SHORT INSTRUCTIONS. y.. 4-. **»*• Purchase. Share. J // ui./- / . ov S' u< a t^ Date of Starting Value, on Value on 'u UM H- r // ,./$.? . / — f / i. 7 6 / !> 7 J ' i / 3 -j ~ G- tft 2T i ijr o Lr /X- i 7 7 / 7 / J, if. ? / a / i / Weekly Cumulative Index. Published Every Wednesday and Saturday by MOODY’S INVESTORS SERVICE, 65 Broadway, New York, N.Y. Copyright igj8 by Moody’s Investors Service. All rights reserved. Subscription rate $36 a year. Entered as sccond-dasa matter Feb. 18, 1932 at the post office at New York, N. Y., under the Act o( March 3, 1879 Vol. 9 Saturday, February 5, 1938 No. 48 CONTENTS Pa^ Prospective Security Offerings 1163 News Section 1163 Bankruptcy Claims 1164 Complete List of Calls 1164 Previous Calls 1165 Secnrlty Offerings 1165 Sinking Fund Notices, Tenders, eto 1165 Securities Maturing March 1165 Definitive Securities 1165 Reorganization Flan Hearings 1165 Receiverships 1165 Defaults 1165 Earnings Per Common Share, etc., of Prin- cipal Railroads 1165 Comparative Revenue Freight Cars Moved. . .1166 Monthly Report of Railroad Earnings 1166 PROSPECTIVE SECURITY OFFERINGS Stocks 1388 Tennessee, Ala. & Georgia Ry. capital stock (v.t.c.) NEWS SECTION ALLEGHANY CORF. Bond Collateral Appraisal: According to Guaranty Trust Co., New York, trustee, the col- lateral and cash pledged to secure the Alle- S^ianv 5s of 1944 have been appraised at $40,- \7i. 272 as of Feb. 1. 1938, or 128.4% of the $31,466,000 face amount of bonds, as compared with 142.6% as of Dec. 2, 1937 (see page 1255). The collateral included $838,850 deposited cash. The collateral and cash securing the 5s of 1949 amounted to $23, 360,486, or 106% of the $21,938,- 000 outstanding bonds, which compared with 118.5% as of Dec. 2. Deposited cash on both dates amounted to $357,344. The collateral and cash pledged for the 5s of 1950 aggregated $9,993,696. which appraisal was 40.9% of the $24,387,000 outstanding bonds, as compared with 42.7% on Dec. 2. Deposited cash on both dates was $685,405. Control of MOP in Flan Denied: See Missouri Pacific R.R. Co., in this issue. RFC Opposes MOF Flans — Proposed Modifi- cations — Opposes Perpetuation of Control of MOF : See Missouri Pacific R.R. Co. in this BANGOR & AROOSTOOK R.R. CO. Seeks ICC Authority to Lower Bond Selling Price: According to the press, this railroad has requested the ICC to modify a previous order dated Jan. 22, 1937. to permit the sale of $117,000 convertible consolidated refunding mortgage 4s, at 106% of par or less instead of 110%. The bonds would be used for refinanc- ing an equal amount of St. John river exten- sion and Washburn extension bonds. The road stated that due to the drop in the market price of the issue since Sept. 1, 1937, it is impossible to sell the bonds at a price which will yield the 110 stipulated in the commission's original order authorizing the sale. BINGHAM CENTRAL RY. CO. Distribution on Bonds: Press reports state that Manufacturers Trust Co., New York, is prepared to make a pro rata distribution of the proceeds of the foreclosure sale of the property of Bingham Central Railway upon presentation of the first 6s, 1948. Previous items, pages 1256 and 1347. BOLIVAR RAILWAY CO., LTD. Debenture Moratorium Extended: According to London press reports, Mr. Justice Crossman in the Chancery Division approved a scheme of arrangement for company’s 6% debenture stock, extending for a further period of three years from March 1, 1938, the interest coupon mora- torium which has been in force, with extensions, since Feb. 16, 1932. CHICAGO, MILWAUKEE, ST. FAUX & PACIFIC R.R. CO. Independent Bond Committee Flan Rejected: According to the press, ICC Finance Director Sweet has announced rejection by the Commis- sion of the plan dated Dec. 31, 1937, proposed by the independent bondholders' committee headed by James D. Colyer (see page 1188). The committee indicated it would appeal the decision and endeavor to secure filing of the plan in the proceedings. CHICAGO & NORTH WESTERN RY. CO. ICC Prepares Report on Principles for Flan: According to the press, on Feb. 1 the ICC Bureau of Finance began preparation of an “interim report” setting forth its views regard- ing the major principles which must govern recapitalization of this railway. Preparation of the report at this time is in line with a scheme recently adopted by the ICC for speeding Section 77 proceedings. It will be ready in a month or six weeks. Meanwhile, earnings segregation studies are being conducted. Except for these studies, which will serve to show now the new securities should be allocated among the various security holders, the record in the C, & N. W. case is complete. The ICC feels that there is sufficient evidence on hand to determine tentatively the maximum limits of capitalization and interest charges, on which the bureau’s memorandum will be based. If this procedure proves successful in the C. & N. W. case, it will be put into operation in other reorganization cases. To assist in preparing its memorandum, the various interested parties have filed preliminary briefs. Others filing briefs for guidance of the finance bureau were Irving Trust Co., trustee under the first mortgage of Milwaukee & State Line Rail- way. and the committee representing holders of secured notes of the C. & N. W. DELAWARE & HUDSON R.R. CORF. Two Repair Shops Shut-Down: According to the press, company has closed its locomotive repair shops at Colonie and Green Island. About 600 workers affected. ERIE RAILROAD CO. Bond Trustee Seeks to Intervene: According to the press, the Bankers Trust Co., New York, trustee for company’s refunding and improve- ment mortgage, dated Dec. 1, 1916, has filed an intervening petition in the pending reorganiza- tion proceedings. Previous item, page 1181. FONDA, JOHNSTOWN & GLOVERSVILLE R.R. CO. Earnings, December: Operating revenues Operating expenses Net operating revenue.. Tax accruals Operating income Other income Total income •Income deductions .... Net loss 12 mos. to Dec. 31 : Operating revenues Operating expenses Net operating revenue . . Tax accruals Operating income Other income Total income •Income deductions Net loss •Includes interest accruals on funded debt. Previous Report, see page 1262. LONG ISLAND R.R. CO. Unified 4s — Exchange Privilege (correction) : Company’s unified 4s, due March 1, 1949 are 1937 1936 $43,564 $53,302 42,843 36,718 721 16.584 3,879 6,857 (d)3,158 9,727 3,027 2,718 (d)131 12,444 14,159 15.228 14,290 2,783 $548,369 $565,212 486,063 506,377 62,306 58,835 48,604 38,043 13,703 20,792 18,036 16,632 31.739 37,424 170,873 171,486 139.134 134,062 exchangeable for Long Island R.R. Co. refund- ing 4s, due March 1, 1949 on request of the holder to office of the treasurer, Long Island R.R. Co., Philadelphia, Pa. This privilege is subject to withdrawal by the company. MINERAL RANGE R.R. CO. Branch Abandonment Authorized: On Jan. 24, 1938, the ICC authorized trustees of company to abandon a branch line of railroad extending approximately 16.05 miles from Keweenaw Bay to Alston, in Baraga and Houghton Counties, Mich. Previous item, page 1285. MISSOURI PACIFIC R.R. CO. Flan Would Not Give Alleghany Control: Ac- cording to the press, on February 2 this com- pany, in a brier filed with the ICC, denied that Alleghany Corp. would be in control of the road under the management's amended plan of reor- ganization now pending before the Commission. "Power to prevent the appointment of un- satisfactory directors rests with creditors,” the brief stated. "Under these circumstances, it is clear that the plan at most permits Alleghany to provide, with the approval of the creditors, the majority of the directors who will select the initial operating management, which may only continue from year to year at the suf- ferance of creditors. “Thus, while the plan gives Alleghany a voice in the selection of the operating management its exercise of that voice Is subiect at all times to the absolute control of creditors.” New Directors: J. S. Pyeatt and James Kem- per have succeeded IL G. Dalton and W. T. Kemper. The above have also been elected directors of company’s subsidiaries. New Or- leans, Texas & Mexico Ry. Co. and Texas & Pacific Ry. Co. RFC Opposes Perpetuation of Alleghany Con- trol — Proposed Plan Modifications: According to the press, in a brief filed with the ICC on Feb. 2, 1938. the RFC stated its opposition to company^ plan of reorganization filed on Sept. 13, 1937 (see page 1447), which it states per- petuates the control of the Alleghany Corp. The brief urges the commission to eliminate provisions of the plan continuing the road in control of Alleghany and asks that if the old management is to stay it should not stay in without assessment to pay off the short term debt of the road. In its argument supporting the RFC conten- tion that control by Alleghany would be perpet- uated the brief stated that as of April 14, 1936, Alleghany held 194,100 shares of Missouri Pa- cific preferred and 522,900 shares of common. Under the modified plan, Alleghany is entitled to receive purchase warrants for 368,400 shares of common. For its $11,152,000 principal amount of twenty-year convertible 5%s held as of the same date, Alleghany would obtain under the plan 223,400 shares of common. Thus, without exercise of the purchase war- rants. it would hold 16.92% of the total out- standing common stock. Upon exercise of the purchase warrants, Alleghany Corp.’s holdings of common stock would be increased 591,440 shares, or 25.75% of the total outstanding com- mon stock. In either event, Alleghany Corp. would be the largest single holder of new common stock. Since the remainder of the common stock would be widely scattered with the public, Alleghany Corp. would be in a position to perpetuate an Alleghany Corp. management. The brief argues that if either the company's revised plan (see page 1447) or the modified Stedman plan (see page 1462) is to be made the basis of the plan which the ICC certifies to the court, the following modifications should be made "which, though they do not afford to the RFC the treatment to which it is entitled on its claim, would make the plan more con- BDITOR’S NOTE — Moody’s Investors Service has used due care and caution in the preparation of this publication. The factual information has been compiled from sources of repute, although not infallible. Errata, vohen discovered, are corrected. Opinions are based partly upon compiled " : dual information and partly upon other factors affecting our judgment of the matter treated. They are independent and unbiased. Rating sym- als should be used in conjunction with Key to Moody’s Bond Ratings. Printed in U. S. A. Page 1164 MOODY’S RAILROADS— SECTION 1 sistent with fairness, equity and the public in- terest." 1. Change the rate of interest from 3%% to 4% on (lie first mortgage, series A, 25-year 3-tis, offered to the RFC under both plans. 2. Offer to the RFC a principal amount of such first mortgage 25-years serial A bonds equivalent to the principal amount of the ac- crued unpaid interest at the rate specified in the RFC notes to the effective date of the plan. 3. That there be made applicable to the re- tirement of the bonds so to be offered to RFC a fair pro rata amount of any surplus funds in the capital expenditures fund unused for the retirement of debt. 4. If the' approved plan is to provide for purchase warrants, that a fair pro rata amount of the proceeds of the exercise of such war- rants likewise be made applicable to the re- tirement of the first mortgage 25-year series A so to be offered to RFC. 5. Elimination of discretion in the reorganiza- tion managers as to what suits may be assigned to, oi' assumed by, the new company. 6. Elimination of provisions which allow Al- leghany Corp. to remain in control of the prop- erty. 7. Give the RFC representation among the re- organization managers, and in the directorate of the new company, as long as its debt remains outstanding and unpaid. NEW HAMPSHIRE (STATE OP). Additions to Legal List: The State Bank Com- missioner has added the following bonds to the list of securities legal for investment by savings departments of state banks and trust companies in New Hampshire: (For cumulative list, see page 1210.) Chicago, Burlington & Quincy R.R. : Equip. 2%s, ser. to 1946 Equip. 2V 3 s, ser. to 1947 Great Northern Ry. Co. : 1st & ref. 414 s, 1961 New York & Harlem R.R. : 1st 3y 2 s, 2000 Spokane Falls & Northern Ry. : 1st 6s. 1939 Willmar & Sioux Falls Ry. : 1st 5s. 1938 NEW ORLEANS, TEXAS 8c MEXICO RY. CO. New Directors: See Missouri Pacific R.R. Co., in this issue. NEW YORK CENTRAL R.R. CO. Shop Employees Recalled: According to the press, on February 1, 1,050 employees returned to work in company’s West Albany locomotive shops, ending a temporary reduction of forces effected January 21. The car shops, where ap- proximately 600 men were laid off at the same time, were not affected by the reopening order. NEW YORK, NEW HAVEN 8s HARTFORD R.R. CO. To Discontinue Passenger Service to Newport, R. I.: According to Feb. 2 press reports, com- pany has announced that passenger service to Newport, R. I. would be abolished on March 27. The board of aldermen of Newport have di- rected a protest to the State Division of Public Utilities seeking a hearing on the proposal. Equipment Purchase Authorized: On Feb. 2, according to the press, trustees of company an- nounced that the Federal District Court at New Haven had approved the purchase by company of 50 additional lightweight air-conditioned passenger coaches to cost $2,100,000 and 10 ad- ditional Diesel switching locomotives to cost $750,000. Providence, Warren 8c Bristol Files Flan: The following plan of reorganization for the Provi- dence, Warren & Bristol R.R. Co., dated Jan. 20. 1938, and which, in effect, proposes modi- fication of the New Haven plan dated June 1. 1937 in its treatment of the unsecured claims, preferred and common stocks of the Providence, Warren & Bristol, has been filed in the pending reorganization proceedings for this company now before the ICC. This plan contemplates, as does the New Haven plan, that all properties, assets and franchises of the P. W. & B. will be conveyed and transferred to the reorganized New Haven, and that the P. W. & B. will cease its corporate existence. It also adopts the method of as- certaining the equity of the stockholders of the P. W. & B. other than the New Haven and Old Colony, but does not accept the consideration proposed in the New Haven plan to be received by its stockholders therefor. Instead of an exchange of one share of either preferred or common stock of the P. W. & B., for one new common share of the reorganized New Haven, this plan proposes that the P. W. & B. stockholders shall receive for either three shares of P. W. & B. preferred or common stock, four shares of the new first preferred stock proposed to be issued in the New Haven plan. The plan states that at the hearings before the ICC on the New Haven plan, the Plan Committee of the New Haven offered in evidence a revised pro forma balance sheet, and that if the princi- ples which were followed in that revision were applied to the P. W. & B., the equity of the stockholders of the P. W. & B., other than the New Haven and the Old Colony would be in- creased so that the ratio of .53 to 1 (New Haven plan) would be increased to 1.31 to 1. The New Haven plan contemplates the sur- render by the P. W. & B. of its unsecured claims for damages for breach and rejection of the lease covenants and for rent. The claims have not yet been adjudicated. This plan pro- poses that the claims be either adjudicated or compromised with the approval of the Court, and that in the amount in which the claims are allowed or compromised with approval, the stock- holders of the P. W. & B. other than the New Haven and the Old Colony should receive their pro rata share of new second preferred stock proposed to be issued by the New Haven plan. Proposed Rail Purchase — Repair Expendi- tures: According to Feb. 3 press reports, trus- tees of company have filed petitions with the Federal District Court at New Haven, seeking authority to purchase 7,580 tons of rail at an estimated cost of $587,000, to remodel 50 cars at a cost of $700,000 and to modernize 100 steel passenger coaches at a cost of $553,000. NEW YORK, PENNSYLVANIA 8c OHIO R.R. CO. Prior Lien 4s, 1950 — Ruling: The New York Curb Exchange has ruled that until further no- tice company’s prior lien 4s. due in 1950, with extension agreement attached, shall be dealt in fiat and, to be a delivery, must carry Mar. 1, 1938, and subsequent coupons. Interest on these bonds is to be computed up to but not includ- ing Feb. 1. NORFOLK 8c WESTERN RY. CO. Monthly Earnings: — Gross Revenues ‘Net Ry. Op, Inc.— $ s s s Month Jan Feb Mar Apr May June July Aug Sept. Oct. Nov. Dec 1937 1936 1937 1936 7,511,754 6,825,304 2,258,281 2,355,950 7,640,783 7,024,527 2,478,793 2,616,673 9,100,587 7,224,711 3,755,332 2,806,006 7.892,994 6.846,315 2,590,210 2,319,955 7,909.850 7,238,396 2,583,716 2,471,680 8,001,026 7.647,838 2,774,887 2,585,984 7,840,797 7.732,181 2,417,659 2,458,963 8,331,422 8,258,867 2,761,321 2,885,171 8,360,979 8,505,334 2,856,155 2,992,563 8.556,859 9,429.727 3.089,224 3,851,081 7,316,632 9,262,155 2,716,507 3,951,898 6,397,819 8,868,939 2,433,195 3,209,609 12 mos. 94,861,503 94,864,293 32,715,281 34,505,424 12 mos. to Dec. 31: 1937 1936 Other income $3,372,051 $2,508,732 Misc. deductions 1,873,953 1,674,224 Fixed charges 2,160,166 2,233,273 Times charges earned. . . 15.84 15.82 *After operating expenses, taxes, uncollectible revenues and equipment and joint facility rents. ’-Earned Per Share, common (in ($) : Years to 1937 1936 1935 1934 1933 Dec 31... 22.14 22.88 17.51 13.89 15.33 No. of common shares, 1,406,483. ♦Before appropriations. Earnings (ICC report) : December: 1937 Freight revenue $5,948,538 Passenger revenue 216,996 Gross revenue 6,397,819 Maintenance of way 583,499 Maintenance of equip.... 1,190,243 Transportation expenses 1,660,069 Ry. tax accruals 475,839 Net ry. oper. income.... 2,433,196 Other income 537,160 Total income 2,970,356 Misc. deductions 165,605 Bal. for fixed charges... 2,804,751 Interest charges 179,542 Net income 2,625,209 Preferred dividends 229,923 Surplus 2,395,286 Operating ratio 59.1% Times charges earned... 15.62 12 mos. to Dec. 31 : Freight revenue $89,835,839 Passenger revenue 2,274,594 Gross revenue 94,861,503 ♦Maintenance of way 9,850,867 ♦Maintenance of equip... 17,450,618 Transportation expenses 21,584,624 Ry. tax accruals 13,035,513 Net ry. oper. income.... Other income 32,715.282 3,372,051 Total income 36,087,333 Misc. deductions 1,873,953 Bal. for fixed charges... 34,213,380 Lease rentals 240 Interest charges 2,169,926 Net income 32,053,214 Preferred dividends 919,692 Common dividends 22.503,728 Surplus 8,629,794 Operating ratio 66 0% Times charges earned... 15.84 Earned per share, pfd. .. $139.41 Earned per share, com.. 22.14 1936 $8,370,149 231,666 8.868,940 776,400 1,378,341 1,845,612 1,657,124 3,209,609 284,646 3,494,255 167,587 3.326,668 179,313 3,147,355 229,923 2,917,432 49.3% 18.65 $89,903,067 2,220,261 94,864.294 11,160,263 15,056,036 20,074,242 13,734,849 34,505.424 2,508,732 37,014,156 1,674,224 35,339,932 84.993 2,148,280 33,106,659 919,692 18,284.279 13,902,688 62.9% 15.82 $143.99 22.88 February 5, 1938 . No. of shares: Pfd., 229,923; com., 1,406,483. ♦Includes depreciation: 1937, $4,837,592; 1936, \ $4,537,027. Dividends: Com. div. $2.50Q Mar. 19, 1938 and $6 extra Dec. 22, 1937. Working Capital, Dec. 31: f Current Assets: 1937 1936 Cash $15,224,623 $16,255,384 Special deposits 828,117 266,208 Loans, bills, etc., rec 4,944,126 6,816,985 Materials & supplies.... 6,831,450 6,350,365 Int. & divs. receivable.. 51,745 9,374 Other current assets.... 70,566 66,610 Total $27,950,627 $28,764,926 Current Liabilities: Accounts payable $3,559,104 $5,134,014 Interest mat. unpaid.... 28,396 28,662 Dividends mat. unpaid.. 312,321 177,241 Unmat. divs. declared... 229,923 229,923 Int. & rents accrued.... 509,784 509,784 Other current liabilities. 420,256 518,036 Total $5,059,784 $6,597,660 Working capital $22,890,843 $22,167,266 Invest, (excl. affll. cos.) 10,990,081 13,378,643 U. S. tax liability 7,011,364 8,597,407 Other tax liability 2,338,976 2,215,179 Previous Report, see page 1221. Accruals under Social Security and Railroad Retirement Acts and company pension plans: December: 1937 1936 R.R. retirement (1937).. $74,518 R.R. retirement (1935).. (cr)183,095 $104,940 Social Security 56,270 32,184 Co, pension plans 6,158 61,829 12 mos. to Dec. 31: R.R. retirement (1937).. $492,302 R.R. retirement (1935).. (cr)508,I2o $988,724 Social Security 723,184 340,125 Co. pension plans 348,090 712,693 Note: Railroad retirement and Social Se- curity accruals included in tax accruals; com- pany pension plan accruals included in general expenses. OLD COLONY R.R. CO. Trustees Seek to Revise Passenger Schedules: According to Feb. 1 press reports, representa- tives of company's trustees have filed with the Massachusetts Department of Public Utilities, new passenger schedules designed to reduce substantially the operating loss on certain lines. The new schedules reflect discontinuation of nil passenger stops at 88 stations, the giving up u some trains and speedier schedules on others. The trustees estimate that by the discontinua- tion of lightly patronized trains, the abandon- ment of the stations proposed to be discontin- ued, and other economies, the operating loss of Old Colony lines can be reduced by approxi- mately $1,000,000 a year. PROVIDENCE, WARREN & BRISTOL R.R. CO. Reorganization Plan: See New York, New Haven & Hartford R.R. Co., in this issue. SOUTHERN RAILWAY CO. Director Dies: Fairfax Harrison, chairman of the finance committee and a director, died February 2. 1938. Seeks to List New Common on N. Y. Ex- change: Company has applied to the New York Stock Exchange to list 1,298,200 shares of its new no par common capital stock (see page 1265). TEXAS Sc PACIFIC RY. CO. New Directors: See Missouri Pacific R.R. Co., in this issue. WESTERN PACIFIC R.R. CO. Hearing on Issuance of Trustees’ Certificates: Hearing is scheduled for Feb. 14, 1938, before the U. S. District Court at San Francisco on a petition of trustees for company for an order, supplementing a court order of Nov. 16, 1937. authorizing them to borrow $3,600,000 from the RFC and to evidence and secure the loan by the issuance of certificates of indebtedness (see pages 1183 and 1319). BANKRUPTCY CLAIMS Final Filing Data (Creditors of the following companies have been ordered to file proof of claims on or before date Indicated, for details, see page Indicated.) Page Company 1285 Missouri Pacific R.R. Co. Feb. 1, 1988 CALL NOTICES COMPLETE LIST OF CALLS (Announced from Feb. 2 to Feb. 4, 1938, incl. Foreign issues not included except where payable In United States. Associated Laundries, Inc., 6% notes, 1940 Bowles, Henry L. (Gratiot Ave. Prop.) 1st mtge. t bonds dated 1923 / Denver Gas & Elec. Co., gen. (now 1st) Gs, 1949 / Everett, Wash., L. I. D. Fund bonds / La Creche St.-Vlncent-de-Paul 5s dated 192” Ohio Public Srrv. Co., 1st & ref. 6s, C, 1953 February 5, 1938 MOODY’S RAILROADS— SECTION 1 Page 1165 Portland, Ore., street ltg. bonds dated 1935 Saenger Rlty. Corp., 1st 6%s, Jan. 1, 1945 Seattle, Wash., L. I. D. bonds Tacoma, Wash, district bonds PREVIOUS RAILROAD CALLS . (Announcements continued until date of payment. Foreion issues other than Canadian not included except where payable in United States. Refer to page indicated for further details.) Payment Page Title of Issue Date 1173 Chicago Union Station Co. gtd. 4s, 1944.... Apr 1 1170 Missouri Pac. Hospital Assn. ref. 3%s May 1 SECURITY OFFERINGS (Announced Since Sept. 4, 1937) Bonds Cambria & Indiana R.R. eq. 2%b, H, 1938-47 51,800,000 Canadian National Ry. Co. Guar. 2s, 1942 20,000,000 Guar. 3s, 1950 30,000,000 Chicago, Burl. & Quincy R.R. eq. 2fts, 1938-47 8,650,000 New Orleans Public Belt R.R. 8%a & 314s, 1942-66 600,000 North Western Refrig. Line Co. eq. 3%s, K, 1988-48 780,000 Texas & Pacific Ry. eq. 2%s, D, 1938-62 1,275,000 SINKING FUND NOTICES, TENDERS, ETC. Previous Announcements Continued Until Expiration Date (Refer to page indicated for further details.) Page Issue Last Day 1228 Cent. Pac. Ry. Co. 1st ref. 4s, 1949 Mar 3 1228 South. Pac. Co., San Fran. Tcrml. 1st 4s, 1950 Mar 3 1228 South. Pac. R.R. Co. 1st ref. 4s, 1955.... Mar 3 SECURITIES MATURING IN MARCH Mar. 1, 1938 Issue Balt. & Ohio R.R eq. 2%s, I Bess. & Lake Erie eq. 2%s of 1937. . Chesapeake & Ohio eq. 2s Chic., Mil., St. P. & Pac. Trustees eq. 3%s, Q Amount $750,000 670.000 400.000 177.000 Clinchfleld R.R. eq. 2Vis, A Denver & Rio Grande West. R.R. Equipment 5 ^ 3 , A Equipment 5s, B Duluth, Miss. & Northern eq. 2%s.. Elgih, Joliet & East. Ry. eq. 2%s... Erie R.R. eq. 4%s (1928) Florida East Coast Ry. Equipment 4%s, E Equipment 4%s, H Fruit Growers Express Co. eq. 4*4s, Galveston Term. Ry. 1st 6s Great Northern eq. 2s, E 111. Cent. eq. 3s, R Louisville & Nashville eq. 214s, G... Mo. Pac. R.R. Co. eq. 5s, D N. Y., Chicago & St. Louis R.R. Equipment 5s Equipment 4s Equipment 214s N. Y. & Erie R.R. 3rd 4%s Pacific Fruit Express Co., eq. 5s, C Pennsylvania R.R. eq. 5s, A So. Pacific Co. eq. 214s, O Southern Ry. eq. 4s, BB Southern Ry. eq. 5s, Y Union R.R. equip. 2V 2 s Western Pacific R.R. eq. 5%s Mar. 15, 1938 Chesapeake & Ohio Ry. Co. eq. 5s, U Fruit Growers Express Co. eq. 5s, B N. Y. Central eq. 214s, 1937 N. Y„ N. H. & H. eq. 4%s Northern Pacific Ry. Co. eq. 414s Union Pacific R.R. eq. 4%s, D 121,000 300.000 115.000 252.000 150.000 178.000 160.000 360.000 134.000 1.072.000 465.000 235.000 330.000 588.000 191.000 185.000 233.000 4.616.000 498.000 2 . 100.000 748.000 328.000 220.000 170.000 350.000 525.000 134.000 286.000 152.000 235.000 273.000 DEFINITIVE SECURITIES Previously Axmoonoed Page Issue 1493 Chesapeake k Ohio Ry. Co. ref. & lmpr. 314s, E, 1966 1493 Chic. & East 111. Ry. Co. equip. 814s, C, 1937-51 1493 Chic. Union Station Co. gtd. 314s, 1961 1493 Great Northern Ry. Co. gen. 314s. I. 1967 1427 Great Northern Ry. Co. gen. conv. 4s, G & H, 1946 1493 N. Y. Central R.R. Co. sec. 814s, 1952 1493 North West Refrig. Line Co. equip. 4a. J, 1937-46 1493 Penn. R.R. Co. conv. deb. 814s, 1952 1493 Piedmont & Northern Ry. Co. 1st 314s, 1966 1493 Toledo, Peoria & West R.R. Co. 1st 4s, B, 1967 1493 Union Pacific R.R. Co. deb. 314s, 1970 REORGANIZATION PLAN HEARINGS Following is a calendar of hearings to be held before the ICC on reorganization plans of a number of railroads. Refer to page indicated for further details. Page Date 1290 Chicago, Indips. & Louis?. Ry. Co Feb 8, 1938 1425 Chic., Milw., St. Paul & Pacific R.R. Feb 1, 1938 1374 Chicago, Rock Island & Pac. Ry. Co... Feb 28, 1938 1169 Minneapolis & St. Louis R.R. Co Feb 23, 1938 RECEIVERSHIPS Note: Following list Includes companies for which trustees have been appointed under the Corporate Bankruptcy Act and/or for which receivers haeve been appointed la aqulty proceedings. (Reported since Aug. 2L 19S7 — for details, see page Indicated.) Page Company 1312 Bamberg. Ehrbardt & Waterboro Ry., Nov. 10. 1987 1299 Wilkes-Barre & East R.R. Co., Nov. 26. 1987 DEFAULTS Note: Includes issues on which Interest not paid when due but where actual default may not have occurred due to grace period provided in indenture. (Reported since Aug. 21, 1937; for details, see page indicated.) Page Company 1190 tErie R.R. Co. equip. NN, 4%s, Jan. 15, 1938 to 1942 1226 ‘Erie R.R. Co. prior lien cons. 4s, 1996 1226 ‘Erie R.R. Co. cons. gen. lien 4s, 1996 1226 ‘Erie & Jersey R.R. 1st 6s, 1955 1226 ‘Genesee River R.R. 1st 6s, 1967 1221 Minneapolis, St Paul & Sault Sts. Marls Ry. Co. 1st ref. 6s, A, 1946 1231 New Jersey & New York R.R. Co. gen. 5s, Jan. 1, 1938 1182 JNew York, Ontario & Western Ry. Co. equip. 6s 1227 ‘Northern R.R. Co. of New Jersey gen. 4V4s, 2000 •Indenture provides for 6 months' grace period, tlndenture provides for 30 day grace period, tlndenture provides for grace period. EARNINGS PER COMMON SHARE, ETC., OF PRINCIPAL RAILROADS (11 mos. and Year to Nov. 30, 1937) lgs per Comi Years Er ixed Charge Years 11 Months Ended ided 30— Yr. Ended Dec. 31 1936 11 Months Ended Ended Yr Ended Dec. 31 1936 1937“' 1936 1937 1936 1937*’“ 1936 1937 ““ 1936 Alabama Great Southern (b)$4.26 (b)$3.09 (b)$7.81 $3.24 (b)$6.64 3.15 2.56 4.62 2.94 4.08 Atchison 0.33 0.60 1.29 1.66 1.56 1.54 1.60 1.71 1.78 1.75 Atlantic Coast Line 3.30 2.43 3.18 1.75 2.31 1.46 1.34 1.41 1.22 1.30 Baltimore & Ohio *0.71 *0.01 0.15 *0.15 0.85 1.01 1.07 1.08 1.06 1.14 Bangor & Aroostook 3.86 2.43 4.98 2.69 3.55 2.09 1.86 2.25 1.87 2.03 Boston & Maine *10.34 *15.36 *10.19 •14.88 *15.21 0.99 0.70 1.04 0.80 0.78 Central of New Jersey *6.12 *10.25 *6.74 ‘11.02 *10.87 0.63 0.37 0.62 0.38 0.39 Chesapeake & Ohio 4.07 5.12 4.67 5.47 5.72 4.68 5.11 4.88 5.03 5.27 Chicago, Burlington & Quincy 2.35 2.50 2.87 4.00 3.02 1.45 1.49 1.51 1.72 1.54 Chicago, Great Western (pfd.) *1.94 0.34 *1.47 1.05 0.81 0.49 1.09 0.64 1.25 1.19 Chicago. Milw., St. P. & Pac. *15.56 *15.70 *16.16 •16.80 *16.30 #0.68 #0.66 #0.74 #0.69 #0.73 Chicago & North Western... *9.57 *6.89 *9.78 •7.23 *7.10 0.10 0.38 0.16 0.41 0.42 Delaware & Hud. R.R. Corp. *1.47 *2.07 *1.20 *2.57 *1.80 0.79 0.72 0.85 0.69 0.78 Delaware, Lack. & Western . . *0.34 *0.22 *0.20 *0.22 *0.08 0.92 0.95 0.96 0.95 0.98 Erie *1.14 *0.21 *1.17 *0.39 *0.24 1.05 1.15 1.05 1.13 1.15 Great Northern 3.71 2.68 5.01 3.33 3.98 1.62 1.41 1.77 1.46 1.56 Gulf. Mobile & Northern.... *2.60 *1.90 *2.06 0.08 *1.36 1.59 1.88 1.58 1.83 1.84 “Illinois Central *0.90 *1.61 0.45 *5.17 *0.26 0.99 0.92 1.10 0.64 1.04 Kansas City Southern 0.19 *0.69 0.01 *0.97 *0.87 1.33 1.21 1.30 1.20 1.20 Lehigh Valley *1.01 1.06 *0.98 1.23 1.09 0.82 1.19 0.84 1.20 1.16 Louisiana & Arkansas 0.70 (00.61 0.30 0.18 0.21 1.49 1.37 1.50 1.38 1.39 Louisville & Nashville 5.89 7.39 6.73 7.90 8.23 1.78 1.90 1.82 1.88 1.92 Maine Central 1.83 *3.76 3.20 *3.59 *2.39 1.22 0.86 1.29 0.89 0.96 Missouri-Kansas-Texas *7.04 *5.92 *4.82 *6.16 *5.94 #0.79 #1.03 #0.91 #1.09 #1.13 Nashville, Chat. & St. Louis. *1.15 *0.04 *0.91 *0.28 0.20 0.79 0.99 0.85 0.95 1.03 New York Central (d)1.07 (e)1.68 (d)1.03 (e)2.51 (e)1.79 1.14 1.16 1.14 1.22 1.15 New York, Chic. & St. Louis 1.31 2.01 14.75 2.45 15.46 1.36 1.39 1.97 1.40 1.98 N. Y.. New Haven & Hartford *6.17 *4.61 *6.02 *4.98 *4.46 0.49 0.71 0.57 0.72 0.76 New York, Ontario & Western *2.46 *0.50 *2.53 *0.17 *0.57 def. 0.80 0.05 0.93 0.79 Norfolk & Western 20.32 20.70 22.50 22.49 22.88 15.86 15.59 16.08 14.95 15.82 Northern Pacific *0.79 *0.11 0.05 1.18 0.73 0.85 0.79 1.18 1.20 1.13 Pennsylvania 2.03 2.56 2.41 2.67 2.94 1.36 1.46 1.39 1.49 1.48 Pere Marquette 1.29 2.37 2.42 2.99 3.50 1.54 1.70 1.68 1.75 1.83 Pittsburgh & Lake Erie 4.63 4.89 5.06 5.27 5.32 80.59 32.08 77.57 32.60 33.07 Pittsburgh & West Virginia. 1.23 1.14 1.34 1.25 1.25 1.46 1.41 1.46 1.41 1.41 Reading Southern Pacific . uthern nnessee Central as Pacific 2.73 2.42 2.96 3.04 2.65 1.82 1.75 1.82 1.81 1.75 0.30 2.77 1.37 3.02 3.84 1.04 1.37 1.17 1.87 1.47 •1.70 0.11 *0.80 0.51 1.01 1.05 1.20 1.12 1.22 1.26 1.15 2.01 1.50 1.93 2.36 1.46 1.55 1.51 1.50 1.59 3.32 2.24 3.86 2.62 2.78 1.66 1.53 1.68 1.54 1.56 Page 1166 MOODY’S RAILROADS— SECTION 1 February 5, 1938 Earnings per Common Share- 11 Months Ended Years Ended Nov. 30 ■ Nov. 30- 1937 1936 1937 1936 Yr. Ended Dec. 31 1936 Times Fixed Charges Earned- 11 Months Ended Years Ended ■ Nov. 30 Nov. 30- 1937 1936 1937 1936 Yr. Ended Dec. 31 1936 Union Pacific Virginian Western Maryland Wheeling & Lake Erie. 4.99 6.11 7.08 7.74 8.20 2.13 2.28 2.38 2.45 2.51 15.29 13.16 17.40 14.21 15.27 3.71 2.89 3.77 2.84 2.99 0.61 0.16 0.87 0.27 0.42 1.66 1.56 1.70 1.58 1.61 8.41 6.77 9.69 6.42 8.05 7.46 6.56 7.68 6.73 6.86 •Deficit ••Company only ^Exclusive of adjustment bond interest. (a)Includes Texarkana & Fort Smith Ry. Co. (b)Participating basis. (c)Based on present capitalization of 160.000 shares. (d)Based on present capitalization of 6,447,569 shares. (e)Based on 1936 capitalization of 4,922,597 shares. Previous Item, see page 1241. COMPARATIVE REVENUE (Inoluding loads received from connections — as EASTERN DISTRICT Chicago, Ind. & Louisville.. Delaware & Hudson Del., Lackawanna & West... Maine Central tNew York Central 64,177 N. Y„ N. H. & Hartford.... N. Y., Chicago & St. Louis.. New York, Ont. & West.... Pere Marquette 8,954 Pittsburgh & Lake Erie.... Pittsburgh & West Va Rutland Other roads Grand total ALLEGHENY DISTRICT Baltimore & Ohio Central R.R. of N. J Long Island Pennsylvania System . . Reading Co Western Maryland Total . . . Other roads Grand total § §POCAHONTAS DISTRICT Chesapeake & Ohio Norfolk & Western Virginian Other roads SOUTHERN DISTRICT Alabama, Tenn. & North. Central of Georgia Florida East Coast Georgia & Florida Gulf, Mobile & Northern. . . . Illinois Central System . . . Louisville & Nashville Mobile & Ohio Nash.. Chat & St. Louis... Norfolk Southern Piedmont & Northern Week ending Incr. Week ending Jan. 22 Jan. 23 Per Jan. 25 Jan. 26 1938 1937 Cent. 1936 1935 1,688 1,949 *18.5 1,591 1,585 3,171 2,328 36.2 2,168 2,504 16,115 19,074 •15.5 16,319 14,767 3,134 4,292 *27.0 3,316 2,759 11,183 12,096 *7.5 10,759 11,294 14,908 16,685 *10.7 14,948 15,127 22,655 28,142 *19.5 22,964 24,417 15,454 16,560 *6.7 14,072 14,002 6,383 5,977 6.8 5,591 5,075 64,177 80,765 *20.5 68,894 69,612 18,500 22,871 *19.1 19,306 18,020 12,765 16,326 *21.8 11,963 12,055 3,184 3,419 *6.9 3,301 4,328 8,954 10,402 *13.9 10,163 9,737 6,674 14,412 *53.7 8,758 8,998 2,034 2,720 *25.2 1,863 2,102 1,273 1,666 *23.6 1,286 1,430 12.822 15,347 *16.5 12,872 12,802 4,928 7,477 *34.1 5,667 6,337 229,902 282,508 *18.6 235,801 236,951 28,444 38,371 *25.9 31,544 32,794 258,346 320,879 *19.5 267,345 269,745 36,204 45,981 *21.3 37,004 37,816 15,924 18,030 *11.7 14,506 13,961 2,894 3,215 *10.0 2,889 2,638 78,846 101,512 *22.3 81,405 84,974 26.253 32,077 *18.2 24,519 24,956 7,897 10,733 *26.4 7,941 8,675 168,018 211,548 *20.6 168,264 173,020 14,721 30,160 *51.2 16,864 15,929 182,739 241,708 *24.4 185,128 188,949 26,175 30,740 *14.9 27,957 27,154 20.036 25,475 *21.4 22,051 20,330 4,569 5,186 *11.9 4,262 4,171 50,780 61,401 *17.3 54,270 51,655 1,934 1,719 50,780 61,401 *17.3 56,204 53,374 372 313 18.8 338 297 13,339 14,988 *11.0 13,411 11,902 5,942 7,090 *16.2 6.338 5,538 1,963 2,253 *12.9 1,659 1,234 950 1,097 *13.4 718 618 2,569 2,509 2.4 2,351 1,616 29,999 30,359 *1.2 30,637 26,124 23,191 26,331 *11.9 24,704 21,650 3,995 3,210 24.5 3,055 2,423 4.655 4,693 *0.8 4,523 4,131 1.837 2.076 *11.5 1,955 1,786 1,191 1,599 *25.5 1,257 1,220 FREIGHT CARS MOVED reported to Interstate Commerce Commission) Week ending Jan. 22 Jan. 23 SOUTHERN DIST. (Cont’d) Incr. Per Week ending Jan. 25 Jan. 26 Southern Ry. System Tennessee Central Grand total NORTHWESTERN DIST. Chicago Great Western .... tChicago, Mil., St. P. & Pac. Chicago & North Western. . Duluth, So. Sh. & Atl Fort Dodge, Des M. & So. Great Northern Green Bay Western Minneapolis & St. Louis... Minn., S. P. & S. Ste. Marie Northern Pacific Grand total CENTRAL WESTERN DIST. Alton Atch., Top. & Santa Fe Sys. Chicago, Burl. & Quincy... Chicago & East. Illinois.... Chicago, R. I. & Pacific Colorado & Southern Denver & Rio Grande West. Denver & Salt Lake Ft. Worth & Denver City . . Southern Pacific ttSouthern Pacific Union Pacific System Western Pacific SOUTHWESTERN DIST. Int. -Great Northern ... Kansas City Southern . Litchfield & Madison . . Louisiana & Arkansas . Missouri-Kansas-Texas N. O., Tex. & Mex. (G.C.L.) St. Louis-San Francisco . . . St. Louis Southwestern .... Texas & New Orleans 10.257 Texas & Pacific Other roads Grand total 85,718 1938 1937 Cent. 1936 1935 12,258 13,365 *8.3 10,692 9,520 30,961 33,766 *8.3 30,359 27,951 947 981 *3.5 1,155 979 134,169 144,630 *7.2 133,152 116,999 16,685 19,086 *12.6 15,701 12,917 150,854 163,716 *7.9 148,853 129,916 5,072 5,295 *4.2 4,379 4,032 25,320 27,480 *7.9 23,834 21,956 23,222 25,887 *10.3 21,013 20.212 816 1,129 *27.7 943 855 520 540 *3.7 349 346 11,294 11,184 1.0 10,812 10,587 1,010 1,199 *15.8 1,010 1,008 3,282 3,290 *0.2 2,680 2.629 7,110 7,773 *8.5 6,554 6,101 9,971 11,854 *15.9 10,814 9,650 87,617 95,631 *8.4 82,388 77,376 19,025 28,267 *32.7 23,196 20,788 106,642 123,898 *13.9 105,584 98,164 4,711 5,298 *11.1 4,575 4,504 24,573 27,193 *9.6 22,520 20,737 20,551 24,540 *16.3 21.699 20.568 4,704 6,030 *22.0 5,145 4,778 19,463 19,333 0.7 16,774 15,565 1,612 2,408 *33.1 2,051 2,029 4,490 6.342 *29.2 4,909 4,503 432 1,039 *58.4 916 738 2,249 1,993 12.8 2,098 1,818 21,801 25,155 *13.3 19,859 16,251 32,058 35,229 *9.0 28.767 23,331 18.524 21.457 *13.7 18,716 17,629 2,780 3,567 *22.1 2,659 2,595 125,890 144,355 *12.8 121,921 111.715 10,529 13,306 *20.9 11,015 8,868 136,419 157,661 *13.5 132,936 120,583 4,550 4,326 5.2 3,996 3,939 3,744 3,703 1.1 3,754 2,699 970 1.316 *26.3 1,096 1,082 2,411 2,390 0.9 2,361 1.573 6,753 7,114 *5.1 7,256 6,318 23,046 24,540 *6.1 23.606 19,610 5,278 5,453 *3.2 4,321 3,298 11,020 11,550 *4.6 11,352 9,482 4,916 4,336 13.4 4.174 3,931 10,257 10,074 1.8 8.898 7,080 8.129 8,961 *9.3 7,470 6,656 81,074 83,763 *3.2 78,284 65,668 4,644 4,539 2.3 29,136 25.800 85,718 88,302 *2.9 107,420 91,468 •Decrease, tlncludes Boston & Albany, Big Four and Michigan Central. ^Includes Chicago, Terre Haute & Southeastern, ttlncludes Texas & New Orleans (shown separately in group below, but not Included in total of Central Western District). §§Revlsed to exclude Norfolk & Portsmouth Belt Line R.R. Co. Note: Previous year’s figures revised. Previous Report, see page 1174. MONTHLY REPORT OF RAILROAD EARNINGS (As reported to Interstate Commerce Commission) Note: Net railway operating income is after deducting taxes, uncollectibles, and equipment and joint facility rents. earnings reports. For previous December reports, see page 1170. See News Section for other Gross Oper. Revenues Net Ry. Oper. Income Gross Oper. Revenues Net Ry. Oi per. Income December December — 12 mos. to Dec. 31 — — 12 mos. 1 io Dec. 31 — Road 1937 1936 1937 1936 1937 1936 1937 1936 Atlanta & West Point R.R $125,532 $167,651 *$40,948 $8,555 $1,788,864 $1,804,607 *$78,583 *$4,946 Georgia R.R. 254,788 319,547 *4,949 43,048 3.674,891 3,724,469 522,002 676,175 Green Bay & Western R.R 153,100 9,049 30,250 1,687,011 1,624,122 263.462 176,881 Union Pacific R.R 14,880,908 2,315,822 3,893,026 162,064,311 155,213,583 22,886.260 25.070,627 Western Ry. of Alabama 125,122 152,182 *7,582 13,512 1,682.448 1,595,383 77,573 50,732 Total (5 roads) Total (132 roads) (see page 1170). Total (137 roads) $12,715,190 $15,673,388 $2,271,392 $3,988,391 $170,897,525 $163,962,164 $23,670,714 $25 969 469 287,605,630 356,412,965 23,700,134 66,600,102 3,995,110,950 3.886,770,064 566,594.989 641, 494^873 $300,320,820 $372,086,343 $25,971,526 $70,588,493 $4,166,008,475 $4,050,732,228 $590,265,703 ~W7.464.342, ~7 •Deficit. ( Owner's A r ame and Address.) The EYAR INVESTOR’S Account Book. Designed by HENRY LOWENFELD, To last 5 Years without Re-Entry. . . Published from the Office of . . THE FINANCIAL REVIEW OF REVIEWS, 2. WATERLOO PLACE, LONDON, S.W. Printed and Sold by CHARLES LETTS & CO., 2, Royal Exchange, E.C. Copyright. All Rights Reserved. 3 3^- (e L^e. Printed by 3, ROYAL EXCHANGE, LONDON, E.C. v\ a. n c_ i cx \ v«-V, xtvitWS EXPLANATORY NOTE. & (i) THE STOCK REGISTER is intended to show at any time and at a glance the owner’s entire Investment Position, together with the full purchase particulars and the subsequent fluctuations in value of each stock held. When once started, and with every subsequent transaction noted, this Register should not be re-entered for five years. The entries of the Date of Purchase, the Price Paid, Stamps, Fees and Brokerage, are optional ; but the Name and Quantity held of each Stock, its Total Cost, the amount of Dividends Expected, and the Month when Dividends are payable must be entered ; otherwise the book is incomplete. The values current, at the date of the commencement of the book, of every stock held, must be ascertained and entered opposite each stock, the date of this valuation being filled in at the top of the “Value at Starting” column. The total amount of these values at starting constitutes the “Capital at Starting.” Once in each succeeding year each stock held should be valued again, not only for the purpose of comparison with the original cost, but also as a means of ascertaining how the investors’ total capital is progressing. The “ Value Columns,” so kept up, show at a glance the tendency of each stock held, and they serve to warn the investor when any of his holdings begin to display speculative and widely fluctuating movements. In fact, these recurring valuations are absolutely indispensable for making up annual results and as an indication of any investment risk to which the investor may be exposed. Purchases of Stocks made subsequently to the date of starting the book, should be entered in the same manner as the original holdings. Sales of Stock are ruled out in the Register (red ink preferable) and the date of sale is noted in the right-hand column. Where a “ part only ” of a stock held is sold, the total of the stock must be ruled out and the portion retained must be re-entered (red ink preferable) just like a new purchase. The total of the column “ Dividends Expected ” gives the estimated annual income. iL The first left-hand column “Geographical Division” is only to be used by those investors who distribute their investment risks on the principle of the Geographical Distribution of Capital (for explanation of this principle see the article on Geographical Distribution and accompanying Charts at end of Dividend Diary). Investors who adopt Geographical Distribution will find it a good plan to enter, in the first instance, all their holdings in Geographical order and to leave vacant a few lines between each Geographical group for subsequent entries. (2) THE SALES REGISTER. Here full particulars of every sale should be entered direct from the sale contract, as indicated by the headings of each column, then the net Profit or Loss made on each sale should be ascertained and entered. Next, every Profit or Loss made on sales must also immediately be noted in the column allotted for that purpose in the “Cash Register.” (3) THE CASH REGISTER is intended to show all cash items which pass through the investor’s hands, including Payments and Receipts in respect of Purchases and Sales of Stock, Dividends, Bonuses, etc. All these items are entered one beneath the other on the same side of the book, each item being extended into the particular cash column to which it belongs. All Profits and Losses on sales of stock are also entered here just as if they were cash transactions. In all cases when Profits and Losses are so entered, the quantity and name of the stock sold, upon which the Profit or Loss was made, should be entered in the “To whom paid or from whom received” column. (4) THE DIVIDEND DIARY is intended to show which dividends are due in each month of the year, the estimated amount of each Dividend, and the actual Dividend received. After each Dividend-cheque has been entered in the “Cash Register,” it should also be immediately entered in the “Dividend Diary ” opposite to the name of the stock in the proper “Year” column (it is not intended that the date of the receipt of the Dividend should be entered here; this detail has already been noted in the Cash Register). The Dividend Diary, when so kept, will not only show at a glance how much Dividend is receivable in each period but also which Dividends have been received and which are still outstanding. It is recommended that this Diary be kept in pencil, and that particulars of any stocks sold should be rubbed out, it being quite unimportant to preserve the dividend-details of such, as these are already permanently recorded in the “ Stock,” the “ Sales,” and the “ Cash Registers.” (5) THE DISTRIBUTION REGISTER. It has been theoretically and practically proved that the only known means by which the safety of Capital and Income can be effectually secured is by distributing the Capital sum to be invested on a Geographical basis, as explained in “ All about Investment.”* For this reason a Distribution Register * “All about Investment.” Demy Svo. Cloth, price 5s. nett. Paper cover, is. nett. By the same Publishers. based upon Geographical Distribution has been included in this Account Book. The preface to this Register explains precisely how it should be used by investors. (6) THE INCOME TAX REGISTER explains itself, one page being allotted to each year. All overpayment of Income Tax will be avoided by the use of this Register. HOW INVESTMENT RESULTS ARE ASCERTAINED. (a) The Number of Stocks Held is ascertained by counting the stocks not crossed out in the “Stock Register.” ($) The Value of the Investments Held is ascertained by adding up the latest “Value” column in the Stock Register. (V) The Total Amount of Profit or Loss on Sales is ascertained either from the “ Sales ” or the “ Cash Register ” by adding up both the Profit and the Loss Columns, and deducting the smaller from the larger sum. (d) The Dividends Received are ascertained from the “ Cash Register by adding up the “Dividend” column. 0 ) The Cash added to or withdrawn from investment is ascertained from the net result of the two money columns and the net result of the two “ Profit and Loss on Sales” columns in the “Cash Register.” (To ascertain these net results add up each pair of columns and then deduct the smaller from the larger sum; this will give the net result.) When Cash Received is the greater, add to this net result the Loss on Sales (or deduct it from Profit on Sales) and the amount abstracted from capital during the period will thus be arrived at. When Cash Paid Out is the greater, add to this net result the Profits on Sales (or deduct from it the Losses on Sales), and the amount added to Capital during the period will by this means be ascertained. ( f) The Net Income during any period is ascertained by adding together the (i) Value of Investments at the end of the period; (2) Cash Withdrawn (if any) ; (3) Profits on Sales (if any) ; (4) Dividends received during the period, and deducting from the total so resulting, the totals of (i.) the Value of Investments at the commencement of the period ; (ii.) Cash added (if any) ; (iii.) Losses made on Sales (if any). A TABLE FOR NOTING ANNUAL RESULTS IS GIVEN IN THE DIVIDEND SECTION. STOCK Capital at Starting £ Geographical Division. Dividend Expected £*s. SAD. OMITTED. Dividend Payable. MONTH ONLY Quantity and Name of Stock held. Day, Month, and Year of Purchase. Cost per £100 or per Share. Stamps, Fees, and Brokerage. £ s. d. r REGISTER. Date of Starting Total Cost £ s. d. Value at Starting in 19 Value 19 Value 19 Value 19 Value on 19 When and how disposed of STOCKS. 9 STOCK Capital at Starting £ * Day, Month, and Year of Purchase. Cost per £100 or per Share. Stamps, Fees, and Brokerage. £ s. d. REGISTER Date of Starting Total Cost £ s. d. Value at Starting in 19 Value 19 Value on 19 Value on 19 Value 19 When and how disposed of STOCK Capital at Starting £ — s Geographical Division. Dividend Expected £’s. S. & D. OMITTED. Dividend Payable. MONTH ONLY. =T— — Quantity and Name of Slock held. Day, Month, and Year of Purchase. Cost per £100 or per Share. Stamps, Fees, and Brokerage. £ s. d. • REGISTER. Date of Starting Total Cost £ s. cl. Value at Starting in 19 Value 19 Value 19 Value 19 Value on When and how disposed of 19 4 STOCK Capital at Starting £ Dividend Expected £*s. A D. OMITTED. Dividend Payable. MONTH ONLY. Quantity and Name of Stock held. Day, Month, and Year of Purchase. Cost per £100 or per Share. Stamps, Fees, and Brokerage. £ s. d. REGISTER Date of Starting Value at Value on Value on Value on V alue on Total Cost Starting in When and how disposed of £ s. d. 19 19 19 19 19 • • 5 STOCK Capital at Starting £. Geographical Division. Dividend Expected £’ s. S. a D. OMITTED. Dividend Payable. MONTH ONLY. Q uantity and Name of Stock held. Day, Month, and Year of Purchase. Cost per £ 1 00 or per Share. Stamps, Fees, and Brokerage. £ s. d. • • • REGISTER. O Date of Starting Total Cost £ s. d. Value at Starting in 19 Value Value Value on Value 19 19 19 19 When and how disposed of Capital at Starting £ STOCK G Geographical Division. Dividend Expected £’s. S. 4 D. OMITTED. Dividend Payable. MONTH ONLY. Quantity and Name of Stock held. Day, Month, and Year of Purchase. Cost per £100 or per Share. Stamps, Fees, and Brokerage. £ s. d. REGISTER. 6 Date of Starting Total Cost £ s. d. Value at Starting in 19 Value 19 Value 19 Value 19 Value 19 When and how disposed of Capital at Starting £ STOCK H i Geographical Division. Dividend Expected £’s. S. <» O. OMITTED. Dividend Payable. MONTH ONLY. Quantity and Name of Stock held. Day, Month, and Year of Purchase. Cost per £100 or per Share. Stamps, Fees, and Brokerage. £ s. d. i 1 1 REGISTER. Date of Starting i 1 SALES Quantity and Name of Stock Sold. Original Cost, including Brokerage and Expenses. Selling. Day, Month and Year of Sale. Price Realised. Gross Amount Realised. 2 Quantity id Njs.t of Si /6 /a** ' '\r. 1 £ S' o o t. i* i . /' 7 Zf- S Z> 4 4>~ /-*u. tf Art f AeJ/, 4 L-vi^- i 2./ 7 6 t-Cc-Cy iC*C'A § \jLjl 4 % aU-'r-A’ ft ‘ y £ tf- JJ 3 /I . Ac / / pr t « (j 2 ' p (> OLoUic^f / // S U- ' f 'it/fy-ts* •ALfcJ' U/,Li -j ftft t/ CfCfCf t / ZX, - Z/ 7 6 M 7 c 7 u-’fr a ;9 October. £ Forward Forward It is recommended that this Diary be kept in pencil and that every Stock sold be rubbed out. DIVIDEND Stock Register. Page. Short Name of Stock. Dividend Expected. Dividends Received. 19 j| 19 19 19 19 November. £ Forward . Forward - DIARY Stock Register. Page. Short Name of Stock. Dividend Expected. Dividends Received. 19 19 19 19 19 December. £ FORWARD - Totals £ TABLE OF ANNUAL RESULTS 6. Net Income. 5. Capital. Withdrawn from Investment. Added to Investment. — 4= Dividends and Bonuses received. 3. Sales Effected Balance of Loss. Balance of Profit. 1 2. Value of Investments held. At the Finishing of the year. At the Starting of the year. i. No. of Invest- ments held. Year. 05 tH 19 05 th 05 tH 05 TH w CQ < f- 00 X H o z x Cl. o u 1% o u- CO Z O f- u X X H CO z H X o X CO c .2 -4 03 CO CD T3 0> G CD CO T3 T3 oJ aj ‘a CO cS o 3 "S id 73 >> oi u G D ■M K on T3 45 > C "rt — ■1 0) CO •o on r rt : 3 *8 ■■* 2 % 3 S 11 2 £ -* *5 'c £ p 5 2 .'£ o t/j ^^3 CO ^ VU 73 °o •g CO P3 aJ U s 73 a TJ «* « S* *j i u - SfS J3 ^ ^ ^ G ? O G ~ »- o s pn -£ ^ d 3 M . o x £ iH^r c •*-' D £ Q 73 i 2 c/} rC (C ^ ’ ~ ’ w o*^ £ <*-. £ 03 w ’ a-c . : 0> £ ^ i3 X C3 rf o Q H-i ♦- f4m C. ■*-> 1— ( 'ZZ. c3 £* ^ “ ^ s - £* • • G «-* C . . ci *“• G , O Gfl C •Sss o _c • — - v-. a> c 2 gs ° .2 o3 G C4-. -*-* t. U U O ^T3 « 3 « •S ^ 73 a) g •r > <-> G ^ G 2L, — +d i: 5 I s - •*-> w G O c > t C id cd : .C •— ; —J -G c3 CU d 5H£h M w t/3'G 5 2" •4—* c3 . • • * ] O ,y; ’-d-lG G I -2 -? N « " 7 -x mt: p ^ - Q 5 01 cg ;r^ c3 rG ,G a .w ^ c o3 — G « . c -S 2^ ^ 1/1 -c ~ rt : 2 2 c« p. . > M.S -C H a I - (U 3 t C 3 u &i JU a x. Ph .g T3 G ta Dh x: CO C3 u u G *3 The Investment of Trust Funds,” price 2/6. GEOGRAPHICAL DIVISION of CAPITAL. “ All about Investment ” f states : The Safety of capital is obtained by dividing it (i) evenly among a number of sound Stocks (2) of identical quality , but (3) every Stock held being subject to an entirely different market and trade influence . TT is most convenient to divide capital into even multiples of ten. For this reason, the earths surface has, for the purpose of Geographical Distribution of Capital, been split up into ten main divisions. Nine of these cover the Continents, and, with the exception of the British and North American divisions, each one of them comprises several countries. The tenth division covers the trading interests which are carried on on the seas. “INVESTING AT ITS BEST’ t explains that practically every single country constitutes a separate Geographical Division. Investors will therefore find no difficulty in so sub-dividing the ten main Geographical Divisions, that almost any desired Distribution of Investment Risks is arrived at. The following table indicates how Investors can obtain a graphic comparison between their existing Capital Distribution and an Ideal Capital Distribution, made upon the principles of Geographical Distribution of Capital. DISTRIBUTION OF RISK. AS IT IS On this skeleton Chart the Geographical position of the Stocks held stocks Value £ should be indicated by blue crosses, the perfect Geographical i : — Distribution by red circles. AS IT SHOULD BE (denoted by red circles ON CHART). British Stocks £ „ Colonies £ Europe, North £ „ South £ Asia £ Airica ... £ America, North £ „ Central £ „ South £ Generi. Intern). £ Stocks Value £ f All About Investment. 20th to 50th thousand. Demy 8vo, pp. 282. By Henry Lowenfeld. The Originator of Geographical Distribution of Capital. This work indicates in simple language the attitude which every investor should take up towards investments and instructs him in detail how to dispose of his capital most advantageously for himself. Mr. Hayes Fisher refers his readers ol “ Investing at its Best ’’ for detailed instructions. Ask for list of comments of hundreds of British newspapers, speaking in the highest terms of this work. Price, Cloth 5/- nett, Paper 1/- nett. J Investing at its Best. By The Right Hon. W. Hayes Fisher, M.P. The simplest, shortest, and handiest explanation of sound investment principles ever published. “ Expounded explicitly, simply, and convincingly. The book, indeed, is one of substantial value.” — Daily Telegraph. “ The object is investment, not speculation, the maintenance of capital intact and ensuring a regular income.” — The Standard. “ An admirable work, contains a great deal of information for the practical guidance of private investors, which, if acted upon, would be the means of preventing possible loss .” — The Globe. Price Is. nett. GEOGRAPHICAL DISTRIBUTION OF CAPITAL. A LL ABOUT INVESTMENT states: “ The safety of capital is attained by dividing it (i) Evenly among a number of sound Stocks ; (2) of identical quality , but (3) every Stock held being subject to an entirely different market and trade-influence? Practical experience has proved that capital invested by adhering to the above axiom gives the following investment-results : 1. — The realisable value of the combined holding remains steady, and is not materially influenced by political events, trade depressions, or any other of the innumerable causes which simultaneously affect the leading investments of any single country. 2. — A considerable portion of the invested capital can at any time be sold without a loss. 3. — The income received from the combined investment is considerably larger than that obtainable by investing in exclusively British investments of the same class and remains steady. Ocular demonstration of the actual working of Geographical Distribution of Capital is afforded by the two sets of charts inserted here. The first set comprises ten charts — one for each of the ten main Geographical Divisions into which the earth’s surface has been divided. The horizontal lines in the charts denote the price of the stocks, the vertical lines the years under consideration, and the zigzag lines the actual price- movement of each stock when taken at the average price of each year. For the chart of each Geographical Division, nine Stocks, representing a wide variety of trading interests, have been selected, the varying trading interests represented being described in the column which follows the space allotted to the name of the Stocks. A glance at the charts shows that nearly all the Stocks of any one Geographical Division move in the same direction, and that, although exceptional price-movements do take place in some individual cases, the general tendency of prices to rise and fall together is maintained throughout the ten years which are treated in the charts. If it is assumed that each one of these ten charts represents a separate investment held by one individual, then these ten separate investment-holdings are undesirable. All the Stocks held in each one of them move simultaneously up or down. The realisable value of the entire capital fluctuates violently, and the variety of enterprises represented in each holding has failed to produce a distribution of risks. In fact, the charts prove that an investor who holds a combination of Stocks which mainly represent one Geographical Division is speculating with his entire capital on the trading prosperity of the country in which his Stocks are principally dealt in. As the charts are drawn up on the decimal system, the combined up or down movements of the zigzag lines in each chart indicate how very unstable the realisable value of capital becomes when Stocks belonging to any one Geographical Division are held exclusively by any single investor. In the second set of charts, precisely the same Stocks as in the first set of charts, at the same average prices and covering the same period of years, are taken, but instead of the Stocks belonging to each separate Geographical Division being combined in one chart, one Stock out of each of the ten charts of the first set are now grouped together in one chart. Thus, each chart of the second set contains ten Stocks, every one of which belongs to a different Geographical Division, and these charts are investment-schemes, constructed on the principle of Geographical Distribution of Capital. Whilst in the first set of charts all the zigzag lines, which denote the price-movement, run almost parallel to each other, in the second set of charts the zigzag lines cross and The annexed charts have been printed without alteration since 1908. Investors wishing to ascertain how correctly the principle of Geographical Distribution of Capital works out in practice should make them up-to-date. They will then find that the results obtained prior to 1908 have been maintained. FIRST SET OF CHARTS BRITISH STOCKS. CHARTS COVERING THE TEN MAIN GEOGRAPHICAL DIVISIONS FIRST SET OF CHARTS BRITISH COLONIES. EUROPE, NORTH. EUROPE, SOUTH. NAME OF STOCK. (T) JaYaschoCultuurmaatschapplj 4ji Debentures SUGAR FACTORY. (g) Japanese Star. Loan, 1339 GOVERN- MENT. CWnBES Gold Loan, 1836 Ditto. Raj'oaaW Harbour Improve- orient Loan 6 % Bonds (0 Kawasaki Shipyard 7x Deben- tures - SHIPYARD. (g) Prlcsl, Marians 6% Cumula- tive Pr3ferenco Shares ... COM- MERCIAL Fiyl Paper Manufacturing Ordinal^ 8harea ... PAPER. (g) K/usboe Railway Ordinary 8 haras RAILWAY. (9) Hypothec Bank of Japan Dobenturea BANK. AFRICA. NORTH AMERICA, CENTRAL AMERICA SOUTH AMERICA. INTERNATIONAL INVESTMENTS Ctrfjrigh! All Rights Reserved FIRST SET OF CHARTS BRITISH STOCKS. BRITISH COLONIES. AFRICA. NORTH AMERICA. Copyright. All Rights Reserved PARATIVE STATEMENT he Five Geographically Distributed Investment Maximum Capital Depreciation in any one year :r 2 per cent, on the amount invested. On the h List the maximum capital depreciation was I2j (2) On the Five Geographically Distributed tit Lists the minimum amount of capital realisable le year without loss was £3,977 ; the maximum talisable without loss was £9,330 ; and in none of ists was there any one year in which 40 per cent, pital could not have been advantageously sold. In of the All British List, there were 8 years out of 10 none of the stocks held were saleable without loss, ihe remaining two years only 10 per cent, were without loss. >me on all six lists was steady, but one of the hically Distributed Lists shows a large increase V | of ANNUAL RESULTS 8 Investment saleable without loss year by year on each Investment Scheme. f 5% s \% 6 i % Trust Invest- ment British j Invest- 1 ment | r o £ £ £ 77 4063 4052 4250 3 IO ° Nil 99 4274 434 i 44 IQ 5161 Nil 95 539 i 4494 5366 4244 Nil T 9 6481 55 6 6 6420 5 6 30 Nil 98 7435 474 s 553 s 4773 Nil 67 7851 8051 8834 O oc K> 1010 I 39 6869 8097 9330 7030 1024 10 3723 5806 7106 4928 Nil 3600 59°6 7129 4 S 73 Nil of the INVESTMENT REGISTRY, LTD. CHARTS SHOWING FIVE GEOGRAPHICALLY DISTRIBUTED INVESTMENT SCHEMES SECOND SET OF CHARTS <»* INVESTMENT SCHEME. And ONE ALL BRITISH INVESTMENT SCHEME, which is identical with the British Scheme in the First Set of Charts 6% INVESTMENT SCHEME. SECOND SET OF CHARTS INVESTMENT SCHEME TRUST INVESTMENT SCHEME, BRITISH INVESTMENT SCHEME. ”M"“ H~ s. ' ~ “"I'"" 1«S ,007 !EL 1,00 ,007 1,04 ,K, ,50. ,«7 corpora non «“***»“« © T - ... ... ... - .. « » .. ppj=j=p « © - ... - - ... «• ... - .. » » .. ■■ » " TRAMWAY. ® " "" ... ... ” “ “ “ .. “ “ “ “ “ 60 10% SUr.dirT.. 1 ^ © *" ,o:s «* "* SO «*« - - - ... ® ,0, ,0,. ,00. 100S ,0» ,o:o - « « .0 4. 4. 4. electricity © „„ |17S „„ ns. 1,7. ,00. *0 « 0. .. 45 « « 4, 40 4. © ~ ... .... - " •• .. « ■■ .. •• Miipp r ® - z - ” -■ - - " » " » » - TABLE of ANNUAL RESULTS Amount of Investment saleable without loss year by year on each Investment Scheme. Years. 0-00 C&Lstytirrt, r f *rvylK, Jj *&4sC ' umL JUy yj o V. STOCKS IN ASIA. ■ JOOtf y !c .■( i. >■■ ,V% /) ' . /X iy& _ "/trod j ■ 4 -/L?, Si^y ^ 3 On £ /jrt On £ UZ-2, s. ^ d. -T on this Income Tax (e?. f /~ in the £. £ 'f 3 ‘ ^ ^ a. // d. y ■ the Companies deducted £ a s. // d. s. / d. the Investor paid £ 2-/ s. d. / Total Tax as above £ 2^-2 s . d. J* Short Name of Stock. Tax deducted by Co. Tax pay Holder Short Name of Stock. Tax deducted by Co. Tax pay- able by Holder Forward - A* A O u-r / aa r P /o £ A o /SUJ' AJ- fy-SeuyCp^ J/ // 7 A o -^W*cc LU 2 CD \ TOTAL Fill in Gross Amount of Dividend INCOME TAX REGISTER FOR THE YEAR 19 Total Gross Dividend £ On £ On £ s. d. on this Income Tax @ in the £, £ s. d. s. d. the Companies deducted £ s. d. s. d. the Investor paid £ s. d. Total Tax as above £ s. d. Short Name of Stock. Tax deducted by Co. on* Tax pay- able by Holder on* Short Name of Stock. Tax deducted by Co. on* -■ ' 1 ■ ■ ' Tax pay- able by Holder on* Forward 1 Forward TOTAL * Fill in Gross Amount of Dividend. INCOME TAX REGISTER FOR THE YEAR 19 Total Gross Dividend £ s. d. on this Income Tax @ in the £, £ s. d. On £ s. d. the Companies deducted £ s. d. On £ s. d. the Investor paid £ s. d. Total Tax as above £ s. cl. Short Name of Stock. Forward Fill in Gross Amount of E vidend Tax deducted by Co. Tax pay- able by Holder Short Name of Stock. Forward Tax deducted by Co. Tax pay- able by Holder TOTAL INCOME TAX REGISTER FOR THE YEAR 19 Total Gross Dividend £ s. d. on this Income Tax @ in the £, £ On £ s. d. the Companies deducted £ s. On £ s. d. the Investor paid £ s. Total Tax as above £ s. Short Name of Stock. Tax deducted by Co. on* Tax pay able by Holder on* - Short Name of Stock. Tax deducted by Co. on* Tax pay- able by Holder on* Forward • 1 Forward TOTAL 1 ' * Fill in Gross Amount if Diviilen cl. INCOME TAX REGISTER FOR THE YEAR 19 Total dross Dividend £ s. a. on this Income Tax @ in the £, £ s. d. On £ s. a. the Companies deducted £ s. d. On £ s. d. the Investor paid £ s. d. Total Tax as above £ s. d. L • — Short Name of Stock. Tax deducted by Co. on* Tax pay- able by Holder on* Short Name of Stock. Tax deducted by Co. on* Tax pay- able by Holder on* 1 i < m Forward 1 Forward TOTAL 1 J Fill in Gross Amount of E ividend. 1 POPULAR FINANCIAL BOOKLETS 19 An Unqiue Method of Investment Baron JULIUS VON M ADARASSY-BECK Describes Investment in Land Mortgage Banks. 21 World-Trade and the Geographical Distribution of Capital JOHN HOLT SCHOOLING, F.S.S. An impartial investigation of the principles of Geographical Distribution. 23 Investments in Real Property Sir JOHN ROLLESTON, M.P. Describes the advantages of Mortgage Investments. 26 The Investor’s Defence against Labour’s Attack upon Capital HENRY LOWENFELD Points out how the individual investor may defend himself against inroads upon his capital. 28 How to Read the Bank Return - H. J. JENNINGS Explains in non-technical language the meaning of the Bank Return. 29 Geographical Distribution : Some Practical Results THE INVESTMENT CRITIC Shows how the Geographical Distribution of Capital works in practice. 30 Commercial and Financial Aspects of “ Back to the Land ” Sir J. F. L. ROLLESTON, M.P. Points out the practical drawbacks of small holdings. 3 I Egypt as a Field for the Bona Fide Investor Sir WALTER F. MIEVILLE, K.C.M.G. Reviews the growth and present position of Egypt. 34 Scientific Investment The late Sir E. F. G. LAW, K.C.M.G. The experience of an eminent financier, one of the financial advisers to the Viceroy of India. 36 British Railway Extravagance W. J. STEVENS, F.S.S A practical investigation of the capital expenditure of a typical railway system. 38 Free Trade and National Finance - HAROLD COX Deals with national finance from the Free Trader’s point of view. 39 Investment Interests and Licensing Legislation Sir HENRY KIMBER, Bart., M.P. Shows how legislation may press unfairly on the investor. 40 Our Unjust Taxation and its Remedy HENRY LOWENFELD An open letter to the Chancellor of the Exchequer. 41 The World's Cables and the Cable Rings J. HENNIKER HEATON Outlines a scheme for penny-a-word telegrams throughout Europe. 42 What is a True Reserve Fund ? - PHILIP TOVEY Discusses in a practical way the artificial and real character of reserve funds. 43 The Case for Free Trade Right Hon. LORD AVEBURY Sets forth the defence of Free Traders. 46 Investing Safely - - HENRY LOWENFELD Explains the causes of most investment failures. 47 Tests for Every Investor’s Real Position HENRY LOWENFELD Enumerates the factors which constitute the soundness of an investment position. 49 The Future of Indian Railway Finance Sir HENRY KIMBER. Bart., M.P. Suggests various readjustments in Indian railway finance. 50 The Investor and the Navy Comm. E. HAMILTON CURREY, R.N. Shows the need of a big Navy as a business proposition. 51 The Taxation of Land Values Sir JOHN ROLLESTON. M.P. Proves that land should receive the protection of the Government, and not be further taxed. 52 The Outlook for Egypt - - EDWARD DICEY Reviews the rise of Egypt and its investment future. 53 The Inside of a Balance Sheet A. R. FOSTER and P. TOVEY Shows how a Balance Sheet may deceive the investor. 54 The Real Yellow Peril The Right Hon. LORD DESBOROUGH, K.C.V.O. A plea for the issue of Ten-Shilling Notes, based on silver. 55 The Trend of Indian Investment and Finance Sir ROPER LETHBRIDGE, K.C.l.E. Shows how administrative changes in India will affect investment. 5o The Financial Results of Railway Co-operation W. R. LAWSON Deals with the causes rendering home railway dividends precarious under recent changes of policy. 57 The Truth about the U.S. Steel Trust - T. GOOD Analyses the internal condition of this Corporation, showing its shares considerably overvalued. 58 The Custodian Trustee The Right Hon. F. E. SMITH, K.C., M.P., and ERNEST E. WILLIAMS, Barrister-at-Law Describes the functions pertaining to this office and its effect in safeguarding trust funds. 60 The Rudiments of Sound Investment HENRY LOWENFELD Shows the layman what steps are requisite to secure investment safety. 61 Shares as an Investment - HENRY LOWENFELD Discusses the respective merits of shares and debentures from the investor’s standpoint. 62 The Scandal of Moneylending “ Banks * and a proposed Remedy - - FELIX CASSEL, K.C., M.P. Gives reasons for supporting the new Bill introduced in the House of Commons. 63 For and Against Home Railways - W. R. LAWSON Gives the points in favour of, and against. Home Rail stocks as investments. 64 Banks and Insurance Companies Sir R. H. 1NGLIS PALGRAVE A reply to Dr. Beattie Crozier’s chapter on Banks in “ First Principles of Investment.” 65 Professional Men and their Investments HENRY LOWENFELD Considers the investment policy best suited to professional men. 66 Investments in India The Right Hon. The LORD LAMINGTON. G.C.M.G., G.C.l.E. A valuable article on the financial future of India. 67 Canada as a Field for Investment His Grace The DUKE OF ARGYLL, P.C., K.T., G.C.M.G., G.C.V.O. Surveys investment prospects in Canada. 68 Our “ Drifting ’’ Policy in Local Finance The Right Hon. LORD WELBY, G.C.B. Warns the Government against the over-borrowing by local bodies. 69 Municipal Tramways Finance : A Depressing Outlook ARNOLD WRIGHT Challenges an inquiry into municipal tramways accounts. 70 How to Read a Balance Sheet J. W. SMITH, F.C.I.S. Explains the method on which a Balance Sheet should be analysed. 71 The Economics of Strikes - - HAROLD COX Discusses the economic aspect of recent labour troubles. 72 The Payment of Members VISCOUNT HELMSLEY, M.P, Deals with the disadvantages of paying Members of Parliament. 73 Prospects of Shipping Investments BENJAMIN TAYLOR Considers the outlook for shipping companies’ investments. 75 The New Science of Investment The Right Hon. VISCOUNT M1DLETON Supplies a remedy for the losses incurred on “ gilt-edged ” invest- ments. Any of the above Booklets (Price Id.) may be obtained on application to the Publishers, 2, WATERLOO PLACE, PALL MALL, S.W. Post free ljd. each. Six Booklets ordered simultaneously post free 6d. REGISTER OF BONDS AND CERTIFICATES. NOTE. — Rule out all Stocks sold or otherwise disposed of. Quality and Name. Denoting Numbers of Bonds or Shares. Where Certificates kept. Remarks, giving date of receipt, or to whom sent. HHH CERTIFICATES. ... \ REGISTER OF BONDS AND CERTIFICATES NO TE. — Rule out all Stocks sold or otherwise disposed of. Quality and Name. Denoting Numbers of Bonds or Shares. Where Certificates kept. Remarks, giving date of receipt, or to whom sent. REGISTER OF BONDS AND CERTIFICATES NOTE. — Rule out all Stocks sold or otherwise disposed of. Quality and Name. Denoting Numbers of Bonds or Shares. Where Certificates kept. Remarks, giving date of receipt, or to whom sent. REGISTER OF BONDS AND CERTIFICATES. NOTE. — Rule out all Stocks sold or otherwise disposed of. Quality and Name. Denoting Numbers of Bonds or Shares. Where Certificates kept. Remarks, giving date of receipt, or to whom sent. REGISTER OF BONDS AND CERTIFICATES. NOTE. — Rule out all Stocks sold or otherwise disposed of. Where Certificates kept. Remarks, giving date of receipt, or to whom sent. REGISTER OF BONDS AND CERTIFICATES. NOTE. — Rule out all Stocks sold or otherwise disposed of. Denoting Where Remarks, Quality and Name. Numbers of Bonds Certificates giving date of receipt. or Shares. kept. or to whom sent. Memoranda . - ■4 ! ADDRESSES OF Companies, Banks, Brokers, Insurance Companies, &c. NAME. ADDRESSES. & ft* O&ur ^ CT/ ADDRESSES OF Companies, Banks, Brokers, Insurance Companies, &c. NAME. ADDRESSES. ADDRESSES OF Companies, Banks, Brokers, Insurance Companies, &c. NAME. ADDRESSES. Catalogue of Publications published by the ^financial IReview of IRevievvs, 2, Waterloo Place, S.W. ARGYLL, His Grace The Duke of, P.C., K.T., G.C.M.G., G.C.V.O. “Canada as a Field for Investment.” Surveys investment prospects in Canada, id., post free lid. AVEBURY, Right Hon. Lord. “ The Case for Free Trade." Sets forth the defence of Free Traders, id., post free lid. CASSEL, Felix, K.C., M.P. “The Scandal of Moneylending ‘Banks’ and a proposed Remedy.” Gives reasons for supporting the new Bill introduced in the House of Commons. COX, Harold. “ The Economics of Strikes.” Discusses the economic aspect of recent labour troubles, id., post free i|d. COX, Harold. “ Free Trade and National Finance." Deals with national finance from the Free Trader’s point of view, id., post free i^d. CROZ 1 ER, John Beattie. “The First Principles of Investment.” The book deals with the natural value of different classes of investments — the effect of politics on stocks and money, and analyses the effects of Geographical Distribution of Capital on the life of nations. Demy Svo, cloth, 168 pp. Price 3s. 6d. net. “ A sequel to the ‘ Wheel ot W ealth.’ ” — V ide Press. CURREY, Comm. E. Hamilton, R.N. “ The Investor and the Navy.” Shows the need of a big Navy as a business proposition, id., post free ijrd. DESBOROUGH, The Right Hon. Lord, K.C.V.O. “The Real Yellow Peril,” A plea for the issue of Ten-Shilling Notes, based on silver, id., post free i^d. DICEY, Edward. “The Outlook for Egypt.” Reviews the rise of Egypt and its investment future id., post free ijd. FISHER, Right Hon. W. Hayes, M.P. “ Investing at Its Best.” The simplest, shortest and handiest explanation of sound investment principles, applicable to every class cf investor and in vestment ever published. Price is., net. “ Expounded explicitly, simply, and convincingly.” — Daily Telegraph. FOSTER, A. R., and TOVEY, P. “The Inside of a Balance Sheet.” Shows how a Balance Sheet may deceive the Investor, id., post free i^d. GOOD, T. “The Truth about the U.S. Steel Trust.” Analyses the internal condition of this Corporation, showing its shares considerably overvalued, id., post free ijd. HEATON, J. Henniker. “The World's Cables and the Cable Rings." Outlines a scheme for penny-a-word telegrams throughout Europe, id., post free ijd. HELMSLEY, Viscount, M.P. “The Payment of Members.” Deals with the disadvantages of paying Members of Parliament, id., post free i^d. HOBSON, J. A., M.A. “An Economic Interpretation of Investment. Demy Svo, cloth, 154 pp. Price 3s. 6d. net. “The book shows Mr. Hobson at his best original, reasonable, and always illuminating.” Prof. 1'.. J. Ukwich, in the Nation. JENNINGS, H. J. “How to Read the Bank Return.” Explains in non-teclmical language the meaning of the Bank Return, id., post free ijd. KIMBE.R, Sir Henry, Bart., M.P. “The Future of Indian Railway Finance.” Suggests various readjustments in Indian railway finance, id., post free lid. KIMBER, Sir Henry, Bart., M.P. “ Investment Interests and Licensing Legislation." Shows how legislation may press unfairly on the investor, id., post free i^d. LAMING TON, The Right Hon. The Lord, G.C.M.G., G.C.I.E. “ Investments in India.” A valuable article on the financial future of India, id., post free ijd. LAW, Sir E. F. G., K.C.M.G. (the late). “Scientific Investment.” The experience of an eminent financier, one of the financial advisers to the Viceroy of India, id., post free ijd. LAWSON, W. R. “ The Financial Results of Railway Co-operation.” Deals with the causes rendering home railway dividends precarious under recent changes of policy, id., post free i^d. “ For and Against Home Railways.” Gives the points in favour of, and against, Home Rail stocks as investments, id., post free l£d. LETHBRIDGE, Sir Roper, K.C.I.E. "The Trend of Indian Investment and Finance.” Shows how administrative changes in India will affect investment, id., post free i^d. LOWEN'FELD, Henry. The Originator of Geographical Distribution of Capital. “All about Investment.” This work indicates in simple language the attitude which every investor should take up towards investments, and instructs him in detail how to dispose of his capital most advantageously for himself. The Right Hon. W. Hayes Fisher, M.P., refers his readers of “ Investing at Its Best” for detailed instructions. Ask for list of comments of hundreds of British newspapers, speaking in the highest terms of this work. Popular Edition, 20th to 50th thousand. Demy 8vo, 282 pp. Price is. net. “The Investor's Defence against Labour’s Attack upon Capital.” Points out how the individual investor may defend himself against inroads upon his capital, id., post free ijd. “ Our Unjust Taxation and its Remedy.” An open letter to the Chancellor of the Exchequer, id., post free ijd. “ Investing Safely.” Explains the causes of most investment failures, id., post free ijjd. “ Tests for every Investor’s Real Position.” Enumerates the factors which constitute the soundness of an investment position, id., post free, ijd. “ The Rudiments of Sound Investment.” Shows the layman what steps are requisite to secure investment safety, id., post free l£d. “ Shares as an Investment.” Discusses the respective merits of shares and debentures from the investor’s standpoint, id., post free i|d. “ Professional Men and their Investments.” Considers the investment policy best suited to pro- fessional men. id., post free I^d. “ Investment Practically Considered.” A reprint of sixteen articles which have appeared in “ The Financial Review of Reviews ” from time to time. Crown 8vo, cloth, 432 pp. 5s. net. MADARASSY-BECK, Baron Julius Von. “An Unique Method of Investment." Describes Invest- ment in Land Mortgage Banks, id., post free i^d. MIDLETON, The Right Hon. Viscount. “The New Science of Investment.” Supplies a remedy for the losses incurred on “gilt-edged” investments. MIEVILLE, Sir Walter F., K.C.M.G. “ Egypt as a Field for the Bona Fide Investor.” Reviews the growth and present position of Egypt, id., post free i|d. PALGRAVE, Sir R H. Ing’is. “Banks and Insurance Compan'es.” A reply to Dr. Beattie Crozier’s chapter on Banks in “ First Principles of Investment.” id., post free ijd. 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J., F.S.S. “ British Railway Extravagance.” A practical investigation of the capital expenditure of a typical railway system, id., post tree ijd. TAYLOR, Benjamin. “Prospects of Shipping Investments.” Considers the outlook for shipping companies’ investments, id., post free i^d. TOVEY, Philip. “What is a True Reserve Fund ?” Discusses in a practical way the artificial and real character of reserve funds. WELBY, The Right Hon. Lord, G.C.B., “Our ‘Drifting’ Policy in Local Finance.” Warns the Government against the over-borrowing by local bodies, id., post free ijd. WRIGHT, Arnold. “ Municipal Tramways Finance : A Depressing Outlook.” Challenges an enquiry into municipal tramways accounts, id., post free lid. THE FINANCIAL REVIEW OF REVIEWS. Published monthly. This organ advocates Geographical Distribution of Capital, and supplies all the necessary information for carrying it into effect. “ Investing at Its Best,” by the Right Hon. W. Hayes Fisher, M.P., tersely describes its advantages over any other method of investing. 86 Pages of Reading Matter. 180 Pages of Tables. 5,000 Investments fully described. Annual Subscription, post free, 10s. THE INVESTMENT CRITIC. “Geographical Distribution: Some Practical Results.” Shows how the geographical distribution of Capital works in practice, id., post free lid. THE INVESTOR'S FOUR-SHILLING YEAR BOOK. A Supplement to “The Financial Review of Reviews.” Gives the history, salient particulars, Balance Sheet details, Price Movements, etc., of 5,000 Principal Investments known in the United Kingdom. Published annually in November. Royal 8vo, 528 pp. Price 4s. net. “One of the most useful financial reference books ever compiled .” — Daily Mail. THE INVESTMENT OF TRUST FUNDS. Explains how trustees should invest to the best advantage for the trust and the beneficiaries alike. Demy 8vo, cloth, 87 pp., with Charts and Tables. Price 2s. 6d. net. “ Of unquestionable value .” — Liverpool Courier. COMPLETE INVESTOR’S LIBRARY chased individually) sent carriage The Library consists of : — ‘‘Financial Review of Reviews,” 12 shilling monthly parts post free Investing at its Best All About Investment An Economic Interpretation of Investment The First Principles of Investment The Investor’s Four-Shilling Year Book • • Eyar Investor’s Account Book Investment Practically Considered The Investment of Trust Funds ... Discount for Collective Buying (costing 34/6 if paid for 22/-. pur- 10/- 1/- APPROVAL OFFER. 1/- All or any of the Investor's Com- 3/6 plete Library or any book in 3/6 foregoing list will be sent post ~ 4 A~ paid on approval on mentioning the “ Eyar " Account Book. 4 /- 5 /- Address : 2/6 PUBLISHER, 2 , Waterloo Place, 34 6 London. 12 6 22/- Che . . is a complete compendium of Financial Fact and Figures — (110 pages Reading matter, and 148 pages Tables), published monthly. 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It deals specially with Reserve Fund, and shows whether this is invested in or outside the business —a most vital point when considering a security ; and it always shows the relation of the liquid assets to current liabilities. It also contains a summary of the last statement in the form of a balance sheet filed at Somerset House in the case of those Companies not publishing a balance sheet. The “Month’s New Issues” are dealt with under a special section, and “Topics of the Month ” take the form of a bright and readable series of comments on financial events in all parts of the globe. A copy of the current number of the Financial Review of Reviews may be obtained by posting the card insetted against title page. C. L. & CO.'S PATENT S.O. BLOTTING TABLET No. 7333. SMITH, The Right Hon. F. E„ K.C., M.P., and WILLIAMS, Ernest E.. Barristcr-at-Law. "The Custodian Trustee.” Describes the functions pertaining to this ofirce and its effect in safe- guarding trust funds, id., post free ij-d. STEVENS., W. J., F.S.S. “ British Railway Extravagance.” A practical investigation of the capital expenditure of a typical railway system, id., post tree lid. TAYLOR, Benjamin. “ Prospects of Shipping Investments.” Considers the outlook for shipping companies’ investments, id., post free i^d. TOVEY, Philip. “What is a True Reserve Fund ?” Discusses in a practical way the artificial and real character of reserve funds. WELBY, The Right Hon. Lord, G.C.B., “Our ‘Drifting’ Policy in Local Finance.” Warns the Government against the over-borrowing by local bodies, id., post free iid. WRIGHT, Arnold. “ Municipal Tramways Finance : A Depressing Outlook.” Challenges an enquiry into municipal tramways accounts, id., post free i^d. THE FINANCIAL REVIEW OF REVIEWS. Published monthly. This organ advocates Geographical Distribution of Capital, and supplies all the necessary information for carrying it into effect. “ Investing at Its Best,” by the Right Hon. W. Hayes Fisher, M.P., tersely describes its advantages over any other method of investing. 86 Pages of Reading Matter. 1S0 Pages of Tables. 5,000 Investments fully described. Annual Subscription, post free, ios. THE INVESTMENT CRITIC. “Geographical Distribution: Some Practical Results.” Shows how the geographical distribution of Capital works in practice, id., post free ijd. THE INVESTOR'S FOUR-SHILLING YEAR BOOK. A Supplement to “The Financial Review of Reviews.” Gives the history, salient particulars, Balance Sheet details, Price Movements, etc., of 5,000 Principal Investments known in the United Kingdom. Published annually in November. Royal 8vo, 528 pp. Price 4s. net. “ One of the most useful financial reference books ever compiled .” — Daily Mail. THE INVESTMENT OF TRUST FUNDS. Explains how trustees should invest to the best advantage for the trust and the beneficiaries alike. Demy 8vo, cloth, 87 pp., with Charts and Tables. Price 2s. 6d. net. “ Of unquestionable value .” — Liverpool Courier. COMPLETE INVESTOR’S LIBRARY (costing 34/6 if pur- chased individually) sent carriage paid for 22/-. The Library consists of : — " Financial Review of Reviews,” 12 ] shilling monthly parts post free ... 10/- Investing at its Best ... ... ■■■ l/~ All About Investment ... ... ... l/~ An Economic Interpretation of Investment 3 6 The First Principles of Investment ••• 3 6 The Investor’s Four-Shilling Year Book . • 4 /- Eyar Investor’s Account Book ... ••• 4 /- Investment Practically Considered ••• o/~ The Investment of Trust Funds ... ... 34 6 Discount for Collective Buying ... ... 12/6 22 /- APPROVAL OFFER. All or any of the Investor’s Com- plete Library or any book in foregoing list will be sent post paid on approval on mentioning the “ Eyar ” Account Book. Address : PUBLISHER, 2 , Waterloo Place, London. ESTABLISHED 18S0. The largest Combine of Private Investors in the World. THE INVESTMENT REGISTRY, LIMITED. 2, WATERLOO PLACE, LONDON, S.W. Over 9,500 Shareholders and Customers. Over £30,000,000 invested. Chairman : Depute Chairman : The Right Hon. W. HAYES FISHER, M.P. Sir JOHN ROLLESTON, M.P. Directors : The Right Hon. VISCOUNT HILL. HENRY LOWENFELD. Col. PAGET MOSLEY. GEORGE CURSONS. NIALL DIARMID CAMPBELL. FREDERICK LAST. ARTHUR G. COUSINS. Secretarg: w. w. smith. chief accountant: Walter g. bell. USanfcers: lloyds bank. coutts & co. Extracts from an Independent Report on the Company’s business. The Registry superintends over ^30,000,000 of Invested Capital, three-eighths of which is owned by the Registry’s shareholders, and five-eighths by its customers. The investments it has recommended are sound, stable in realisable value, command a normal market, and produce an average yield of^about 5 per cent, per annum. Great care and discrimination has been exercised in their selection, every precaution has been taken to secure their legal validity, and independent expert advice has been obtained where necessary. With very few exceptions, the effect of the Company’s recommendations has been to improve the position of clients. This Report is dated June 29th, 1911, and copies of it will be forwarded on application. Bl*. BALANCE SHEET FOR YEAR ENDING SEPTEMBER 29 th, 1911 . Qv. LIABILITIES. To Issued Capital- — £ s. d. £ 7 1 95 5 i Per Cent. First Preference Shares ... ... 77,195 o o 41,857 10 per cent. Preference Shares ... 41,857 o o 90.000 Pref. and Part. Ordinary Shares ... 90,000 o o 20.000 Ordinary Shares ... ... 500 o o 209,552 „ Sundry Creditors — Clients ... ... 23,409 16 1 Bankers and Brokers (40,000 secured by deposit of Invest- ments) , 43)744 15 8 Sundries ... ... 5,200 19 11 s. o Reserve Account — Premiums on Pre- ferred and Partici- pating Ordinary Shares Final Dividends on 1st Preference and 10 per Cent. Prefer- ence Shares, provided from Profit and Loss Account 72 , 355 ” 30,000 o 4,215 14 d. By Cash — At Bankers In Hand ASSETS. £> s. d. £ s. d. ... 70,655 12 o 127 1 9 7 °, 7 8 2 13 9 F reeiiold and Lease- hold Properties, Ground Rents, Im- proved Ground Rents, Furniture and Fixtures as valued 27 th Septem- ber, 1 91 1, by Messrs. M i c h a e’l Faraday, Rodgers & Eller ... 65,245 o o 8 Investments at Cost less Fluctuation Reserve 9L536 17 o o 2 „ Sundry Debtors — Loans (since paid) ... 30,000 00 Due for Stocks on delivery 57,53 6 r 5 1 Sundries ... ... 1,022 o o 88 , 55 s l 5 1 ^ 3 i6 , I2 3 5 10 .£316,123 5 10 The above Balance Sheet is reprinted from the last Annual Report of the Company. September 29th, 1911. W. W. SMITH, Secretary. 3 0112 059719945