Indianapolis Times, Volume 46, Number 248, Indianapolis, Marion County, 25 February 1935 — Page 6

Wall St. Gold Decision Seen Fostering* Short Contracts —BY RAl.ril HENDCRSHOT r>m. .p--1.1 W filer

\ r EW YORK FVb. 25 —Congress under the Constitution, has the power to coin money and regulate the value thereof. It also has the power to fix the standard of weights and measures. Contracts therefore, never can be regarded as inviolate no matter whether we stock to the so-called gold dollar

or decide to adopt a commodity dollar. The Supreme Court has ruled that individuals, municipalities and states have no right to infringe on the rights of Congress to regulate the value of money, and it follows that, likewise, they have no right to interfere with

its powers to fix the weight of a bushel of wheat or a peck of potatoes. Due to the practice of many nations in the past to change the value of their currencies from time to time, the makers of contracts for several years have mvrted the so-called gold clause whenever they desired to m i ure that these contracts would be earned out on the basis of the then existing basis for the measurement of value. It was discovered through the Supreme Court niliug that the insertion of the gold clause constitutes no such assurance. It might be assumed that contracting parties might now turn to bushels and pounds of valuable commodities in order to be sure at the time of signing that no change would be -fluent during its lifetime, but that avenue would se* m also to be closed. m m m IN the future security of contracts would appear impossible, for if the value of the currency or articles with which payment is made is subject to change the tracts may be expected to come into greater use. Many of those who sold bonds containing the gold clauses probably realized that there was not a sufficient amount of gold in the world to meet the provisions they contained. No doubt most of the purchasers of these bonds, however. did not give that factor any serious thought. They were impressed by the selling argument and no doubt took it at its face value. But it must be remembered that conditions constantly are changing, and that one can not foretell in advance what conditions are going to prevail a few years hence. For that reason it is impossible to establish any measure of value which will remain fixed. It follows, therefore. that contracts can not be made airtight no matter whether they are based on gold or onions or anything else. mmm THE court said that it was “not concerned with consequences in the sense that consequences, how. ver serious, mav excuse an mvation of constitutional right.’’ This may be true, but Congress and other branches of the government ran not look upon the consequences so lightly. They arc obliged to go to the rescue of a people even though it means violation of the Constitution. If their duties and the Constitution conflict, they must of necessity change the Constitution. France told her people that Germany would be made to pay for the war; the mortgage concerns guaranteed the payment of principal and interest on their certificates; the government said it would pay its bonds in gold. It so happens that the statements were incorrect. BUSINESS NEAR PEAK. DOWNTURN IS EXPECTED Kate of Activity Thus Far in 1935 Held Above Average. By Time* S penal BOSTON. Frb. 25 —Although seasonal experience calls for increased activity during March and April, expansion this year is expected to be limited, says the United Business Service in its current report. Seasonally adjusted indexes, therefore, should tend downward during the coming months. The Service points out that the rate of activity thus far in 1935 has been high in relation to the average level of the last three years. Five factors are named as the chief causes of the improvement which has taken place since last September Increased farm income (higher prices plus government payments!. Replacement of inventories which had fallen too low. Industrial and residential renovation work Larger dividend payments (threatened tax on surpluses'. Fear that strikes will occur following "truce" with labor WILLiS ATTACKS BILL \e'( MraMirr Held Death Certificate for Private Banking. By / <m< • special NEW YORK Feb. 25.-*-That the propaed new banking bill virtually means the writing of a death certificate for private banking in the United S'ates is the conclusion reached bv Dr. H. Parker Willis, noted bar mg authority and consultant ec nomist of the Fitch Investors Service. All vestiges of indepenr’ :ice or self-government in bankin': are to disappear, according to I’ir Willis. "The situation is to be controlled by political authority. Nothing may be done—even of the most legitimate sort—if not favored by such authority Many such provisions are cleverly hidden under the language of the new measure, but they are present nevertheless. STOCK INDEX HIGHER By T iw .'pedal NEW YORK. Feb. 25—The investment companies common stock index moved up during the last week, as evidenced by the averages compiled by Distributors Group. Inc. The average for the common stocks of 10 leading management companies. influenced by the leverage factor. stood at 10.00 on Feb. 21, com-Da-*d with 9x78 o& Feb. 15.

PAGE 6

EASTMAN AIM FOR REVISIONS HELD UNSOUND Proposal to Change Law on Bankruptcy Assailed by Some. ; By Time* Special NEW YORK. Feb. 25—Wall Street feeLs there is toe much dyna--1 mite in the Eastman plan for revision of railroad reorganization procedure. The main explosive charge it finds concealed in the that fixed charges of a reorganized carrier should not exceed 30 per cent of the average income during the three consecutive years when income was lowest of the ten-year period preceding passage of the act. Another section of the Eastman plan is also under fire, according to a check-up made today. This is the provision that instead of 66 2-3 per cent of each class of creditors and .stockholders being required to approve a reorganization plan, only • more than 5 per cent” be needed to make a reorganization binding on all creditors. If not more than 50 per cent will approve a reorganization plan, then you can bet your boots there must be something wrong with it,” said one banker. "There is no point in cramming a plan down some one’s throat unless it is fair. If it is fair, more than 50 per cent of the creditors—and I speak from experience * —will accept it.” Yardstick Plan Hit This appears to epitomize the sentiment of the conservative financial element. Comment is much more caustic, however, on the 80 per cent yardstick plan. One criticism is that the proposal makes no distinction between railroads with a high maintenance policy and those with a low one. The average income of one road during its three worst years might be much lower than another road's, i because the former kept its equipment up to pre-depression standards, while the latter kept its income up at the expense of its equipment. Thus the road in the poorer physical condition would not have ,to scale its debt as much as the one in the better condition. In the case of the Missouri Pa- ' cific railroad, now in bankruptcy, the years 1932. 1933 and 1934 | showed the lowest income of any three years in the last ten. In fact, this system had an average net deficit of about 512.500.000 for each year. Fixed charges of “MOP” are now about $30,000,000 annually. Would Entail Sacrifices If the proposed act were in force, it is obvious that holders of the underiving bonds of the system would be forced to make major sacrifices. For instance, the first and refunding mortgages alone —amounting to more than $260,000,000 in bonds outstanding at 5 per cent —carries an annual fixed charge of more than $32,000,000 This charge is equivalent to more than 80 per cent of the 1933 gross income, so it is apparent that if the charges of the other underlying bonds are also taken into consideration the size of the sacrifices demanded is considerable To exact drastic concessions from the underlying bondholders would be to blight railroad credit more severely than already has occurred. Wall Street feels. The same institutional investors who hold the bulk of senior railroad securities must be relied on in the future for new money. If these investors find that even an underlying bond is not respected in reorganizations, the financial district believes future railroad financing without government aid will become exceptionally difficult.

Ralph Ilrndershot

Stock Studies

STANDARD BRANDS • COMMON STOCK j— ——r— ———ffwcc xmk earnings price rang l : sc*lc L2s* *‘l "1 ——— ( — 40 SC ~L f T -| £ -20 a WM\ \ frh° DO -M Si 33 34130 31 38 33 34J Winchester institute of finance

Standard Brands is one of the two leading concerns in the package food industry. The company was formed around the Fleischman Cos., pr'ducers of yeast, for which it has a nation-wide distribution system enabling it always to deliver fresh yeast. In addition, the company handles baking powder, vinegar, coffee, tea and other such products. Most of the company's goods are sold under trade names universally known through wide and liberal use of advertising. FINANCIAL. DATA (A* of Dec. SI. 13> Common Stock no pari 12.645.3410 shares 7 Preferred Stock 'no nan $ 7 055 800 S'lroltU 26.897.344 Cash and Securities 14.213.546 Ir.-.entories 18.161 834 Total Current Assets 39.003 409 Current Liabilities . 5.033.592 During 1934 cash and securities declined nearly $4.400 000 and inventories increased $2 900.000. but net working capital was $700,000 less. Surplus increased $2,500,000. On Dec. 31. the current ratio was 7 to 1. while the per share equity of the common stock was $4 22. an increase of 20 cents during the year. Earnings have remained remarkably steady right through the depression. although due to increased costs of doing business they dropped to $1.06 a. share in 1934 compared to $1.15 in 1933. The company has been most liberal with dividends, drawing on surplus in 1930. 1931 and 1932. The present annual rate on the common is sl. Standard Brands was incorporated in 1929 in Delaware. Both ‘ classes of stock are listed on the New Yc.-k Stock Exchange. At a current price of around 17 r * common sells to yield 5 1 ; per cent and at 17 times earnings <AU R:shta Reserved. Winchester Institute of Finance. Winchester. Mass.' LOCAL CASH M 0 KET ■ City gram elevators are 89 cents 1 for No 2 soft red wheat. Other grades lon their menu. Cash corn No. 3 jeUow *1 cents and o*u 48 cents.

♦ ♦ Abreast of The Times on Finance ♦ ♦

INDIANAPOLIS, .MONDAY, FEBRUARY 25, 1935

New York Stocks

B’ Thomson & McKinnon 11 00 A M Prev. Oils— High. Low N. Y. close. Amer'ida Jt'a 54% 54% 54 ! Ail Kfg 23% 23', 23% 23% Barn-Call .... 6% 6% 6% 6'* Consol Oil • • 7 i 7% 7% 7% Cont of Del 17% 17% 17% 17% M;C Cont Pet .. 11'. 11 1 H l . 11% Ohio Oil 10 10 10 10'a Pet Corp .. 8% 8 ! 4 8% 8‘ Phillips Pet 14, 14% 14'. 14 % Pure Oil ■ • 6% 6% 6% 6% : P.oval Dutch . . 30', 30% 30'. 30% I Siteiley Oil .. 7% 7% 7 3 4 7% i Soc Vac 13% 13 3 i 13% 13', S O of Cal 30% 30% 30' , 31% 3 O Os Ind 24', 24', 24', 24% S O of N J 39% 39% 39', 44 Texa- Corp 19'. 19% 19% 19% Tidewater Assn 8% 8% 8% 8% Un Oil of Cal 16% 15% 15', 18', Steels— Am Roll Mills 19', 19 . 19', 19', B-ih Steel 22 27', 28 28% Bvers A M 15% 15% 15% 15% Col Fuel A: Iron 4 4 4 4% Cruc 20 20 20 20% Lidium Steel 15% 15% 15% 15% Mid Steel 11% 11% 11% 11', Natl £l< el 45% 45 45% 45% Otis S’eel 5% 5% s', 5% Rep Iron A- Btel 12% 12% 12', 12% U S Pipe A: Fdy 18 17% 17', 18 U S Steel 33% 32% 33% 33% U S steel pfd 82% 82% 82% 83% ii 4% 4% 4% 4% Youngstn S& T 16% 16% 16% 16% Motors— Auburn 22% 22% 22% 22% Chrysler 37% 37% 37% 37’, Gen Motors 30% 29', 30% 30 ( 1 • tham Mot 2%. 2% 2% 2% Hudson 9', 9', 9’, 9% Hupp 2% 2% 2% 2% Nash 15% 15% 15% 15% Packard 4% 4% 4% 4% Reo 2% 2% 2 1 , 2', Motor Access— Bendix 14', 14', 14', 14', Bohn Alum 56 56 56 56% Borg Warner 30% 30% 30% 30% Brigzs . 28 , 28% 28% 28% Budd Mfg ...... 4', 4% 4% 4V Eaton Mfg 19 18% 18% 19 Flee Auto Lite . 24% 24% 24% 24% Elec Stor Bat 45% 45% 45% 46% Houdaille A" 8% 8% 8% 8% Mullins Mfg . . 9 9 9 9% S*ew Warner . 7', 7', 7% Timken Rol! .... 34 33% 33% 34 Mining— Alaska Jun 17 17 17 17% Am Metals .. 14% 14% 14% 14% Am Smelt . .35% 35 35% 36 Anaconda 10 10 10 10 Cerro Do Pasco . 43 42', 43 43 Dome Mines 37', 37% 37', 38% Or Nor Ore 10% 10% 10% 10% Howe Sound . 47 47 47 47% Ins Copner 3333 Int Nickel 23% 23% 23% 23% Kennecort Cop 16 15% 15', 16% Melntvre Mine 42 41% 42 42 Park Utah 2', 2% 2% 2% Norand a C0p33 3 > 33% 33% 33% Phelps Dodge ... 15% 15 15 15% St. Joe Lead . 13% 13 13% 13% U S Smelters . 117 115% 116% 16%1 Vanadium 16% 16 1 2 16% 17 Amusement.— Tox Theater .10 10 10 10% Loews Inc 5% 34% 35% 34', Radio Corp .... 5 4', 4 5 Paramount ... 3% 3% 3% 3% RKO 1% 1 % 1% 1% Warner Bros 3% 3% 3% 3% Tobaccos— Am Sum Tob 21 20% 20% 21% Am Tobacco IAI 79% 79% 79', 79% Am Tobacco <2‘ 80% 80% 80% 81 Gen Cigars 57% 57 57 57% Lig A- Myrs i3i 106% 106% 106% 106 Lorillard 20% 20% 20% 20% Reynolds T (Bl 47', 47 47% 48% Rails— Atchison 41 4040% 41% All Coast Lines 26 26 26 26% B & O . 10% 10 10 10% Can Pacific 11% 11% 11% 11', GRAIN VALUES MOVE LOWER AT CHICAGO Easiness Abroad Results in Fractional Decline. By I nih <t Vres* CHICAGO. Feb. 25.—Easiness abroad was reflected in a fractional price recession in grain futures on the Chicago Board of Trade today. Wheat started 'i to % cent lower, corn was off % to % cent, oats were down % to % cent, and rye was off cent. The trade continued to comment on the probable effect of drought on the winter wheat crop in the Southwest, but this item failed as a support at the start today. Liverpool opened lower and was slow in regaining the loss. 'By James E. Brnnetti Wheat— 11:00 Prev. High. Low. A. M. close. Mav .96% .96% .96% .96', July 91% .90% .91% .91% September ... .90% .89% .90% .90% Corn— Mav 84% .8.7% .84% .84% July .80% .79% .80% .80% September .. .76% .76% .76% .76% Oats— Mav 50 s , .50% .50% .50 July 43% .43% .43', .43% September ... .40% .40% .40% .41 Rve— May 64’, .63% .64', .64 July ... .63% .63% .63% .63% September •• .63% 63% .63% .63%

On Commission Row

Quotations below are averaze wholesale prices beinz offered to buyers bv local commission dealers. Fruits -Bananas. 5%e a lb. Apples. Indiana Wir.esaps. $1.75; Golden Delicious. $1.85. Lemons. Sunkist. 2605. $4.25. Grapefruit. Texas, seedless. $2.75: Arizona, 645. 70s and 80s. $2.50. Limes. Mexican, per carton 12s. 25c: Bvram, seedless, per hiT.died, $3 Pineapples. Porto Ricans, naif crates. $3 50. Avocados, Florida, box. $1 50. Strawberries. Florida, pint. 17%c, 36-pt. crate. $6. Apricots. $3 crate. Vegetables—Cabbaee. Northern Danish. 50-lb. bac $1.35. red. 50-lb. box. $1.25; New Texas cabbaze. large crate. $3.25. Onions. sweet Spanish large. 50-lb. baz. S3. Michigan yellows. 50-lb. bag. $2.75. Potatoes Green Mountains. 100-lh bag. $1.50. northern round white. 100-lb. bap. SI: Nebraska triumphs. 50-lb. bag. $2.2a: Ohios. 100-lb bag. $2: Idaho Russets. 100lb. bag. $1.90: New Florida Triumphs, bu'he!. $2 Sweet potatoes Indiana Jerseys, bushel. $1 65: Tennessee Nancy Halls, bushel. $1 35 Beans, round stringless, hamper. $2.50: flat. 52.25. Celery, Florida. $4 25 crate; California. $4 crate: medium, dozer. 60c; jumbo, dozen. 80c. Cucumbers, hot house, dozen. $1 40: 2 dozen box. $2.50. Endite California, dozen. 90c: peck basket. $2 Egg plant. $2.50 dozen Kale, bushel. 90c Lettuce ho: house. 15-lb. basket. $1.15; Arizona Iceberg head lettuce $3.50. Mangoes. Florida, crate. $6 50 Mint, a dozwi. Si. Parsley, dozen. 35c. Peas, hampers, $2.75 Spinach. Texas. bushel. SI 35. Radishes dozen. 45 ; 60c. Tomatoes 10-lb. carton. $l6O Florida original. 52.75. Turnips, bushel. 75c. Parsnips. bushel. SI 3V Beets, bushel. $1 25. Carrots, bushel. $1 25: 100-lb. sack. $1.75. Rhubarb, hot house. 5-lb. carton. 45c. Mushrooms, lb. 30 'I 35c All quotations subject to change up or down.

Nation’s 9 Billion Pot of Gold Is Real Problem, Lawyer Says, Seeing Titanic Struggle to Use It

B’l Times Special NEW YORK. Feb. 25.—Although the principal legal questions have been settled by the United States Supreme Court's decision in the gold clause suits, economic questions of major importance remain undecided, Thomas Huser, attorney, said today. One of these problems, he continued. revolves around the Ultimate disposal of approximately $9.000.000.000 of monetary coin and bullion held by the United States government. Briefly reviewing the gold practices of the world's major nations prior to the World War. Mr. Hauser pointed out that in the past gold found its way into normal distribution through regular trade channels. ‘‘.With the concentration o t the

Ch & Ohio ... 42% 41% 42 42% ! Chi & Gt W 1% 1% 1% 1% : Chi Ac Gt W pfd 3% 33 3% C M & St P pfd 3% 3% 3% 3% Chi N W 4% 4 4 4% Cela & Hud 31% 30% 31% 31 Del Lac & W ... 13’, 13% 13% 13% Erie .10 9% 9% 10% Ort North pfd 12% 12% 12% 12% 111 Central .. 12 11% 11% 12 Lehigh Valiev 7% 7% 7', 8 i Lou & Nash 39% 39% 39% 40% M K & T 3% 3% 3% 3% Mo Pac .... 1% 1 3 4 1 3 4 2% Mo Pac pld 2% 2% 2% 2% N Y Cent . ... 15% 15% 15% 15% N Y New Haven 5% 5 5% 5% Nor Pacific . 16 15% 16 16% Penn R R 20% 20% 20% 20% Sou Pac 15% 14% 14% 14% Sou R R 10% 9% 10% 10% Union Pac . . 97% 97% 97% 98 West Maryland 8 <% 7% 8 Equipments— Am Car <fc Fdv 15 14% 14% 15 Am Loco 12% 11% 12% 13 Am Steel Fdv 2% 2% 2% 2% Gen Am T Car 35 35 35 35 2 Gen Elec 22', 22% 22', 22', West Air Br 22% 22% 22% 23 Westingh Elec . 37% 37% 37% 38% Utilities— Am For Pwr .. 3% 33% 3% Am Pow & Lit 2% 2% 2% 2% AT&T 104% 104 104% 104 1 , Am Wat Wks 11% 10% 11 10% Col Gas & Elec . 5% 5 5% 5% Conn & Sou I’, 1. 1% 1 Consol Gas 17% 16', 17 2 16 ■' Elec Pwr & Lit . 2% 2 2 2% Int Hydro Elec 2% 2% 2% 2% Interboro RT . 14% 14% 14% 14% Int T & T 8 7% 7', 8 Lou G& E "A" 12% 12% 12% 13 Nat Pwr & Lit . 5% 5% 5% 5 North Amer . . 11% 10% 11% 10% Pac G & E . 13% 13% 13% 13'% Pub Serv N J 22% 21% 22% 21% Std Gas 3% 33 3Va Stone & Webster 3% 33 3Vi United Corp .. 2 I', 2 1% Un Gas Imp 10% 10 10% 10% Ut Pwr & Lt A 1% 1% IV, l>/4 Western Union . 26% 26 26% 26% Rubbers— Firestone 16% 16% 18% 16% Goodrich 9 s , 9 s , 9 s , 10 Goodyear 21% 21 21% 21% Kelly Spring ... 1% 1% 1% lVa U S Rubber 14 13% 14 14 U S Rubber pfd 34% 34 34% 34 Miscellaneous— Allis Chalmers . 16% 16% 16% 16% Am Can 118 117 V, 118 118 Am Mach & Fdy 21% 21% 21% 21% Brklyn Man Tr . 41% 41% 41Va 41% Burroughs Add . 15V, 15% 15V, 15% J I Case . 55% 55% 55% 55% Conti Can ••• 71% 70% 7iV, 71V* Caterpillar Tract 42 42 42 42 Crown Cork 26% 26V, 26V, 26'/, Curtis Pub pfd . 97% 97V, 97Vi 98 Deere & Cos 27% 27 27V 4 27% Eastman Kodak 119% 119% 119% 120 Foster Wheeler. 14 13% 13% 15 Gillette • ■ 14V, 14 14% 14 Int Bus Mach 158% 158% 158% 159 Glidden .... 26% 26 26% 27V, Inter Harv ... 39% 38% 38% 38% Natl Cash Reg • 15% 15% 15% 16 Owens 80tt1e.... 89* a 89% 89 V* 89% Rem Rand 9% 9V, 9% 9% Foods — Am Sugar 67Vi 67% 67% 68% Armour . SV 5 5V* 5;/ Armour 6pfd 68 68 68_ 68% Eorden Prod . . 24% 24% 24% 25 Cal Packing 40 39% 4040% Can Dry G Ale 13% 13% 13'/ 13% Cont Bak (A. 5% 5% 5% 5% Cuban Am Sugar 6% 6% 6% 6% Gen Baking . . 8% 8% 8% 8% Gen Foods 35 34% 34% 35% Gold Dust 17V, 17V, 17% 17% G W Sugar 30 30 30 30V, Loose Wiles 35% 35% 35% 35% Natl Biscuit 28 27% 28 28% Natl D Prod ... 16% 16% 16% 16-', Purity Bak .9 9 39% S Porto Rico S- 23% 22% 22% 234, Std Brands . 17% 17 17% 17% Un Biscuit . .... 25% 25'/* 25V* 25 United Fruit .78 78 78 78., Ward Bak (B) . 1% 1% 1% 1% Wrigley .... 77 77 77 77 Retail Stores— First Natl Stores 50% 50% 50% 51% Gimbel Bros .... 2% 2% 2% . ar Un Tea ... 3% 3% 3% 3% Hahn Dept Sts.. 4% 4’, 4% 4% Kroger Groc ... 24'/2 24% 24% 24% Macy R H 37% 37 % 37 Va 38% McCrory St .... 10 9% 10 9% McLellan St ... 13 12% 13 13 Marshall Field 8% 7% 7% 8 Mont Ward 25V, 25 25% 25% Natl Tea 9% 9Va 9'% 9% Penney J C 68',2 68% 88' 2 68% Safeway St .... 4040 4040% Sears Roebuck .33 32V, 32% 33 Wool worth 55 54% 54 ■% 54% Aviation— Aviation Corp .. 4% 4 s , 4% 4% Boeing Aircft 8% B'2 B'2 8% Curtiss Wright 2% 2% 2% 2% Curtiss Wr "A” 8% 8% S', 8% Douglas Air . 21 20Va 21 21% Nor Am Av 2% 2% 2% 2', Sperry Corp 8% 8% 8% 8% Uni Aircft New 12% 12% 12% 13 Chemicals— Air Reduction 113 113 113 113 Al.ied Chem 135% 135', 135% 136 Am Com Alcohol 27% 26 s , 26% 26% Col Carbon 75'2 75% 75% 75% Com Solvents . 21% 20% 21% 21% Dupont 94% 93 3 , 93', 94% Freeport Tex . . 21V, 21 21% 22 Liquid Carb . 26% 26% 26% 27% Math Alkali 26V* 26V, 26% 26% Monsanto Chem 59 58% 58% 59% Natl Dis (new) . 27% 26% 27V, 27 Schenlcy Dist 26 25% 25 s , 25% Tex Gulf Sulph 34V* 34 34 34 Union Carbide 47 46% 46% 47 U S Ind Alcohol 39 39 39 39*4 Drugs— Bristol Myers 33', 33', 33', 34% Coty Inc 5% 5% 5% 5% Lambert 28% 27% 27% 28 Sterling Prod 63% 63 63V* 63% Un Drug inewi 11% 10% 10% 11% Vick Chem 35% 35% 35% 35% Zonite Prod 4 4 | 4% Financial— Adams Exp .... 5% 5% 5% 5% Allegheny Corp. 1% 1% 1% 1% Chesa Corp 43V, 42% 42’, 43V4 Lehman Corp .. 71*/4 71% 71% 72 Transamerica SV, 5 5 6% Tr Conti Corp 33 33% Building— Am Radiator 13 12% 13 13V, Holland Furnace 7% 7% 7% 7% Int Cement .. 27 27 27 27 Johns Manville 49% 48% 49 48% Libbv Owens Gls 28 27% 28 28 Otis Elev 14% 14 14 14% Household — Col Pal Peet ... 16% 16% 16% 16% Congoleum 32', 32 s , 32’, 33 Kelvinator ... 16% 16% 16% 16% Proc & Gamble . 48% 47% 48% 48% Servel Inc 8% 8% 8% 8% Simmons Bed .. Bs,8 s , 8% 8% 9 Textiles— Amer Woolen . . 7 6% 6% 7 Belding Hem .-. 13% 13% 13% 13 % Celanese Corp . 29% 29 29% 29% Collins Aikman 13 12% 13 12% Indus Rayon .... 30% 30% 30% 31% Kayser Julius .. 17% 17% 17% 17%

Chicago Stocks

(By Abbott, Proctor & Paine) 11:00 Prev. A. M. close. Acme Steel 46% 46% Bendix 14% 16 Borg W'arner 30% 30% Crane Cos 9 9 Cord 3’* 3 Elec Household 15 s * 15V* Lynch 27% 28 Noblitt Sparks 14% 14% Quaker Oats 129% 129% Swift 18 18

New York Curb

(Bv Abbott. Proctor & Paine' 12 Nnoon Prev. N. Y. close. Am Cvanide "B ’ 17 17 Am Superpower % % Can Marc I’* 1% E! Bond and Share 5 5 Hiram Walker 29% 29% Humble Oil 48’* 48% Lake Shore Min 54% 54'Natl Bellas Hess 1\ 1% St of Kv . 20% 21

great bulk of monetary gold in the coffer§ of France and the United States in the post-war period, gold has taken on new iegal and economic significance," he contended. "This is not to deny, however, that the return to the gold standard Dy modern nations, ultimately, may constitute the so: widest if not the only, foundation upon which to restore interna‘ional trade and commerce.” In commenting upon the problem of gold holdings of the government, Mr. Huser said: "Assuming that a 40 per cent gold reserve were adequate for a current issue and that of the approximately $8,400,000,000 gold held by the United States, $2,200,000,000 were , considered as a reserve ioc present

BANKING BILL NEW BARRIER TO RECOVERY Pending Measure Outshines All Other Legislation Under Consideration. By Timet Special NEW YORK, Feb. 25—‘Now that the gold clause decision is out of the way, one more obstacle to recovery’ has . been removed—along with all impediments to Administration control of monetary policies,” Business Week declares in its issue today. ‘‘The new banking bill, with its provisions for easy credit inflation under Federal Reserve Board control, will now get from business the attention that was distracted while the gold decision hung in the balance,” it continues. ‘‘ln importance to the business community it overshadows all other legislation now under consideration, including the NRA extension, the 30-hour bill and the relief measure. “Threats of large-scale labor difficulties this spring seem to be dying down. Even the A. F. of L. has acknowledged that ‘widespread strikes would jeopardize progress toward recovery.’ In steel, the split in union membership between conservative President Michael Tighe and the more radical rank and file locals, recently ousted from the national body, precludes serious disturbances, though there may be sporadic outbreaks. Green Stumping “Mr. Green’s stumping of motor centers this month, which winds up at Detroit, is designed to convince the members that A. F. of L. leaders are actively furthering their cause, that the Automobile Labor Board should be abolished, that rival unions should consolidate with the federation for united strength. Out on the circuit Mr. Green will learn just how many members he can count on to support his attack on the automobile board. The records say few, but Mr. Green doesn’t believe the records. “Every sustained expansion of business activity in a recovery period gives rise to questions as to its genuineness. The sharp slumps of 1933 and 1934 are being re-examined. There are already misgivings concerning 1935. But the abnormal influences at work in the previous years are absent in the current revival. With motor products moving to consumers at a pace twice that of a year ago, it seems doubtful that dealers will be left with heavy stocks on their hands. Push Other Efforts “So hopeful of the future are motor concerns that several are branching out into other fields. General Motors is expanding its interest in Diesels for railroads. It is also pushing oil burners and airconditioning. Chrysler is in production with its air-conditioning equipment. Briggs, operating near capacity to meet demands for automotive parts, is considering mass pm iuction in its new plumbing ware lines, thus taking advantage of the modernization and housing drive. “Michigan’s employment record for January will undoubtedly be the high mark for the nation. Instead of the seasonal decline noted in other states, this center of motor activity enjoyed a 17 per cent gain over December and a 24 per cent gain over the previous year. Outstanding industrial gains over December were: Automobiles, 24 per cent; tires, 34 per cent; stamped and enamel ware, 36 per cent; sawmills, 29 per cent; structural iron work, 22 per cent; paints and varnishes, 17 per cent; foundries and machine shops, 11 per cent. “Additional January sales figures confirm the substantial drop from December levels, but hold above a year ago. Rural general merchandise sales were 10 per cent ahead of January 1934; grocery sales 4.5 pr cent better. Variety sales (5c to $1) were 4 per cent below last year’s totals. Dry goods prices have declined steadliy since last April, thus stimulating retail buying and preventing accumulation of inventory. Estimates of all retail sales for 1934 increased 14 per cent from $25,000,000,000 to more than $28,500,000.000. FHA GROUP TO MEET Stati Advisory Body to Discuss Recent Developments in Housing. Members of the state advisory committee ol the Federal Housing Administration will meet in state FHA headquarters in the Continental Building Tuesday afternoon to discuss recent developments in the housing program. The advisory committee consists of representatives of 96 state wide organizations. Four officers of the state FHA— R. Earl Peters, state director; Tom McConnell, associate director; Frank Throop, director of modernization credits, and E. O. Little, field representative —will return Monday from Washington, where they attended a conference of state directors Friday and Saturday, led by James A. Moffett, Federal Housing Administrator.

currency issue of approximately $5,500,000,000, we find gold sterilized to the extent of over $6,000,000,000, not counting monetary silver. "Only the future can reveal whether the American nation will use this enormous accumulation of monetary metal in order to bring about and maintain a sound businss recovery and to promote international trade and good will. "While from an economic standpoint it may be possible to sterilize our vast hoard of gold, prehaps for a long time, such sterilization may be impracticable from a political standpoint and the future will reveal a titanic struggle in this nation to use, for internal purposes, the world's greatest single 'pot of gold.”*

Ruling on Gold Viewed as No Great Movement Along Path of Inflation Those Seeing This Possibility Declared Reckoning Without Due Consideration for Position of United States Treasury. BY ROBERT DENVER Times Special Writer NEW YORK. Feb. 25.—Those who are disposed to read into the Supreme Court’s recent decision the taking of another step along the path of inflation, apparently are reckoning without due consideration for the position of the Treasury, it was observed in banking quarters tOdSy. xt _ ... ,t *T t... Kn... (Ilf nH

PORKER VALUES CLIMB 5 CENTS Cattle Market Active and Steady: Veals, Lambs Stationary. With no indication of weakness in the soaring hog market, prices in early trading at the Indianapolis Union Stockyards today were generally 5 cents higher than Saturday's strong average, with exception of a few underweights remaining unchanged. Following the slight advance in prices today, extremely good and choice grades of hogs were selling within 55 cents of a $lO level, she top was $9.45. the highest paid for any classes of hog for more than four years. Bulk of 130 to 300 pounds, sold at $9.30 to $9.40. while extremely small kinds weighing 100 to 130 pounds, brought $6.50 to $7.50. Receipts were estimated at 4000; holdovers, 101. Slaughter classes of steers continued active in the cattle market and prices were unchanged at the previous close. Steer and heifer quality was plain. Supplies consisted mostly of cows, salable from $4.25 to $7.50. Receipts were 800. Vealers again remained stationary, selling at $9 down. Receipts were 400. With only slight interest evident in lambs, prices showed a small change from Saturday's close. Bulk of better grade lambs sold at $8.75 down, while native kinds brought SB. Heavy classes cashed in at $8.25 down. Throwouts sold at $6.50 to SB. Receipts numbered 800. HOGS Feb. Bulk. Top. Receipts. 19. sß.7s<@ 8.85 $8.85 4000 20. 9.00® 9.10 9.15 3500 21. 9.00® 9.10 9 15 4000 22 9.00® 9.10 9.15 4000 23. 9.25® 9.35 9.35 1000 25. 9.30® 9.40 9.45 4000 Light light: (’4O-160) Good and choice. .$8.25® 9.00 Medium 7.75® 8.75 Light weight: (160-180) Good and choice... 9.30® 9.35 Medium • 8.75 ft 9.15 GBO-200) Good and choice.’. 9.30 ft 9.40 Medium 8.90® 9-20 Medium weight: „ „ .. (200-2201 Good and choice... 9.35® 9.45 (220-2501 Good and choice... 9.35® 9.45 Heavyweight: _ „ (250-2901 Good and choice .. 9.30® 9.35 (290-350) Good and choice... 9.20® 9.30 Packing sows: (275-350) Good 8.15® 8.50 (350-425) Good B.lo® 8.40 (425-550) Good B.oo® 8.25 (275-350) Medium 7.75® 8.10 Slaughter pigs. . „ _ „„ (100-140) Good and choice... 6.50® 8.25 Medium 5.50® 7.55 CATTLE —Receipts, 800— —Steers—-(sso-900) Choice $10.25<T12.25 Good 9.25'fi11.00 Medium 6.75ft> 9.50 Common 5.00® 7.00 (900-1100) Choice [email protected] Good 9.50® 1i.25 Medium 9.25® 9.75 Common 5.00® 7.00 (1100-1300) Choice 12.20® 13.00 Good [email protected] Medium 7.50010.00 (1300-1500) Choice 12.25013.50 —Heifers—-(soo-750) Good 10.00®12.50 Choice [email protected] Good B.oo® 9.00 Common and medium 4.00® 8.00 (750-900) Good end choice .. 8.25®10.50 Common and medium 4.25® 8.25 —Cows— Good 6.75® 7.50 Common and medium 4.00® 5.75 Low cutter and cutter 2.00@ 4.00 —Bulls—(Yearlings Excluded) Good 5.00® 6.00 Common and medium 3.25% 5.00 VEALERS —Receipts, 400Good and choice $8.50® 9.00 Medium 6.softi 8.50 Cull and common 3.00® 6.50 —Calves—-(2so-5001 Good and choice ... 6 25® 9.00 Common and medium 3.50® 6.25 —Feeder and Stocker Cattle——Steers— (soo-9001 Good and choice 5 50® 7.75 Common and medium ... 4.00® n.50 (900-10501 Good and choice .. 5.75® 7.75 Common and medium 4.25® 5.0 —Cows— Good 3.50® 4.25 Common and medium 3.00® 3.50 SHEEP AND LAMBS —Receipts, None— Lambs. 90 to 120 lbs. good and choice sß.oo® 8.75 Common and medium 6 00® 8.00 90-120 lbs., good and choice .. 4.00® 5.00 Sheep: ... (120-150) Good and choice 3.50® 4.<0 All weights, common and medium 2.50® 3.70 TRANSIT INCOME DOWN Decline Shown From Previous Week and 1934 Period. By Timrt Special NEW YORK, Feb. 25.—Transit revenues for the week ended Feb. 16, as reported by a representative group of companies, were slightly less than a year ago, as shown by the Transit Journal Indicator, which stands at 99.38 compared with the corresponding week in 1934. For the week ending Feb. 9, 1935, the index was 100.27. “Few changes in trend” the journal said, were evident. “In one eastern metropolis a net gain was shown as contrasted with a net loss in the preceding week. Otherwise there was a general slight reduction in gain or a slight increase in lass as contrasted with the record ol a year ago.”

J. EDWARD JONES ROYALTY TRUST CERTIFICATES Chapin Seward & Shiel, Inc. Fletcher Trust Bldg. LI-4456.

NONCANCELLABLE Health and Accident The molt popular and necessary form of Insurance today. MONARCH LIFE INS. CO. SPRINGFIELD, MASS. An Old Line Legal Reserve Company. (Only bonded, full-time men employed) State Office: 317 Circle Tower Bldg.

What Does It Mean? Balance Sheet—A comparison of the assets and liabilities of a corporation is available in the balance sheet. This statement really shows the worth of on enterprise.

No matter how strongly the administration may desire some degree of inflation, and there is a tendency to doubt that it would welcome any far-reaching moves in that direction. it will of necessity, it is declared. have to consider the tremendous job which looms ahead of the nation's financial agency, particularly over the next several months. If it is the intention of the government to proceed to finance its operations along orthodox lines, it is contended that the administration must hold fast to methods which will sustain and not tend to undermine the market for government securities. Near-Term Maturities Between now and June 15, next, the Treasury must provide for the redemption of refunding of an aggregate of $3,720,000,000 in maturity securities of various denominations. Immediately ahead, on March 15, next, is the task of making provision for a maturing issue of $528.000.000 in 2% per cent Treasury notes. The following month Secretary Morgenthau will be called upon to provide for the taking up of $1,875,000,000 in fourth 4Vi per cent Liberty bonds, which were called last October for payment on April 15, next. With that very substantial task out of the way the Treasury will enjoy something of a brief respite so far as sizeable maturities are concerned until the middle of June when an issue of $417,000,000 in 3 per cent notes fall due. Between times, however, it will be necessary to provide for cumulative maturities of approximately 5900,000,000 in discount bills. These fall due in lots of $75,000,000 practically every week from February 27, next, to May 15. Baby Bonds on Offer On all, on the basis of maturities of securities now outstanding the Treasury must provide for a total of $4,492,000,000 in maturities between now and the middle of December. Along with the issues mentioned above, it must be prepared to take care of an issue of $354,000,000 in 1% per cent Treasury notes on August 1, and a total of $418,000,000 in 2Vi per cent notes in December. Meanwhile plans are being pushed for the inauguration of the sale of “baby bonds” on a discount basis to the general public with the date for the initial offering now set tentatively on March 1.

Produce Markets

Delivered In Indianapolis prices: Heavy breed hens. 14c; Leghorn hens, 9c; colored springers. 13c; heavy stags, 9c: Leghorn stags, 7c; old roosters. 6c; ducks, full feathered and fat, 10c; geese, full feathered and fat, 8c; all classes of guineas. 15c; No. 1 strictly fresh country run eggs, loss off. 18c. Each full case must weigh 55 lbs. gross, a deduction of 10c a round for eaclr pound under 55 lbs. will be made. Butter—No. 1 39®40e: butterfat, 35c. Quoted by the Wadley Cos. (Bv United Press) CHICAGO. Feb. 25. Eggs Market weak: receipts. 10.378 eases: extra firsts, 24c: fresh graded firsts. 23%c: current receipts. 22c; dirties. 20%c: checks. 20c. Butter—Market, weak; receipts. 1205 tubs: extra firsts (90-91% score'. 32%ft32%c: extras <92 score). 33c; firsts <BB-89% score'. 32ft32'ic; seconds 'B6-87% scorei, 31-31 %c; specials. 33%@34c; standards. 33%c. Poultry—Market, steady; receipts. 14 trucks; hens. 17%ft19c: springers. Leghorns. 14%c; broilers. 22%@23c; capons. 6-7 lbs.. 23c; old roosters. 14%c: ducks, 17ft 20c: turkeys. 19ft 21c: geese. 14c: stags, ]6'-c: fryers. 22ft22%c Cheese —Twins. 17 ®l7%c: daisies, 17%ft17%c: Longhorns. 18%ft 18%c. Potatoes —Supply liberal: demand and trading moderate; market steady; Wisconsin round whites. 72%c: unclassified. 65c: Idaho Russets, Sl.oOft 1.60: commercial grade. $1.30: Michigan rurals. 70c. Arrivals. 152: on track. 306; shipments. 1428 Saturday. 34 Sunday. USUAL DIVIDEND VOTED Directors of Commercial Investment Trust Corp. have declared the regular quarterly dividend of 50 cents per share on the common stock, payable April 1, 1935. to holders of record March 5, 1935.

72 Years in Business or Boston. Massachusetts A mutual dividend-paying company $91,877,154.03 paid policyholders in 1934; more than one billion dollars paid since beginning business. Total insurance in force $3,473,967,189.00. Total admitted assets $684,065,767.43; policy reserve $569,442,629.00; other liabilities $52,806,893.73. Total Surplus Resources, $61,816,244.70, comprised of Contingency Reserve held for Asset Fluctuation $16,500,000.00 and General Surplus of $45,316,244.70.. DAN W. FLICKINGER, C. L. U. and ASSOCIATES 1222 Circle Tower LI. 2494

MANY STOCKS AT NEW LOWS: UTILITIES FIRM Railroad Issues Sink to Fresh Bottoms Before Rally Occurs. By T'nited Prr, NEW YORK. Feb. 25. Stocks moved erratically during the morning. Dozens of issues made new lows for the year at losses ranging to nearly 2 points. Utilities, contrary to the trend, advanced tractions to a point. Railroads sank to new lows for the year or longer, but toward noon they rallied from the lows. U. S. Steel common and preferred made new lows for the year at 32 , off 1. and 82'i. off 1. respectively! National made anew low for the year at 45. off %. General Motors sagged % to a new 1935 low and then regained the fraction. Chrysler was down % point at 37%. American Can was unchanged at 118. while American Telephone firmed % to 104%. International Harvester. Woolworth and National Distillers made small advances. In the utilities. Consolidated Gas firmed to 17%. up %; Public Service of New Jersey. 22%, up 1: United Corp. preferred. 23, up %, and National Power & Light, 5%, up •%.

Money and Exchange

INDIANAPOLIS STATEMENT Clearings $2,827,000.00 Debits 5.562,000 00 TREASURY STATEMENT 'By United Pressi WASHINGTON. Fob. 25—Government expenses and receipts for the current fiscal year to Feb. 21, compared with the corresponding period of the previous fiscal year: This year. Last year. Expenses $4 447,509 157 13 $4,110,548,086 61 Receipts.- 2.226,644,355.31 1 848.849,785 07 Deficit. . 2.220.864,801.82 2.270,698,303 74 Cash bal. 2 083.996.411 20 5.101.037.592.59 INCOME AT NEW HIGH American Motorists Insurance Cos. Frcmium Return Rises. By Timrx Special CHICAGO, Fob. 25.—The American Motorists Insurance Co.’s premium income during 1934 totaled $4,100,770, an increase of $764,184 over the 1933 figure and anew record. Assets increased from $4,348,966 on Dec. 31, 1933 to $4,857,094.

ill? PRESENTATION OFFICE SPACE The facilities and wide selection of space offered by this organization enable you to come to a quick decision based on pertinent facts reguarding any business location. KLEINt KUHN,, PROPERTY MANAGEMENT Lincoln 3545 INDIANAPOLIS