20, 1942.

Secretary

per

and

of

the

share
share

on

LOS

on

Treasurer.

C.

CAN

COMPANY

The
Directors
of
International
Harvester
Company declared a quarterly dividend of fifty
(50c)
per
share on the common stock

cents

at

April

the

15,

close of

1942

to

business

all

holders

of

March 20,

on

SANFORD B. WHITE,

Tecord

1942.

COMPANY

PREFERRED

STOCK

one
on

and

the

three-quarters

Preferred Stock

per

cent

was

declared

this

of

Company, pay¬
able April 1st, 1942, to Stockholders of record

Secretary.

the

close

Transfer

-Manville

business

of

March

Books will remain open.

be mailed.

16th,

1942.

Checks will

R- A> BURGER,

Secretary.

Corporation

declared

April

to

to

J. L. P1CHETTO, Assistant

The

First

CITY

POWER

Preferred,

Kansas

Financial

and

Chronicle)

E. J.

Milne

to The' Financial

(Special

City,

Series

MADISON AVE.

.

NEW YORK,

&

LIGHT

B,

COMPANY

Dividend

Missouri.

February

No.

18,

associated

become

St.

Mr.

Hemmes

with

Fox,

All persons holding stock of the
company are
requested to transfer on or before March 14,
1942, such stock to the persons who are en¬
titled to receive the dividends.

record

C.

DAVIS,

Assistant

current

with

quarterly dividend for
of $1.25 per share,

Securities

was

Mr.

Co.

Stewart

Secretary,

to The .Financial

cents

a

able March

PREFERRED STOCK

ON

COMMON STOCK

record

at

Street,
New

partment.

Chronicle)

Earl

ST. LOUIS

Loeb
New

&

Co.,

York

.

40

share

have declared
five

cents

($.25)

outstanding
on

March

of record

a

dividend of twenty-

12th,
on

share

per

on

the

stock, payable

common

Ex¬

1942, to

stockholders

February 28th,

regular quarterly dividend for
the current quarter of $1.75
per share,
payable April 1, 1942 to holders of
the close of business March

*

January 27,1942

dividend

».

•

A dividend of 50*5 per

PHILCO
CORPORATION
RADIOS
AUTO

•

PHONOGRAPHS

RADIOS
AIR

•

TUBES

CONDITIONERS

«

.

•

TELEVISION

March 31, 1942 to holders of record
the close of business March 17,

at

1942.

JOHN A. LARKIN,
Vice-Pres.

REFRIGERATORS
BATTERIES




share, payable

February 25, 1942

Co.

<$,

509 OLIVE ST.

Mr.

Wilson

was

for¬

nett Brothers & Johnson.

SALT

LAKE CITY

RR Earnings High

7

INTERNATIONAL

SALT

New

Fifth

dividend

Avenue,

Bros.,
32
Broadway,
City, have just issued
a
most
interesting bulletin en¬
titled "Railroads to Maintain High

of

declared

FIFTY

record

CENTS

a

Y.

-

share

has

capital stock of
this
April
1,
1942,
to
stock¬

payable

of

N.

the

on

Company,

Earnings," copies of which

COMPANY

York,

the

at

the

close

of

business

Specializing in

'

New York

Philadelphia, Pa.

-

on

16, 1942.
The stock transfer books of
Company will not be closed.
HERVEY J. OSBORN, Secretary.

may

SUGAR

UTAH-IDAHO

SUGAR

AMALGAMATED

be

had from the firm upon request.
The Bulletin contains many in¬

Analysis

on

request

teresting facts which should be of
assistance

in

retailing

EDWARD L. BURTON

railroad

bonds.

& COMPANY
Established

Nelmes Personnel Service

1899

Salt I.ake City, Utah

System Teletype SU 464

Oldest

Investment House

In

Utah

offer their facilities to
for

discriminating clients
carefully-selected, outstanding office per¬

sonnel, both

COMMON STOCK

—3r,f

"

.

Common

on

31,1942, to respective
1942.

475

17, 1942.

1942,

•i

t

160 S. Main St.

The

at

-

SAINT LOUIS

the close of business March

7% SECOND PREFERRED STOCK

record

"

:.x".

3ri){

City,

York.. Stock

17, 1942.

Corporation

2-4383

prior

of

Bell

The directors of Philco

3-3430

Fhone—ItEctot

municipal department for Gremmel & Co. and prior thereto he
was with Schlater, Noyes & Gard¬
ner and was manager of the mu¬
nicipal bond department for Ben¬

March

DIVIDEND

York

merly manager of the New York

I.'W. MORRIS Treasurer

A

regular quarterly dividend for
the current quarter of $1.75
per share,
payable April 1, 1942 to holders of

and

associate

Dept.
Newburger, Loeb

Strauss

holders

The

MArket
New

was

of $1.25 a share on $5 Dividend
Preferred Stock and a dividend of

been

7% CUMULATIVE SERIES PRIOR

an

Co.,

&

Reagan, Carr & Gaze.

(Special

the close of business March

17, 1942.

18 Clinton St., Newark, N. J.

-

Hardgrove

was

members

Castera

MINNEAPOLIS, MINN—Clay-

payable April 1, 1942 to holders of
at

Co.,

number of years with

a

Newburger,

Spring Wall
formerly

THE UNITED GAS IMPROVEMENT CO.

quarter

associated

Inc.,: Hoge
Mr. Sheppard was for¬

&

Of

holders of record February 27,

PREFERRED STOCK

the

become
&

Stock have been declared, pay¬

5% CUMULATIVE SERIES PRIOR
The regular

has

Rippel & Co.

Established 1891

L.

change and
other leading
ex¬
Schramm,, Edels^^^Coand in the
changes, announce that Alfred G.
past was manager of the trading
Wilson
is
now
associated
with
department for the Metropolitan
them in their municipal bond de¬

N. Y.

61

of the Kansas
City Power & Light Company
has
been
declared
payable April 1,
1942, to
stockholders of record at the close of business
March 14, 1942.;
-s

1. S.

Chronicle)

Wilson In Bond

Fairman & Co., 650 South

THE Boardthe Directors has this day
declared of following dividends:

1942.

regular quarterly dividend of $1.50 per
share on the First
Preferred, Series "B," Stock

Financial

F. Townsend Co.

Ilemmes and Ezra Albert Stewart

Treasure!

The

H.

Ferris

Chronicle)

The current quarterly
180

"

WASH—Robert

Grande

thereto

have

ANGELES, CALIF—Adam

15
KANSAS

.v.,-,,'

to The

Building.
merly for

CORPORATION OF AMERICA

the Common Stock, payable

American Insurance Co.

now affiliated
Co.,-. 482 Cali¬

-

Sheppard

Broad

17. 1942, and

on

24.1942

EEIMSE

i

holders of record on
a dividend of 75c per
March
holders of record on March 10,1942.
1942,

1,

share

St.

is
&

Co., 530 West Sixth St.

regular

a

quarterly dividend ol $1.75 per share on the
Cumulative 7% Preferred Stock, payable
March

89

joined the staff of Conrad, Bruce

with

DIVIDEND
The Board of Directors

Inc.,

ANGELES, CALIF.—Frank

have

On January 27th, 1942, a quarterly dividend of

at

ID

to

Harmon

LOS

payable

Co.,

Barth

SEATTLE,
with

(Special

AMERICAN

-v

HARVESTER

&

J.

(Special

Arnold J.

—

-•
.

Fireman's Insnrance Co.

Chronicle)

Street.

&

:

INTERNATIONAL

with

Sec.

FELDMAN,

»

,

telsohn

was

Co., Inc.

Financial

of Trust' Funds,

10,

1942.
J.

State

53

Burke

Muth has been added to the staff

mailed.

ALBERT

to The

BOSTON, MASS.

Y.

DIVIDENDS

($8)

quarterly

has

close

Mr.

Chronicle)

Financial

CO.

the $5

1942.

14,

the

at

;

per
Stock

March

record

March

on

of

Common

payable

Street,

LIGHT

&

of $.75 per share on the Preferred
and a dividend of $.62% per share
Preferred Stock of American Power &
Light Company were declared on February 25,
1942 for payment April 1, 1942, to stockholders

'

A

Rector

POWER

dividend

A

on

declared,

Co.,

&

past

The

FRANCISCO,
CALIF—
John A.
Ferguson, formerly in
the Retail Department of Jay Git-

fornia
AMERICAN

Stock

AlirA

Herlihy
the

In

(Special

PREFERRED

Dividend

St.

to

SAN

J.

on

H. C. Allan, Secret (ivy and Treasurer.

Common

(Special

Chronicle)

with H. M. Jenness &

Philadelphia, February 20,1942.

been

Edward

ROBERT W. WHITE, Vice-Pres. & Treas.

Checks will be mailed.

A.

Financial

MASS.—Edmund

Biirke has become connected with

of business March 12,1942.

LtI4

W-TaI

to The

BOSTON,

the close

at

The Directors have declared

■

(Special

payable April 1, 1942,

stockholders of record

to

men

and

women,

in the

Seaboard RR. Interesting
L. H. Rothchild &

com¬

mercial, professional, and advertising fields.

Seaboard
which
may be had from the firm upon
request. »It is understood, accord¬
ing to L. H. Rothchild & Co., that
hearings on Seaboard will start in
a

We

are

efficient

supply experienced and
investment bankers and brokers.

unusually qualified

personnel to

to

Sec'y.
Tel. COrtlandt 7-7455

Co., 11 Wall

Street, New York City, specialists
in rail securities have prepared

special

circular

on

divisionals and leased lines,

Npw

Vnrlr hn

March

3rd.

*

Volume

Number

155

THE COMMERCIAL & FINANCIAL CHRONICLE

4050

Guaranteed

Tomorrow's Markets

Chicago, North Western Railway Company

Railroad

Stocks

Walter Whyte

New and Old Securities

Montreal Lt., Ht. & Pr.
3%sf 1956-63-73

Canadian Pac. Rwy.

Says—

Htmktn Krw York Slock

Extkawgt

■

X

■■

Broadway

STOCKS

NEW YORK

Big

of the week

news

61

2-6600

Broadway

York

Stock

Series "A"

HART SMITH & CO.

New York

"

Bell Teletype—J4Y 1-310

RAILROAD

REORGANIZATION

52

WILLIAM

SECURITIES

alliance. Market still indicates

slightly higher prices. Raise
stops on present holdings.

that

was
nothing to
about. Today these men
busy telling us how the!

are

is to be

war

hardly

week is

one

finished

before

the

one

"North

V

The

India

that

news

is

Since the Circuit Court decision

to

upholding the Chicago & North
plan, handed down Feb. 9, there has been
a
sharp increase in speculative interest in the entire reorganization
railroad group.
This section of the list had been under a cloud
Western

an¬

But the

since

reorganization

Dec.

"St Paul"
under

the side of the United Na¬

on

4

when

adverse

an

had cast doubts

case

Section

77

of

decision

being

what

by

the

in

court

same

the whole reorganization

on

the

picture

ruptcy Act.

it

■

developments.

There

the

was

British

have

President's fused to

now

there

re¬

of

-r££

permit.

.^.v; v*

*

or

In

Dominion status,

hy no means least, the freer
trade pact signed by us and
•the British.

the

and

Rio

&

Bear, Stearns & Co.
New

York

Stock

that

pending

ing in

We maintain
markets

down

:££££:;*

decision

a

While such

earlier

Court

it

stand

of

Appeals

of

in

In the latter

case.

restrained

security

holders from voting on the terms
of the reorganization plan because

easier

in

net

in

its

mind,

the

and

all

issues

being kept

of

Chicago, Rock Island

finally

are

re¬

' '•

Meanwhile,

trading

of

the

proceedings,
turned

were

Commission
The

courts.

new

is

eye

"Rio Grande"

Haven"

which

the

'•

watchful

a

on

"New

to

back

by

"Rio

lower

Grande"

& Pacific R. R. Co.

plan is expected shortly while
hearings on the "New Haven"
plan
were
just
completed
and
briefs called for by April 20.
It
is
also
hoped
that
the
long

LEROY A. STRASBUR6ER & CO

Line.

Seaboard Air Line reorganizations

be

awaited

1

WALL

WHitehall

preted bullishly, and it is consid¬

portant implications. Unfor¬
Of course, none of this can
tunately they cannot be real¬ be reflected marketwise for
ized until after the war. Any¬ some. time.
Still, it's impor¬
way, its market significance tant to see it
happen, for it

with the

Circuit

and

in

is

class which represented a

one

both

Delay by
handing
being inter¬

Court

the overwhelming support
security holders voting in all

solved.

securities.

new

District

reorganiza¬
the basis that

had

ent inconsistencies

the status of "when-issued" trad¬

turning point in the whole

the
on

whole reorganization process will
be speeded up when such appar¬

to reach

cases

The "North Western"

-

decision

be

Chicago

Is¬

Island'" may

"Rock

au¬

case

the plan was being appealed. The
whole speculative community will

Exchange

York

this

the Consolidated Rock Prod¬

ucts case."

instance

Grande
Air

Seaboard

distinguish

a

the

aims of Congress in setting up the
bankruptcy procedure, it seems to

buying

"Rock

as

from

the

particular, it has been pointed

out

next of the

the

The last has im¬

increased

Denver

Western

With India armed and fight-'
the ing on. the side of the Allies,
Russian victory, and last but the situation
may well prove

home

been

securities

such

land,"'

*

speech,- the'decision of the
British to give India either

has

thorized,

the "St. Paul"

New

which

reorganization of railroads is

conflict

Issued)

■

until

under

action may be in accord with the

Securities

Members

the

* different facts and

law,

small divisional lien.

4

news

•

but

J:.'

tant

that

of

Reorganization
(When

finding

reorganization
equitable, the court finds

different

it

Railroad

Products

precedent.

as a

in

upheld
tion plan mainly

Bank-^

the

Speculators and in¬
is, tions. " If you don't think that vestors
began to raise the ques¬
there is little to add in the is
a revolutionary departure
tion of whether the "St. Paul"
line of what to
buy, sell or in British colonial policy, re¬ decision might not foredoom all
anything else.
member that in Malaya it wasi other pending proceedings to a
further
period of interminable
the Imperial troops who
delay.
Thereafter, buying be¬
As this is being written, the
fought the Japs. The native came highly selective, based
popular averages, as if to con¬ Malayans were not permitted largely ?on earnings trends and
interest potentialities rather than
found everybody, after mak¬ to have arms,
/
on hopes of favorable reorganiza¬
ing new lows last week,
tion progress.
The "North West¬
stopped going down and went
One of the chief reasons ern" decision has resulted in a
up. True, this business of "go¬
why General MacArthur has broadening of interest, and a re¬
ingsup"" was not spectacular.; been able to make the newed combing of the list for an
appraisal of reorganization tim¬
Still, the lack of pyrotechnics
splendid stand that he has, ing.; ' v:
doesn't detract from the com¬
was
because Filipinos had
Aside from
"North
Western,"
fort one gets in
seeing prices been organized into an army which was the direct beneficiary
of the most recent Circuit Court
up from the lows of last week.
years ago.
They have been
*
%
*
decision
and
where
the
new
encouraged to fight, not for "when-issued" securities have at¬
The week just passed, has the white man, but for them¬
tracted
a
large speculative fol¬
brought a number of impor¬ selves. A condition which the! lowing throughout the country,

market,

„■

Toronto

Western"

fair and

rolls around. If

advice to offer.

new

1-395

Rock

accepted

Nevertheless,

fought.

the market moved
the

HAnover 2-0980

NY

Consolidated

case were

get ; colonial
independence,!
only though still in the discussion
as fast as
stage, is big news. If it isn't
week, I might have some too late, India may still fight

other

Y.

Montreal

there

that

worry

•"

seems

N.

Teletype

New York

By WALTER WHYTE

It

ST.,

Bell

President's

speech; status of
India; Anglo-American trade

& "B"

Exchange

TeZepfconeHDIgby 4-4933

jflnc>1855

was

> Members New

..

Tel. REctor

GUARANTEED

Winnipeg Electric 5s, 65

PFLUGFELDER, BAMPTON & RUST

Dcdcn Iji

120

1949

4s,

3o$epb malkcr^t Sons

'

ST.,

3-3450

NEW

be

may

YORK

Teletype:

or

1-2050

NY

Wisconsin

brought

early

Central

this

out

and

spring

summer.

'

can't be

gauged until the last certainly has,

shot is fired.
still

point

as

off

time

some

little

And

that is effect
is

discussing

in

there

on

will have,

or

It

an

t'f

.y.

About the President's

failure

Meanwhile the current

mar¬

-

of

But in

tions show

;•

;

,•

■

•

i'f

'

•

two

or

than another

,

■.

to

three

recent

was

DOWN?

Write

for descriptive booklet

port

for
for

transactions

day

are

on

a

the

whole

believed
the

his

case

Island"

although

quarters that
for approving the "Rock
reorganization has been
in

strengthened

confined to retail

many

immeasurably.

Whether this will prove wish¬
security at the
fixed public offering price.
Cer¬ ful thinking remains to be seen.
tain other minor
changes, were: One' thing does seenu apparent,
made in the rule for clarification.. however,
and that' is that the

* -'

& associates
Ky. Home Life Bldg.

-

The instructions for Form X-17A-1
were

Louisville, Ky.

also

revised

to

conform

the amendment to the rule.
i

)

l




A

J

■

i

*

i t i

"North

to
■

Western"

the

"St.

finally

of

.

Western"

decision,

while

wholly constructive to the reorganization picture, may not be ac-

PHILADELPHIA,; PA.

under

Section

ruptcy Act.
tion

is

of

77

the

Bank¬

Some such clarifica¬

There appear to be some dis¬
crepancies in the "St. Paul" and

;

Western"

though
by the

both

ions

same

written

decisions

even

handed

were

by

court and the opin¬

by

the

Philadelphia Stock Exchange, he
founded the firm, now Penington,
Colket & Wisner, in 1896.

Ralph Moberly Joins
Edward D. Jones Co.
(Special

Supreme

of

Court

in

who have not

you

already received

our

The

Financial

Chronicle)

LOUIS, MO. —Ralph Mo¬
berly has become associated with
Edward D. Jones & Co., Boatmen's
Bank Building, members of the
New York, St. Louis and Chicago
Stock Exchanges.

Defaulted RR Bond Index
The defaulted railroad bond in¬
of

dex

Rust,

circular

on

Pflugfelder,. Bampton' &

61

Broadway,

shows

City,
For those

to

ST.

down

the same judge.
For one thing, in the "St. Paul"
decision, reorganization rules laid
down

died at the age of 67, at his home
in Radnor, Pa. A member of the

to

vitally necessary.

"North

Albin

Penington, senior partner in
Penington,
Colket
and
Wisner,

reorganizations

other

—

G.

but,

review of

a

precedent

a

up

all

until

1943,

decision,' would

Paul"

set

probably
of
new

securities

quarter

guide

for Jan.

New

York

following range

the

1, 1939, to date:

High—

36%, low—14%. last—36V4.

SEABOARD RAILROAD

Forms

£

.

Soucy & Co.

Divisional and Leased Lines

We

BOSTON,
believe

timely
stand
York

v

sales of the offered

dysart

would

conjunction with

the

.

paul

hoped that that

delivery

actual

second

necessary valua¬
Since then, nothing has
-

almost two
Now that the
higher court has given its ap¬
proval to the ; "North - Western"
reorganization, even in the ab¬
sence of full valuation data, it is

re¬

which

of

months has passed.

X-17A-2

stabilizer to file

a

any

return

a

transpired

1934, eliminating the necessity
filing reports in triplicate and
making it unnecessary, in most
cases,

to

tion data.

of

improved theory of market
trends—spots (a) basic trends; (b)
secondary trends; (e) distribution.

in

review

a

"North
the

proposed

proposed that the issue

embodying

Under the Securities Exchange Act

an

it

for
Follow¬

is

it

and

delay

judi¬

to the ICC might
be avoided,
if the Commission
could file a supplementary report

of

EQUALIZATION

treatment

then

cident

simplify further the filing of
stabilizing reports, the Securities
Exchange Commission adopted
Rule

made
any

proceedings

and

amendment to

the

Such

spe¬

to the fairness

as

Penington Dead

to all of

answer

tribunal will consent to review it.

Com¬

make

value

Court

the

might be met, and the delays in¬

-To

an

of

to

in

why the "Rock Island" re¬
organization should not be re¬
manded on similar grounds.
II.

-

BASICTREND

Interstate

the

Commission

findings

that

final

problems.
There is lit¬
tle question but that the decision
will be appealed to the Supreme

cause

*

\v..v

held

a

the legal

Circuit

sitting in the "Rock Island" case
requested interested parties to file
statements by Dec. 31, showing

do these indica¬

more

Appeals

of

that

ing this decision, the lower court

slightly higher prices.
no case

cepted as

Island"

the

various creditor groups.

for minor trends the outlook

for

case

impossible to arrive at

gives little clue to the
next important move,
though
is

"Rock

remembered

cial conclusions

points addition
gains. .h I ■; may ;be
The ironical part of these
wrong.
I have been wrong
whispers and rumors is, that before, but I think that be¬
theyseem to come from fore we are many days
older,:
'
people,' including legislative
(Continued on Page 844y :
leaders, * who before Pearl
Harbor were busy telling us
SEC Simplifies Filings
f
a

t"

of

merce

y'yv-j

speech
you know as much about it as
this column.
It was a good
speech, and if it served no
other purpose, it may stop the
whispers we all hear.

•

be

Paul"

Court

ket

-

will

"St.

the

the basic market and

it

(

Western"

likelihood of

plan by the lower court.

cific
sj:

"North

the

of

rejection

economic trend.

now.

the

that

ered

decision lessons the

than

it

is

W.

MASS.—Ernest

more

under¬

We

ever.

hearings will
on

now

start in New

March 3rd.

Soucy has formed Soucy & Co., a
sole
80

proprietorship, with offices at

Federal

Street,

conduct

to

a

general investment business. Mr.

Copy upon Request
I

1. h. rothchild &
specialists in rails
11 wall street
HAnover 2-9175

member of the Detroit

Soucy,

co.

a

Stock

Exchange,

member
n.y.c.

Tele. NY 1-1293

was

a

of

the

member

associate

and

New

of

York

the

Curb,

dissolved

partnership of Soucy & Co.
1 1. M

* f' 4* *

»•***

»

* M-<

»i *

IV *

* i#

j
v

*

*

i

THE COMMERCIAL &

838

FINANCIAL CHRONICLE

Thursday, February 26, 1942

Board

Reports Industrial g||
Activity Up Further In January Royal Bank of Scotland

Conn. Ry. & Ltg.

Bank and

Marion Steam Shovel

Insurance

PREFERRED

Stocks

reported

Vinco Corp.

and

Inquiries invited in all
Unlisted Issues

) Cu)(W<£)C).
Members

other

and

Stock

York

New

leading

Members

BROADWAY,

120

exchanges

Dlgby

Telephone

Bell

4-2525

L.

Teletype—NY

1-1248-49

though

usually

decline

at this

Board's

to

in

creases

armament

frequently faced with the question of whether or not

stocks

to classify bank

level, following

participate directly in Defense volume.
„ '
Although the "pegging" of money rates at artifically low

December.

levels

;by the Government creates the impression that bank stocks are "war
orphans," ceilings generally on prices, restrictions on availability of
materials and limitation of profits^
~
Government contracts, indicate

<

on

sibly more,

regimentation in the

;

;

Penna. Co. for Ins.

capacity for manufacture of mili¬
tary material is concretely appar¬
ent.
But of general underlying

provided by the banks for the day
to day financing of the war effort,
both
for
Government, and
for

The rapid in¬

business.
in

crease

loans,

bank

Reserve

•Federal

the

notes

Bulletin,

began

shortly after the launching of the
of
in

program

■bank credit by

producers and sup¬

pliers of war goods. A survey by
;the Board of Governors in April,
•1941, showed that about 40% of
the

commercial

in

increase

and

industrial loans at city banks from

*July, 1940 to April, 1941 was di¬
rectly for defense purposes, and

"Locust

PH

timated

trust funds are es¬

course

the rest of the loan

ex¬

mercial

latest New : York figures
.show commercial loans of $2,710,-

.'1942,

000,000,; representing $111,000,000
expansion in one month to four
successive new highs, and total¬
ing $97,000,000

more

than the 1941

.peak reached last December. Be¬
sides

need for

the

•cover

bank

loans

to

payrolls and inven¬

larger

tories, industry needs bank credit
ito tide cash position over payRestric¬

of heavier taxes.

•ments

tions

on

cations

civilian output and allo¬
of materials would tend

to reduce volume of civilian

loans,:

this factor has

.but thus far,

affected bank loans

on

not

balance.

Secondly, the ability to obtain
•large volume of business in war¬
time is

a

characteristic of

a

"war

equity." f Banks certainly qualify
on this ground, for in addition to
obtaining loan volume, banks ap¬
volume
for

have

to

pear

available

all

the

of Government securities

assets that they can
The Budget submitted in
•January, 1942 outlined expected
.deficits of $19,000,000,000 in the
earning

carry.

current

fiscal

for

estimated

Federal

1943

fiscal

year,

would

ba

the

$22 000,-

the current, fiscal

$40,000,000,000

fiscal

$42,000,-

increase in gross direct

debt

000,000 in

crease

and

1943 fiscal year.
new
taxes of $7,000,-

Desnite

000,000

and

year

in the

000.000

year.

in

the

year

1943

True, all of this in¬

in debt would not have to.




industrials."

At

of

plants

reached in

Coal

Total

was

construction

excess

assets.

all

'

be affected

invested

capital.

all the volume

of obtaining

tions

/

they want.

"r

'

i

Thirdly, "selling prices" or rates
but the important point

for banks,

is

taxes.

this volume are of course low

on

the

1940,
banks

had

New York City
operating ratio of

leading
an

dollar

66c., for

every

trials

of

able to show.

banks

'-

.

Finally,

and
For;

spread between gross

net, rather than gross alone.

•

a

Prices

is

advantage

diversification

their

are

Fourthly,
costs,

r

over

Interest

material"

of

permanently

ment,

"raw

banks—deposits—is
by law at very
interest

'is

per¬

tial

volume-

ahead

The

borrowing

v

excess reserves
war

financing.

nroblems of

plentiful

with which to

There

are

help
no

priorities.:

The lab^r
factor in the "finished product" is
not subject to unsettling

strikes..
Fifthly, the problem of whether

to expand

canacity to handle in¬

creased wartime business but not

be

over-expanded

for

po^t-war
volume does not affect the banks,
whose

-

soectacular..earners

ditions,

less

such

the banks, which

as

con¬

as

possess

ab^ve for rank¬

"war
eamt.ieO. ..would
justify more consideration by in¬

ing

and

effect

in

About

one-

were

is¬

United

ered

mainly

cov-

which

for

items

foods

use

textile

and

products,

not subject to

are

direct

-to

advance

.

most

the

complete

investors,

to

Interested

In

•

these

;

E.

Street,

C.

47 Berkeley Square, "W. 1
0.

the

Banks

with

arrangements

A.

S.

NASD Committees And
Chairmen Announced
(Continued

from

than K. Parker,

835)

Page

v

Kay, Richards &

Company, Chairman; Joseph Buffington,

Jr.,

Ernest O.

ard

Young &

Co.,

Inc.;

Dorbritz, Moore, Leon¬

& Lynch;

Mellon

S. Davidson Her*

Securities

Corpora¬

tion; Robert C. Schmertz, Phillips,
Schmertz
William

&
K.

Bros.

&

John

C.

Bogan

Boyce,

Jr.,

Jr.,

Sheridan,

Robert

G.

Company,

.

Stein

Vice-Chairman;

Bogan,

Go.;

Stroud : #&

Philadelphia:

Co.;

Barclay,

-

Rowe,

Incorpor*

ated/ E. C. Sayers, Smith, Barney
&

Co.; David S. Soliday, Hopper,

Soliday/& Co.

;

District No: *14

chusetts,

New

(Maine, Massa¬

Hampsire,

Rhode

Island, Vermont)—Lester Watson,

Hayden,.

Stone •;&•;, Co,,, Boston,

ton,:;F. S, Moseley & Co., Boston,
Mass.;

Since^the
loans

•

year

H.;

that

Credit

Poland,

and

at

Government

increases

Weeks

Ralph

Winslow,- Inc.,

&

.

Whiting,

O.

Stubbs,

'

.

'

Inc.,

', '

District No... 10
•

No.

by

city

13 s

viously/reported

and

were

in the "Chronf

f

loans
United States Government

by banks in New York. Demand
.

deposits and

currency

in circu,

,

lation

have
bank

Member

shown

risen

little

weeks, and

/continued
000.

'

..

„

have

*

■

-

.

,

recent

have

to. $3,500,000,.

.,,,

>

Security Prices

Prices of United States Government

•

in

excess reserves

close

,

sharply.

reserves

change

i

pre¬

icle" of Jan. 29.

commercial

F.

George,

&

j

District

York

securities

in

-

Committees for
and

New

&

Mass.; -Max

the Boston, Mass. v<:

of

investments

outside

Miller

Perrinv| West

leading cities have in¬
creased. reflecting purchases of

banks

Carr,

Portland, Maine; Thomafc A. West,

Whiting,

beginning

F.

Providence, R. I.; Roger B. Ray,

banks in

v

Ralph

Carr & Co., Boston, Mass.; Albert

Boston,
Bank

■i

Mass./, Chairman; .Alvah R. Boym-

con¬

since

as

'.'capacity" in the form of vestors.

.

in

OFFICES:

throughout

In

war.

time.

wartime regimenta¬

Under such

terms.

following s; the

tinued

especially in the event of a heavy

oualificat'ons

its

liminary indications, have

r

prices, materials and prof¬
its, .this speculative anpeal of in¬
dustrials
is
seriously ^ affected,
tax.

30

control,; showed exceptionally
large increases from Dec. 15 to
Jan. 15 and, according to pre¬

tion of

reoaDture

number—remained

which

•

under present

Jan.

States' entry into the

of

demand

to it that banks have

on

had been
sharply curtailed or prohibited
by Federal order.
Retail prices

.

see

law

a

output for civilian

the

for

industries.

•

over

"

Govern-;

customer

to

and

advance

dished consumers' goods and

banks, and business loans are well,
as

to

this period, price controls were
extended to a number of fin-

of

To conclude, therefore, the dis-?
deposits,,
and interest on time deposits is crimination against bank
stocks,
restricted to specified maximums by some investors in favor of in-,
by the Board of Governors. Banks dustrials might perhaos be fully
have no problem of stocking up justified on a speculative basis inon
scarce
raw
material, as th^y an unregimented economy, per-;
have a plentiful supply of de¬ mitting
large industrial
profits
However/
posits and the Government would and liberal dividends.
on

;

very

diversified

commodities

half of these schedules

the other hand, will re¬
steady and substan-1

on
a

in

business.

general
main

of

set

mitted at all

reduction

the

cost

levels—no

!

have a basic
industrials • in

banks

advantage

-

in

; under

of

capacity is

increased,

former Federal maximum price
schedules — approximately
100

of

of. increased

gross

of

continued

became

of

earnings, which makes
for
greater stability of. earning
power.
Once the desired point

sources

also

sharply in January and the first
V half of February.' The Emer¬
gency Price Control Act of 1942

sued

reached,,(slightly higher for 1941), which for example, machine tool manu¬
is much better than some indus-i facturer? will begin to experience

low

shipments

services

,,

basic

•

high

unusually

Commodity Prices

profits;

excess

With

Australia,

* ;

Agency

ron,

tax, and their large invested,
on

of

service

Threadneedle

29

following a decline in Decem¬
ber. •> Shipments of miscellan¬
eous freight, which include most
manufactured
products,
declined less than seasonally.

capital also enables them to fare;

relatively well

offers

travellers

LONDON

•

with

ture

to

rose

in

wouldr justify

it

banking

and

countries.

levels for this time of year and

j

ranking banks however, by reason of their large
those companies having no: invested capital would, fare rela¬
difficulty under wartime condi¬ tively better under such a recap-,

it

States

Zealand, Fiji, Papua and New Guinea, i

traders

1935-39 average.
Load¬
ings of grain and forest prod¬

ucts

Banks,,

a41

In

of the

very

,

Is the oldest

largest bank in Australasia.
branches

revenue

dex advanced from 137 to 140%

was,

is

-

on

George Street, SYDNEY

of New South Wales

this
year
and, the
Board's seasonally adjusted in¬

con¬

January

reserves

business would

870

mid-January.

carloadings of

£150,939,354

change

readily adjustable to;
needs, and does not repre¬
tying up of capital in fixed

sent

and

freight, which usually decline
in
January,
showed
little

cur-;

levels.

in

of automo¬

sales

and

Office:

Bank

London,

actual

least,; turn

the

The

efficient

securities
for
one the event of higher taxes, espe-;
alone certainly would com-' cially a blanket "recapture" tax
with
volume
outlook
of of earnings over a specified re¬

"war

Head

and

essen¬

and

Government

pare

to

30th

DAVIDSON, K.B.E.,
General Manager

sea¬

tires

8,780,000

SIR ALFRED

partment store sales decreased
somewhat from the high level

flexible and

volume available in

doubled

A

of

restricted

were

uses

coal

holdings of $21,800,000,-

Aggregate
Assets
..Sept., 1941

than

less

and

the

6,150,000

of Prop.

£23,710,000

variety

stores,
much

sales

while

Sixthly, in the matter of taxes,1

program.

Despite expectation that the ra¬
pid expansion in commercial loans
would
soon
come
to ; a halt in

Value

available

000.

year

•

at record

Liability

In the first half of February de¬

civilian

by unusually!
and output of
petroleum
was
main-!

tained

Fund

production

.

banks, compared to Dec.

1941

31,

Reserve

New

weather,

tracts awarded

likely that about $20,000,of the 1943 deficit may
to be raised through com¬

other

declined

tubes

somewhat

crude

000,000

avail¬

various

in

in

demand

warm

appears

(ESTABLISHED 1817)

Paid-Up Capital iC—£8,780,000

of materials

use

is usual after the Christmas

it

so,

would

sugar

Reserve

department

son,

at;

rate;

Ltd.

Bank,

BANK OF

pending the estab¬
lishment of a rationing system.

production.

tailed

Deacon's

goods would be restricted. Sales
at

shut down for conversion*

armament

cember when

000,000,000 for 1943, and sale of
non-marketable
issues,
such as

have

for

stores

production increased in Janu¬
ary* following a decline in De¬

$2,000,000,000 for tne
$2,800,000,000 for the
1943 fiscal year, while increased
Social Security intake will be $2,-

Even

and

Williams

NEW SOUTH WALES

stores, and general merchandise

in-j

continued

trucks for

halted

was

use

to

financing.

near

December

and

cars

2-2280

257

at

market

non-1

however,

February,
of

and

1942

the

about

publicly—Treasury

investment of

and

continued

trucks

-

Australia and New Zealand

biles seased

were

borrowed

be

able

tial

light

£4,125,963

■.vAssociated Bank1'

distribu¬

that

and

the amount

and

York Phone

HAnover

1477

Teletype

pansion was undoubtedly indi.rectly stimulated by the defense

,

New

automobiles,

of

the. automobile

■'■•■

•

henceforth be rationed and that

in
iv

of steel

•

tires and tubes, new

new

dustry output of passenger cars

in the summer
1940 and appears to represent
savings bonds and tax anticipation
considerable part demand for
notes, would further reduce open

defense

of

Pfd.

Philadelphia

Street,

Phone

In

tained.

the credit facilities

necessity are

■private

Chestnut

1421
Phila.

meatpacking
activity
had

:iC-C; C

metals

fund

year ago.

January retail trade was
considerably
by
widespread anticipatory buying
of many products resulting from

declines at this season, was sus¬

H. N. NASH & CO.

lathes, for example, to expand

ret

&

3039

3-6s,

-

;

£3,780,192'

In

capacity in January and lum-;
ber production, which usually

Phila. Transportation Co.

a

stimulated

manufactured food

Production

Philadelphia National Bank

First, there is the factor of es¬
sential nature of the business for
the war effort.
The need for tur¬

-

paid)..-i

Distribution

announcements

ferrous

Lives etc.

on

the totahthan

tion of

year.;;

Girard Trust Co.

equities."

;

First National Bank

Bishopsgate, London, England

>£69,921,933

but. public projects accounted
a much larger proportion of

new high
decline in

was

258

offices,

DEPARTMENT

for

there was a further ad¬
vance in January and output of
other

Whyte
of

FOREIGN

Capital (fully

slightly " larger than last year,

pro-]
likewise

maintained
large volume for this time

Fidelity-Phila. Trust Co.

the
banks.
In fact, various factors
such as the following would in¬
dicate that under wartime conditions bank stocks are probably en¬
titled
to
classification as "war
interests of the war effort, as

in¬

ber,

products

J

'„/■•

:

risen to record levels in Decem¬

most

Nat'l Bk. & Tr. Co.

Corn Exchange

that industrials face as much, pos¬

where

industry,

a

3:

number

Total awards in January were

and

some

In the

CHIEF

Reserve

season.

1935-39

Activity at cotton

textile mills reached

"war equities"—that is, stocks which will

as

•

Manager

William

Total

ported in all classes of construc¬
tion; the decrease in residential
building being usual at this

some

r«apid

Chemicals

sharply.

rose

of the

industries

of

duction
are

is

activity were re-!
the machinery and

in

ported

1727

OFFICE—Edinburgh

•

of 1941, ac¬
cording to figures of the F. W.
Dodge Corp. Declines were re¬

and the
index
rose

Continued

average.

Dealers

there

170%

Charter

of the last quarter

season,

adjusted

further

HEAD

two-fifths below the level

some

Volume of industrial produc¬
tion increased in January, al¬

Gibbs, Manager Trading Department)

A.

States.

General

Production

CITY

NEW YORK

Royal

of general business
Retail trade was

summary

United

the

in

summary^

advanced, the Board's
points out, it adds:

Telephone: BArclay 7-3500

NEW YORK

1 WALL ST.

its monthly

in

Exchange

Stock

York

New

21,

conditions

unusually active and prices, particularly of unregulated commodities,

Laird, Bissell & Meeds

Exchange

Feb.

on

financial

by

Incorporated

Industrial activity rose further in January and the first half of
February, reflecting continued sharp advances in output of military
products, the Board of Governors of the Federal Reserve System

bonds

declined

some-

what.in, the first half of Febru-i-

ary,;-;.following
little -..change
.. the
previous . month,
while prices of short-term se¬
during

,

curities,, ,which
January,

.were

had*' risen vin

steady..,,

c

i

',V olume J15 5

Our

THE COMMERCIAL &

Number-4050

Reporter's
Report

the start of the
rent

level

to

year

a

of 2.77%.

Bond Series

from

2.85%

a

2.92%

a

A

cur-

ing

sJZtc.

"

FIRST MUTUAL TRUST

FUND

J'

Prospectus

request

on

basis to around

single

COMMODITY CORPORATION -

;

experienced
fluctuation, stand¬
at

now

3.10%

a

prospectuses

basis,

CAPITAL STOCK

Lord.; Abbett & Co.

upon request

One Cedar St, New York

63 Wall Street, New York
CHICAGO

Buss B!dg., San Francisco

: :

INCORPORATED

,

NATIONAL SECURITIES & RESEARCH CORPORATION

against 3.08% on Dec. 31.
The BAA classification moved
down from

Low-priced Common Stock Series

INVESTMENT

COMPANY

AMERICAN

have

less

even

MUTUAL

Income Series

/

,

figure, while

bonds

839;

A

Low-priced Bond Series

Preferred Stock Series

Double A bonds have eased

>

-

NATIONAL SECURITIES/SERIES

(Continued from first page) V
from a 2.71% yield basis at

/

FINANCIAL CHRONICLE

LOS ANGELES

JERSEY CITY

3.79% basis to 3.85%,

a

but has since recovered to

3.82%

a

level.

Taxing Municipal Loans
Followers of municipal securL
ties, who have been experiencing
end

no

of

confusion

of

quence

the

in

conse¬

A LETTER TO STOCKHOLDERS

Administration

for taxation

move

The Securities Salesman's Comet

of

such

issues,

have found the views of
Senator Prentiss Brown, of Mich¬

igan, recently expressed,
ing.
The

Senator, in

Mayor

reassur¬

a

letter to

of

Jeffries,

Detroit,

expressed the conviction that

they

if

at

look

stockholders

■

taxation

on

to

with

various

members;

of

Congressional

committees

having

of

of

sort

duals who might be

posed legislation.
efforts at retroactive

made

concerned, he quoted
a special com¬

pany's balance sheet and built a
letter around it which produced

charge

far

taxation

from-

as
are

such

pro-

report by

a

mittee which had studied the sub¬

a

ject and reported:

particular

a

interested

in

response

almost

came

the

are

study of

a

that

"We

replies

entirely

informed

best

com¬

and

from
sub¬

most

unanimously opposed
stantial investors in the entire list
to any attempt to tax
outstanding
of the company's stockholders.
bonds of Federal, State or munici¬
This is how he did it.
First be
pal governments, except insofar
as
they are taxable by their made a comparison of the various
terms or under the law and prac¬ changes in the asset and liabilities
tice

time

of

their original

for

previous.

year

he

Union

Electric

Scarcely

Sale

unexpected

announcement

by

Off

the

North

Company,
late
last
week, that it had decided to fore¬
the sale of 2,900,000 shares of

Union
souri

Electric

Company of Mis¬

stock.

common

The proposed sale had been

put

forward;

utility

by

holding

part of its

the

big

company

as

of divest¬

program

noticed

noticed

of

Public

the

But

officials

success

with

it

control

of

the

Missouri

as

debt.

The

assumption

that

other

with

future

lead

C

throwing

of

the
in

much

thus

,

indefinite /'•

the

which

will

North

o m p a n y

into

business

faced,

situations,

the

American

general

utilities,

similar

follow

is

of i

way

had

been

looked upon as current pros¬

before

pect

Pearl

<-

Harbor..,

the"

in

Then

Straw In the

Absence

t

of

bids

Wind

for

\

the

pro¬

posed offering of 62,000 shares of
preferred stock of the Atlantic
.

City

Electric

which

A

....

.

Company, indicates
the wind is blowing.

way

short

while

indications

that

at

vestment groups
market
,

least

four

;

.

decision
for

tric

to

hold

while,

a

their

there

is-a
up

last

have
Elec¬

stock

in

the

and

hands

of




them that

their bal¬

have

the

to

answers

certain

about

come

during the

In this

manner

pre¬

he

ac¬

quired

company verification for
the facts which he wished to im¬

pre¬

the

Likewise

year.

of

$500,000

This

assets

the past

during

long term debt

a

has

places

junior

incurred.

been

in

stockholders

who

on

to those

might

be

stockhold¬

interested 4n

>

He next sent

written

to

"question

the

a

letter which

stockholders

and

was

on

a

answer"

regarding
the
of the company and creates
that

hithertofore

has

not

Would you like to know

existed?

why this

done?

was

What

will

the.effect

be

on

your

companyMarch 2.

In

this

.

i
,

We Have made a study of these

;

wish to know the

questions
furnish

to these

answers

will

we

be

with

you

a

pleased

to

of this

copy

special report. Kindly

use

the

ply card which is enclosed
convenience.
Yours very truly,

re¬

for

instance

the

stock

of

busi-

$100

big

cultivating,
for
in
most
they represented the sort of

cases

individual that took

a

fairly

worth¬

interest in

an

and

investments

their
owned

foiio of securities.

ac¬

quainted

bring
clients
tion of

to
a

many
very

new prospective
impressive collec¬

valuable

holders.

Curtiss-Wright, stock¬

More

recently this

same

investment company led the fight

the

Missouri-Pacific

organization
ities

re¬

plan—a

plan which
place that railroad's secur¬

at

decided

a

compared

disadvantage

to those

of other rail¬

ways.

The

Trustees

Putnam

Fund

what

further

opposed

of

in

George

gone

that

step

a

the

have

some¬

they

that

have
being

was

taken in accordance with the gen¬
eral

requirements

Holding

the

of

Public

Company

Act,

administered
by
the
SEC.
Probably most readers are famil¬

this dealer

was

alert and creative

minded.. He did not wait for busi¬

to

come

to him—he used

his

sell

//

department

par

>

to

conclusions—then he had his

with

iar

the

North

American

Company's

plan to sell its hold¬
Union Electric Co. com¬

of

stock

mon

American's

(North

largest and most important in¬
vestment) and use the proceeds
to

the

retire

3J/2%,

outstanding

3%%, and 4% debentures. '
f It has long been realized that it
would be unjust to existing stock¬

holders

of

utility

holding

com¬

North

those

a

who

service

might

be

appre¬

groups

contem¬

-If lakes ideas to bring
these days.

Company stock¬

holders. They would be
asset
sale

returning
in

value

8

selling an
9% on its

or

order

retire

to

debt costing only 4% at the

a

maxi¬

-

:

hard tim&s.~~

'

-

•

,rv

.

so

sold

"In

in

| The stand taken by the Trus¬
of the George Putnam

is expressed

from

cerots

SEC:
t

Fund

in the following extheir

letter

to

the

; /-.;l;/>^////./
aware

of the

prevailing

market situation for the

securities
founded

due

fears

largely
that

3%%

/ ^
opinion the question of

our

not the North Ameri¬

or

Company is receiving a fair
price for its holdings of the com¬
of Union Electric

stock

mon

can¬

determined

be

not

by comparing
the proposed price with the price
which

at

similar

selling in
The problem
than

this.

North

much

believe

American

market.

open

goes

We

stocks

common

the

are

deeper

that

stockholders

being forced, without even
right of a vote, to accept an
the

the
are

the
un¬

hardship by the sale of

necessary

company's

most

important

holding

under market conditions
than those prevailing at the

worse

depths of the depression. We
also concerned

such

policy

a

the

over

are

effect of

utility values in
the ability of the

on

general and

on

industry

secure
new
equity
reasonable basis."

money

to
a

on

There

has

been

feeling

some

among investment dealers against
this move, because they believed
that business

get

was

hard

and that

anyway

offering

of

enough to
nice juicy

a

stock would

common

little money

in the pocket
for them. That is just the attitude
that

a

has

gotten

field where

the

investment

it is

today. It's only
human nature to judge a deal by
the way it sells alone rather than
terms

of

building

general

up

good will. But automobile manu(Continued on Page 843)

Aviation
Bank

steady stream of liquida¬
holding companies and an
on the part of
regulatory authorities."

i "Are the stockholders
North American Company

Group

Bond

Shares

Group

Shares

market

a

...

&

Shares

INSTITUTIONAL

well-

to

the

Group

Group Shares

Insurance

Stock

SECURITIES, LTD.

tion by

Prospectus may

of the
receiv¬

be obtained from

HARE'S LTD.

.

fair price for their most
important investment when they
a

retire

common

unfriendly attitude

ing

to

can

in

"The Commission is undoubted¬

ly well

order

.:://;•■■

whether

mean

mum.

faces

in busi¬
humble

for

bonds?

mer¬

rendered

best

today's markets? Is the

the public utility in¬
pessimistic that a sound
asset returning 8 or 9%
should

dustry

unfair to

obviously

was

American

ity preferred stocks. In our opin¬
chandising and / sales; department ion this situation reflects an al¬
go to work and build some new
most
complete loss of investor
clients/and contacts upon the confidence in
public utility equity
to

it in

outlook

as

tees

information.

seeking these securities/
It's our
vi« the competitive
bidding route, opinion- that any firm that can
but it remains to be seen whether, busy itself with creative methods
in view of general
circumstances,; of getting new business is even
they will go through with their today, too busy to worry pbout
_

believed would not be in the best

markets

replies to this letter were well

ness

„

was
largely re¬
sponsible for halting the proposed
Atlas Corp.-Curtiss Wright mer¬
ger, a consolidation which they

obtainable for the stock in current

person

also

was

ciate such valuable information.

'

tenders.

the Massachusetts

Trust

likewise

of

type

while

bonds, due in 1972, and/
34,000 shares of cumulative >/ foundation of

Several

1940

Investors

substantial port-

The

the

opposing

-

analyze
stocks of public utility operating
a
company's
position—then he
have
companies. Recent weeks
had enough initiative to establish
by
next •'Monday,
seen the beginning of a somewhat
a company contact to verify their
;../■'//'//: ////;/ ••'osimilar loss of confidence in util-.

gage

plated

where. In

would

,

The recent

turning around and appearing as
the champions of investors every¬

prices. Must today's inves¬
tors be penalized—by the SEC—
needlessly? Haven't most of them
taken a bad enough beating al¬
ready? ■
/
/'
'
/ ■■" <
/
] The George Putnam Fund Trus¬
tees opposed the Union Electric
Company sale because the price

answered

in

of

thought

companies—de-<£

lying operating properties at bar¬

who

always
community.

cried by the SEC as the despoilers
|
of the poor—are now, in a sense,

panies to force the sale of under¬

The -response -to this -letter- was

have

George Putnam Fund

gain

statistical

involves a total of $32,-' *
500,000 of 30-year first mort- *

preferred

| The investment

ings

arid certain other factors pertain¬
ing to the XYZ company.
If you

the

field

financial

the

Utilities

company?

ness

something like the following:

of- the Trustees of
of

a

position

debt

a

on

$400,000

over

knowing more about- the current
/. The idea presented here is in¬
position of their company. ' -/ *
teresting because we believe thai

.

minute

must

ferred

and told

value.

bids for Pennsvlvania

Company's, bonds

been

sheet and that he would like

vious year.

'/ '/

the business

bankers

of

ness

Pennsylvania Electric

,

Unless

borrowed

of

with the entire back¬
ground and history of the com¬
pany and as a result were able to

con¬

against the en¬
tering of competitive bids by such
syndicates before the time set by
company officials had expired on
'

officers

step
sale

against

states that it has
notes (an increase)

company

financial

Union Electric Co. of Missouri common stock by the
parent holding company—the North American Company—helps crystalize a trend away from the old "financial
community" attitude.

sist of?
The

in. the

themselves purely as part of the

interests of

had

militated

Tuesday.

stockholders.
the

to

of

amount

elements

$500,000?
know why? Do you know
what these assets happen to con¬

excellent.
lis!

a

studying

company

in¬

rr ;

unsatisfactory market

ditions

went

in the

your

interesting

secured

company's

he

were

would be in the
issue.

that

a

and

to why these changes

then

shows

/ The salesmen who answered the

,

'But

.

for

there

ago

of

studied

very

sheet

balance

fn the value of fixed

questions in regard to the change
in their financial picture which

ers
';

some

dealer

had

ance

to

factors

were

presented themselves.
the

he

Other

.// ////|/|/|/

latest

increase

Do you

company's financial situa¬

This

of

...

as

part later

^

of

for taxes of

reserve

nature

result

a

the

operating utility.

the

questions
tion

to assure
of this sale which carries

there was
notes payable

in

changes in the
since
last

cash

$650,000 and also that the
company had incurred some long

■•v

prevails

of

the

position

/

assets

in

There have been

important

The
an

stockholder

company.

He % In conclusion, the war is hav¬
of ing a definite bearing upon the
of many
businesses.
also operations

$500,000.

$400,000.

in

crease

ket

now

had

assets

about

recognized that it
would require a much better mar¬
than

instance

Accounts pay¬
able
increased
another
$100,000
and inventories as a compensat¬
ing factor likewise were up al¬
most $1,000,000. He noted an in¬

term

clause

fixed

increase

increase

an

similar

Utility Holding Company Act.

and

year

For

about

an

around

provisions of the "death

sen¬

past

about $100,000 but

ment- necessitated to meet the

tence"

that

increased

the

was

American

go

the

columns

the

the

at

issue."

are

Doe:
a

company's

interested in

what- might lie behind
an
annual balance sheet, a cer¬
tain dealer of our
acquaintance
knowing

Mr.
are

year.

the

as

So

■>

XYZ

indivi¬

tomers,

classified

conferred

Dear
You

some

salaries,

has

and

investing

have for potential cus¬
were people who could be

possibly

of Government securities and

he

There

security ^

lect to tax.

special committee

do.

to

happen to be the best informed and most succesful buyers of
securities.
Knowledge seems to be linked with success when it
comes

the

else

also

purchasing.
Realizing that the best pros¬
pects any securities dealer could

As head of

nothing

have

however, a small minority of people who own stocks that actually
take an interest in the affairs of their company.
These investors

it

was
unlikely the present
Congress would enact legisla¬
tion making such issues sub-

Most

something that the majority of

company's balance sheet is

A

-•Ay/;V &***##$ "MlV.'-v

THAT CREATED INTEREST

,

must

J

15

Exchange
19

Rector

Van

Nuys

Place

Jersey

Street,

New

Bldg.,

Los

City,

York,

N.

Angeles.

N.
Y.

Cal.

I.

?■
:

Thursday, February 26, 1942

FINANCIAL CHRONICLE

THE COMMERCIAL &

840

owned

Supervision of

State

FLORIDA

American

highway

haye

users

$12,000,000,000
in
gasoline taxes since that levy was
inaugurated in Oregon Feb. 25,
just 23 years ago, according to a
compilation
by
the
National
Highway Users Conference.

contributed

$10,000,000,000

Approximately
total

this

of

by

collected

was

States, the conference estimated,
the rest going to the Federal Gov¬
ernment.

reported in part

The conference

■

been

"

felt.

have

shall

"We

V

.

a

FLORIDA

experience in handling Flori¬

Our long

better

da

of this type of
travel by July 1," he added.

issues

gives

municipal
to

readers who may not
familiar with this most mod¬

For those

at

any

.

will

super-highway, its facilities
be better* appreciated by
pointing out that it runs 160 miles
between Pittsburgh and Harrisern

'

■

-

IIDCCHICAGO ILLINOIS

...

not

of

special

road
in

taxes for Revenue Bond

the

should

for

need

"The

pol-

sound

men

been

have

from

switch

their financial posi¬

is

It

use.

tion."

reductions

Pennsylvania Turnpike Toll
Set At $3,204,000
J.

Thomas

the

Evans, Vice Chair¬
Pennsylvania Turn¬

man

of

pike

Commission,

next

earn

ap¬

$3,204,000
in
its
operation ending

proximately
second

last

predicted

would

road

the

week

Dur¬
toll road

inally by traffic engineers.

the

first year
earned $3,000,000.
its

Evans

switch from peace to

Company of Omaha.

York State

offshoot of the hydro

an

the

system,

Consumers

Public

District of Nebraska, pur¬

Power

chased the western, southern and
central Nebraska properties of the
Western Public Service

Company
public power net-,
spread
into
every
county of the state except Doug¬
las and Sarpy counties.
the

recently,

work

was

Minnesota

Liquidating Rural

Credit Department

reject or reduce local bonds and
notes.

assets

states which check on
legality of local bond issues
through laws requiring their reg¬
istration are Missouri, Nebraska
and Texas. Pennsylvania reviews

George

argued that resultant
automobile travel

in

Brown

M.

Prentiss

Sen.

does
will

of

not

present Federal and
Taxation

from all

exempt

When

.

law."

think that
Congress
pass
legislation
change in passenger car travel" so taxing outstanding municipal is¬
sues.
This opinion carries confar, he asserted, because the full

New

Power

taxation under the income tax

income

the

from

outstanding

Among

N. Y. Local Finance

the

Law Considered "

is

r ■

.

The New York State

Legislature

expected to approve a proposed
finance
law
which
will

local

one

Michigan

centage of the turnpike's revenue.
There
has
been
"no
alarming

Interest

Nebraska

all—the

of

The

proposed law is "an act in

relation

affairs

financial

the

to

state de¬
affairs, and
Oklahoma, Texas, " West Virginia

local

in its

borrowing

partment of internal
and Wisconsin

during the last three years,

Jones,

C.

Rural Credit

1939, reducing it to $51,195,000 on
1942.

Jan. 1,

The department
has

now

has sold 3,964

the three years, and
hand available for

farms during

Many state laws prescribe re¬
tirement of bonds in, detail. Often,

conservator

Department, has just

reported to Governor Stassen that
the department has effected a net
reduction of $9,795,000 in its out¬
standing funded debt since J^o. 1,

through the attor¬

ney-general.

definite steps

in

forth

Setting

and

management

municipal¬

of

according

on

the' study,

to

■

acknowledged that the
war-time in¬
dustry caused a reduction in tfuck
traffic which supplies a good per¬
>

power,

companies except the biggest

sale only 778, including all ac¬
they quired during the three years.
ities, school districts and district specify use of one kind of bond
Fully 90% of the farms sold went
corporations." It will affect meth¬
only and set maturity schedules to local residents who intend to
able percentage of the total in¬
ods of financing by bonds, bond
without regard to the life of the
take.
Trucks and other commer¬
use them for their homes. Sale of
anticipation notes, tax anticipa¬ improvement, so that no alterna¬
cial vehicles account for a com¬
the remaining 778 farms will be
tion
notes, refunding of bonds, tive to meet local conditions is
paratively smaller percentage of revenue anticipation notes, and
completed by July 1, Mr. Jones
possible.
income in the case of the Bridge
said.
other
governmental
borrowing
States which authorize and ap¬
Authority,
i
operations.
The > proposed law prove local government bond is¬
Major Sales * * Y?
v 1
also places limitations on powers
sues through administrative agen¬
Scheduled
Congress' Against Taxing
to refund bonds, and it proposes
cies are Michigan, Kentucky, In¬
We
list
herewith the more
Outstanding Bonds
to fix a period of "probable use¬
diana, North Carolina and Louis¬

about the same as estimated

ing

Nebraska's

larger privately-owned

Bridge

Triborough

thing, it is pointed out
that traffic of the Holland Tun¬
nel and other Port Authority fa¬
cilities is interstate in character,
with trucks accounting for a siz¬

he said, would be
orig¬

This amount,

of

five

gob¬

the progress made in the liquida¬
tion of Minnesota's rural credit

bond

weigh more heavily against establish new regulations for bond
income of the Bridge Authority issues and other municipal gov¬
than that of the Port Authority. ernmental borrowing operations.

of
Sept. 30.
year

all

iup

have

ing

will

For

hydros

suc¬

after

State and municipal bonds to

some

ing and restrictions on manufac¬
ture of tires for ordinary civilian

steps

take

should

stabilize

quick

recommending a

to

ness

forms, includ¬

in

now,

reporting and reviewing of
bond issues, or have set up ad¬
ministrative agencies to approve,

light of automobile ration¬

in the

rigid regulations on

debt procedure and

Congress isubjecting

present

Authority obligations into Port of
New York Authority obligations

and

ation,

statutes with

probability

no

that any measure will pass the

tax¬
administration is
greater than ever, and states
with large highway indebted¬

icies of highway finance,

is

there

that

provided Switch
Suggested
constitution of 11 States,
be speeded and expanded.
According to reports,

the

years,

$ome states, the study showed,
supervise debts of school districts

now

as

And

was

New acquisi¬

followed

bled

since its in¬

automotive

purposes,

rocky.

so

tions

follows:

"For the first time

scoffed:™^

do it."

;

-

cession.

pedestrian traffic, stop signs and siderable weight since Mr. Brown
left turns, has 153 miles of four- is one of the chief agitators for only, merely checking on the le¬
gality
of
bonds, while
others
lane divided highways, two con¬ the elimination of the tax-exempt
authorize debts of nearly all mu¬
ception, the American gasoline crete 12-foot lanes each way with status of such securities.
tax finds itself in a war economy.
nicipal units, and handle the debt
a
10-foot center strip and 10-foot
Jeffries
of
Mayor
Detroit, service—payment of interest and
Revenues of the States from this
shoulders,, and is fenced all the whose
city is contemplating a principal—directly. In still other
levy, instead of expanding, as in way.
Total cost was $70,000,000.
refunding
operation,
re¬ states supervision applies only to
the
past, may contract for the Tolls are about 1 cent a mile for large
questing an expression from the local borrowing for an emergency
duration of the war because of
passenger cars, more for trucks.
Michigan Senator on the subject, or to municipalities in default.
rationing of tires and automotive
Earnings
are
expected to pay received this
response:
In
attempting to keep local
products.
Conservation of tax operating costs and amortize the
"i have no hesitancy say¬
revenues by the States is needed,
government debt on an even keel,
bonds in 15 years.
various states have either enacted
and the trend toward dedication
ing it is my present judgment
as

never

From then on the road

loans.

back

burg, it is wholly free of grade
railroad crossings, cross and

and

the

grandiose
between 75

would vtake

first deal.

certain

the debt load of
in terms of
economic ability to pay

their

,

over

the

But officials of the hydros kept
plugging away. Stymied at every
turn, it was over three years be¬
fore they were able to close their

units

local

looked

10() million dollars.

"They'll

passing
the form of local debt, and

the

who

figured

The general public

f controlling

■

R.E.Crummer S. Company
1ST NAT BANK

concerned

are

making

with

chiefly

project
and

bond issues are legal,
on

may

states

The

glad

be

regarding

inquiry

state supervision

of local finance.

obligation.

no

according

scope,

study by Public Administra¬

tion Service on

comprehensive

a

We

bonds.

answer

them

us

familiarity with these

of

background

a

wide

to

narrow

to

v

conception

be

provision
for • overseeing
local
debt adrrtfSiStration, though the
extent of control varies from very

MUNICIPAL BONDS

has not

rationing

tire

of

effect

situation

Nearly all 48 states have some

Municipal News & Notes

monopoly.

power

Bankers

Local Debt Administration

Income

fulness" of the improvement cov¬
cannot

issues, so that bonds
beyond that date.

run

Those

handle local debt

which

offerings

municipal

important

iana.

ered by bond

($500*000 or over — short term
issues
excluded), which are to
come up in the near future.
The
names
of the successful ^bidder
and the runner-up for the last

service directly instead of merely
private $. audi ' supervising it include West Vir¬
public
ginia, Kentucky and Florida. The
sale of bonds, forms of no- y
West Virginia State Sinking Fund
previous issue sold are also ap¬
tices, data for notices,- and
Commission, about 30 days before
pended.
,
;
•
debt statements, also are in¬
local budgets are made, certifies
cluded in the proposed legis¬
amounts necessary for the munic-.
;
Feb, 26th (Today)
lation.
*' *"
ipalities' debt service for the year, $8,673,000 Louisville Munic. Hous¬
Involved in the proposed legis¬ and on July 1 the local tax units
ing Comm., Ky. :
lation are counties, cities, towns, pay this
interest and principal These bonds are being issued to refund
school districts, villages, and spe¬ into the fund.
two
outstanding issues of bonds of the
above Commission.')
cial districts such as light,-fire,
The
states
maintaining
close

of.

Methods

,

public

sales

of

notes,

;

.

M

§g
$3,065,000
|
|K
City of Rochester, New York
.

inclusive
March 1, 1943 to 1952, inclusive

$1,235,000 February 1, 1948 to 1952,

Due

Due

$1,830,000

Legal Investment, in
and

These Bonds,

our

opinion, for Savings Banks

Trust Funds in

to be issued for various purposes,

of counsel will constitute valid and

gations of the City of Rochester,
rem
r

in the opinion

legally binding obli¬

without limitation

as

city

at

to

„

t

super-vision

until

gan

der

to

approval

of

when,

legality

halsey, stuart &, co. inc.
GEO. B. GIBBONS&CO.

stone &, webster and blodget

INCORPORATED

INCORPORATED

Research.

and New Jersey. As a result
procedure, un¬
which the state audits local

1940, according to the study.

;

The

last October

callable
bonds

the first of the

in

1921

in

and

unless

bacon, stevenson &co.

INCORPORATED

equitable securities corporation

firsItofmichigancorporation

points

„

sions

5^4%

February

1,

1942

and

March

1,

years.

bonds

bonds,

a

A $4,543,000 block of these
turned in for others

were

only
and the re¬
$4,457,000 were called
for payment.
The saving is esti¬
mated at $970,000.

otis &. co.

bearing

maining

g.m.-p.murphy&co.

Principal

and

semi-annual

1 and September 1, payable in
New York City.
Coupon bonds in the denomination of $1,000, registerable
as
to principal and interest.
The information contained herein has been
carefully compiled from sources considered reliable, and while not guaranteed
as to
completeness or accuracy, we believe it to be correct as of this date.




of

• :

statutes,

<'

state

for $1,050,000
4V4% bonds, due Mar. 16, 1972,
and callable at the city's option
on
Mar.
16, 1942, will be 're¬
deemed in its entirety.
The sav¬
ings on redeeming it 30 - years
third

issue,

before its due date

will be about

$300,000, said the bureau.

dexes; of

county awarded an issue to
headed. by the First Boston
whose bid topped that placed
Harriman Ripley & Co., Inc., and as¬

Last

the

May

a
syndicate
Corporation,

by

sociates.

and

ual

into

from

working

in¬

and

credit

measure

tax loads would

for

and

permit adapt¬

of standards to individ¬

news

bond

$975,000
sale

Sheffield, Ala.

bonds

These

were

•

originally scheduled for
Most recent sale of

12th.

Feb.

on

bonds by

this city took place in 1937.

March 9th

Y

$650,000 Tarrant Co., Tex.
Last
a

April,

issue to
the Harris Trust &
whose bid topped
Rauscher, Pierce & Co. of

the county awarded an

syndicate headed by

Savings Bank of Chicago,
that

entered

Dallas,

by

and associates.

March

10th

Ohio bonds was awarded last
Bosworth & Co., and Ryan,
Southerland & Co., both of Toledo, jointly.
Second high bid was entered by Strana$1,112,000 Lucas Co.,
A

small

June

to

issue

of

Braun,

Inc., of Toledo.

Empire
years

ago,

come

spring,

leaked out that directors of

Nebraska's

three

PWA

-

con¬

hydroelectric
projects
were
playing with the idea of
buying up all the private power
companies in the state and make
of Nebraska one huge publicly-

structed

any

/•>V;Y

han, Harris & Co.,

Nebraska Now A Public

Five

negotiated

not

has

city

sales recently.

capacity
debt

cases.

Power

This

so...

suggests
that
review

communities

ation

been

written

public

Feb. 28th

$526,000 Monroe, La.

super¬

not

when

fiscal aid to
of

provi-;

debt

administrative

agencies,

;

state

local

have

successful

'

newburger, loeb&co.
1942.

interest, February 1 and August 1, and March

February 26, 1942.

batch

Wylie

Dr.

by

that

out
for

vision

not maturing

called.

study,

;

$2,000,000 Harris Co.,,f Tex. I

.

Kilpatrick, finance authority,

$9,000,000 issue bearing V/4% in¬
terest, was floated in 1922 and
called on Feb. 16th though not
due
to
mature
for
another
10

The

Dated

second

(INCORPORATED)

e.h. rollins&.sons

Michi¬

of

$8,804,000

1971

The

Feb. 27th

local debt serv¬

of the New Jersey

;
as and if issued and received by us and subject
by Messrs. Reed, Hoyt, Washburn & Clay, whose
opinion will be furnished upon delivery.

These bonds are offered

over

ice include North Carolina,

by buying in and partially re¬

issued

yield 0.40% to 1.70%

,

It saved $6,911,000
27

issues,

Prices

protection dis¬
"
.,/

least

of Municipal

funding

to rate or amount.

.'

Philadelphia will funds, and computes and certifies
$8,180,000 by re¬ to the local officials each year the
financing and redeeming its first amounts required for debt service,
three callable bond issues ahead total deficits of nearly $5,000,000
of time, according to the Bureau in 1916 had shrunk to $22,605 by
The

payable from ad valo¬

against all the taxable property therein

taxes levied

fire

,

Philadelphia Effects Big
Saving in Bond Refinancing
save

York State

New

and

water,
tricts.

1.70% Bonds

N. Y. Stock Exchange

Weekly Firm Changes
George

Douglass

Debevoise,

general partner in Struthers &
Dean, New York City, will be¬
come
a
limited partner as of
Feb. 28.

"

THE COMMERCIAL & FINANCIAL CHRONICLE

Data

available

findings

in

the

SEC

the volume of

on

ondary distributions

sec¬

both the

on

New York Stock Exchange and
New York Curb showed
that

the
Last week

the

Bond

Association
between

1

yardsticks

as

of

the

for

Fixed

Charge Coverage.

minimum
after

should

income

be

ratio

as

months

should

be 60%.

3.

Property to Operating

in

Terming
this
ratio,
production" as an indica¬

tion of the
dollar-1 of

of

that

the

minimum

plant,

net

of

ble,
set

minimum ratio of 12%

a

Net

was

Property.
return"

This so-called "rate of

should

not

exceed

7%

7.

Net

be

as

a

minimum

tomers

19%.

of these tests.

SEC.

Gas

The two bonds

while

Public

short

with

Service

8.8%.

Electric earned 5.8%

se¬

falls

Pacific

callable at

the

107V2 to June

1942—at
In

the

lower

prices

of

case

the

Gas

while

requirement

Pacific 5 Gas

the

Public

Service

bonds, the
"market price is 3 points above the
call - price. ■ The
accompanying
table applies the seven basic tests
to both
v

„

six

the

of

out

tric

bonds

the

better

tion's

of Northern Illinois

tend

to

indicate that

staff

the

would

Fixed

'Fixed

Chgs.
Times

3»is,

to Net

Earned

*Net

Prop.

& Maint.

The

from

tions

Prop, to

to Op.

Op. Revs.

Revs.

:

•

Val. of

Fd. Debt

to Op.

Prop.

on

30,

107J/4

3.09

1968. 109%

December

1941.

obtained

*2.82

46.6%

5.59 to 1

18.3%

12.6%

exchanges

conduct

of

an

2.99

31,

H Nine

1940,

HI.81
balance

ended

x75.9%
sheet

x3.49 to 1

and/or

September

15.6%

income

30,

8.8%

account.

1941.

x

Net

the

ended

unstated amount of intangibles.

of

the

stocks

of
the

Growing Importance Of
Secondary Distribution
(Continued from First Page)
portions of their assets in liquid
form. Finally, portfolio changes
by investment companies which
had become intrenched by the
middle 30's
ers

of

blocks

holdings,
port.

substantial hold¬
of

involved

issues,
-

as

.

better-known

sales of

according

./

large

to the

re-

■

markets.

dollar
to

-

meet

the

reaction

quester the American securities
then owned by
^

.A

At

the

time
development

another

its nationals.

"After much discussion of

rious

methods

va¬

of

converting
these securities into cash, J. P.
Morgan & Co., was retained
assist
these

in
_

the

assets,"

liquidation
the

report

stated.

-

The

British

Government, in late 1940,




com¬

was

the

sec¬

ondary distribution technique."

FIRST

•

of BOSTON

Agencies in Principal Cities Coast

MUTUAL LIFE INSURANCE COMPANY CHARTERED

to

Coast

IN AMERICA—1835

SEC

tian

Fastnow,

partners; Carl M.
St., Brook¬
lyn, N. Y., a sole proprietorship;
The following applications for Clyde F. Frost Co., 24 Federal St.,
registration as brokers and deal¬ Boston, Mass., Clyde F. Frost, sole

Applications For
Registry

Broker Dealer

ers

has

curities

been made with
and

Exchange

the Se¬

Commis¬

Trotte, 115 East 21st

sion

the\r„eport

on

proprietor.

::

Jan.

the dates indicated:

consin National
Bank
Building,
Milwaukee, Wis., Hugo A. Schlick,
Jr., formerly an individual dealer,
Jan.
York Stock Exchange approval
19, 1942—H. P. Demand sole
proprietor.
sinc6 1931 and on each offering and Associates/100 North La Salle
Jan.
27,
1942 —Cameron
E.
done with the approval of the St.,
Chicago,
111.,
Herman
P.
Shropshire, 1223 Fair Building,
New York Curb Exchange since Demand, sole proprietor.
Jan. 20, 1942—George J. Mor- Fort Worth, Texas, a sole pro¬
1938.
iatry, 34 Westminister Terrace, prietorship.

and

finds.

LIFE INSURANCE COMPANY
George Willard Smith, President

officers.

important of which

study

secondary offer¬

NEW ENGLAND MUTUAL

Jordan

sion

swelled

★

secondary

ings still further, the Commis¬

the number of

*

★

with

to

r

account of the regu-

an

on

distribution

obtained,

same

19,005,000

formation

"Acting in an agency
capacity, Morgan proceeded to
sell these securities through Va¬
rious channels, one of the most

.-outside

over-

ments which affect the conduct

purchases

..$

REPORT GLADLY SENT UPON REQUEST

of secondary distributions
of
exchange stocks.
Another ap¬
pendix provides statistical in¬

appendix

contains

country
extraordinary de¬

mands of its war-time

of

latiohs of the exchanges and of
the State and Federal Govern¬

this

led Great Britain, shortly after
the
outbreak
of
war
to
se¬

of

Offerings Factor

the

in

ANNUAL

24, 1942—Robert Hawkins
& Co., 10 Post Office Square, Bos¬
Jan.
17, 1942—Irwin Dilling- ton, Mass., Gerard Hawkins, Jr.,
worth Odinov, 940 Remsen Ave., and officer in addition
to Robert
Brooklyn, N. Y., a sole proprietor¬ F. Hawkins, George T. Curley,
ship; H. P. Hayden & Company, W. Frederick Spence and Robert
120 South La Salle St., Chicago,
Duncan.
111., Herbert P. Hayden, formerly
Jan. 26, 1942—H. A. Schlick In4
President, now sole proprietor, vestment
Bonds, 802 First Wis¬
Fletcher
Lewis
and
Wm.
K.

An

The need to establish

balances

to
British

large blocks of

stock in the American securities

516,962,000

in¬

exchange market

during the course of these
the-counter offerings. •
menced to offer

..$

offerings, the char¬

presented

includes

535.967.003

opera¬

the offered stock.
In addition, a statistical study is

H8.8%

months

account

.5

sec¬

purchasing

xG.4%

J 12

plant

A

Unassigned Surplus
COrY OF

conducted in recent years
summarized statistic¬

stocks in

months

i..:

Liabilities

the

sources of the stock
sold and the types of customers

}19.3%

127^1,000

..$

of

are

acteristics

Life Insurance.

form.

modern

of

.$1,658,971,000

.

Increase of $34,261,000 over last year

origination to completion.
aspects

before

More than double the total at the end of 1929

an¬

of

present
a

ever

,

contains

its

.

than at the end of 1929

more

than

Includes $8,850,000 for 1942 dividends
V
Includes $3,000,000 Special Contingency Fund

functions

to

Force

more

Assets

in various

report
the

•

1941

Including Additions and Revivals
.12% mora than in 1940

and

number

dealers

in

31,

38%

and

Rev.

5.58%

in

goes on, even

below:

S1 millions

from

volved, the

19G6.

growth still

days, is evidenced by the 1941 financial

DECEMBER

Commission's

of

value of the

Inc.

to Net

and depressions of

98th ANNUAL -STATEMENT

ally, including the volume and

Net

:

Inc.

so

★

con¬

statistics

considerable

a

Various

also

Opsr.;

•

to Par

wars

★

ondary distribution is described

North.

1st 3i/2S,

'Based

the
upon

securities

The

Pacific Gas & Electric

Pub'ic Service of

these difficult

parts of the country.

"Net

Chgs.

*Depr.

Debt

their

critical economic periods.

That this consistent

definite ad¬

lor Fxd.

Yield

by

studies

material

brokers and

better operating

a

'

Price

field

and

from

'Inc. Avail.

Illinois

of many

New

other

sounder mortgage.-

a

wage

has steadily gained in strength in spite

Insurance

extensive

above, and—if the
anything—a bond of a

with

to

England Mutual helps win both victories

—

port is based in large part upon

of

points

record and

for freedom from

war

continue

Company has provided steadfast life insur¬

stock, exchange mar¬
kets, members of the exchanges,
and the buying public.
The re¬

its call price instead of

near

tests prove

world

protection through the

century

blocks of

operation

company

September

a

secondary offering and of the
developments during the past
decade which have brought the

three

issue.

a

must

of

alysis

fixed charge coverage and as¬

*

sellers

upon

vantages lay in switching the lat¬
ter
into the Pacific Gas issue.

In the first two basic ratios—

'I':: ^

effects

ing

per¬

formance of the PUblic Serv¬

1st & Ref.

This
ance

secondary distribution
exchange stocks and it ap¬
praises the secondary distribu¬

shows

3V2S,

/

counter

intended

Illinois

"

'

mag¬

shorter by two years, a bond sell¬

seven

tests, the Pacific Gas & Elec¬

ice

Northern

*

essential industries.

of

competent analysis, the results of

of

x

*

educations—by investing in Government Bonds and

are

These advantages include an ap¬
preciably better yield, a maturity

bonds.

In

brokers

fight

families

And New

nitude of the modern over-the-

&

stated above, these
to replace

as

not

are

,S'

'

*i

•—by protecting the home and assuring children's

the

ducted

Although,
tests

1

•

part of our way of life.

a

statement

issue, the market price is below the ratios applied to the Pacific
the current call price; in the case Gas & Electric and Public Service
of

and

V

The present report studies the

19.3%.

thereafter.

Pacific

minimum

19%,

The Public Service 3V2S
109V\ to yield 2.99% and
callable at 106^4 to Oct. 1,
at

are

vital

with

development, nature and

Pacific

are

1945.

1,

sell

Dealers

:

struggle for the personal independence which is

effect¬

more

-

nations

aggression,

following to say regard¬
ing the contents of the report on
secondary distributions:

net plant,

on

*'

'

Wen,

'

far

Gas

J

re¬

In its release of Feb. 19 the SEC
had

Ref.

are

from fear and want
t%

believing
that
customers are more likely to
purchase, during the course of
a
secondary distribution, in the
knowledge that the stock is be¬
ing widely bought at the same
time throughout the country.

Gas & Electric against 6.4% in the case of Public
3M>s» 1966, and Public Service of Northern Illinois. In
Service Co. of Northern Illinois the final test, the ratio of net in¬
1st 3M>s, 1968.
The Pacific Gas come to gross revenues, Public
bonds sell at 107% to yield 3.09% Service realized only 8.8%, against
and

attention, the

make

men

credited

charges to par value of funded
debt gives Pacific Gas a figure
just over the minimum of 12%,

comparison of two
public
utility mortgage bonds, using the
above prescribed ratios, will tend
to show the practical application

&

fixed

a

customers

tion is concentrating on the sale
of
the
same
issue, says the

ratio of income available for fixed

should

A

1st

at

some

Income

ratio

lected

obtained

Also,
that they

ive sales efforts per man when
the whole of a given organiza¬

to
Operating quirement of 15%.
As confirmation of
the first
Indicating the balance
earnings after fixed charges, test—fixed charge coverage, the

this

WIN FREEDOM

pur¬

brokers' angles, executives
believe that salesmen and cus¬

Revenues.
of

like

a

Exchange, inas¬
large block of stock

and

18.3%
compared
with
15.3% - by Public Service,
both
having exceeded the minimum re¬

as

sec¬

From the investment dealers'

charged

maximum.

a

Pacific

that

reveals

test

Operating Income to Net

families

results

port points out.

charge coverage, is
that of depreciation and mainte¬
nance to bperating revenues. This

up.

6.

with

called to their

fixed

with

of these

are being offered
type of security infrequently

a

Depreciation and Mainte¬
to Operating Revenues. As
The maximum figure for the
a measure of adequate allowances
ratio of net property to operat¬
for
replacement and wear and ing
revenues
has been set at
In this test, the Public
tear, a minimum of 15% should 5 to 1.
be charged annually.
Service bonds lead with a ratio
5.
Income Available for Fixed of 3.49 to 1, against 5.59 to 1 for
Charges to Par Value of Funded Pacific Gas & Electric. An ex¬
Debt. In order, in comparing com¬ tremely important ratio, which,
panies with bonds of varying cou¬ as we have seen, ties in closely

rates, to eliminate this varia-

be

find

nance

pon

tAmerican

the
a

price.

60%, the ratio in the case of
Public Service is 75.9%.

4.

as

may

of

maximum

helped thousands of

in

savings in commission

on

much

compared with

allowable

the

should

be 5 to 1.

initial

involved

success

compared

chase

represents 46.6%

Gas

the

as

stocks

distributions

as

Whereas funded debt of

1941.

investment,

months

nine

Pacific

produced per
it
was

revenue

first

the

of

ondary

30, 1941,

Sept.

companies

from the

12

the

1.81 times for Public
Service of Northern Illinois

Revenues.

shown

ended

IW mm MUTUAL

has

there

predominance

insiders, estates and invest¬

view, the

charges

-

against

Net

"asset

fixed

times for

2.82

1941

From the customer's point of

%

Elec¬

&

time,

growing

secondary distributions.

ahead

Service

Gas

shows

tric

earned

protection,"

maximum

a

Pacific

that

a

sellers

Pacific

far

Public

the

3^4s.

"asset

stand

S^s,

of

times

2.75

the

protection

Gas

The

taxes.

Representing
this

Since
been

ment

Fixed Debt to Net property.

2.

of 1941.

ra-^
set

A(]aic:in

■

British

relative

.

.

these

in the second and third quarters

Bankers'

State

of

measurement

were:

1.

selected by

were

York

New

the

of

process.

Briefly summarized, these

tios

ratios which

seven

Conferences

of

.operations dropped appreciably

values
various public utility bonds.
This week we apply these
two bonds in order to show their value in an actual analyti¬

ratios to
cal

discussed the

we

Portfolio

volume

841

each

effected

Copies of the report
upon

Publications

New

may

be

request, from the

Unit,

Exchange

Securities

Commission,

Washington, D. C.

.

V

,

West

having

Orange, N.
prietorship.

withdrawn

J.,

a

sole

as

pro¬

Jan. 29, 1942—R. W. Proctor &
Company,
30
Broad
St.,
New
Jan. 21, 1942—Adams-Fastnow York, N. Y., Ralph W. Proctor,^*
Company, 215 West Seventh St., Harrison M. Haverbeck, formerly •
Los Angeles, Calif., Wilbur Ver¬
officers, James P. Huegel and
non
Adams and William Chris¬ Alexander A. Kalen, partners.
-

v

i
4

A

THE COMMERCIAL & FINANCIAL CHRONICLE

842

ity placements are absorbing an
proportion of capa¬
city, and output of heavy con¬
sumers' goods is being curtailed
substantially further.
Civilian

Report On Business

following extracts which we give
from the "Monthly Review" of the Federal Reserve Districts of
Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta,
Chicago, St. Louis, Minneapolis, Kansas City, Dallas and San
is reported in the

districts

Francisco.

.

-

First

Boston, in its "Monthly Review"
of Feb. 1, reports that "in New
England
general industrial ac¬
tivity during December increased
over
the level which prevailed

allow¬

November,- after

during

had

ances

for

made

been

cus¬

tomary seasonal changes, and was

considerably higher than in

De¬
cember a year ago.
Most of the
important industries contributed
the

in

increase

level."

ther states:

117

de¬

bank

The

trend, a point below the
figure for November, but eight
points above that for December,
1940.
During
1941
the
index
ranged from a low of 103 in Jan¬
uary to a peak of 114 in August."
ing

the

five months of the
determined largely by

last

was

fluctuations in the volume of

December

in

increases

and

each

the

of

a

six

ago

year

reported in

were

The

States.

higher
these

this

in

further

from

December

to

ordinarily

when

decline;

some

were reported
in both
durable and non-durable lines.

)

The

of crude

output

electric
and

also

power

of

production

New

England

volume

sales

for

than

reported by
preceding

was

anthracite mines declined

at

10

12.1%

were

dustries

steel, aircraft,
shipbuilding,
and
machinery,
resulting in a further advance
in the producers' durable goods
component.
On the other hand,
drastic curtailment
of output,
especially of passenger automo¬
biles, caused a sharp reduction
in the index of production of
consumers' durable goods. Out¬

larger than

during the corresponding period
a

and during the 52
ending Dec. 27,
1941,
ago

year

weeks

17.9%

were

the

the

over

corresponding

total

for

period

such

in

1940.

Total

in

cotton

put of non-durable goods in the

raw

aggregate,

even

/'

ton

amount 35.6%

an

total for the

Second

the

(New

In its Feb. 1

York)

■

the

over

preceding

year.

"Monthly Review"

recent

tendencies

in

non-defense

industries

ther
meet

war

of

more

loadings

car

that

the

freight
After

greater

a

tent than usual in

of
ex¬

January, but

movement

increased
adjustment

of

bulk

somewhat.

for

were

than usual.
1941

Prod"«*ion

and

pocds—total

Durable

Primary

goods

Miscellaneous

over

VeloHty

Oct.

Nov.'

Dec.

108

lllp

llOp

116

117p

Bank

serve

lines.

New York
Outside
p

New

available upon

Third

of work

The

at

in

were

consumed

to

Such

evidenced

it

year

close

lines.

most

due

were

as

following

regarding

busi¬

consumption

-

Reserve
31

District

"Monthly Review" of the

In December department

of

to

consumer

demand

industrial

activity at high levels."




longer

a

value

contracts

of

work

construc¬

been

which

awarded,

the awarding of

lull in

Government

of

budding.

the

and

contracts

curtailment

non-essential

Department

store

sales increased by less than the

30

a

,v

2%

was

usual amount in December, but

substantially higher than

were

in

the

corresponding month of

1940.
Twelfth

15%

by

more

than

year: ago.

-Ninth

(San

Francisco)

V-The

Federal

Reserve

Bank'of

103p

lOlp

95

90p

76p

105

107p

109p

125

124 p

123p

111

113p

104

112p
107p

lOlp

98p

103

106p

than

high level for the month.

contrary
trend.

107p

109

110

126

,

69

'

corded

the

to

90

/

Life insurance sales rea
substantial gain, con¬

in

ed

HI

say

Bank's

64
93 ;

District

on

to

in part:
further

as

orders

ex¬

for

essential equipment and
plies

continue

Operations

to

sup¬
increase.

against high prior-

U

::

Bank

of

Chicago

ber

,

we

of

war

has

been

one

intensity rather than direction

"a

was

-

review

of

economic

1929.

1941

the

District

during 1941 reveals
marked expansion in all sectors
of the economy to levels substan¬
tially above anything attained in
the past.", ; The bank's summary
serve

further

states:

Gains

farm
more

farm

and

programs

::

than

year

were

i

war

programs,

did

more

but
than

of
production,
employment," urban
income, and retail
itrade. Under, their impetus, the
r a

levels

s e

■building,

:

/"and

farm

•

i^framework of the Twelfth Dis-.
.trict

:!

/

has

economy

been

mate-

rially altered.
Its central
ports now include large
,

craft,

shipbuilding

and

sup¬

air-

metals

:'

industries. These programs also
made Imperative, in the district

/

and

in

the country as a

f increasing

the high¬ /
Decem-

income

the

during

,/traceable primarily to the.de?

to

highest

Cash

was

record

loans

develop¬

ments in the Twelfth Federal Re¬

on

[deposits

of

its /"Business

whole,

i Government-

direc-

tion of economic activity, par¬
ticularly cf a character to promote the diversion of materials

from

and

double

facilities

to

essential

tary purposes.

1940.

mili¬
,

N

expansion" in aircraft,
Tenth (Kansas City) District:
shipbuilding and metals proWith regard, to business in the V-during facilities and in output

Tenth

declaration

cash

in

•Vast

Reserve
of

for

December

reports

the

larger

new

est since World War I.

"Busi¬

following

reached

since

income

"the change in the business
situation in the Seventh Federal
District

bank

Member bank

customers

hogs

that

-Member

expanded further to

total-

District

17 review of

volume

•

was

highest December level

levels.

Conditions," the Federal Re¬

serve

Industrial production has

panded

ness

its Feb.

business

December.;

than, in November and reached
record.

t

(Chicago)

Northwest

the

lower.

Seventh

....

during

Francisco,

Bank

Conditions" of Feb. 3, states that

>

v

level, and residential contracts
were

Tabulations of back data

goes

volume," and' pig

larger

..

[

award¬

tile activity declined somewhat
from
the
record • November

95

summary

were

—

70

"Monthly Review":

seasonal

usual

iron production increased. Tex¬

127p

/

District in¬

Sixth.

less

Wholesale trade also increased"

105p

94
•

new

the

San

Reserve

/. these

District

103

in

creased

Federal

The

./Tense

(Minneapolis)

store

[

above

seasonally Minneapolis has the following to
but, nevertheless, established a report in part in its Jan. ,'28

1935-39=100.

The

requirements and active

mills increasing out¬

The

porary

-

pri¬

electricity

users

November and

the

is from

Federal Reserve Bank of Atlanta:

request.

<view" for Feb. 2- states that "war

through

mills

high level

a

exceptionally large
during the fall, declined sharply
in December, reflecting a tem¬

marily to shortages of materials."
The Bank's "Review" for Dec.

some

had

was

sales

89

of

The Bank

textile

cotton

tion

capacity

declines

at

maintained at

week.

activity

131p

60

City_i.__________

amtaininer

but this

maintained

cotton than in any earlier

struction contracts

,_

Bank

effective

most

effort."

put

seasonal

industrial

years

day period,

eral

Deposits*

District

their

war

with

...

has dropped somewhat in the holi¬

prac-

every line
time, and many
multiple shift basis.

mills

past

than

more

144p
119p

96

from 1919-25=100

tions
were

high

129p

101

Philadelphia, in its "Business Re-

are

sev¬

was

conditions in the Sixth Fed¬ V industrial

In

and trade

in

very

12 Op

101

R^sc^ve

In

full

j went on a
'i Cotton textile

"Adjusted for seasonal variation. These series have been revised and

Federal

ran

that "industry
the Eighth District

139p :

116

fPhibdriuhia)

cember

tically all plants in
v

average)

York

Preliminary.

at

of

Bank

Reserve

128

95

average)

the ha«e period changed

industry,

for

in the

the

118

106

■_

consumer

Citv___;

In

accelerated

rearranging fa¬

are

reports as follows
in. its
"Monthly Business Review" of

103%.

to

or

Feb. 1.

levels during
December and early January, fhe
Richmond's
gain in volume of trade in De¬

of

either

have

cilities
use

reports

trade

held

"Monthly Review" of Jan. 31. The

eral

101

138

91

average!

(100=1936-39

Federal

Louis

and

1940,

bulletin goes on to say:
New records were set in

117p

105

goods____

services

n-mand

The
St.

levels

it is indicated in the Federal Re-

Wares Kates
(100=1926

record

near

terials

;

during

attained in the second half of

Co«*. «f IdHng. Bureau of Labor Statistics
(100=1935-39

the

capacity,

-

ness

1941

103

nondurable

goods—total

to

rate

indirectly associated with the pro¬
duction or handling of war ma¬

•

accelerated

an

-

Production of crude petrolestimated / eum and of refined products
h January production was 1.300,- / rose to new peaks in December
and a further gain in the out000 net tons, or about 20% of
put of crude oil is indicated for
| the total for the nation. January as a result of increased
Eighth (St. Louis) District
/
production allowables.
Opera¬
tive

District

district

at

supplies, but most
of the establishments directly or

ingot

109

distribution

Distribution

Reserve

continued

the

through

affected

curtailment of

On the basis of annual produc¬

s

industry in the Fifth

1941

ranged from

steel

108

goods_____

goods—total

Nondurable

rate

the

in

110

eoods_____

durable

•Variations

peaks, and working
augmented.

(Richmond)

Federal

The

102

.__

goods—total

Consumers'
Consumers'

Fifth

Trade and

adversely

this

102

Nondurable

Consumers'

new

were

in¬

and

business

■

also

in-

contributing
directly
or
indirectly to the war effort
were
expanded somewhat fur¬
ther to

of

r

outbreak

establishments have been

operations

Tan.

___________

durable

Producers'

in

24

-

the

by

Some

war.

dustrial

year ago.

household

Operations

Jan.

industry

created

the daily average was
429,350 barrels, an increase of
14%
over
the same period a

dustries

more

105

Producers'

other

equipment.
/

in 1940 and 91 %in 1917.

:.

Producers'

of

year,
>

mechanical refrig¬

and

ended

weeks

production of automo¬

erators

In

Trade

(100=estimated long term trend)
Production and Trade

ditions

During the four

period of 1940.

;

»

seasonal • ;

Index of

Production

Janu-

and

steel

Dec.

of

the

was

bile parts or

-

1940

Indexes

stores,

well maintained.

early

Bank,

v

merchandise and miscellaneous

fre'ght fell off to

department

ber,
This tonnage was second
only to the March record of 8,i 500,000 tons.

year, and were so fully engaged
further said:
production in
on
defense orders that
much
this country was at a record
Output of bituminous coal at
civilian business had to be de¬
high of approximately 83,000,clined.
Rayon yarn mills oper¬ ; mines in this area in December
000 net tons, as the accompany¬
increased 4%
over
November
ated at capacity during all of
and
was
8%
over
ing chart indicates. Output last
December,
1941, but could not meet all de¬
1940.
Production during 1941
year
was
nearly 25%, higher
mands for rayon after the Gov¬
than in 1940 (the previous rec¬
was 8% greater than the
previernment
impounded raw silk
ord), a third greater than in
Steel ingot produc¬
stocks- Shipyards in the district i ous year.
tion at mills in the district was
1929, and two-thirds above that J
employed every trained work¬
in 1917, the peak year for steel
man they could
obtain, and used | curtailed in December due; to
production during the World
repairs
and
scrap
shortages.
every available shipway in the
War.
Further decline may
During 1941 steel mill
be eviyards.
•'
denced in the future as scrap
operations averaged 97Vz% of
Sixth
(Atlanta) District ;
capacity, as compared with 82%
supplies
dwindle.
December
In

to

needs." It is also stated:

that

by

and

District

"development in
in
the
Eleventh
(Dallas)
Federal Re¬
serve
District during
December
and the first half of January re¬
flected readjustments to new conReserve

000,000 net tons during Decem¬

in those cities where
principal activity formerly

grain

sharply fol¬

rose

(Dallas)

business

f

'

"Although still hampered by
shortages of scrap, steel operations again held within a few
percentage points of rated ca¬
pacity.
Incomplete figures in¬
dicate

in

of

was

material

trade

as

addition, railway car loadings
bulk freight (represented in
the index of primary distribu¬
tion)'
declined
considerably

in¬

production and fur¬

upon

diversions

retail

of

sharply as in
most other
years.
After ad¬
justment for seasonal factors,

sales

again held back by official limi¬
tations

December

the

i

trade in De¬
principally to

siderably lower than in Novem¬
ber, although mail order house

dustrial operations.
War produc¬
tion mounted higher, but output
of

due

Eleventh

plant facilities are com¬
The daily average of crude oil
pleted, enlarged, or converted. 4
production in the District for
Employment in principal fourth
the four weeks ending Dec. 27
district
manufacturing centers v.-was
465,750 barrels, an increase
continued at very high levels
of 17% over the corresponding
in

of

Prices

:

livestock

According to the Dallas Federal

,

Illinois, Indiana, Iowa, Mich¬
igan area to approximately 8,-

industrial

/December.

capa¬

coal lifted production in the

ous

De¬

Life

lowing the outbreak of war in ;

coal,

as

loans.

rising.

the Pacific.

The urgent need for bitumin¬

of

of

variety chain systems, and pas¬
senger car
dealers were con¬

District

the Federal Reserve Bank of New

of

failure

sales

York says: "It appears that there
was during January a
continua¬
tion

and

was

general to rise

consumed in this dis¬

were

trict,

production
cember

index

in

and

J

new

forces

the

in

for

materials such

of

deposits

insurance sales were very large >

situation

oil, and steel operated at
city levels.

that:

reports

demand

This

of basic

ary, even

was

decline

many

are

that

than

less

mand

.

December.
The

Bank

has been increasing, and
indicate that it will be
greater as time passes and

help

not
much
changed between November and

of

r

revised

were

,

surveys

as

mills in New Eng¬
land during December was 108,423 bales, as compared with a
total of 99,122 bales in Novem¬
ber, a gain of 9.4%, and exceed¬
ing the December, 1940, con¬
sumption by 21.7%. During the
year 1941,1,260,389 bales of cot¬

amount

The

consumed by

produc¬
remembered
buying

scare

applied
[ particularly to: those industries
using metals in the fabrication
of civilian goods. The producers

District

Reserve

Review"

Business

months,
became even
pronounced.
Activity
mounted higher in key war in¬

Total
revenue
freight
carloadings in this district during
the
five-week
period ending

(Cleveland)

Federal

The

more

year.

Jan.

Fourth

goods

acute.

the
month,
reflecting
heavy
buying earlier in the year.

recent

.

for the

concerns

,

as
the need for
materials became more

critical

bituminous

contrary to sea¬
expectations. Operations

sonal

sumers' durable goods, noted in

,

when

1941

of

end

production figures were running at a higher Tate:than they J
had averaged for the year. This
was
particularly true of flour
and-" crude petroleum
produc¬
tion and the slaughter of live-

.

f 'downward,

coal increased,
/

civilian

:

oil and
expanded

Cleveland, in its Jan. 31 "Monthly

the
di¬
vergent tendencies between the
output of producers' and conDecember

During

v;

«

increased

there is

•

trade, inasmuch as productive
activity showed a gradual rising
tendency,"
says
the "Review,"

the entire year 1941 was 16.1%

:r

retail

gains

:

re¬

which further states:

stores

month

.,[•

January.

the

pushed department store sales to
a
It was also true
the
peak for that month, brought t%stock.
about plans for rationing of cer¬
marketing of grain and livetain food products, ahd witnessed
stock.
■■
the stoppage of civilian produc¬ ; - / Check transactions are very
tion in one of the District's great¬
large and bank loans' in De^
est
industries, the building of i cember. were 37% above a year
automobiles." The review added:
earlier.
The gain in bank in¬
Production quotas for certain
vestments
is
relatively much

tail

than

the

as

of

Near

-

operations

November

behavior of the index dur¬

"The

weeks

'

District

term

and apparel
shops in New England during
December
was
13.8%
higher
partment

:

Factory

was

materials

critical

of

tion. January will be

/•/ stores is strong.

that

reports

demand at

consumer

Wholesale and retail trade ;
uhslially active ih the early

;

and the transition to war

ments have been heavy. Buying
at wholesale is
fairly' active,
and

others. Busi¬
upward \ despite

continued

ness1:

variety of lines
showing a tendency to de¬
cline, owing to difficulties of
> getting delivery. .Freight ship¬
?

a

and; had

industries

some

to

had been going

been prepared for in

wide

a

in

on

shift

the

as

wartime economy

are

in De¬
cember
its "seasonally
adjusted
index of production and trade de¬
clined to 110% of estimated long-

year

of

sales volume

The

—

upward in January."

general
The Bank's "Review" fur¬

the

to

—

—

factors, electric* power produc¬
tion appears to have continued

of

Bank

Reserve

Federal

The

District

(Boston)

allocations

( increasing

Federal Re¬

Indications of the trend of business in the various
serve

of: movement

orders in

i

Reserve Ranks

Thursday, February 26, 1942-

.

Federal
Reserve
Distr'ct,
quotq the following from the
Kansas
CRy
Reserve
'Bank
"Monthly Review" of Jan. 30:

•

of

these

;-abated

:

items

through

Production jn
.1

continued

the

un-

year-end.

older established

major industries of the district,

'Volume

155

Number

THE COMMERCIAL & FINANCIAL CHRONICLE

4050

including lumbering and mining income

$78,000,000,000, 1941
$84,000,000,000 and
1942 is estimated by the National
but the gains were relatively Resources V Planning
Board --at
much
smaller.
Necessary re- $92,000,000,000.
Their projection
strictions upon the output and of income in 1943 reaches $100,distribution of various durable 000,000,000 and in 1944, $105,000,consumers
goods checked out¬ 000,000.
put late in the year in a num"Simultaneously there has been

-

and

.

;

;

'

y
>.

'

ber of lines such

was

income

smelting
of
non-ferrous
metals "also expanded in 1941,

automobile

'

Detroit Bowling Returns

was

DETROIT, MICH.—The Brok¬
Bowling League of Detroit
announces
keen rivalry between
the six teams
competing for first
er's

place

the
League's contest.
high place are the Allmanr Everham & Co. team and
the Triple A's; the Blue
Chips,
Baker, Simonds & Co. No. 1 and
Baker, Simonds & Co. No. 2 are

-.

-

the

area

sharp

,

and

and

because

a

the

of

ble. There will be

continuous

tremendous

dent

from Page 839)
long ago that
they not only had to build a prod¬

sold.

they had
product that would stay

a

Some investment

cent

Hugh

their shareholders with creditable
results

during turbulent 1941. A
compilation of the net asset value

1.

cline

in

index

period.

;:

90
,

"This

.

3. because

or

de¬

Standard
in

stocks

Poor's

&
the

same

4.

is

particularly

because

flation

turn

A

.materially better than the action
well-known

In

average.

Standard

1940, according to

to

Statistics

tin.

Selling trust shares is
able

business.

title,

National

a

profit¬

Securities

&

He-

search Corp. has issued an inter¬

esting leaflet telling why. Briefly,
because they are
to

sufficient

a

readily saleable

number

of

inves¬

justify the time and effort
involved in/offering them. "Bil¬
of

dollars

of

have

been

sold

shares

trust

and

millions

are

being bought monthly
'average' investor who does not
have
sufficient capital
to com¬
mand ample diversification
this is a large market to which
trust shares can render a real
.

service."

,

.

.

,

A per

centage of profit consid¬
erably greater than on any;se¬
curity of equal grade amply com¬
pensates Hf or the extra time re¬
quired to sell through personal
contact.:

than
the

The

with

chances

individual

security

The

Utah-Idaho

Sugar

request.

upon

radio

manufacturing

dustry

was

warned

that

it

will

be

vert

its

next

war

four

order

months.

representatives
R.

monthly

Industry

Guthrie

told

will

are

better

issues

.prove

a

months

cheap-

war

radio

55

Bureau

products,

the

a

total Of

When

that

satis¬

factory investment because diver¬
sification removes the risk of un¬

of

a

for

well

as

the

that

on

brand

the

big difference
comets," says

.

25

industry

1940

in

of

had

about

"

"And

the

put of

connection

aggregated

entire

between

employing

this:

has

the

long

run

steadiness,

been

about

50,000

requested

determination and constant effort! a $2,000,000,000
tion program.
will
out-live
the
infrequent
.

persons,

payments

payments

$ 5.23

[+

18

$ 4.54

$ 2.44

25.94

9.08

4.87

75

38.91

13.62

7.31

$ 6.06

rV 100

51.88

18.15

9.75

8.08

6.97

v.£ 125

64.85

22.69

12.19

10.10

8.71

150

77.82

27.23

14.62

12.11

10.45

103.77

36.31

19.50

16.15

13.93

250

129.71

45.39

24.37

20.19

17.42

155.65

54.46

29.25

24.23

20.90

200
'

Above payments include charges of 2
effect

per

month and based

on

Due to local conditions, rates elsewhere
vary

in seven states.

PERSONAL

LOANS

$20

TO

prompt payment are in

slightly.

$300

HOUSEHOLD FINANCE
ESTABLISHED 1878

Headquarters: 919 North Michigan Avenue, Chicago, Illinois
On« of America's

leading family finance organizations, with 305 branches

in 203 cities

Household Finance Corporation, Dept. CFC-B
919 N.

Michigan Ave., Chicago, 111.

Please tell

me

more

about

your

-

loan service for

wage

earners—without

obligation.

Name

•

--/-v^v
"Does the average investor look
at
his
investment
matters
this

Earnirers Of Federal Funds

way? Does he think in terms of

In Private Institutions

steady, perhaps "unflashy," work
his portfolio, as" contrasted
with spasmodic major readjust¬
ments interspersed with long pe¬

000

riods of inattention? y!A

Owners'

Government

with

"Naturally
daily
sense

no

investor

attention
of

(in

can

the

the

give

literal

the word)

frequent attention."

-

CHARLOTTESVILLE,

admitted

von

paid

and

almost

Home

Loan

of the Federal

Home Loan

announced.
This
brought
to
approxi¬
mately $45,000,000 the cumulative
System,

payment

dividends
ernment's
.

City

.State.

loan

$3,000,-

the

to

in

Address

with their

received

on

the

Gov¬

in

investments

to

were

made

late

in

Cassell &

Federal Home Loan Bank

Sys¬

The

to $76,108,350, rep¬
resents retirement of these in¬

able

these

vestments

demand for home loans in their

$272,559,210.

amounting

>

by

recent

the

years.

associations
/ Of the in¬

vestments

outstanding, $21,283,800 was placed by the Treasury
and $175,167,060 by the HOLC.

these

investments

private institutions since the first

—

Thelen has been

original investments
The difference,

tem.

of

over

Bank

'

V A

invested

savings

dividends

in

ernor

Thelen A Partner

Alexander J.

funds

Corporation and
the U. S. Treasury for the last
half of 1941, James Twohy, Gov¬

to his securi¬
ties. But most investors could give

more

shares;of

associations

-




15

payments

military produc¬

The - announcement
also
partnership in C.*;F. 1933.
Co., 112 Second Street, had the following to sav:
.urgent demands oL war—quantity N.'E. Mr. von Thelen has been
At the end of 1941, HOLC
and speed—have broadened em- with the firm as manager of the
and Treasury investments out¬
tpolyment to record proportions.- stock department.
standing in thrift and homeAs contrasted to the previous rec- '
R. C. Sours has joined the firm's
financing institutions amounted
ord, year/ of; 1929, .when national sales organizations.
•
to
$198,450,860,
as
compared
.

MONTHLY

12

to undertake

-

comet.

BORROWER REPAYS

of

11,800,000 sets during the
year 1940.
The industry,

stars and comets and securities is
in

$200,000,-

the first nine months

1941, it produced about 10,000,000

-'

■

GETS

total

radio sets, compared with an out¬

time.

obligation.

the coupon.

000, while in 1941 it is estimated

is

hand, is brilliant flashy,

a

use

50

$177,000,-

the other

star

service without

Please

man¬

In

"A

nance

entirely curtailed.

sales

von

"Uv S. National Income (divi¬
dends,.^interest, salaries,:, wages
:and profits), is higher today than
at any time in our history;- The

Jan.

on

that

Letter."

usual loss.

t

be

,

We would like to send you more
information about Household Fi¬

payments

mobilized

It is stated that the radio
sales

BORROWER

accom¬

civilian

will

,

$ 12.97

expected that when this order
expires production
for
civilian

various

"Abstracts."

and

ordered

industry.
helped troubled families to keep insurance in force,
clean up old debts and maintain
living standards.
■
■

payments

is

appear

out

WPB

branches of

These loans

300

they could be
production."

the

in all

ers

Household Finance
800,000 loans to work-

year

over

$ 25

of the average monthly output in
the first nine months of 1941.
It

publica¬
twice

new

not

output of the
radio industry be curtailed dur¬
ing the next three months to 60%

product of ani

will

Last

2

war

The

to

slants

is

by the Small Loan Laws of

made

employe borrows at

an

WHAT

four

or

000.

for

one

$108.90, costs just $8.90.

WHAT

Mr.

steady, enduring. It 'does its busi¬
ness' day after day. A comet, on
.

$4.48

of

unconverted

where
Shares

new

"We all know the

.

some

set

plants and
shift their labor and equipment
to
other
parts of the economy

hoarders

newcomer

as

the

ufacturing

.

costs

Household Finance, he pays charges

plished steps will then be taken
"to break down the organization

of in¬

pressure

many

stars

guarantors

This charge includes
everything. There is nothing more
to pay. A $100
loan, repaid in six
monthly instalmentsof $18.15each,

manufacturers

three

conversion

er" and

"News

shows

below the maximum rates author¬

While
no
set for the con¬

if, within

Lord, Abbett & Co. publications:
"Background," "The Union Deal¬

between

below

riety of payment plans, the

$50 loan

Washington by
head of the War

was

to

use

the

table

The borrower chooses, from a va¬

Branches.

date

that

virtual

meeting of

Board's

version

is

Business

rounds

proportion to the extent of

The

•

required.

in

Guthrie,

Production

is

produc¬

This
a

of

manufacturers
R.

13

con¬

products within the

given to

was

to

the

to

in¬

Feb.

on

expected

facilities

tion of

controls

when

Letter,"

which

exact

typical loan plans. Payments in¬
clude all charges. Charges are made
at the rate of 2H% per month
(less in many territories on larger
loans). Household's charges are

or

Converted To War Output only $4.48.

exact

original mind. The

tors to

lions

the

WPB Orders Radio Plants

spenders."

ideas—all

tion

that

under

And

the
and

problems

new

Bulle¬

Bullock's

;

-

leadership
war

market

c a n

present

old

the average decline
was

index."—Calvin

i

any

the prepayment.

—a

the trust literature field promises

a

compilation,
for the group
9.7%, by contrast with a
15.4% in the case of the 90 stock

m e r

"News

market

stock

of

if

into

at

so

time. The charges are reduced in

and Co.'s New
concluding fore¬

of

Company

of stocks and their except
tional income yields
■

5.

schedule, he may do

total of $54.48. In that case,
the total cost of his $50 loan is

issue

alysis

ness

v,

record

repaid, the

borrower should

bonus and wish to repay

a

of

16

because of the extreme

—

a

part or all of his loan ahead of

ized

Burton Company will send
copies of this analysis or an an¬

press.

strong
technically in its sold-out, well
margined status

noteworthy since it is the second
in a row when the average
performance of a group of lead¬
ing mutual companies has been
a

the

loan is

a

most states.

taking hold of
and production

for

receive

s

.situation. He may, for instance,
choose to repay his $50 loan in six
monthly instalments of $9k08 each

the year
because business

2.

sooner

less it costs. If

Suppose one of your men sud¬
denly needs $50 to meet an emer¬
gency. He tells Household Finance
about his problem and gets the
money in a quick, private transac¬
are

by Edward L. Burton & Company.
160 South Main
Street, Salt Lake.
City, Utah, has just come off the

i The

a family finance com¬
pany? Many executives believe the
charges to be far higher than they
actually are.

his monthly balance, not
original amount of the loan,

on

the

on

borrow from

analysis of the Amalga¬
Sugar Company prepared

mated

increasingly better war
expected later on in

is

COSTS

jwhich best fits his own income and

Feb.

Long

because

year

of

An

re¬

only

i

Doally costs your much it actu¬
you know how employes to

.

the

of

17.9%

W.

news

performance of 12 such companies
for 1941 has been completed and
published by Standard & Poor's
Corporation. The
1941
average

the

Interested In Sugar?

still

"Despite
blunders
and
bad
news, although 'nothing under the
sun' is
impossible, this forecast
disregards the hypothesis of our
losing this war, taking a first lick¬
ing. And this is predicted—lows
registered in the first quarter fol¬
lowed by a rising trend

Investment Company Briefs

of

various
are

LOAN

ABOUT

tion. No endorsers

cast:

"By and large, leading mutual
companies
provided

half

the

in

York Letter. The

investment

than

second.

years."—Keynotes, The Key¬
Corporation of Boston.

sented

business, which confi¬
short-sighted self-interest,
greatly exaggerated by adverse
publicity
and -propaganda,
de¬
stroyed long ago.

group' amounted to 8.8%,

in

&

Simonds & Co. No. 1 second; team
high three games is Allman, Ever¬
ham & Co. with the
Triple A's

bang-up summary of a bangcomprehensive analysis of the
investment outlook by Philip W.
K. Sweet, President of Investors
Management Company, was pre¬

vestment

less

of

A

dence

the

available

Baker-Simonds

Co.;
individual high three games
by
Mr. Boigegrain, with Mr.
Hastings
second; team high single is held
by the Triple A's, with Baker,

up

justice at the moment; it - is a
step calculated to help bring back
the public confidence in the in¬

values

Hastings,

stone

of the George Putnam Fund looks
far beyond the mere question of

portfolio

ond

being

the most favorable of

among

much about their products.
The stand taken by the Trustees

in

is

classes of listed securities

person¬

alities and make them stay sold,
and
then
haven't
worried
too

'decline

surplus

power

Securities Company; sec¬
individual high single by P.

more

up.

returns

have

men

merely tried to sell their

Strauss

"Money will not remain idle—
it never has. Paradoxically, the
price-earnings ratio and current

learned

uct that would sell—but

to build

purchasing

built

(Continued

facturers

a

mass

KNOW

tied

money

Investment Trusts

EMPLOYERS

SHOULD

for

for second place, with the
Bulls and Bears trailing.
Individual High Single score is
held by Charles J.
Boigegrain of

with which to buy things
—-and fewer and fewer things to
buy. From these facts it is evi¬

expan¬
defense industries.

sion in

and

more

WHAT

in

Tied

sharp curtailment of available
and
non-durable
con¬
assembling, tire manufacturing, durable
and some types of metal work¬ sumer goods.
Houses, cars, re¬
ing.
Aggregate industrial ac- frigerators and furniture—usually
tivity
continued
to
increase the principal items of heavy fam¬
throughout the year, however, ily
expenditures in periods of
since industries- affected were prosperity—are sharply curtailed.
not of primary importance in Other restrictions appear inevita¬

•

as

843

These

investments

were

quickly

purpose

institutions

to

v

For

the

the

Bank

total

entire
Board

associations '

and

000 went to

$300,000,000
eral

in

shares

associations

sociations

shares

and

belonging

of

ud

to

Fed¬

year

of-1941,

estimates

that

paid
by
the
3,824 member savings and loan
Home

acquire

revived

dividends

Congress
permitting
the
Treasury to purchase up to
$50,000,000 in Federal savings
associations'

en¬

more

communities at that time.

of

and the HOLC to

the

meet

made under 1933 and 1934 Acts

loan

to

was

Loan

the

of
Bank

Federal

System

ag¬

gregated about $120,000,000.

this,

approximately

investors

more

in

Of
$113,800,-

than 4,500,000

these

associations.

The balance of about $6,200,000

pa:d

other

as¬

was

to

the

Treasury.

to

HOLC

and

the

THE COMMERCIAL & FINANCIAL CHRONICLE

844

i

Registrations;
Subject To War Rules

filing of such information with
the Commission under separate
confidential cover.

(d)

Any requirement to the
notwithstanding,
no
application for registration, re¬
port, proxy statement, or other

(Continued from First Page)

contrary

the Securities Act of 1933, par¬

;

ticularly Section 19 (a) thereof,
deeming such action neces¬

and

document

and appropriate in the pub¬
lic interest and for the protec¬
sary

mission

hereby adopts
the following rule:

Code

vening

*

with

the

PLAYS

Com¬

the

authorized

trude

of

which

have

directed, or which
the Commission shall havd di^

Practices.

or

mission

with

Com-

the

connection

in

used

with the offering or sale

of

any

securities, if publication of the
information would, in the opin¬
ion of the Commission acting in

Office

Government

States

United.

with- the

cooperation

of

Censorship, contravene the Code
of Wartime Practices promul¬

gated by that office.
(b) Any issuer, underwriter
other distributor of securities

or

.

apply to the Commission
for an opinion pursuant to par¬
may

Applications may
informal letter and
need contain only so much of
the information in question as
(a).

agraph

be made by

be

in the par¬

necessary

Tomorrow's Markets

may

Walter Whyte

mission to pass upon

ticular

the appli¬
cation in regard thereto.
:

Says

(c) In any, case where infor¬
is omitted pursuant to

mation

(Continued from Page 837)

'the

signs of dissipating.
I

that

times

authorize

'

'

*

/■

i'fi

dential

think the

j;

\

tings by Harry Horner.

When the blitz of 1940 hit London all the theatres

;

in
is

19

American

19 V2

Commission

the

which

of

authorized

have

under

di¬

or

33!£

to

confiden¬

separate

pursuant to this rule.

particularly Section 23
thereof, and deeming such

1934,

(a)

appro-'
priate in the public interest and

action

for

and

necessary

the

hits

hereby

Contra¬

Disclosure

X-6.

stocks

break

on

-

[The

article
time

views
do

not

coincide

Chronicle.

expressed

in

with

Thev

are

those

;

of

i




-t-a

or

is

who

son

about

file

to

with

document

mission

any

Censor¬

the Code of
Wartime Practices promulgated
ship,

contravene

(b) Any

person

to file any

only

be made by in¬

may

letter

and

in being named
Throughout the
play, most of which takes place in one of the Windmill's dressing
rooms, we are asked to believe that the troupe displays great courage
and gallantry in the face of an all-out blitz, when the truth is early
evident that the spirit of "the show must go on" is based on two
reasons.
The owner keeps open in the hope that the closing of the
grander theatres would give him packed houses and the cast has no
other place to go. "Heart of the City" is not a spectacular play and
neither does it leave any lasting impressions.
Still its spirit of
youth and bravery has an appeal. - / ,
.
■

;VV,. |

MOVIES
"The Courtship of Andy Hardy"

Andy Hardy series will prove

a

(MGM).

-

V,

'

■

The latest one of the

After all how can the gre¬

poser.

garious Mickey Rooney go around mooning for one girl after an¬
other when he's just recently left the ranks of the Benedicts.
But
be that

this

In

it may,

as

one

our

"Courtship of Andy Hardy," is

amusing yarn.

an

hero gets himself into a jam when his new
with the law;
In exchange

young

born towing business becomes a cropper

for his father's help* young Hardy is to Take an interest

in

a young

girl (Donna Reed), who is known as the town "droop." But as the
fates, plus scenarios have it she turns out to be something special.
However, Polly Benedict (you remember her) returns in time and
all's well again.
"Mister V," the Leslie Howard directed and pro¬
duced picture is to modern times what the Scarlet Pimpernel was
to the 1870's.
Leslie Howard who was the elusive Pimpernel of the
.

.

.

French Revolution is

Commission

to

pass

upon

application in regard there¬

to.

requirement to the
notwithstanding,
no
notification, statement, applica¬
tion, declaration, report or other
(c) Any

mission

under

contain

the

any

with

the

Com¬

the

filed

document

Act

shall

information which

Commission

authorized

filed
tial

have

shall

directed

or

be

to

under

cover

separate confiden¬
pursuant to this rule.

Effective Feb. 19,

the Gestapo turning

now the equally mysterious "Mr. V," who has
handsprings.
As an English professor of arch¬

It's an exciting pic¬

country from under the Nazi noses.
seeing.

ture and worth

contain

need

so

1942.

RESTAURANTS AND BARS

.

.

.lA.

.

New York has all kinds of eating

places from the stromberry 'n'

pie coffee shoppes, traditionally Greek-owned, to the elegant French
places supposedly a favorite with gourmets.
But so far as I know
has only one authentic Dutch restaurant, the Holland House
Taverne, in Rockefeller City.
From its old fireplace to its jaw-

it

breaking
canals

the Holland House Taverne is as Dutch as its famous
Even the waitresses dressed in Dutch cos¬

menus

windmills.

and

authentic.

tumes seem

would expect, is excellent.
its patronage from radio and
employed in the neighborhood.
But the

The food, as you

.

Rockefeller City it draws

Located in

theatrical people who

are

two Dutch sailors in uniform who seemed
country was once noted for can
be found in New York at the Holland House Taverne.
One of

night I

was

there I

saw

to know that the kind of food their
now

.

.

.

amusing places around town is Cerutti's, on the east side of
Madison Avenue, between 59th and 60th Streets.
Despite its unpre¬
possessing exterior the inside is done in the latest Vernon MacFarlane fashion.
But decorations isn't what you want.
It's what goes
the

Coming into the bar which
predominantly male clientele, you pass into
paid entertainers hold forth.
And hold

under them that makes the place.

on

for

N. Y. Stock Exchange

some

reason

has

a

the main room where the

Weekly Firm Changes
has

following

the

announced

weekly firm changes:
Transfer of the Exchange mem¬

or

an

in

on

Feb.

16.

forth

what

is

I

"Bricktop," who

The

mean!

featured

attraction -is

a

lady

called

was

entertainment, good as it is, that makes the places attractive,
everything that gets you. Time and again the

it's the informality of

30 CENTRAL PARK SOUTH

v

Lizars

Rawson

will dissolve

as

& Co.,

Teeter With Drexel Co.

Chicago,

John H. Teeter has become

of Feb. 28.

Now

Wall Street,

King; Mohr & Hendrix

MONTGOMERY, ALA.— King,
Mohr &

Co., First National Bank

may

Building, announce that their firm
name has been changed to
King,
Mohr & Hendrix.
Mr. James R.

the particular

Teeter

necessary

case
v

■

to

Hendrix has been the firm's resi¬

question

in

enable

as

to pass upon

the application in

regard thereto.

(c) In

the Commission

where

essen¬

tial information is omitted pur/

suant to

the

this rule the Commis1

t,

.'(-5

with

them

since

1935,

I.

*

- v
'<t "x

.

•

' '

on

•
,

a

will

become

a

most

unique

restaurant in

beautiful location, overlooking

Central Park to the north.

best

Serving

ORLEANS, LA.—Cornelia

Jordan

Commercial

615

.»

A
a

prepared.

food,

skilfully

.

limited

partner in Thomas Jordan & Co.,
of the

Company.
rf

Drexel & Co., 14
New York City. Mr.
formerly with H. N.

To Be Limited Partner

Birmingham

he was- with the
TrustSavings

was

NEW

in

prior to which

lt.it

•-.I'W..

partner

associated

J

any case

Birmingham for
past»three>years» having .been

dent

Adjoining The Plaza

as¬

Whitney, Goadby & Co. and prior
thereto was a partner in W. H.
Goadby & Co.

...

be

-

with

sociated

Com¬

the

exchange may
apply to the Commission for an
opinion pursuant to paragraph
(a). Applications may be made
by informal letter and need
contain only so much of the in¬

:

at

I .«• t* .<■.

of

Office

Government

States

RFC pilot; still another achieves her ambition
correspondent in a divorce action.
And so it goes.

an

any

promulgated by that office.'
(b) Any issuer or other per¬

the

those of the author only.\

United

the story is thin, and soon told. One of the
girls falls in love with the wrong man; another decides to marry

show

..

any

presented

the

emotions involved,,

filed

document

the Commission

the

this

with

tion

coopera¬

off.

come

own

Chanticleers, plus the featured cast forget themselves (or maybe it's
with
The Exchange
Governors are pre-arranged) and go to town with hilarious results.
Jerry Kirksecuri-j
today considering the proposal for land, manager, seems to take it in his stride, but Frank Cerutti (who
ties exchange, if publication of
Carl L. Muller to act as alternate
fought in the American Army in the last war and has medals, too), a
the information would in the
on the floor of the Exchange for
slight,
bald-headed,
pale man,
opinion of the Commission, act¬
William C. Ridgway, Jr. under seems
to
be
dazed
by
it all.
ing in cooperation with '; the
Section 15, Article IX.
Cerutti's is a late spot, so guide
United States Government Of¬
Henry Koch retired from part¬ yourself accordingly.
■/,#
fice of Censorship, contravene
The Penthouse Club
the Code of Wartime Practices nership in Ralph E. Samuel & Co.
other

or

*

necessarily at

acting in

frequent backstage visitor was, according to

a

a

the

formation

*

Commission

specific information bership of William E. Tobias, Jr.
application for regis¬ to G. Philip Lynch will be consid¬
tration, report, proxy statement, ered on March 5, 1942.

More next Thursday.
—Walter Whyte.

:

confidential cover if
publication of the information
would, in the opinion of the

Storm,

footnote, so impressed by this display of courage that
play about it.
Unfortunately her good intentions don't
For while the situation is touching, particularly with our

she wrote

from any

downside.

•

Act, and be filed under

separate

Miss

program

omission of

such

through

un¬

ihe

quite the rage in the Paris of pre-Vichy. This
red-haired lady sings, but the night I was there she did little.
But
the rest of the troupe made up for it.
The Chanticleers, a quartet
who double as waiters, sing often and Well.
Billie Haywood and
Cliff Allen and Mae Barnes also do their stint nicely.
But it isn't

plication, authorize or direct the

its

case I would not
if either of these

on

der the

Commission

The New York Stock Exchange

(a) The Commission may, upon
own initiative or upon ap-

sjs

any

filed with the

Wartime

of

Code

its

Steel

.

hold

Commission
may,
its own initiative or upon
application, authorize or direct
that
specific information be
omitted from any notification,
statement, application, declar¬
ation, report or other document
(a) The

upon

rule:

the

offerings
from 23 to 25. It is possible
that both these stocks may be
"able to wade through these
offerings before going
Through the lower resistance
points — possible, but, not
probable. If they do it, they
will
stay above the stops
given above. If they break
them, the move will be post¬
poned.
,v;
In

Wartime

of

Practices.

protection of investors,
adopts
the following

'

Founders

Disclosure Contra¬

Code

contrary

authority conferred upon it by
the Securities Exchange Act of

Rule

American

<

vening

the

The Securities andl Exchange

upside, Car & Fdry.
offerings at about

35.

Rule U-105.

the

be

Practices.

into

rule:

to

directed

have

shall

vening

runs

1935, particularly
Section
20
(a)
thereof,
and
deeming such action necessary
and appropriate to
carry
out
the
provisions
of
the
Act,
hereby
adopts
the
following

Commis¬

which the

or

Commission, acting pursuant to

•Steel: Founders.

On the

of

Act

pany

bombs.

much of the information
in question as may be necessary
in the particular case to enable

II

about

for

Commission, acting pursuant to
authority conferred upon it by
the Public Utility Holding Com¬

formal

securities shall con¬
information the omis¬

any

tial cover,

is about 21. Their stops should
now be 30^
for the Car &

and

m

,

out of the

filed

32 and Amer. Steel Founders

Foundry

■

,

Exchange

plications

sion

latter.

now

;

pursuant to paragraph (a). Ap¬

shall

to

the

in

The Securities and

in the city

closed; all but one, the Windmill, a small place on a side street, given
over to revues a la Minsky, which kept grinding away, bombs or no

to this rule.-

tain

29 in the for¬

Car

and

mer,

pursuant

Set¬

1

sale of any

buy
two stocks, American Car &
'Foundry, at 32, and American
Steel Founders, at - 20.
The
stops suggested at the time
the purchase recommendation
were

V

connection with the offering or

'■

made

,

eology, Mr. Howard has the run of the German countryside and he
and his student assistants manage to spirit all kinds of worthy people

rected,

was

Staged by Mr. Miller.

■*'

documents filed

other

or

sion

advised

.

.

who is about
such document with
the Commission may apply to
the Commission for an opinion

tus

^

were

Richard Ainley,

Iloey,

Skelton Knaggs and Miriam Goldina.

with the Commission or used in

*

.VV
You

;

ate confidential cover,

•by that Officer

cover*

requirement to the
contrary
notwithstanding,
no
registration statement, prospec-

apply this caution in a
more practical manner, I sug¬
gest that the stops you have
in the two stocks you hold, be
'5

confi¬

separate

Any

(d)

To

raised.

may

direct the filing of

under

mission

It is at

•

v

or

such information with the Com¬

greatest caution is called for.
■

Commission

the

rule

this

pessimism that declining
engenders, will show

markets

'such

to enable the Com-

case

Cast includes Ger¬
Beverly Roberts, Lloyd Gough,
Frances Tannehill, Bertha Belmore,

Graham,

Margot

rected to be filed under separ-

filed

or

Musgrove,

Dennis

"

(a) The Commission, m ay
upon its own initiative or upon
application, authorize or direct
the omission of specific infor¬
mation
from
any
registration
statement, prospectus or other
document

Presented by (Gilbert

City," by Lesley Storm.

Miller, at the Henry Miller Theatre, New York.

shall

omission

of the

"Heart

any

Commission

the

Wartime

of

or

mation

Contra-

Disclosure

171.

Rule

filed

securities ex¬
change shall contain any infor¬

tion of investors,

v

■

sion may authorize or direct the

SEC

■

Thursday, February 26, 1942

Telephone PLaza 3-6910

members

Place,

New' York Stock Exchange,

March 1.
'•

f

h:

..

.

-1

:i

i

Volume 155

Number

4050

THE COMMERCIAL & FINANCIAL CHRONICLE

OFFERINGS
LIQUID

CARBONIC

CORP.'

Feb.

-

Y.V.'

Tne Liquid Carbonic Corp. has filed a'
registration statement with the SEC for

lative

30,000

bear

v

shares

Stock,

Series

of

A,

$100

will be supplied

rate

registration

Preferred

The

Par.

Kedzie

S.

ING

shares

of

ferred

Stock,

now

sale, of consumable products
and dry ice; extracts used
preparation
of ; beverages and
food;
gas

latter

acetlyene and mediqail/gases; arid
bars,
equipment,-, ice cream cab-!
inets, bottling equipment) •
/

cixygen,

durable

-

Trask

o.

sale

Co.; Merrill Lynch, Pierce, FenBeane, all t>f New York.
Names of
underwriters will be supplied by

ferred

amendment

offering

Offering—The preferred stock will be of¬
fered to the public, at a price to be an¬

writers

nounced

in

later

a

registration

;amendment

to

net

will

be

added

to

A2

(1-30-42)

Form

16, 1942, to defer

the

to

of

used

restore

v-:-..

Effective

4.45

E.

at. price

GROUP

SECURITIES, INC.

to

Group Securities, Inc., has filed
tration

statement with

shares

000

with

of

the SEC

capital

stock,

Exchange

Pi.,

regis¬

a

for

1

5,620,-

cent

par

value

Address—1

Jersey

City,

N. J,
•

Business—Company

is

mutual

a

invest¬

value plus

distribution

a

charge;

payments

dividend

Gas &

for

53.095

INVESTMENT

has filed

with

the SEC
stock, no

shares

value,- for
$3,229,769,,

of

common

allowed

is

investment
■"
Hi-' ■"

an

shares

Discount

market.

at

to

single transactions involv¬
ing $100,000 or more.
Massachusetts Dis¬
tributors, Inc., is the underwriter.
on

Proceeds

will

purposes.

be

investment

for

used

7

-

(2-10-42)

Ky.

-

has
the

W.

Chestnut St. Louisville,

77

2, 1941, as
&. Electric

Gas

struct and

•

own

of

on

the

on

site

Paddy's Run generating station of
the parent company, near
Loouisville, Ky.,
to

point known

a

Hart

Green River Crossing

as

County,

Ky.

(approximately

miles) where it will connect with
line

which

the

Tennessee

Authority will construct to
its

South

67

trans¬

a

Valley
point from

such

Nashville substation

Nash¬

near

ville,

Tenn. (about 105 miles).
Company
will also construct and own terminal facili¬

TUESDAY, MARCH 3

ties

LACLEDE GAS LIGHT CO.

The

Laclede

Gas Light Co.
statement
with

registration

a

for

Certificates

has

filed

the

SEC

of

Deposit for $10,000,000
of outstanding (with the public) Refund¬
ing &
Extension Mortgage 57*
bonds,
(dated Apr, 1, 1904.
Address—St. Louis, Mo.
Business—Engaged
in
the gas
utility
business within the city limits of St. Louis,
Mo.

Offering—The
will

be

bonds
of

said

ment
the

order

bonds

dated
to

holders

to

Feb.

1942,

15,
the

1,

1945.

Deposit

the

above

the

Plan

a

of

Apr.

of

of

represent

under

extension

bonds

Certificates
to

issued

in

deposit

and

maturities

for

of

said

No underwriting

Involved.
Registration Statement No. 2-4946. Form
A2

(2-12-42)

parent

company's

generating

stations, together with transmission lines
which, together with 10 miles of trans¬
mission

pany's

lines

to

plete

the

Electric's
tem

be

wholly-owned

Transmission

of

Corp.

tie-in

constructed

and

Public

com¬

subsidiary, Louisville
(Indiana), will com¬

with

system

by

Louisville

Gas

transmission

a

Service

Co.

of

Electric

affiliated

Co.,

the

electric

Underwriting

TVA

and

four

companies.

and

non¬

"

*

Offering—The

-

bonds

rule of the Holding
Company Act; public
offering price, names of underwriters, will
supplied by amendment.

be

Proceeds will be used to
pay for the cost
the

above

construction

7";';'

program.

Registration Statement No. 2-4948. Form
(2-17-42)

A1

Axton

Fisher

Toba-cco

statement with

filed

Co.

regis¬

a

the SEC for

gate of 149,944 shares 5% cumulative prior

preferred stock, $25 par.
Address—Louisville, Ky.
Business—Engaged in the
of cigarettes (Clown, Spud,

SUNDAY, MARCH 15

Grand)

and

various

Monsanto

chewing tobaccos.
Offering—The 149,944

ferred
of

stock

will

be

recapitalization,

shares

in

tion

and

brands

and

of

shares

issued

new

under

follows:

as

Twenty
smoking

;■'

-

plan

a

(1)

56,544

standing
4

new

preferred

one

share

shares

cash

for

stock;

(2)

45,465

shares

stock

mon

ferred
Class

shares
of

54,558
on

stock
A

will

old

shares

basis

1

sold

other

preferred

Class

cash

stock;

for

and

first

than

$17.25

exchange

1/5 shares

plus $16
be

plus

67*

in

outstanding

common

company

of

stock

to

new
one

(3)

Series C,

$4

are

of

engaged

in

widely

a

products '

revenues

preferred

stock,

value
S.

St.,

St.

the

its

line

of

sale

after

the

.share of
of

$6

stock

exchange, plus an
share equal to the ex¬
cess of
the redemption price of $120
per
share of the $6 preferred stock,
plus ac¬
crued

in

cash

be

Proceeds
company,
and

supplied
will

to

be

be

expansion

by

added

used

for

the

later
to

public,

(2-24-42)

..

a

amendment

cash

funds

working

of

capital

purposes

Registration Statement No. 2-4949.
A2

at

Form
j

Power

&

System)

Public

chase

dividends

(Electric

expire

not

such

offer

take more

redemption,
offering price of the

stock.

The

later
is

than

stock
the

exchange

than

made.

the

13,000 shares of
the

under

number

of

new

Exchange

shares

of

pre¬

be

Ave.,
of

have the option to 'purchase the additional
shares represented by such
deficiency at
the same price per share as

they

have

the other shares

Public offering price,

underwriters,

and the

will

be

names

supplied

of

by

amendment
from

preferred

new

sale of

stock,

the

Bond

company

Co.,

plus

capital

a

con¬

by

American

Gas

the parent company,

Electric

&

will be used

for

following purposes: $3,059,200 to purchase
from

American

shares

of

Gas

&

Electric

$6 preferred stock

Co.

30,592

(at its

cost);

$3,153,960

to be deposited with the re¬
demption agent, for the redemption of 26,shares of $6 preferred stock (to be

283

called for redemption at $120 per
share),
outstanding in the hands of the public:
to discharge open account in¬

$2,500,000

debtedness to American Gas & Electric Co.;
and the

balance

for

corporate purposes
Registration Statement No. 2-4941. Form

$7

Miami,

Registration Effective 12:30. p.m. E. War
on Feb.
14, 1942.
Invitation

pany is inviting
the purchase

for

for

Proposals—Com¬
written proposals

sealed,

from it of 49,000 shares
preferred stock, par $100,
authorized issue of 62,000

of its cumulative

of

shares,

total

a

of which

26,283

shares

(including

13,283 shares subject to proposals) are pro¬
posed to be offered by the company in

exchange to the public holders of its out¬
$6 preferred stock.
Such
pro¬

standing
posals
at

are

to be presented to the company,
Gas and Electric

the office of American

Service

before

Corp.,
12

30

Church

Eastern

noon

St.,

War

New

York,

Time on

Feb,

prospectus
with

and
and

pnly if made in ac¬
subject to such terms

conditions.

No

bids

issue.-

&

Feb.

received

were

24

for

the

compete for the
shares withdrew in the face of the
general

MINING

Bear

153,145

AND

.

/

•

and
Underwriter—None

;■

■

General

,

16^

common

—

For

operation

development equipment
mining
property
neai

Further

par.

by

ment

notes

mortgages,

and

dealers

terest

bearing

biles.

Due

secured

sales

advancing

notes

to

their

on

by

amend

broaden

the

scope

of

reserved

arc

of

for

and

shares

5%

of

pursuant to merger agreement.
mated

that

to

total

be

number

of

be

added

Feb.

1.

Telephone Co.
with

sells

various

jewel)

Company
models

pocket

of

and

SEC

stock

Form

who

and wrist watches for

men

be

will

offered

statement.

.32,054

women

shares

of outsanding 6 % preferred
privilege of exchanging such
stock for 33,054 of the
39,382 shares of
4'/2% preferred stock on basis of one share
stock

of

4»/2%

the

preferred stock, plus $1.50

(equal

quarterly
dividend
payable
1942, on one share outstanding

L
preferred

stock), plus an unstated
/difference between the public of¬
fering price of one share
preferred
amount

Brown & Sons,

offer

41/2%

$105, the redemption price of
preferred), for each share of out¬
6%
preferred stock.
Exchange

expires Jan. 22, 1942. 'Any shares of
preferred not issued under the ex¬

change
offered

offer,
for
to

plus

the

6,328

shares

not

such

the

exchange offer, will be
public, at a price to be

supplied by amendment.

Harriman Ripley

&

Co., Inc., Philadelphia, is named prin¬
cipal underwriter; other underwriters will

to

The

the

Proceeds

will

be

used

to

redeem,

on

are

at

a

reg¬

to

b®

underwriters,

acquire such shares

non-cumulative

as

follows:

convertible

preferred

par,

immediately following delivery to them

of such shares of preferred stock, each will,'
convert same, share for share, into a total
of

25,000 shares of

pany
Proceeds

will

be

common

received

stock of

com¬

by the under¬

writers

Registration Statement No. 2-4908. Form
A2.

(12-6-41)

Amendments to defer effective date filed
Dec.

22,

1941,

14,
LA

CROSSE

Jan.

9,

Jan.

27

and

Feb.

1942.

La

TELEPHONE

Crosse

32,080

Telephone

shares

of

Address—La

common

Crosse,

CORP.

Corp.
registered
stock, $10 par

Wisconsin

Business—Telephone service to La Cross®,
Wis.
;

Underwriter—Alex.

Brown

&

Sons

Offering—All
stock registered will
b®
publicly offered at price to be filed by
amendment, except that 2.406 shares will
be

sold

to

Central

Electric

&

Telephone

registered

Is

owned

Co.

Proceeds—Stock

1, 1942, at $105 per share, all out¬
standing 6% preferred stock; balance for
expenditures in connection with construc¬

public,

shares

supplied

that

supplied by amendment.

March

in

Bal¬

of company, at a price to
by amendment (20,665 share®
of such preferred to be sold by
former,
4,335 shares by latter). Underwriters agre®

and

6%

standing

valu#

Bell

stock, $10

current

6%

to

are

6%

and

Underwriting and Offering—Company is
making a conditional offer to holders of its

reg¬

25,000

par

Telephone & Telegraph Co.
and Chesapeake & Potomac Telephone Co.
of Virginia, have agreed to sell to abov®
underwriters, a total of 25,000 shares of-

be

grade. (17 to
watches for

filed
for

price to be supplied by amendment to
istration

Pa.

high

"

CO.

timore; Mason-Hagan, Inc., Richmond, Va.;
Stern, Wampler & Co., Inc., Chicago; Equit¬
Securities
Corp.,
Nashville,
Tenn.;/
Courts & Co., Atlanta, Ga.; R. S. Dickson
&
Co., Inc., Charlotte, N. C.; Mlnnlch,
Wright & Co., Inc.i Bristol,; Tenn, /
Offering—The 25,000 shares of common

ulti¬

manufactures

:

-....

able

working cap¬

'wrist

/

v

stock, voting, $10

Underwriters—-Alex.

Southern

—

to

1941,
defer

1942 to

'v;:

-

TELEPHONE

statement

common

7,

,

1. "•••

Business—Supplies telephone service
portions of Virginia and Tennessee

Hamilton
Watch
Co.
filed
registration
statement with SEC for 39,382 shares 4V2%
cumulative preferred stock, $100 par
Business

used

Address—Sixth and Crumley Sts., Bristol,

HAMILTON WATCH CO.

to

•

offered for the account of the

Address—Lancaster,

be

Tenn.

(1-28-42)

of

will

to make additions and

Co.,

'

istration

It is esti¬

Registration Statement No. 2-4936.

23

proceeds

and

shares

ital
A2

pe*

Telephone
Corp
capital stocks of Central
Telephone Co. and Illinois Stand¬

v:•

will

to

$110

Amendments filed Nov. 26, Dec. 15,

/

shares.
will

at

preferred
stock,
at latter's cost.

General

Jan. 2, Jan. 21 and
effective date
*■ >

the

710

$6

to company's plant and prop¬
for other corporate purposes
Registration Statement No. 2-4866. Form
A2. (10-24-41)

represent
right to purchase approximately 140,-

Proceeds

net

from

Telephone

erty,

preferred

warrants

outstanding

of

Illinois

common

the

.

re¬

betterments

stock were issued to preferred and common
stockholders of Utility and Industrial Corp.

mately

and

outstanding

ard

certain

176,854

stock,

shares

Inter-Mountain

Breckenridge, Colo.
Registration Statement No. 2-4571. Fora
(11-12-40)tion and equipment of
plant additions

A-l.

Balance

outstanding Common
Stock Purchase Warrants, latter entitling
holders thereof to purchase 176,854 shares
of common stock of company at price of $4
per share, during period from Mar. 4, 1942
through March 4, 1947.
Such warrants as
filed

bonds

7,000 additional share#

preferred

INTER-MOUNTAIN

upon

V

.

the

parent company,

purchase

do

issuance

1,108

the

to

Underwriting—None
Offering—The 176,854 shares of
stock

$6

share;

owned by

to

to

of

stock, will be used In part to re¬
following securities of company: $5,750,000
First
Mortgage
Series
A
33/4%
bonds, due June 1, 1970,"at IO5V2; 17,098

business

'exercise

sale

tire

chat¬

authority

its

3,000

common

shares

as

719,000

>

9,000

.v.;

from

ceived from sale of

1941.
defer

so

7;

Shs. of

pfd. stlc.

preferred stock, together with $105,000

automo¬

charter

its

fol¬

12,000

statement

recent prohibition of sale of
and new tires,, company

to

and

Offering—Bonds and preferred stock to
offered to the public at a price to bo
supplied by amendment to the registration

automobiles

proposes

t<*

be

de¬

funds

service

$2,875,000
,/*•>■;/
2,156,000

Co.,

Mitchum, Tully & Co.,
Los Angeles

short-term in¬

secured

&

York

Proceeds

and

General

providingj

telephone

York

New

by automo¬

contracts

of
in

engaged

communities

New

;'!•?./-/

receivable

conditional

subsidiary

is

Bopbright & Co., Inc.,

Form

.176,854

stock, $1 par

automobile

.•

Co.

competition,

shares

for

stoci

Springfield,

Amt. of

riled registration

corp.

SEC

St.,

Bonds

post-effective

1942 to

preferred

Adams

E.

and

W. Lake St., Chicago, 111.
Business—Company and subsidiaries en¬
principally in discounting install¬

new

cumulative

No. of

Address—184

tel

$5

Underwriters, and amount of bonds
preferred stock underwritten by each,
low:

securi¬

gaged

be

Proceeds

ol

portions

sold

and Feb. 6,

with

^

COi

Telephone Co. regis¬

and
surrounding terrl-t
Including Kewanee, Mon-t1
mouth, Macomb, Lincoln, Belvidere, Har/
risburg, Olney, Mendota and Mt. Carmel

supplied by postregistration state¬

stock, no
supplied

Finance

statement

and

•>,/.

tories in Illinois,

the

GENERAL FINANCE CORP.

reserved

77

milling

180

gas),

exception

other

of

Business—This

be

20,

24

date.

par

without

effective date

stock

7
Offering—Stock will be offered publleat
$1 per share, selling commission

end

of

along

Amendments filed Nov. 27, Dec. 15,

the

COMPANY

—

Business—Mining

ly

h ////•■

MILLNG

Mining and Milling Co. registered
shares of common stock, $1
pai
513
Majestiq Bldg., Denver

Address

sale

of. underwriters
be

2, Jan.

Jan.

8,

COMMERCIAL TELEPHONE
Commercial

Telephone

(9-17-411

Jan.

77/V'77

Jan.

defer effective

111-

Share

Registration Statement No. 2-4845.
A2.

bile

filed

to

Paine, Webber

March

Groups formed to

be

to

preferred
to
be

pur-?

working

Statement No. 2-4890. Form
Cleveland)

Address—607

amendment

Time

Public

and

will

tails

(2-2-42)

A2

and

(with

amendment

will

for

and

.

1942

6hares

applied
as
follows:
$53,170,000 to redeem at 102V4, the $52,000,000 of company's First Mortgage 5s oi
1954; $15,693,370 to redeem at $110 per
share, the 142,667 shares of company's

62,000 shares

tribution in cash of $2,500,000 to be made
to

public,

used

tered with SEC $5,750,000 of first mortgage
bonds, due Oct. 1, 1971; and 24,00(

sup¬

American

territory

to

Names

Proceeds

pre¬

13,000 shares of hew pre¬
taken under the Exchange Offer,
then the successful competitive bidders' Will

to

2,

Illinois

ment

Offer,

new

are

Proceeds

price

effective

day

by the public

Act.

pany

holders

and if less than

for

the

are

/

shar#
tor.

per

be

including

purposes,

equipment

new

ILLINOIS

Florida

registered

of

$9.50

will

company

(11-19-41

Feb.

by company
under the competitive bidding Rule U-50
of the SEC's Public
Utility Holding Com¬

offer

fifth

Should

ferred stock to be sold under competitive
bidding will be reduced by such excess;
ferred

manufacture

coast of Florida
Jacksonville area),

the

to'the date of

preferred

then

east

of

to

Amendments

dividend

will

Second

subsidiary

of

thd

23,100
shares
by

105,756

offering price is
corporate

Registration
A2.

an

most

for

amended:

as

company,

Proceeds

general

the

on

the

stock,

public

3%%

E.

Light

is

serving

per

the initial public

Offering—The 35,000 shares of preferred
to

as

state¬

new preferred stock for each share

preferred

amount

York, is the sole underwriter
offered

soon

registration

26,283 shares of $6 preferred stock held by
the public will be entitled to receive one

Colo.

be

S.

offering

by

no

ties

registered will be offered under an
Exchange Offer, as follows: holders of the

chemical

.

preferred

the

to

Preferred

rates

and

offered

stockholders

capital

Underwriting and Offering—The

Louis,

and

Interest

Business—This

from

stock

subsidiaries

manufacture

diversified

Par.

Debentures,

the

on

Cumulative

be

Proposed

plied by amendment

service

market uncertainty.

Second

derived

are

under competitive
bidding rule of Holding
Company Act. Provision is made that, the
remaining 13,000 shares of new preferred

registra¬
35,000

rate

and sale

becomes effective, company
proposes
publicly to invite proposals for purchase of
49,000 shares of the new preferred stock,

Underwriting—Smith, Barney & Co., New

to

stockholders

for

and

American

ment

BEAR

price

share

SEC

Business—Company and

will

38,852

a

.

stock

pre¬

par

no

filed

the

with

Co.

cumulative,

Address—1700
Mo.

for

Transamerica




of

com¬

A

Chemical

statement

shares

pre¬

exchange for 14,136 shares out¬
6% preferred stock on basis of

gross

practicable

and

'

manufacture

of

cordance

MONSANTO CHEMICAL CO.

$100

Bonds

shares

&

are

shares

CO.

Fla.

of

Underwriting and Offering—As

the

aggre¬

140,000

Stock,

by

24, 1942.
Proposals will be considered only
from persons who have received copies of

ANTON FISHER TOBACCO CO.
tration

and

J.

transmission, distribution

electric

out

will be sold under the competitive
bidding

of

WEDNESDAY, MARCH 4

99 cit

Indiana.

Gas

&

LIGHT

A

:;;.v7:77s^!Rockefeller

•

certain

Florida Power
&
Light Co. registered
with
SEC
$45,000,000
First
Mortgage
oonds, due Oct. 1, 1971; $10,000,000 Sink¬
ing Fund Debentures, due Oct. 1,
1950;

'

furnished

POWER

to

are

remaining 117,300
outstanding and are to be soldi
to
public for account of certain selling
ttockholders
-"M.i •
:
:"'/ * •. ■

(4-10-41)

FLORIDA

*'

account of the company;

shares

contributior

(also

&

sys¬

Purpose of such construction is to make
available to the TVA
1,400,000,000 kilowatt
hours of electrical
energy per annum from
the interconnected system of Louisville

Agree¬

providing

the

at

capital

16,

CO.

expanders

Inc.,

are

•

and

ergy

the

in

Co.,

also

the

point

Gas

thereof:

ting,

bid

a

$3,402,090

guaranteec

Fuel

the holders

Feb.

principal
underwriters;
Other underwriters are Smith,
Hague S»
Co.
and
Carlton
M.
Higbie Corp., De¬
troit, Mich. ;;7'.:77
7:'77'l'''/.;:;,v/:/^';>''
7 Offering—23,100 shares are unissued and

operating public utility en¬
principally in generating, transmit¬
distributing and selling electric en¬

154,000 volt double circuit

a

$3,750,000

United

gaged

subsidiary of Louisville
Co.
Company will con?

a

transmission line from

mission

Registration Statement No. 2-4945. Form
A1

Address—311

Dec.

Offering—The

and

offered

with

Business^—Incorporated in Ifcentucky

7^7'7:

Underwriting
be

of

Mass.

Business—Company

(Ky.)

for $3,850,000 of First Mortgage Sink¬
ing Fund bonds, due Mar. 1, 1967. Interest
rate will be supplied by amendment.

.

trust/£;/77/77
be

amount

aggregate

an
,

.

Address—Boston,

Corp.

statement

SEC

Corp.

statement

par

will

CORP.

Investment

be

of the $G preferred stock held

CORP.

and

Co.,

Amendments filed Nov. 18, Dec. 6, Dec.
1941, Jan. 12, Jan. 31 and Feb. 19,
1942, to defer effective date.
•

Electric Co. is engaged in the
gen¬

ferred

Transmission

a

Address—25

new

;

registration

a

make

and

of

from

MANUFACTURING

7 Underwriters—Schroder,

24,

electric

after

TRANSMISSION

77;7;7,

(KY.)
Louisville

Street

will

over

7 7,

Francisco)

TUESDAY, MARCH

filed
STREET

ex¬

rate

.will

(2-13-42—San

notes

A-2.

Forn

engaged in furnishing hot water heat¬
ing service in a limited area in Atlantic
City and steam for heating to two custo¬
mers
at its
Atlantic City plant.
About

The

Registration Statement No. 2-4947. Form
A2

(2-10-42)

registration

at same price.

in

the above

rings

amendment

energy in the southern part of
New Jersey, including Atlantic
City, and is

sold

change offers.

Registration Statement No. 2-4944. Form

State

be

payments in

LOUISVILLE

STATE

to

Distribu¬

poses

a

cash

cover

Proceeds will be used for investment pur¬

A-l

portion

by

and

SEC

com¬

publiclj

Cinn., Newport & Covington Ry Co. tt
that Company to redeem its out¬
standing $3,303,000 1st & Ref, 6s. 1947
Registration Statement No. 2-4736. Forn

(3-28-41)

eration,
of

share,

per

represent

Group, Inc., is the underwriter

tors

$25

filed

be

enable

for whose account the stoci

Address—Atlantic City, N.
Business—This subsidiary

(1) and (2) exchange
unpaid cumulative divi¬
dends to Dec. 31, 1941; in connection with,
offering under (3) above, a cash offer is
also to be made in an amount necessary

ment company.

and Offering—The shares
registered will be sold to the public at asset

unsubscribed

Transamerica Corp.

cash

offers

to

Underwriting

the

at

to

will

29

Manufacturing Co. registered
140,400 shares common stock,
$2 par value ' 7
Address—Hastings, Mich. ;;;* v :
Business—Manufactures and sells piston

to

amendment

days.
These dates, unless otherwise specified, are as of 4:30
P.M. Eastern Standard Time as per rule 930(b).
Offerings will rarely be made before the day follow¬
ing.
company,

-

City Electric Co. filed a regis¬
statement with the SEC for 62,000
shares of Cumulative Preferred
Stock, $100

seven

parent

to

tration

ities of certain foreign public authorities which normally

Corp.,

by amendment

Issues

.

.

Jan.

effective date.

Hastings

with

subsidiary,-

serial

Atlantic

share

Hon statements will in normal course become effective, that
is twenty days after filing except in the case of the secur*

SUNDAY, MARCH 1

to .be filed

a

subsidiary,

S.

on

per

BJdg.

distrlbut

Amendments filed Nov. 21, Dec. 8. Dec.
1941, Jan. 12, Jan. 29, Feb. 7 and Feb.
16, 1942 to defer effective datf

a

become effective in

St.

and

26,

list of issues whose registration state•
ago.
These issues
grouped according to the dates on which the registrar

are

Pryor

defer

HASTINGS

1961

Proceeds—To redeem $50,000,000 Deb 5s.
1952;,. $4,750,700 Deb. 5s,
due
April.. 15,
1952; $50,000,000 Deb., 5s,
1961; to pur¬
chase
$3,750,000
4%
guaranteed
serial
notes due 1942-46 of Ohio Fuel Gas
Co.,

16,001

stock

ATLANTIC CITY ELECTRIC CO.

Feb: 16, 1942.
Feb. 17, 1942, at $98

1942 to

Corp. regis¬
debentures,
dut
$92,000,000 sinking fund

•

hied less than twenty days

were

registered
common

Proposed offering as amended Dec. 10.
1941, 9,000 shares at $54.25 per share
Amendments filed. Nov/: 21, Dec.
8, and
Dec. 26,1941, to. defer effective date

plus divs.

Following is

Co.

par

Registration. Statement No. 2-4714.

/

p.m.

no

*

company,
will be sold

5 naming Hayden,
principal
underwriter.

as

B

of

cash

...

due

CORP.

serial

Offering—Both
r offered at prices

proceeds- will; be; receive* ;i
by L. A. Cushman, Jr., chairman of boarc

and for working cap¬
■

us.:»r-

7 Proceeds—All

pre¬

later amend¬

to

Amendment' filed

|

Electric

Broadway, N. Y. C.
Business—Public
utility
holding

bakery., products, .in., souther stated
Underwriter—None named;,,
Offering—Stock will be offered to pub*

11c

public;
under¬

the

ELECTRIC

Address—61

deter¬

ing

par:

ments

to

debentures

whose

A

&

$28,000,000
to 1951, and

1942

filed

were

been

BAKERIES GOf77^;:-7—7*;7;
Bakeries

Class

Address—No,; 620 Ten

v

,

filed Feb.

Co..

Offered

,

unknown

are

tered

Issues

of

but

ago,
not

.Business—Manufacturing

manufacture

Offering—The

names

will, be

&

more

have

Atlanta, Ga.

(1-24-42-Cleveland)

War Time

date.

upon

7.'--.

7 ,r-

„

supplied by

Registration

v

Amendment filed Feb.
effective

issuance

.

A-2.

Miller

or

American

shares

privilege of the

offered

and

be

Amendment

company's

or

dates

AMERICAN'

Pre¬

Registration Statement No. 2-4933. Form

Working capital
A2

be

company,
:

ital.:-

$700,-

Registration Statement No. 2-4938.

Convertible

for

^

and

will

price

of

list

a

GAS
Gas

Columbia

pany

7,500

electric-

■

will

Proceeds

partial prepayment of nn
bank loan; remainder of the

proceeds

of

stock

reserve

toward the

outstanding

mined

ment.

the

statement

Proceeds will be used to extent of

000

for

COLUMBIA

filed

value; and 37,500
stock, $5 par value, the

reserved

Underwriting

the other

days

offering

motors, generators,
motor-generator sets, mine motors, etc.

&

&

be

SEC

Business—Engaged -in;, the

and

twenty

V;

■Address—Cleveland, Ohio.

Underwriting — Principal
..underwriters
are:' Laird,
Bisseli & ' Meeds;
Spencer

below

present

whose registration statements

per

par

no

common

to

with

Cumulative

preferred stock. S

/•

ner

$102.50

MANUFACTUR-

exercise of the conversion

•/ products W (soda, .fountain

luncheonette

statement

$5

Shares of

We

tv

and

facture
in

ELECTRIC.-, &

co.

registration

<carbonic

at

1941,

Reliance Electric Manufacturing Co.

done by company
subsidiaries consists of the manu¬

its

and

25,

-7

RELIANCE

Ave./ Chicago,

:

Business—Business

Feb.

filed Dec. 3, Dec. 31, 1941
Registration Statement No. 2-4926. Form
19, 1942 to defer effective date
i S2
(12-30-41)
";••
,r:lj
,

OF OFFERING

UNDETERMINED

per annum.

share.
.

in.
•i

offered

dividend rate of 4'/2%

a

Amendments
and Jan.

DATES

series A, $100 par,
to the public, will

stock,

be

to

Offered

dividend

*. ,7,/,//* ri. i/7

.

preferred

proposed

by amendment to the

statement

Address—3100

i

Cumulative

Calendar of New Security Flotations

19,

1942, company filed an amend¬
ment
to
its
registration
statement,
dis¬
closing that the 30,000 shares of its cumu¬

^

845

parent

company,

phone

Co.,

to

Crosse

La

will

use

which

Middle

will

Western

donate

by

Tele¬

portion
and latter
a

Telephone Corp.
to retire outstanding

proceeds

preferred stock

THE COMMERCIAL & FINANCIAL CHRONICLE

846

Flotations;

Calendar of New Security
Registration Statement No. 2-4717. Form
A-2.

Feb.

withdrawn

statement

1942.

LERNER

STORES

CORP.

Lerner Stores

Corp. has filed a registra¬
tion statement with the SEC for $2,000,900
Ten

Year

Jan.

1,

Sinking Fund Debentures, due
Interest rate by amendment

1952.

American

of

Co

additional shares orginallj
registered with the SEC on April 21, 1941,
for public offering,
and withdrawn from
registration were subsequently registered
The

355,250

These shares consti¬

and became effective.

stock

the

tuted

United

outstanding and owned by

Light & Railways Co.,

United

of

subsidiary

a

ates,
178

through
retail

holding

subsidiaries, a chain of
women's wearing

its

stores

selling

apparel at moderate prices on a cash and

basis

carry

Merrill
Lynch,
Pierce,
Fenner & Beane, of New York, are principal
underwriters; others will be named
by
'

Jan.

rate

the

on

plied

preferred

stock,

amendment

by.

to

will

the

be

sup¬

registration

statement

Address—222 Levergood St., Johnstown,

.

.

mortgage bonds, due

1972, and 34,000 shares Series A
cumulative preferred stock, $100 par. The
1,

,

—

amendment

SEC $32,500,000 first

interest rate on the bonds and the dividend

-

Underwriting

Pennsylvania Electric Co. registered with

oper¬

company

Offering—The Debentures will be offered
to the public at a price to be supplied by

Pa

amendment

Trustees

:

'

Business—This

company,
controlled by
Associated
Gas
&
Electric

of

to Associated

Corp., is engaged chiefly in the production,

Y.),
which will use the net proceeds so advanced
as
additional working capital or will ad¬
vance all or a part thereof to other sub¬
sidiaries for use as additional working cap¬

purchase,
transmission,
distribution
and
sale of electricity for lighting, heating, in¬
dustrial and general utility purposes, serv¬

Proceeds will be advanced
Lerner

Shops

America,

of

Inc.

(N.

ital

Registration Statement No. 2-4939.
A2

territory in Western Pennsylvania
from
the Md.-Pa.
State
line
extending
northerly to Lake Erie
ing

a

Underwriting

Form

and

(1-31-42)

Registration
19, 1942.

withdrawn

statement

Feb.

preferred stock will be sold by com¬
under competitive bidding rule U-50
Public Utility Holding Company
Act.
Names
of underwriters
and
public
offering prices will be supplied by amend¬
SEC's

Liberty
Aircraft
Products
Corp.
filed
registration statement with SEC for 60,000

ment

shares

that

the

company

than

103

for

Cumulative

plied
$1

no

by

Convertible

(dividend

par

amendment),
value

par

and

Preferred

be

to

rate

sup¬

shares

120,000

stock, latter to be
reserved for issuance upon exercise of con¬
version rights of the preferred stock
Address—Farmingdale, N. Y.

manufacture

in

to

registration

vitations

to

bid

statement.
the

for

is

to

the bonds

The

receive

and

Proceeds

the

will

be

outstanding

funded

debt

the

of

Registration Statement No. 2-4929. Form
(1-9-42)

order.

Owns

about

ture

is

50%

stock

common

of

sale

of

the

medium

outstand¬

Autocar

chiefly in

engaged

and

of

The

PUBLIC

heavy-duty

Public

motor trucks
the

to

supplied

by

prefened
public at

stock
price

a

amendment;

will

the

be

the

of

names

supplied by

be

to

proposed

other

underwriters

will

be

amendment.

Proceeds

will

used

be

the

to

extent

of

working capital

*

Registration Statement No. 2-4934.
A2 (1-28-42)
MCDONNELL

AIRCRAFT

Form

shares

$100 par, and

$1

par

Address
Lambert-St.
Louis
Municipal
Airport, Robertson, Mo.
Business—Engaged in designing and deand
selling parts for aircraft; expeoti"
presently to engage In business of manu¬
facturing, testing and selling aircraft
—

!

Underwriting—None.

Securities

to

bt

offered

by company
Offering—Of the shares

i

shares

shares

of

of

maining 64,531%
for issuance

shares common reserved
conversion of the preferred

on

Proceeds

*

for

Public

Illinois

Indian¬

Power

Indiana

Co.

of

Indiana,

Central In¬

Co., Northern Indiana
Company

Corp.

on

result of consolidation of

as

Service

diana

St.,

In

Co., Terre Haute Electric Co.
is

and

Power

Dresser

public

a

utility

operating in State of Indiana and is en¬
gaged principally in production, generation,
manufacture, purchase, transmission, sup¬
ply distribution and sale of electric energy
and gas,
and in the supply, distribution
sale

of

(9-17-41)
Effective—4:45

1941

as

of 4:45

sold

Offering—The

the

under

bonds

competitive bidding

ing Company Act. Names of underwriters,
and public offering price, will be supplied
by post-effective amendment to registra¬
tion

statement

Proceeds,
If

other

plus

funds

of

company

will be applied to redemption,
within 40 days after issuance of the bonds,
necessary

the $38,000,000 of

of

Indiana

due

MILLER TOOL

&

&

1,

will
the

in

used

1969,

106 Va

at

$4,000,000

and

ceeds
under

be

D

of

the

accordance

bonds,
accrued

with

the

provisions of

A2.

(11-22-41)

Effective—10 a.m. E.5.T.
bids

No

for

received

were

the

Dec.

on

on

purchase

Dec. 6, 1941

of

the

bonds

1941

16,

Schenley
tration

CORP.

DISTILLERS

Distillers

Corp.

with

statement

the

sinking

10-year

filed
SEC

fund

a

for

regis¬
$10,-

Manufacturing

debentures,

value

par

manufacture

and

of

sale

service

in
tools

for

&

Co.,

the

principal underwriter
Offering—24,875 shares of common stock
will be sold to the public for the account
of
the
company;
the
remaining
67,917
shares registered' are already issued and
outstanding, and will be sold to the pub¬
lic for the account of certain selling stock¬
holders. The public offering price is $4.20
*

Proceeds

be

will

(12-26-41

Cleveland)

Amendments

Feb.

filed

whiskies

in

writer;

10,

Jan.

26 and

NATURAL

Northern

710,500

Natural

shares

Address

of

GAS

Gas

common

$20

Bldg.,

Omaha,

-.

to

150,000

350,000

the Contracts, land

J.

par

and

transmission

Co., and other*
to be named by amendment
Offering—Stock will be publicly offered
at price to be filed by amendment
Proceeds—All

&

proceeds

be

will

received

by selling stockholders, United Light A
Railways Co., and North American Llghf
and

Power

Co.

the public,

Proceeds

stated

(4-21-41)

at a price to be supplied by

Jackson

Natural

amendment

of

shares

stock

lic

to
of

proposed

has

been

its

its

ment,
are

by

such

Co.

$20

be

reduced

par

from

an

statement

value

offered

to

common

the

710,500

pub¬

share*

According to the amend¬

355,250

shares

are

presently
North

filed

registration

to

to 355,250 shares.

Gas

those

that

owne<b jtnd outstanding^
American Light & Power Co.*




&

&

350,000
250,000
125,000

and materials

125,000

__

—300,000

Curtis_____.

225,000
400,000

Kuhn, Loeb & Co
Lazardi FYeres & Co._—
Lee

Higginson

Carl

M.

Merrill

Marks

M.

1,100,000

400,000

Corp._.
Rhoades & Co.

Loeb,

Laurence

Lynch,

&

Co.

Pierce,

Fenner

&

Webber

Paine,

Parrish &
Riter

Lynch

&

125,000

Feb.

Co

&

&

Brothers

&

Co.,

Securities

&

Wertheim

400,000

Co.___

350,000

250,000

CAROLINA
Carolina

South

SEC

INSURANCE

Insurance

12,500 shares

Co.

CO.

stock, $8

par value
Address—1400 Main St., Columbia,

Business—Engaged

principally

offered

be

for

Underwriters

named

ican

requiring

minimum

a

become

to

soon

capital

A2

from

with

be

of

procured

the

will
of

31,

Aug.

the

debentures,

net proceeds of un¬
short-term bank loans

by

company

prior

the issue of

to

the deben¬

applied to payment of all
loans
of
company.

such

bank loans outstanding
1941, was $24,000,000

A2.

(12-30-41)

'

on Feb. 13
amendment, disclosing that it now
proposes to issue only $15,000,000 of de¬

filed

an

bentures

instead

of

an

aggregate of $27,-

500,000 contemplated in the original regis¬
statement filed

tration

According
will

pany

to

the

offer

sinking

on

Dec.

30.

amendment,

$15,000,000

fund

the com¬

of

debentures

10-year
due

on

Feb.

9,

be

1%%.

names

of

the

Address—Danville,

Co.,

of

the

(debpntures,, and the amoipitq to be pur¬
chased by each, are as follows;' •• ( '

&

Co.,

for

other

the

sale

to

the public

of such

Co.

of

Missouri,

an
amendment to its regis¬
naming the underwrit¬
all, who will publicly offer the
shares (no par) common stock,

in

such

stock

common

purchase,

which

soothes

the membranes

is

Baker,

Panax Pro¬

the throat,

of

Bankers

be

Blair,

and

TEXAMERICA

shares

Address

interests

in

shares

at

agreed
$1.75 per

July

&

'

$26,626 will be

capital

Co

24,255

2,695
18,865

Co.—„—

Inc.-

5,390

-

43,120

—;—

2,695

«.

—

&

5,390

Inc.—

Co.,

Dominick-

53,900

Co.—
&

Co.,

2,695

Inc.—

Securities

Exnicios

Boston
of

Co.,

2,695

Inc.

Corp————— 107,800

Michigan

Francis,

outstand¬

Gatch

Corp

8,085
8,085
18,865

—

Glore,

2-4824 Form

No.

filed

CO.

Feb.

"<

& McKinney,

Jordan

Forgan

&

13,475

Co

Parsons & Co.

Granbery, Marache & Lord

Harriman

■

Treasure Mountain Gold

—

Green, Ellis & Anderson
Hallgarten & Co

MINING

GOLD

Harris,

Mining Co. filed

2,695
53,900
53,900
13,475
2,695
5,390
5,390
83,545

:—

Co

Sachs &

Graham,

ef¬

$

MOUNTAIN
.

defer

to

11

_

Ripley & Co., Inc

Hall & Co.,

Inc.

statement with the SEC for
150,000 shares common stock, 25 cents par

value

Hayden, Stone & Co
Hemphill, Noyes & Co
Hill Brothers

24,255

Hawley, Shepard & Co

registration

a

Hayden,

'

Address—Denver, Colo.

has been organized
to
develop and operate gold
and silver
mines on Treasure Mountain, in San Juan
Business—Company

County, Colo.
Underwriting—None

J. J.

^

ct

E. F.

^

W.

shares
price of 50

to

the

at a

public,

(1-29-42)
Amendment filed Feb.

Son

———

&

W. W.

W.

INC.

statement

with

Contracts for sale of land and

development

C.

,

—

,

}

2,695

5,390
83,545
13,475

Singer, Deane & Scribner

Smith, Barney & Co
Smith, Moore & Co
William

8,085

Staats Co.

R.

Starkweather

Co

&

2,695

—

5,390

Stein Bros. & Boyce
Brothers

Stern

Co

&

Stix

&

\

8,085
24,255

Blodget, Inc.-

83,545
5,390
2,695
83,545
24,255
102,410

Co.——
&

18,865

—

Stone & Webster and

Stroud

10,780

—

Wampler & Co., Inc
Stifel, Nicolaus & Co., Inc
Stern,

Inc.—

Co.,

Lowry Sweeney, Inc

——

Spencer, Trask & Co.—
Tucker, Anthony & Co.i
Securities

Corp

83,545

Co.—

H. Walker &

Wells-Dickey

&

Co

5,390

—

16,170

Co

&

16.no

White. Weld & Co

8,085
2,695

Whiting, Weeks & Stubbs, Inc.—
O: H. Wibbing & Co
The

Wisconsin
Witter &

--

24,255

Co

Co

Dean

Harold

Wood

E.

43,120

—-

5,390

Co..

&

Offering of, the shares has been indefi¬
nitely postponed.

PANY

POWER COM¬

,

Light,

Heat

25,000

shares

Address—4th

;

Power Co. re¬
$100 par common

and

J

stock

Cincinnati,

St.,

Main

&

Ohio
Business

utility

electric

Operating

—

company

,

Underwriter

—

Columbia Gas &

Electric

'2

fer .to
mon

share.

at $100,016 per

share held

each

for

Columbia

Proceeds—To

Electric

&

Gas

and

debt

current

repay

bonds held by
companies, auu for
*
Registration Statement No. 2-4370. Form
mortgage

first

$2,835,000

A-2.

<3-30-401
19 and Feb. 7, 1942 to defer

1941, Jan.

effective date

United

,

,

CORPORATION
registered $75,000,000
collateral trust* 314 %

GAS

UNITED

13, Dec.

Nov. 25, Dec.

Amendments filed

31,

Gas

Corp.

first

mortgage and
bonds due 1958

New York City

Address—2 Rector Street,

Business—Production and sale of natural

part of Electric Bond and Share Sys¬

gas;

tem

Underwriters—None

be

Terms—Bonds will
investors, whose

Offering

institutional

be

to

sold

will

names

supplied by amendment, at 99.34%
redeem

Proceeds—To

Public

Gas

Service

1953; to pay 6%
000

Electric

to

United

$28,850,000

Debentures

6%

due

demand note of $25,925,-.

Bond

Share; to

and

repay

$2,000,000 open account debt to E. B. & S.;
and to purchase from United Gas

of

$6,000,000

Co.,

1961.

due

its

1st

Pipe Line

4%,

Coll.

&

will

Balance

be

used

in

part to reimburse treasury for capital ex¬
penditures and possibly to pay accumulated
dividends of
$9,502,490 on companys. $7

preferred stock,

.

.

Registration Statement No. 2-4760, Form
A-2 (5-15-41)
;

"S--.

United
SEC

been

Gas

unable

chase

'

filed amendment with
1942, stating that it had

Corp.

F.eb. 21,

on

further

to

agreements with

the

pur¬

14 insurance

com¬

extend

the

proposed private sale
to "such insurance companies of $75,000,000
the

lateral

3V4%

mortgage and col¬
bonds, due 1959.
This

states:

"These purchase agree¬

trust

ments expired on Feb. 16, 1942.
The cor¬
poration intends to continue negotiations

to

the

that

end

privately,

said

agreements

to the

public

its

by

as

bonds

shall

renewal

be

the

of

either'

afore-*

otherwise, or offered
circumstances shall dictate
or

in order to obtain

the pest possible price."

8,085

2,695

43,120
———

Corp.

parent and associated
construction costs

sold

43,120
"102,410
:—
43,120

Langley & Co

Carl M.

8,085
13,475

———.

company's first

8,085

Lanahan & Co

24,255

VIRGINIA

PUBLIC
statement

$22,800,000

first

due

1971;

Dec.

serial

1,

notes,

1944-Dec.

SERVICE

Public Service Co.

Virginia
istration

1,

with

CO.

filed

tht

mortgage

a

SEC

reg¬

for:

3%%

bonds,
$5,700,000 Of 2%-3V2%

due

semi-annually
1951,
in
varying

(from $320,000 to $390,000);

Corp
—:___24,255
Loeb, Rhoades & Co.--—
2,695 5!4%

Lee. Higginson

Co

&

amendment

5,390

Co

Peabody & Co

Lazard Freres & Co

Tung Grove Development Co.,

Simon

M.

of

10,780

Curtis

Ladenburg, Thalmann & Co

Inc., filed
the SEC for

I.

8,085

&

8,085

83,545

—

-

10,780

Kuhn, Loeb & Co

defer effec¬

GROVE DEVELOPMENT CO.,

Shields & Co.-

covering

5,390

& Co

Lemon

8,085

—

—

panies

10,780

Edward D. Jones & Co

tive date

registration

&

Weeks

&

Hutton

Kidder,

11 to

-

Hilliard

Johnston,

Form

—

Chas. W. Scranton & Co.—

10,780

._

Hutton & Co

E.

Jackson

working capital

Registration Statement No. 2-4937.

Inc.

Schwabacher & Co.-———————

8,085
18,865

Co

Illinois Co. of Chicago

sli^rG

Proceeds will be used for

&

2,695
5,390

—

Hirsch, Lilienthal & Co.'.

Offering—Company will sell such

directly

B.

Miller

Hornblower
;

10,780

Inc.—
Rothschild & Co.——
Schoellkopf, Hutton & Pomeroy,
F.

bonds

—

Goldman,

fective date.
TREASURE

Bros.,

& Co.—;

Inc.

(8-27-41)

Amendment

Bro.

2,695
43,120

L.

5,390

—

13,475

&

5,390

—

Rohrbaugh & Lukens—

E. H. Rollins & Sons,

8,085

Corp.-

Co

&

Glenny, Roth & Doolittle

Statement

24,255

2,695

Co

Edwards & Sons

G.

Ferris

'V--

-

Registration

2,695

13,475

Estabrook

($200,000), and
added to work¬

indebtedness

.

10,780

—

Folger, Nolan & Co., Inc

ing mortgage

5,390
10,780

——

by

Dillon &

First

to pay

—

Reynolds & Co.:
Riter & Co,-—'-—,—-

2,695

&
;_-••••.

Co

&

Co.——

Reinholdt & Gardner——i——

Rauscher, Pierce & Co., Inc.:

21,560

Equitable

&

Putnam

Substantially all outstanding stock is held

Co.———

A.

shares is¬
company,
as divi¬

Proceeds—Will be used

A-l.

&

Eckhardt-Peterson

to

2,695
10.78C
5,390
8,085

2,695

.

—

Sons

Burr,

&

2,695

;

Webber & Co.—_——
Piper, Jaffray & Hopwood—

8,085
-

&

by

1941,

13,475
102,410

Loughridge

Co

Eastman,

dends.

ing

Cahn

Dickson

First

1,

2,695

—

.

Drexel

registered constitute

shares

Inc

Co.-.

Dominick

at
$2, from company.
Offering—118,907 shares to be offered
to
public at $2,375 per share; remaining
984

Co.,

&

&

Clark

S.

Hubbard & Asche_

Page,

Offering—Stockholders will receive of¬
subscribe to 25/94ths of one com¬
share in units of 5/94ths of a shard
for each 8/94ths of a share held at $5.33
for each unit.
On a share basis, stock¬
holders may
subscribe to 5 new shares

5,390
10,780

Dodge & Co

W.

R.

purchase 44,share and 74,157

has

Tex.,

Pacific Co. of California—"

5,390

2,695

Crago, Smith & Canavan.—5,390
Curtiss, House & Co————
2,695
J. M. Dain & Co—
2,695

producing or proven
oil
properties
in
Texas,
drilling of oil
wells thereon, acquire royalty interests in
proven and developed oil properties.
Underwriter—Willard York Co., San An¬
tonio,

&

Republic

Coffin

——

2,695

Co

———-ii.

Cooley

leasehold

750

B.

Clark,
E.

Antonio,

production
and
acquire mineral

in
oil,

8,085

Co.————

&

Corp.

Co., Inc.——2,695
Byllesby & Co., Inc
2,695

Central

Tex.

Business—Engaged
marketing of crude

Securities

Chanute,

Brown

M.

Frank

Corp. registered with SEC
stock, $2 par.
San

&

Goodwin, Inc.

Childress &

Bldg.,

5,390

——21

—:

Alex.

H.

5,390
2,695

2,695

Booker & Co

•Co.

10,780
24,255

Otis

Burr &

common

Milam

—

Harden——_____

Co:, Inc

Bosworth,

OIL CORP.

Texamerica Oil

119,891

E.

Y.

•;

Murphy & Co.——,

The Ohio Co.————,

5,390

Co

Bonner

Bond &

5,390

Abbe

Newton,

gistered

5,390
V: 5,390

»

16,170

Co.——

UNION LIGHT, HEAT AND

2,695

Blyth & Co., Inc.
Bodell & Co., Inc._:

and

'

16,170
2,695

•

—

Newhard, Cook & Co

Union

&

Blair &

to the

offered

M.-P,

G.

24,255

Co.

Becker

G.

A.

2,695

,___

Milwaukee

129,360

Co., Inc.Bear, Stearns & Co.

Offering—The shares
public at a price of
$5 each for each class of stock, by John
W. Yeaman, Martinsville, Va.
Proceeds will be used for plant additions,
for purchase of additional equipment, and
for working capital
Registration Statement No. 2-4928. Form
A1 (1-9-42)
Underwriting

&

&

Bond

Battles

tasteless and oderless

will

Weeks

Coons

Bankamerica

demulcent—

a

each

follows:

are as

Auchincloss, Parker & Redpath
Bacon,; Whipple 8s Co.!
Baker, Watts & Co
i

Va.

Panax

Feb.

on

Almstedt Brothers-

Ball,

2,695

5,390
83,545

Mitchum, Tully & Co.'_
———_
*10,780
Moore, Leonard & Lynch.
5,390
Morgan Stanley & Co
■
107,800
F. S. Moseley & Co.—
;
24,255
Maynard H. Murch & Co
2,695

G.

Form

filed

of

:

—

Whitaker

Dillon, Read & Co
A. C. Allyn & Co., Inc

cigarettes, manufactured
under its Panax Process by

agent.

Beane

Shares

Pinehurst

company

New

underwriter.
underwriters will be

by its parent, The North Amer¬
who will receive the entire pro¬

has agreed to

Inc.,

Business—Company markets
cessed

TUNG

underwriters

Reed

principal

are owned by its parent com¬
The North American Co.
Such un¬
derwriters, and the maximum number of

filed 8
registration statement with the SEC for
5,000 shares Class A common stock, $1
par value, and 60,000 shares Class B com¬
mon stock, $1 par value

S3

will

Tobacco

coun¬

all of which

16, 1941, Jan. 3,

13,475

Merrill, Turben & Co;—
Metropolitan St. Louis Co._^

pany,

shares

Swain

L.

R.

the
of 5

statement,

141

2,695,000

$250,000

R. L. SWAIN TOBACCO CO., INC.

4% sinking fund debentures due
on
Jan.
1, 1957.
The debentures will be
offered at a price to be supplied by later
amendment.
The
underwriting commis¬
The

the

Electric

1942

2,695

Co

&

McCourtney-Breckenridge & Co.—
McDonald-Coolidge & Co._—
Mellon Securities Corp.—
Merrill Lynch,
Pierce, Fenner &

Union

tration

date.

csnts

sion

serving

(2-2-42)

ers,

(11-27-41)

1, 1952, in lieu of the $10,000,000
10-year 3%% sinking fund debentures
due on Jan. 1,
1952, and $17,500,000 of
15-year

subsidiaries,

Jan. 22 and Feb. 10, 1942 to defer effective

or

bank

present

Amount
on

be

of

sale

the

the

from

Union

ing a minimum capital of $300,000
Registration Statement No. 2-4898. Form
filed Dec.

for

SEC

Registration Statement No. 2-4940.

and with the laws of Massachusetts requir¬

A2.

the

shares

by

effective

of

of

Co.,

ceeds

underwriting commission will

State,

its

named

owned

are

directly to capital ($100,000) and the residue to surplus. Company
deems it essential to comply with laws of
York

a

supplied by amendment
'
Offering—The 2,695,000 shares of com¬
pany's common stock are outstanding and

to

be $2 per share
Proceeds will go

New

is

Names

shares

subscription

will be

from

York,

after effective date of registration

amendment;

filed

Missouri

with

Underwriting—Dillon,

the

present stockholders, under their preemp¬
tive, rights, at price of $16 per share. Un¬
subscribed portion of such shares will be
offered to public at $18 per share, within
30 days

of

ties in Missouri adjacent to the
company's
Osage hydroelectric plant

S. C.

in

writing of fire insurance
Underwriting and Offering—The
first

Co.

statement

city of St. Louis, Mo., and portion
adjacent Missouri counties and of 3

registered

common

2,695

Co.—

&

Marks

Mason-Hagan," Inc.

Robinson,

Business—This, subsidiary,of .The North
American Co. is engaged
primarily in the
transmission, distribution and sale of elec¬
tric energy, which it generates and
pur¬

chases

SOUTH

set

;

400,000

•

been

..

150,000

Weeks & Stubbs, Inc.—

Whiting,

on

shares common stock, no par
Address—315 N. Twelfth Blvd., St. Louis,
Mo.

400,000

& Co
Corp

Time

2,695,000

__

Blodget, Inc.

War

S.

A

<

Electric

registration

Inc

Anthony

Tucker,

Union

400,000
125,000

Boyce

E.

p.m.

1942.

225,000

Scribner

&

Stone & Webster and

16,

4.45

UNION ELECTRIC CO. OF MISSOURI

200,000
——

Deane

Singer,

225,000

Co.-

at

hearing has
before the SEC for Mar. 3, 1942.

125,000

Schwabacher

Union

250,000

Co.

Shields &

Stroud

ficient

& Co

Form

(1-28-42)'
Registration Effective but apparently de¬

250,000

Co.—

&

Stein

S2

250,000

Leonard

Moseley & Co

S.

M.

Paine,

Registration Statement No. 2-4935.

Beane

Moore,
F.

tung

suitable for tung grove
development, together with its contract for
the clearing, planting and development of
a tung grove thereon, in; units of not less
than 10 acres at a total price of $45 per
acre, payable one-fourth down and the bal¬
ance in 3 equal annual payments
:
Proceeds for working capital, as payment
for land sold and for development work

,

Son

Kidder, Peabody & Co.__

remaining

of

|

Hilliard

B.

W; E. Hutton & Co

sued

amount

3%%

Registration Statement No. 2-4741. Form
Northern

principal
will be supplied

The Schenley Distillers Corp.

Underwriter—Blyth

A-2.

Corp.,
under¬

Registration Statement No. 2-4925. Form

of natural gas

J.

shares

Securities

amendment

a-

Business—Production

distilling,

Offering—The debentures will be offered

tures,

registered

stock,

Aquila Court

—

Nebraska

CO.

Co.

the

States

others

concurrently with
NORTHERN

subsidiaries

by amendment

to

11, 1942 to defer effective date.

United

of

names

together

Jan.

the

Underwriting—Mellon
Pittsburgh,
is
named

the

purchase
of machinery and equipment and for work¬
ing capital
,
Registration Statement No. 2-4920. Form
B2.

in

its

rectifying, producing, warehous¬
ing, bottling, buying, selling, exporting and
importing alcoholic products for beverage
purposes, principal business being produc¬
tion and sale of rye, bourbon and blended

•-

for

used

generally

engaged

are

and

blending,

by the automotive industry
Underwriters—Baker,
Simonds

per share

Ave., New York City

Business—Company

the

use

Is named

Fifth

Address—350

Address—Detroit, Mich.
Business—Company is engaged

}

Jan. 1, 1952, and $17,500,000 15-yeai
sinking fund debentures, due Jan. 1, 1957.
Interest rates will be supplied by amend¬
ment to registration statement

groves

in

Legg

Laurence

sub-divi¬

Hemphill, Noyes & Co

is

Registration Statement No. 2-4893. Form

purchase,

in these counties for

400,000

retaining

be

the

Harris, Hall & Co., Inc.________
Hayden, Miller & Co

trustee

pro¬

Business

include

development

225,000

will

the
and

Fla.

to

and Citrus
is now being ex¬

Marion

Underwriting—Details of underwriting or
distributing method to be employed, will be
supplied by amendment
;
Offering—Company will offer, through

.

Axton-Fisher Tobacco Co., Inc.
The Panax
Process acts as a hygroscopic or moisture

net

with

indenture

deposited

series

and

the Indenture

000,000

CO.

MFG.

Co. has
registration statement with the
for 92,792 shares of common stock,

EEC

$1

Tool

a

panded

in

owners,

orders

upon

sion and sale of lands

200,000

Co

such

or

825,000

due

Miller
filed

225,000

contract

under

225,000

Public Service Co. of

first mortgage series A 4%

Sept.

SCHENLEY

P.M., E.S.T., on Oct. 8,
P.M., E.S.T., Oct 6, 1841.

&

from

1,100,000

Co

Amendments

and

Co._

Co

&

&

others

First
Boston
Corp.
Hallgarten & Co

water.

*

A-l.

Read

Loewi & Co.—————_

Mackubin,

Address—Ocala, Fla.
Business—Engaged in the planting, culti¬
vation and care of tung groves on lands
of

Rule U-50 of the SEC's Public Utility Hold¬

working

capital, purchase
Of tools, machinery and equipment.
Registration Statement No. 2-4844.
Form

Counties,

Republic

Dillon,

statement.

1941,

Sept. 6,

Interest;

registered, th«
preferred and 64,531%
common, will be offered to pub¬
lic in units each unit consisting of on«
share of preferred and 10 shares of com¬
mon stock, at price of $140 per unit.
Re¬

6,453 Ve

N.

Ind.

Business—Incorporated

will be

stock,

common

of

Indiana, Inc., reg¬
SEC
$42,000,000 first mort¬
3%% bonds, due Dec. 1, 1971

Underwriting

McDonnell Aircraft Corp. registered with
BEC
6,453 Ve
shares 6%
Non-Cumulative

129,063 V3

Co.

Address—110

apolis,

and

CORP.

Convertible Preferred Stock,

Service

with

Power

$900,000 toward part payment of outstand¬
ing bank loans, and the balance will be
added to

SERVICE CO. OF INDIANA, INC,

gage series D

maximum offering price,

based on the SEC
filing fee, is $25 per share
Underwriting—E. H. Rollins & Sons, Inc.,
New York, is named
principal underwriter;

Central

•

____

will

istered

Offering—The
offered

1942.

Co.,
manufac¬

the

and

effective
Feb. 18,

aggregating $450,-

tung groves thereon,

600:

with

Registration
Statement
fully
4:45 p.m.
E. S. War Time on

ing

com¬

of

Corp
$2,000,000
Sons__—200,000
A. C. Allyn & Co., Inc.
225,000
Blair & Co., Inc
250,000
Blyth & Co., Inc
825,000
Bonbright
&
Co._l
400,000

and Erie Lighting Co. and for prop¬

pany

A2

which

of

erty additions

and
upon

than

all

redeem

to

used

craft

specifications,

less

not
less

not

processing of parts and equipment for air¬
customers'

In¬
specify

securities

$100 per share for the preferred stock

common

Business—Engaged
to

bonds

pany
of

LIBERTY AIRCRAFT PRODUCTS CORP.

Stock,

Offering—The

and

Amount

Securities

Alex.. Brown &

Estabrook
PENNSYLVANIA ELECTRIC CO.

Business—This

Mellon

Emanuel

Light & Power Co.

Address—Baltimore, Md,, and New York
City

Underwriter

th<

to public for
Light & Power

offered

be

to

are

account

(3-29-41)

Registration

17,

and

Thursday, February '26, 1942

June

1,

amounts

70,000 shares

cumulative preferred stock, $100 par

Volume; 155

value;
no

and

THE COMMERCIAL & FINANCIAL CHRONICLE

Number >4050

shares

628,333

stock:,
.■•:"77 ■
St., Alex-

common

par

f

Address—117 S.
i. andria,- Va.7
77

Washington

Victory Needs
Expanded Production

Business—Company
is
principally
an
operating
public utility engaged
the production, purchase, transmission,
distribution and sale of electric energy at

7 electric
:.!r in

America must face the fact that
it

/ retail and wholesale in Virginia, West Vir¬
ginia and, to a minor extent, in North
>

Carolina.
eral

t

Gas

the

Gas •&

Electric .Corp.

new

Act.

Company

confined

for

share

Only

shares

is worth 10 that

might produce
next year," Mr. Nelson said. "This
year—1942—is the critical year in

(with

presently out-

the

of

standing

preferred stock

to

cash

take

for

underwriters,

who

we

the existence of the United States.

not elect

do

stock.

their

I'm

of

Name

and

public
offering prices
for the securities, will be supplied by posteffective

to

amendment

registration

,ment

628,333
stock

•

shares

will

:

Electric

&

sale

no

Corp.,

and

the

of the

Service
•

make

Generating

pany

Dec.

26,

WEST

Jan.

shares of

E.

the SEC

a

New York

City

in
1932
reorganization of

of

company

its

owning

the

in

the

and

the

invert

of
7

also

golden

will

be

named

by

ten

do

others,

have

everything.

have

But

months

them

and

determination

already

registered

are

determine

outstanding, and are owned by
of Nexy York. Inc., In Dis¬

City Company

solution,
■

to

National

City

of

the

the

extent

Bank

remaining
aggregate

47.7%

to

will

received

by

the

.

Registration

Form

A2.

Statement

2-4923.

(12-29-41)

-

^

v

•

volume

N. Y. City Banks Adopt
Defense Bond Plans
in
•

•

.

the

All

'-

New

7

•

2.

out

Bankers

Mr.

conversion

to

100%

also

Considering

their

by

money

the

assuring.
7

contribution

that

this

strates

100%

record

"

demon¬

awareness

tional

>

of

situation

willingness to

present

our

and

load.

7

•

adopt

voluntary,

■} plans,
7

bank

*

the

in

payroll

of Feb.; 18

such

tution

of

payroll

plans.

-

.

.

banks.

small

manufacturers

pooled

their

facili¬

Nelson further said:

who

is

single big

a

can't

doing

do

more

if

now

he

pro¬
than

sub¬

-

'

They

Chemung,.

100%

Hamilton, % Jefferson

and Orleans.

.

i




,

;

-

-

-

effort

mean

war

housing legis¬
jeopardize

and

our

will

as

and

most

profitable industries in

America."

Mr.

Straus

further

stated that he had been informed
on

"unimpeachable
unless

mies

of

authority"
resigned the ene¬

he

slum-clearance

! House would insist

Bill—Urges

ernment

debt

the

by

unusual,
portentous
programs
-have
already
been the promotion of guayule cultiva¬
adopted because of the war. tion, in order to make available

in

the

provisions

on

we
a

can

do

will, if

it

we

if

we

go out

stop thinking

do to

the

to

We

war.-

prosecution

sound

every

Even

war.

all

are

of

committed

effort

to

faced

must
7.

program;

than

ten years;

the

in

build

aggressor
-•

ican

the

win

new

a

Yours

objected

eration.

change

adopted

19

that

all

ness

Feb.

on

the

by

shall

20

the

at

be

ceiling

price
Office of

Federal

close

view

the

of

resolution

adopted

the

of

War

that

the

on

at

No.

in

these
-

7" "

next year

■

if

7

was

Much remains to be

done, but
have shown how it can be
done, and your achievements
will stand as an example which
communities in all parts of the
country can study with profit

you

must make up, in
two years, what the

we

course we

We

*

can

of

all

order

be

liberately and with determination,

"

i

:

jj

'

j-.|. J.

'M.

•.

7

?

Results Of Treasury

amend¬

veto

message

uses

potential

sources

emergency

it is vital that

rubber-producing

in the Western

developed

United States.

Secretary of the Treasury Morgenthau announced on Feb. 20
the tenders for $150,000,000
thereabouts, of 91-day Treas¬
ury bills, to be dated Feb. 25 and

Hemisphere
regardless
of

or

without

the

or

to

Banks

a

resolution

that

con¬

tinental

solidarity be translated
into positive and efficient action

7. in the

obtaining of strategic

ma-

on

1942,

Feb.

Federal

Feb. 20.

which

81,

were

Reserve

The following
are revealed:

Total applied for

$385,802,000
150,445,000
Range for accepted bids:
High—99.950. Equivalent rate
approximately 0.198%.
Low—99.929. Equivalent rate
Total

opportunity to obtain maximum
supplies of crude rubber.

.publics

the

at

27,

on

details of this issue

The present bill

On Jan. 28, 1942, at the third
meeting of the Ministers of For¬
eign Affairs of the American
Republics in Rio de Janeiro,
Brazil, there was passed unani¬
mously by the 21 American Re-

May

offered

opened

excludes important sources and
cannot afford to neglect any

-

mature

were

we

-

if

problems.

that

whether within

page

coolly and de-

the

crude rubber for

areas

reported

and will solve them,

President's

and defense

face many prob¬

face the job

in

In the establishment of

lems, obstacles and difficulties.
we

efforts to solve simliar

Feb. 5 to limit plant¬

follows, in part:

spare.

Of

their

housing

on

The

had the time to

we

in

one

bill.

Price

19,
77. 7 /"

original

en¬

Feb. 9, thus completing
legislative action on the original

liqui¬
fixed

Feb.

on

Senate concurred
ment

3.

columns

the

slum-

your

commodations.

bill

as

for

Under

ap¬

leadership
squalid
dwellings
were
replaced
in
many communities by health¬
ful and wholesome living ac¬

ing to the United States and the

Production

The WPB's order

same

measure

Board,
conserving/the supply and di¬
recting the distribution of raw
sugar,
rendered impossible the
performance by delivery of Sugar
Contract

a

the

clearance.

passed by the Senate on Jan, 15;
however the House amended that

Ex¬

a

lightened

prevailing at the
that day.
This

fact

been

remedy

business

of

gen¬

our

plying

the

Sugar Contracts
No.
3
outstanding at the close of busi¬

dated

have

in seeking and

on

recent conference at Rio de
Janeiro and also because it-"would

Contracts

resolution

a

ordering

of the

one

trail-blazer

approved

Sugar

You

val¬

most

a

important reforms of

to

the

needs.

Liquidate

been

solidarity

the

seller's

a

has

uable contribution to

market, since war
authorizing the
production will expand consumer planting of 75,000 acres of land to
purchasing power tremendously." grow guayule anywhere in the
Western Hemisphere. This bill is

history.
We
great armament

things we.would, be making

your

Analyzing today's credit situa¬ seriously handicap our joint war
tion, Mr. Heimann warns man¬ effort."
Acting to meet the President's
agement against the "widespread
impression that this year will wit¬ objection, the Senate on Feb. 19

all

nations have done in
we must make today

He

"heartfelt appreciation of
fidelity, your industry and
efficiency." He added:

the ground that it "would contra¬
dict the spirit" of the continental

of the normal

some

republics.

limiting it to the United States

to

economic defenses may have to
be replaced by, or adapted to
meet

his

your

are

ards.
tial

country today faces the
most gigantic job any country
-.has

;
In
accepting , the resignation,
the President assured Mr. Straus

of

unorthodox

action, says the announcement of
the Exchange, was necessary in

responsibility
is
great, in all of this.
The job
will take brains and initiative;

!

extraordinary, others a source of crude rubber for emer¬
by peacetime stand¬ gency and defense uses, be ex¬
They are deemed essen¬ tended to include all of the Amer¬

Some

783.

.

rubber-bearing , plants because it
applied to the United States alone.
The President
recommended that

banking

'system.
Many

> This

Richmond,

„

of

will

Mr.

continuance
would

Revisions in the
keep control. Yet we cannot
bill
President Roosevelt vetoed on j would defense housing that which
the fact that history has
result in slums
would
Feb. 17 legislation
danger inherent in
providing for | "blight our nation for genera¬
the direct monetiz'ation of gov¬
planting of guayule and other tions to come."

Administration

less

are1

enactment

that

his

blight the
yet face of America with the scourge
scheduled of new slums."
He charged that

has

program

con¬

sponsors

change

do

noti-

adoption by

its

Feb.

to

March of 1942.

counties in. addition to Manhattan

reported

war

Vetoes Guayule Rubber

doubt the

nor

of

resignation,
office

revealed the

of

enemy
in 1943 and start
7 thinking about what we're going
to do to him in February and

as

Five

bill,

of

that

that

to

7

v

•

services

7-the

^ fied the association of the insti¬

have

the

7i about what we're going to

savings

had

banks

big

"the

post-depression

system.

this

determination

ness

7" with

State

Mr. Donovan said that

Reserve

letter

lation

record year."

The Board of Managers of the
New York Coffee and Sugar Ex¬

but

commercial

dent

his

this
year's
total
construction
volume will approximate thai
of
1941,
the

tive of

to

•

Reporting on the association's
current campaign to have every
.

industry

Industry's

;.

part of the

carry

year's

res¬

Jan. 5, but the Presi¬
deferred its acceptance.
Irr>
on

USHA

eral

ma¬

na¬

their

of

agricultural costs.

proposed

passed.

part of these employees of the
seriousness

ignation

in the

this

the

of

Straus had tendered his

Mr.

said

legislation
permit direct buying of gov¬
ernment securities by our Fed¬

have

looked pretty difficult. The day
for
that
of
sort
laziness
has

the

on

and

to

We

produc¬
and

relying on
it, because
we in Washington can't possibly
do more than part of it.
Indus¬
try has been lazy on this whole
subject, because the job has

defense

an

1941,

Administrator

as

■

United States Housing Authority.

average month¬

for

accepted

been only
partially
by the War Production Board.
i "the
ownership and operation of
It is generally
anticipated thai slums is still one of the largest

in

Government

the

to

York

Straus

struction

line

make the mistake of

a

effort, but
equally
as
important as the
money contribution is the fact
country's

defense

stated:

also

that

re¬

gaps

open

control

labor and

are

too

none

$500,000,000
volume

Roosevelt

Feb. 17 with regret the resig¬
nation of Nathan Straus of New
on

W.

measurably behind the Decem¬
ber, 1941 figures.
Apparently
this is entirely due to the fact

Price

part of the job.
In¬
dustry itself must find the way
to do that job.
It must not

of

is

mongrel

a

Great

price

our

great

so

contracts

repre-

aggregate

payrolls, this action

substantial

of

have

ducer

the

of

amount

sented

have

F.

over
January of last
it fell considerably behind

ly

enemy—ruthless in¬

Control Bill that is

production.

There isn't

participation.
stated:

large num¬
ber of banks in the county and
the

credit

President

record, Thomas S.

the

monetary

republics.

Straus Resigns From USHA

the January

crease

defenses

ancient

the

question but applicable

to

program

of

I

Congress

similar to

bill

a

on

in

to all the American

housing units.

on

'77

delay,

the

that

in-

to
7

avoid

proposal and take prompt

action
bill

We do not question the mo¬

ties.
Mr.

reported from 90

employee

Donovan

many

he

•

of

Enlisting

groups

stated,

Donovan

Hei¬

year,

our

to the

for

"While the contract volume for
the month showed a
slight in¬

cam¬

Mr.

daily,

peacetime

We

gone.

producers, through sub¬
contracting and through the let¬
ting
of
prime
contracts
to

State

In

Association.

have

Mr.

York

.Commenting

been outflanked,
infiltrated,;weakened.

are now

war

who

New

building

low cost defense

flation—have

j

factories

by
3.

the

dential

extended

to

order

give immediate reconsideration

family

2%, a lower aver¬
age contract price per unit, re¬
flecting the shift of the resi¬

the

production

our

improves

and

small

instances,

'

nearly

military

of

full

ployees in
purchasing
Defense
Savings Bonds, Series E, out of
income, it was announced on Feb.
18 by Eugene C. Donovan, Pres¬
of

new

contracted

that the provisions

bill be

those countries.

recommend

less than

was

added:

Our

producing
civilian goods—in other words,

County (Manhattan), estimated to have a total
of 40,000 employees, have adopted
voluntary payroll savings plans

the banks

:

not

chines which

York

ident

.

is

Getting

for the convenience of their em¬

-

front

against

in

it must become.

as

tion

banks

commercial

51

units

this

In

the

year,

desirable

of

7 elude

escape

selling

No.

January of last

dwelling

in

on

build-

volume

Corporation,

Getting greater production
out of the plants and machines
which are now producing war
goods. Even though the country
today
is
producing
a
much
greater volume of armaments
than in 1918, he said, the present

stockholders
.

dollar

decline in number of

ooin

home

1.

of the

be

hand

in

Dodge

once,

by amendment

Proceeds

that

Declaring that although

think

are

from

17%

President

which

we'll

creased

that

the

said

is
residential

new

ring exclusive Of hotel, barracks
and I dormitory
projects,
de¬

Holden,

Getting maximum production at
Mr. Nelson said, depends on
these things:

New

outstanding com¬
of
the company, and
will be
the public,
at
a
price to be

stock

mon

offered

what

when those months

shares;

company,

The

supplied

of

436,691

York, parent
is the holder of
17,000
shares registered.
of
the
shares registered

former

the

represents

of

spirit of the resolu¬
seriously handicap our
joint war effort.
Areas in this hemisphere outside of United States, where the
guayule plant is indigenous, are
adapted to its cultivation and it
tion and

The announcement

construction

put into those months will

we

shares

of

21%.

up

While

the battle of production
and the battle against inflation.

ment

Offering—The

was

win

things that we never thought
The speed, energy,

will

tradict the

added:

campaigns, the United States must

possible.

amend¬

recorded

building was down 8%,
public works and utilities
construction (heavy engineering)

hand with the military and naval

so

still

can

motion of guayule cultivation to
the United States, would con¬

for January of last
In dollar volume, non-resi¬
dential building was up 40% from
the corresponding month of 1941,

Control

Heimann

a

emer¬

gency and defense uses.

year.

recently
Bill, and
combating inflation

Mr.

of crude rubber for

000

was

Review

on

Price

need

still

remain
we

the

Commenting
enacted

the

months—

which

in

in

It

of.

bill1*

this

This bill, as it was amended
by the House to limit the pro¬

neces¬

types of activity."

is

course,

important
and

provides that guayule shall be

This represented a mod¬
erate increase over the $305,204,-

burden must give way to endorse¬
ment of higher and higher taxes."

plenty

we

silver

1942—and

blackstrap molasses
Republic and Cuba

the

would

mainten¬

of

-

most

ration.

restoration of facilities to

stated

have expanded

all

and

and

the

materials,

source

$110,84-3,000, ac¬
cording to the F. W. Dodge Corpo¬

"peacetime opposition to excessive
spending and the attendant tax

-

we

for

deprecia¬

charges, and eventual

pre-war

industry, our chem¬
industry, our copper in¬

the

cane

raw

and

Dominican

Underwriters

of

steel

that

of

securities

production

could

we

we

amortization,

,

obsolescence

ance

f

the

wasted

*

dustry,

organized

Sugar Corp. and cersubsidiaries, is solely a hold-

ing

sugar

tion,

paign

ical

Several operating subsidiaries engaged prin¬

in

needs
>

•

Dominican

of

■

emergency-stimulated

mann

bur

par

42nd St.,

the plan

to

tain

cipally

it from

dur¬

reserves

greater

could have

which
regis¬
for 453,691

filed

stock, $1

common

Address—60

pursuant

We've

months in which

CORP.

Corp.

Business—Company,

•

Feb.

and

,to prevent

now

being-,all-over for us.

for

Eastern

residential

got fully ready—the months in
SUGAR

Sugar

statement with

Cuban

31

Jan.

might

to -do

effective date filed

10,

be¬

.thinking about what we're going

,

,

Indies

tration

;>

pre-

•

to defer

INDIES

West

,

present

Statement No. 2-4913. Form

1941,

; 19, 1942.

;

its

(12-12-41)

Amendments

,

to

time

stop thinking about what we'll
do when it's all over and star t

:

stockholders, and to provide com¬
with funds for new construction

Registration
7 A2.

constituent
Public
subsidiary), to

Virginia

(a

Co.

payments

of

lot

a

if all

war

and

and

cash

ferred

•

predecessor
that of

its

companies,

lost

industry; was fearful of
happen after the
our productive facili¬
ties were over-expanded. -Let's
what

of the

•

company,

in the Asso¬
Business
Re¬

Feb. 16. Accord¬

on

37

Rubber,

-

of

these

ing this period, for loss vulner¬
and
ability is growing because of the

cause

securities i

the

retire all

indebtedness

long-term

We've

The

bidding.

of

sale

picture

Mr. Nelson continued:

old

by General Gas
will be offered for

registered will be used to

outstanding

The

the

the

can

held

competitive

from

for

painting

do must look at the situa¬
tion squarely and see what we
can do to make up for lost time."
try

par
common
General Gas

to

exchange

now

through

proceeds

new

in

not

who know what American indus¬

state-

follows:

as

issued

be

Corp.

stock

common
:

used

of

first

Electric

&

„

be

will

Monthly

reason

darkly, but I do believe that we sity for

7

-

.«

Proceeds

v

ciation's

creased

.

-

Credit Men,

the

con¬

ary amounted to

Manager of the National Associa¬
of

engineering

States during the month of Janu¬

present and post¬
war
developments is stressed by
Henry
H.
Heimann,
Executive
tion

and

tracts awarded in

meet

ing to Mr. Heimann "there is in¬

a conference of busi¬
editors and publishers.
weapon we make
today

paper

"Every

ex-

the

of

be issued on
a cash ad¬

may

as

basis

holders

to

such

to

stock

preferred

share

a

Nelson,

to

serves

ness

'

justment)

M.

Building

The importance of company re¬

:

Board, told

petitive bidding, under the SEC's competi1 tive
bidding
Rule
U-50
of
the
Public
is

Donald

terials.
^

one

view released

v

Holding

1942,

Jan. Construction Ahead

—

With Alarm—Tax Better

Chairman of the War Production

Underwriting and Offering—The securi7 ties registered will be sold through com-

ception

pro¬

a

of.

rest

hold-

company system

Utility

only if it

war

greatly expanded produc¬
tion of military goods during the

a

Electric

&

Associated

f Ing

win the

can

vides

subsidiary of Gen¬
Corp.,
which is in

Company is

Views Price Control

War

847

accepted

„•

approximately 0.281%.
7

.

Average Price—99.933. Equivalent rate

approximately

0.266%.
...

(34%

7

of the amount bid for

at the low price was

There

lar

was a

issue

of

accepted.)

maturity of

bills

on

a

Feb.

! amount of $200,026,000,

simi¬
25
.;►

in

THE COMMERCIAL & FINANCIAL CHRONICLE

848

BIDS MADE ON BONDS WITH

Merck^fe Co.* Inc.

REMEMBER
sales

OR

Autocar

department

TO influence
our

attention

firm trading markets for

OVER

TIIE

-

-

COUNTER

/

;

Gymkhana

Street

NASSAU

45

Riding

new

Bell

-

headquarters,
Academy, 32
West 67t.h Street, New York, N. Y.,
on Friday
evening, Feb. 27th, at

balloon race,

musical chairs, potato

completed

honeymoon race, relay race
saddling contest.
Following
events a party will be held in

the clubrooms.

have

through the
New York City Defense Recrea¬
been invited as guests
tion Committee.

is

As¬
Misses Regina
Hankinson, Carolyn Kennedy, Mil¬
dred
M.
Butler, Loraine Ross,
Frances Weller, Roberta Hopper,
Lynn Keene; Messrs. William Sal¬
isbury, Wesley Ellmyer, Manfred
Sobernheim and Joseph LandsChairman of the Committee.

her

sisting

are

G. Genevan Elected

Corp.-,

Bloomfield,

medical

will

products. '■ Mr. Donovan
in charge of financial

be

operations,
The

Treasury

suspended

on

Department had

Jan. 29th all exec¬
Corp. who

announced.

in Germany in

order to eliminate
and place the

ties

former

all

Schering Corporation in absolute
American control, enabling them

pharmaceutical

exchange

to

drugs

vital

on

they are:

Of Th«iapsoa,

Davis Go,

1955/51, buy the new taxable 2V4S of

of

Mee

has

become

R.
with

associated

Thompson, Davis & Phipps, Inc.,
as Vice-President in charge of the

Bloomington, 111., office, Greishiem
Building.
Mr. Mee was

formerly a partner in Laing, Mee
&
Co., of Peoria, and recently
served as Secretary of the Eighth
of

District

the

National

Asso¬

ciation of Securities Dealers, Inc.

2s

worth

are

this

considerations.

technical

15, 1951.

.

.

.

.

.

.

point
.

.

.

other

In

R. Hoe & Co.

2.20%,

the differentials remain about the same.

so

The

2s

over-priced

continue

will

There's
situation

no

the

On

feeling

next

.

is

your

own

outlook

.

.

the

sell

to

.

•

4

.*

»«U

Talmtyy

JTT 1-61 i




*

and general

portfolio position

are

important.

more

2V2S

of

1955/52

.

.

the

be

a

specific

for

of

Speakers who will address
have

conference

been

chosen

be

featured

during

sessions of each

the

morning

day of the clinic,

given

over

in

to smaller group dis¬
which delegates at¬

tending the clinic will be free to

their opinions and
questions.
Some of those

and

275

.

came

was

yards

to

shore.
A feature of the dinner

was

the

trading in the defense bond

open

indicated

William

Ferguson,

Moors

&

Boston, received a $300
bond. Richard Lynch, Boston was

Cabot,

a $100 bond..,
.* •
Twenty-five dollar bonds were
by George N. Proctor,
Proctor,
Cook
&
Co.,
Boston;
Frank E. Collins, du Pont, Hom-

Co., Boston; Carl H. Peterson;
Morsef F. L. Putnam &
Co., Boston; Bishop, Wells & Co.,
Boston
(two
bonds);
John
R.
sey

Clifford

Peabody & Co.;
S.
R.
Melven
& Co., New York
(two bonds);
Earl
Le
Beau,
Boston;
Frank
S.
Breen,
Schrimer,
Atherton
&
Co., Boston; W. B.. Tucker,
Bond
&
Goodwip,
Inc.,
Bos¬
ton; Mike Heeney, Joseph MeManus
& Co., New York
(two
bonds); Dorothy Clayton; Stanley
Roggenburg, Roggenburg & Co.,
New York; Anton E. Homsey, du
Pont, Homsey Co., Boston; Turner
J.
Kelley; A. F. Wilson; S. J.
Florentine, New York; J. H. Goddard, J. H. Goddard & Co., Bos¬
ton; T. C. Wolcott; T. W. Best, J.
S. Flannagan; and W. N. Ferris,
Jr., Chas. A. Day & Co., Boston,

Chapin,
R.

S.

Kidder,
Melven,

his bond to the As¬

who donated

who

sociation's Gratuity

Fund.

the conference were

in

our

Feb.

19

issue,

Robt. Brooke, Jr., With

769.

the

buy

.

.

Treasury's next financing is in the form of long-term V-k.

if the

Reserve

ship

swim

pose

,

.

.

.

them

upon

request.

Shields Bosid Dept.
Robert H.
come

Brooke, Jr., has be¬

associated

with

Shields

&

Co., 44 Wall Street, New York
City, members of the New York
Stock Exchange and other lead¬

will be in
department
in charge of trading.
Mr. Brooke
was formerly trader for the New
ing

the

Exchanges.
He
municipal bond

York

Requirements

office

of

John

Nuveen

&

Cavendish Opens
Co., and prior thereto was with
again for an increase in excess reserves
Robert E. Cavendish is engag¬ Goldman, Sachs & Co., Hale &
through lowering of reserve requirements of member banks. . . .
Story is rumor was started officially in order to turn last week's ing in a general securities busi¬ Flash, Inc., and was manager of
the Federal Land Bank Depart¬
sluggish market into a. more attractive affair.
The rumor ness from offices at 522 Fifth
ment for Webster, Kennedy & Co.
"worked," as rumors of support are wont to do these days. . . . Avenue, New York City.
Recently, just talking about official control has made the official
control unnecessary.'
ing of the great Government market. . . . It compares with allot¬
\
r
T
If done—and it could be done without red tape, for all the ments of 7 and 8 and 10 and 12% on recent borrowings. . . .
What does it mean?
It means the beginning of a new phase
board would have to do to lower requirements is to announce the
in Government financing tactics. ... It means Secretary Morgenmove—an
expansion of about $1,000,000,000 in the total is looked
thau has finally found a way to eliminate free riding and while
for.
That would increase excess reserves to above
"feeler"

The

is

out

,

.

.

.

.

.

care

of any stringency brought about by

circulation figures.

move

.

$4,400,000,000
the booming

...

.

until next month
with

the

or

next

even

thereafter,

so

that the timing would

financing announcement.

.

.

.

Allotments

investors,
-

on

to

consideration

detailed

page

...

the

the

abandon

to

.

.

Allotments of 32%

Exchange

is

conference

will address

done, the reason would be stimulation1 of the Government
market, of course.
Which suggests postponement of the actual

Broadway, N. Y. BOwling Green 9-7030

71

.

to

obliged

.

.

The

Stock

clinic

2J/2S ol
1954/52.
You raise your current coupon by lk %, shorten your
Interested In Equalization
maturity from June 15, 1955 to March 15, 1944, lift your cost only
Paul Dysart & Associates, Ken¬
from 100.17 to 103.4.
The cost increase may be justified or
tucky Home Life Building, Louis¬
the basis of increase in current coupon and shortening of maturity
ville, Ky., have prepared a de¬
Yield to call date is about the same.
scriptive booklet on "equaliza¬
Look around for more switches.
You're likely to find tion," an improved theory of mar¬
some good ones.
.
.
Perhaps out of the 2y4s and into the 2V2S of ket trends, spotting basic trends,
1972/67, for instance. ... That's been a fairly popular move in secondary trends and distribution,
the last few. sessions, although it may not turn out so excellently copies of which may be had from
idea

coincide

York

placed

been

the

express
.

j

switch,

.

new

of this
.

If

HAY, FALES & CO.

has

that

fact,

.

moment

the market's

on

The

money

N. Am. Refrac. 6 Vz %Pfd.

Member*

.

on

during

received

cussions
.

Oklahoma

S.

awarded

and the afternoon sessions will be

.

Now Here's Another

—and take

American Hair & Felt

.

why you shouldn't take advantage
to improve your own position.

reason

the

at

.

until the market rises gen¬

erally and the 21/4s move away from the 2s.

.

COMMON

.
.
.
To
the 2V4s is

S.

serving as

Navy. Lieut.

stationed

subjects will receive a full

these

the

2s are over-priced at this time.

U.

the

in

was

consumer credit
loans.
Each of

credit,

commercial

.

words, the

Hoffman

cultural
and

.

maturity date, the yield on the 2s is 1.99, the yield on

lieutenant

a

market for series E bonds.

war

selling at this writing at 100.17. . . . They prob¬ for their practical knowledge of
ably will be above that price when you read this but for switch¬ the subjects they will discuss, Mr.
ing purposes, today's comparisons will be as good as those possible Koeneke added.
in the next few days.
The 2y4s have a call date of June 15,
Addresses by bankers, Govern¬
1942.
Only six months longer than that of the 2s. .'. . At 100.17, ment officials and others promi¬
the yield is 2.19 to call date. . . .
nent in business and finance will
.

Hoff¬
First Bos¬

which will deal
problems arising from
emergency, is separated
into three major divisions—agri¬
program,

the

The 2%s are

,

of honor of

Norman

was

man, formerly of the
ton Corporation, now

with credit

tions.

.

of tpe guests

evening

order

That's the support level and
questions arising in bank operawhile you forget many
lions
under present war condi¬
The 2s have a call date of
.

huge

Pearl Harbor attack and when the

Bank of
City, Okla.

Ponca

a

the

even

At 100, the yield is 1.99% to that date. v

the

Security

City,

pronounced

an¬

at
as

Henry

the

of

The

and

being kept at par.

remembering

.

Eagle Lock Co.

ident

by

working

.

ILL.—William

CHICAGO,

New

W. Koeneke,
A. B. A. President, who is Pres¬

phasis

taxable 2s

.

.

William Mee Viee-Pres.

dropped

few hours after the over-subscription total was
The Federal Reserve Banks first indicated they

.

.

the

The

it's

se¬

with 'the
United States Government.
crets

.

in

would support the market, then -came
in with buying totaling day of consideration in both the
general sessions and informal dis¬
$7,405,000 in the week ended last Wednesday. . , .
And that support plus the unsettlement plus the emphasis on cussion periods which have been
the "par" level as the bottom for recently-sold new issues have arranged.
In arranging the pro¬
given us the new switching chances.
gram,
Mr. Koeneke said,
em¬

utives of the Schering

had been associated with the firm

.

sharply within a

Dec.

Schering

.

.

nounced

Ponca

.

.

prices showed, for dealers were badly disturbed, bids were

other

J., manufacturers of pharma¬
ceutical products, specializing in
research and development of new

.

.

Co.,

N.

.

.

1955/52.

investment banking firm of
City, has been elected
Vice-President and Director of

bank.

or

major i cause fpr the renewed business, of course, is the unsettlement in the market brought on by the 32% allotment basis
on
the financing. •
The market weakened considerably after
that deal.
The situation actually was much worse than quoted
A

New York

the

.

.

Sell

Rockefeller &

Schroder

Association

financing did accomplish York City, March 4-6,
back to the active stage Waldorf-Astoria Hotel,

this last Friday-the-13th
switching and arbitraging

For the first time in months, there are some excellent
switching opportunities in the U. S. Government market. . . .
Switches designed for virtually any type of portfolio, insurance

Gerald E. Donovan, Vice-Pres¬

of

bring
.

Here

Sobering Corp. V,
ident

thing

to

again.

the Credit Clinic
by the American

for

held

be

Bankers

One

company

Cambridge

R.

Marie

Miss

to

was

A number of service men

An extensive program has been

;

was

by the 250 members and

One

ABA "Credit Clinic"

race,

the

Security Traders Association

Feb. 20

out-of-town/guests attending.

Complete Program For

gala evening is planned with
events
on
horseback
including

and

ton

success

A

'

1-2480

Y.

on

9.15 p.m.

Eight¬

eenth Annual Dinner of the Bos¬

N.

Teletype,

System

MASS.—The

BOSTON,

Riding

Aylward's

*

N. Y.

HAnover2'4660

Enterprise 1256

Parly

Pronounced Success

Dealers Assn.

50 Broad St., New York,

ride

its

at

York Security

New

1-576

yokk

boston telephone

Enterprise 6425

Y,

Boston Traders

Members

bell teletype

telephone

telephone

hartford

HAnover 2-8780

Teletype *• N,

Spencer Steel

J.F.Reilly&Co.

YORK

Enterprise 6015

2-3600

Wickwire

F. Security Dealers Ass'n

St., N.Y.

•

NEW

STREET,

philadelphia

telephone

REctor

Club
will hold its Sixth Annual Gym¬
khana

Members N.

Association

Members New York Security Dealers

Wall Street Riders

Will Hold

-

Zinc

Wallower

M.S.WIEN&CO.

Federal Machine & Welder

S

,

Company
■

Mfg. Co.

Cigar-Whelan

Botany Worsted Mills

•

INCORPORATED

Wall

Evans

SECURITIES

Kobbe, Gearhart

preferred)'%j/.i
Sharpe ' Jfi.''"*

Mexican Internal & Ext'l Bonds

in

25 Broad

Digby 4-4832 Teletype n. Y. 1-1779

The

&

Merrimac

PI., New York

40 Exchange

&

Brown

.

World's Fair 4s, 1941

*

Liberty Aircraft

from, making accurate
you,

•

United

(Actual Trading Markets, Always)

■

S. H. JungerCo.
Phone

.>v

Aetna Standard

position in, or to divert

our

(common

v

retail business

nor

and

MUTILATED
Inquiries Invited

Gorp.i

f-?

is important to you, that we have no retail

IT

COUPONS MISSING

Thursday, February 26, 1942

around

even

Wall

on

though

Street.

.

.

the last issue of 214s definitely shocked

forecasts of 25 to 30% had been heard
The figure establishes a record for fi¬

has

he

of

his

accomplished his objective, he has changed the character
Of cdurse, a three-fold oversubscription is

financings.

...

But it's going to take the market a long time to
get accustomed to this kind of figure as a sign of huge success. . . .
In the meantime, though, there's no reason to fear the stabil¬
encouraging.

.

.

.

ity of the Government mart. . . . It's under
It will be kept under control. . . .
The interest cost level will be kept at
Federal

and
that.

can

find

...

And

now

we're

.

nancings under the Roosevelt Administration-^the era of the build-

System

Reserve

control.

2%%, if the Treasury
any way to accomplish

back?into shape and

for a rest period while the market gets
Mofgenthau»receives the tax payments.
.

in