Indianapolis Times, Indianapolis, Marion County, 11 November 1936 — Page 14
Trends
Columnist Sees No
. Abreast of
The Times on .Finance +
PAGE 14
WEDNESDAY, NOVEMBER 11, 1936 ~~
rT Sales Kroger Grocery and Baking Co. sales, for the weeks ended Oct, 31 were 4 per cent above the same period last year, company officials announced. Sales amounted to $18,468,742 in the latest period against $17,768,092 in 1935.
Gain i four
Revival of Old NRA Forms.
BY JOHN T. FLYNN—
EW YORK, Nov. 11.—There was a great deal of angry talk
. during the campaign about the re-
vival of the NRA. Mr. Landon | challenged Mr. Roosevelt to deny that once-petted child. --Mr. Roose- _ velt’s son said his father planned to revive it. General Johnson _ said he believed it would be re- _ ¥ived, though the demand would 50s come from the people. And Mr, Roosevelt “preserved a singular silence on the subject. I do not recall in political history another instance of one candidate challenged so persistly by another candidate about his stand on a measure which was the chief policy of his
Mr. Flynn
+ Administration, and absolutely re-
Jfusing to commit himself. All sorts of conclusions were drawn from Mr. Roosevelt's strange silence. 1 . flrew my own and I now offer this “ explanation. 1 do not believe that Mr. Roosevelt is going to attempt to revive the NRA in its old form. I think he proposes to do something to restore its instrumentalities but by an entirely different route.
» 5 = OME may remember the O'Mahoney bill, introduced by Sen- _ ator O'Mahoney at the last session ., of Congress. This bill is going to
.+be pressed forward vigorously at
the next session. To the general ~ reader it will seem to be a measure 5 #0 provide for national licensing ~ of all corporations engaged in in- _ terstate commerce. Many people “favor that idea, and I certainly do.
‘Many Democrats and Republicans __ can agree on it.
But the bill is, IT believe, only in-
_.cidentally a plan for national in-
, -eral government.
corporation. It sets out that cor:porations engaged in interstate trade must be licensed by the FedBut before receiving a license the corporation must comply with certain condiilons. One of these conditions is that it must agree to conform to
;-certain regulations,.etc., which are
.-dn effect old NRA rules.
oH
It must agree to collective bargaining, . minimum wage agreements, agree.ments on trade practices, etc.
» n »
_ FT HE President, I understand, has
~
i } $ L » 5 5 . * $ 5 [S
. tional incorporation.
named a commission to study the subject of national incorporation. Of the personnel and views of that committee I know nothing. But x feel sure that the O'Mahoney bill inspired that committee’s appointment.
-.- It is sald in Washington that the President is going to move for naIf 'he does the move will be for the O'Mahoney bill. And I suspect it was because of these plans, though this is a
. mere surmise, that the President . kept quiet when he was challenged : by Gov. Landon.
However, the President may lose terest in this by the time his next
will wish to do nothing to disb business and the course of. covery. And whatever his intenons are now, he will not, I assume, willing to start a bitter fight r this bill. i> (Copyright, 1936. NEA Service, Inc.)
$ Fruits and Vegetables
“5 (Quotations below,
3 1 25. = carton 13s, 20c; Persian seedless, 84s-112s
erate, $1 Sastre, $1.
subject to ch " average wholesale prices bein CoRetod 0 Dyes by local commission dealers. “PR Bose, 100s, bos. h s=115-12s, _ box, (1005-1503), . Cc. , 2% inches u Bas: es—Mexican,
.50. Lemo ' Kist, 4338 ns. Red Ball, 360s
x, $2. G apes, California Emperors, 28.
Cr . acks. 28-1b. box, xT aakinte C. Eav
NS—Persimmons, Ind. 12-pint Honey Dews, Tne-ripened, 12s, anates, Cal, 20-lb. x. $1.75. LES—Artichokes, California, 53.50. ns, round stringless, ts, home grow doz., 25c. 2? Saliiornia, case 8; oak routs, per druni, $2.50. CabFy , 90¢c. Carrots, home Cauliflower, Hs-118
LOANS TO HOME OWNERS PUT AT $500,000 MARK
Marion County Mortgages for October High in Region.
Approximately $500,000 in new mortgage loans were made to home owners by savings and loan associations in Marion County during October, Fred T. Greene, president of the Federal Home Loan Bank of Indianapolis, announced today. Mr. Greene said his statement was based on reports from the statistical division of the bank, and that it was an indication that these home financing institutions are continuing to maintain the dominant position in the home mortgage field in this area. “Making 55.7 per cent of the total number of loans for the month, the Marion County savings and loan associations are in accord with the actual trend of these institutions in Indiana and Michigan, the region served by the Indianapolis Federal Home Loan Bank,” Mr. Green said.
Financing Funds in Demand
Reports from the Federal Home Loan Bank Board in Washinglon reveal that 94 per cent of the savings and loan associations in this district were actually making loans, compared with 81 per cent in the nation as a whole. Renewed interest in real estate, renovation and repair of neglected property to make it readily marketable, together with a current housing shortage in this area, have combined to increase the demand for home financing funds, Mr. Greene pointed out. He said that outstanding advances to member savings and loan associations have exceeded $7,304,000 at the present time. “With access to funds in the na-tion-wide home financing credit system through membership in (he Federal Home Loan Bank system, savings and loans associations have been able to meet the increased demand of the last few months and to make home ownership available to hundreds of families in this district,” Mr. Greene declared.
COST OF LIVING RISE BEHIND INCOME GAIN
Times Special NEW YORK, Nov. 11.—-The cost of living for the average person in the United States during September was approximately 19.8 per eent: above the depression’s lowest pe~ riod, April, 1933, but the average per capita income of the country’s population during August advanced 73 per cent on the 1933 level, as compared with the cost of living, Alexander Hamilton Institute released today. The Institute reported the September cost of ‘living to be the highest for the current inflationary movement, showing a gain of 3.9 per cent on the corresponding period last year. Per capita income in August was 38 per ‘cent below October, 1929, and contrasted with the decrease of 15.1 per cent in Mving cost.
BUSINESS FAILURES SHOW SLIGHT RISE
Times Special NEW YORK, Nov. 11.—A slight rise in business failures in the United States for the latest period was reported today by Dun & Bradstreet, Inc. The total for the five-day week ended Nov. 5-was 151, eompared with 149 in the preceding. full week and 206 in the corresponding period a year ago. An increase also was reported in the total number of applications for reorganization under Section 77-B of the National Bankruptcy - Act.
doz. 81. | ‘These cases totaled 9, against 8 in
the preceding period and 14 in the similar 1935 week. Insolveneies with
| Jiabilities of $5000 and over fell to
86 from 91 a week earlier, A year ago there were 113, the report said.
| TRANSIT REVENUES UP
(By United Press) Nov. 1l.—Apples—Michigan Sweet EQtategs— 5061.56. re rots—Illinois, bunches. 1'%@2. § ach— linois, bu. $5@75¢c. Tomatoes—QCalifornia, , [email protected]; Ca owe 'alifornia, crates, $1.1091.25. Pe alifornig, hamps, $1. bn Celery—Michigan, square Cc.
Building Permits
aleon King, 4708 English-av, electrical, 815 Lincoln-st, 75. x] judo tral-av Albert Terstegse, 613 N. Tllinois-st, stokeret}
Sire: Jiofiman, ot os Apaitment Propet 738 N. n . : Cent) ligge-av, Harry Pesto, 2730 Allen-st, stoker, $288. H. B. y, 353 er Marie Ruske, 438 N. Bosart-av, stoker, Blanche M. Price, 2102 N. Delaware-st, © "Paul Schreckengash, 1351 N. Riley-st, Crawley, 37558 N. Gale-st, stoker,
es gst. 8 $805; 1108 Hallowa 8. Downey-av, stokker, \ Jordan, 1321 N. Oxford-st, stok-
CT 911 Berwin-st, altera3 og. Realty Co soon LinwoodP. i . * Dividends Declared
2s Unless ated oiherwiss. Rate Per'd Payable
puss Hf 2] . v.
and Close ¥.
Times Special 3 NEW YORK, Nov. 11.—Transit industry revenues during the week ended Oct. 31 continued to show improvement over last year, registering a gain of 7.31 per cent in the Transit Journal's Indicator which stood at 107.31 in the latest period. For the week ended Oct. 24, the Indicator also stood at 107.31.
Busigraphs
COST OF BUILDING. SSOCIATED GEN. CONTRACTORS OF AM]
3 9132100 7
CORR INCORPORATED INVESTORS Building costs have started upward. Although building are less than two years age,
Trinity Court Studio George D. Macbeth
Ind., according to announcements
Times Special
show opened today. Mr. Young said he based his forecast on a study of the industry just completed by his company. “As manufacturers display their new 1937 models they naturally are issuing optimistic statements regarding next year’s production,” Mr. Young said. “Our researches indicate that they are right, and that production in 1937 is likely to exceed 1936 “Our study indicates, however, that this industry is approaching the crest of a production cycle, and that improved engineering and other factors may have so lengthened the life of automobiles that the spread of years between such peaks may be longer than heretofore. Theories Scientifically Sound
“There is little question but that automobile manufacturers in all price fields have exerted themselves during recent years to make the purchase of their models a better investment. We find today cars whose construction from bumper to bumper is based on scientifically sound theories. The manufacturer has apparently added to the question, ‘what. will help us sell more ‘cars?’ the clause—and make them
greater real values than before.”
Mr. Young pointed out, that while the study emphasized the rate of national income is perhaps the primary determinant in motor. car sales, the secondary factors of increased car life and sustained good appearance are likely to exert considerble influence on the volume of new car production after the peak has passed.
BANKS AND EXCHANGES ARE CLOSED TODAY
Leading securities and commodities markets of the United States remain closed today in observance of Armistice Day. Indignapolis banks also are closed. The Indianapolis Stockyards are open as usual.
LOCAL 6. M. WORKERS T0 RECEIVE $62,900
About 2500 employes of local General Motors units are to share in the $10,000,000 appreciation fund to be distributed by the corporation Dec. 18, it was announced today from the Detroit offices of the corporation. * Distributed in the form of a Christmas bonus, the amount to be disbursed locally amounts to about $62,900, the announcement said.
The 5-cent-an~-hour wage increase also announced by General Motors is expected to add approximately $2190 to the weekly pay rolls of the local units, according to the announcement. ’ .
Times Special NEW YORK, Nov. 11.—Net earnings of the General Motors Corp. for .‘the . third quarter ended Sept. 30 amounted to $34,626,078, Albert P. Sloan Jr., presi‘dent,’ said- in .a& letter to stockholders today. ~ : ‘This figure, which Includes equities In ‘the undivided profits or losses of subsidiary and affiliated companies not consolidated, compares with net earnings of $30,753,088 for. the corresponding 1935 quarter, the letter said. Net earnings for.the months ended Sept. 30 amounted to $175,108,624, against $114.482,926 for the first nine months last year, snd
ted in: by more than
TECHNICAL GLASSWARE COMPANY EXPANDS
Underwood & Underwood Amory Houghton
The Corning Glass Works, Corning, N. Y., has purchased the Mac-beth-Evans Glass Co., Charleroi, Pa., operators of a factory at Elwood,
from both companies. Makers of
the Macbeth glass chimney for kerosene lamps, the plant at Elwood is to continue operations under the new setup, the announcement said. George D. Macbeth is president of the Macbeth company and Amory Houghton is president of the Corning Works.
Auto Industry Is Seen Nearing Crest of Cycle
Approaches Climax of ‘Replacement Period,’ C. W. Young Predicts on Completion of Survey.
NEW YORK, Nov. 11.—The automobile industry next year is to approach the crest of a major “replacement cycle” which, after 1937 or 1938, may not be reached again for several years, C. W. Young, president of the Young Management Corp., predicted as the New York Automobile
U.S. FISCAL DEFICIT UNDER 1935 FIGURE
By United Press WASHINGTON, Nov, .11—The Federal deficit for the 1937 fiscal year which began July 1, climbed over the $1,000,000,000 mark today despite a sharp upturn in receipts and expenditures below those of the same period last year. . The $1,001,214,025 reported as of Nov. 6 was approximately 30 per
ure for the same period last year. Receipts for the period “were $1,464,451,000, about $152,000,000 above those last year because of increased customs, income tax, and miscellaneous internal revenue collections: Expenditures were $2,465,665,000, about $289,905,000 lower than last year. | » The treasury .statement showed
the government and recovery and relief were running substantially beiow those of last year largely because of repayments by the RFC, Commodity Credit Corp., farm credit administration and other agencies, which were returning their funds to the treasury.
$5,447,000 PAID TO BANKS’ DEPOSITORS
By Umted Press WASHINGTON, Nov. 11. — The Federal Deposit Insurance Corp. announced today that it paid off $5,447,000 of a total $6,113,000 in insured deposits of 24 banks going into receivership during 1935. In its annual report for 1035, the FDIC said that only $666,000 of insured deposits were unpaid as of Dec. 31, 1935. The banks which went into receivership had total deposits of $0,013,000 of which $5,926,000, including those insured, had been paid at the end of the year. The FDIC said that there were 31,811 depositors in these banks, of which 31,508 were covered fully by
of security or offsetting claims,
FIFTY STOCK VALUES EXPAND 532 MILLION
Er —————
Times Special | NEW YORK, Nov. 11.—The mar-
on the New York Stock Exchange
ended Nov. 7, totaled $23,354,501,500, an increase of $532,208,500 over the preceding week, Paul H. Davis & Co. reported today: At the close of the corresponding week a year ago, the total was $16,770,817,625, $6,583,683,875 during the year,
Times Special } CHICAGO, Nov. 10.—A total of $1,042,699,625 was recorded for the value of 25 representative stocks listed on the Chicago Stock Exchange at the close of ‘the business week ed: Now. 7, Paul Hi: Davis o..announced today. This represents. a’ 1.1. per cent. gain: over the preceding week. ~~
Times Special NEW. YORK, Nov. 11.—-The National Oil Burner and Air Conditioning Exposition and Convention is to be held March 15-19 at Con~ vention- Hall of the Commercial Museum, Philadelphia, N, W. Ayer &_ Son, ‘Inc. reported foday.
- IT Times Special...
5
LE
cent less than the $1,442,928,794 fig- |
expenditures. for regular activities of
insurance, preferred claims, pledge | E
ket value of 50 leading stocks listed at the close of the business week.
indicating a gain of |at_$9
CONVENTION. IS SET|H®
PRICES STEADY AFTER DECLINE
Top Price of $9.75 Paid for Strictly Choice 225 to 250 Pounders.
The hog market held steady today at the Indianapolis Union Stock-
two days. Receipts were 5000 as compared to 10,000 yesterday: The 160 to 300-pound weights brought $9.50 to $9.70 with top price of $9.75 paid for strictly choice 225 to 250 pounders. Weights of 300 to 400 peunds were $9.30 to. $9.60. Sows were steady to strong with most sales at $8.50 to $9, top $9.35. Weights of 160 to 180 pounds were $9.40 to $9.60; 150 to 160 pounds, $9.15 to $9.55; 130 to 150 pounds, $8.65 to $9.40 and the 100 to 130 pound weights, $8.15 to $8.90.
Herfer Prices Lower
pound steers and a few prime steers with sales up to $11.85. Other sales ranged from $10.50 to $11.25. Lower and middle grade steers were under pressure and there was little early activity in these classes. Receipts totaled 1200 cattle, 600 calves. Rr All except a few strictly choice heifers carried a weak to 25 cents lower undertone. A few early sales of cows were steady but most local interests talked unevenly lower prices. Bulls were steady to easy with the extreme top for sausage bulls. at $5.75. Vealers were generally steady with the good and choice at $10 to $10.50 - Lambs were fully steady with the bulk of the better grades at $8.50 to $8.75. Slaughter sheep were steady on receipt of 1000 sheep. : “Choice fat ewes were $3 and the bulk sold at $2.25 to $2.75.
HOGS
Nov. Receipts. 000
7000 900
Top. 9.80 9.80 . 9.70 . 9.85 68 . 75 10 5 . 0 9.50@ 9.70 5 Light Lights— (140-160) Good and choice..$ 8.90 ium 15
e 8 Lightweights— (160-180) Good and
4. 5. 6. 7. . 9. . 1.
RK 9
Medium Weights— (200-220) Good and (220-250) Good Heavyweights— (250-290) Good (280-350) Good Packing Sows— {376.350) Good
choice. choice.
choice. choice.
oo oo LLHO
Die DSW DI Id ROWD OD 85 S58 33 S& 3383
—Receipts, 1200—
(500-900) Choice Good
SO Se
QQ Broo en oO debe COTO NINDONNCD
ah OHO OH LID ID
C (900-1100) Gi
Of
C (1100-1300)
2D =
enbIen n DIDI INDI DI BI EASE
tt
(1300-1500) of Good
(500-750) Gi »90!
00! Common, medium. 4. Good and choice.. 8. Common, medium. 4.
PE
=O 250 23383
S068
—-
(750-900)
Good Common and medium Low cutter and cutter,........ -Bulls, good ; Cutter com. and med, bulk.,..
Vealers —Receipts, 600— Good and choice....covveveens. $9.
Medium Cull and medium
cmp Soo sossa
— SOD
388
4 oo
8288 83
(250-500) Good and choice..$ Feeder and Stocker (500-800) Good snd chol . om, and mj (800-1050) Good and choi Com, and med Heifers—
Good and choice
Pa ou an
gh 3833"88 68 ©0 S568 68 688 68888 ©
GOOd .........ous., pat r ied ib Common and medium..... - ae SHEEP AND LAMBS —Receipts, 1000—
oa ow; hh 2
Lambs— 3 ( Wes— . (90-170) Good and ghotoe. . 2.2 medium.
. and (Bhee a . basis) © nd lamb quotations o
(By United Press)
Hogs — Receipts,
CHICAGO, Nov. 11. — 28.000, incjudin 1406 £7 active on 180 A 0 rahe thay
1bs. up; 5@1 erage: top $9.80; 1k good , 0-560 1h . 3 10k i gS Kelghts and pigs slow, bo.s0ag ts; 1 bi: _Cattle—Receipts, 13,000; calves, 1500; Bim Jearlings, stead 81 a and 12 bid on such kinds; other yearlings oak; although Jestrable hel ers and mixed 0 x re 5 - action; medium’ nS Srpend i
le tio yelghty Seats more eight with
less we x 16¢c : 100 10Fe own at $8.50 wi Sheep—Receipt ,000, direct; fat Tuinbs- moderately active . Steady; bulk ice native an
ood to d 8. 3 ( western orterfugs 48.1565; beat hel he
ulk slaughter ewes eligible aroun Yao 0200 To $0.35
€ ‘ n ers scarce; ahd sh i ® 50c or mos
FORT WA Ind., Nev. higher; . -, o F Ss aso drs 5. 5.300 1 ; 00 1bs., - $9.20; "160-180 -1bs., $9.35: 300 1bs., $8.95; 150-160 Ibs. $8.85; (ide 50 Tenn fig 1h. 5 S838 120-130 Jos. 8 75. Calves, $ 10.50. amis, 48. i ket ‘steady; 235-375 lbs. $9.40@9 50: 315 Ibs., [email protected]; 190-225 1bs.. $9. as: 350-100 Tea 8 150555. 136-170 1082 Pe Bs $8.50¢ 2 ; 100-130 Ibs. s down Tambe 8 down, I ov. “ 1000; market supply of cattle gr small aarading n lowe grade butcher caitl Socks i L good or better offered
. Calves, $1.15; vealers, seal few best, $10; other better g 10; vy. easly
rect. ROSLLY
yards after the declines of the past
The market was steady on 1155]
en *o oo
limba, ofa few lot
LOCAL PORKER Real Wages Over 29 Levels
1o ~~
=
i and Research Corporaton- New York Source Natonal Industral Conference Board
a
Real Woges
I Average Week! Money Earnings
ba
4
60
1929 1030 1031 1032 1933 1934
1935 1936
(6mos)
Although the cost of living has risen to 1931 levels, weekly money earnings in manufacturing industry have advanced at a faster pace.
As a result real wages are now above 1929 levels.
FURNITURE HAS LARGE BACKLOG
Reaches Strongest Position Since "29 in Gradual “Advance.
Times Special NEW YORK, Nov. 11.—Capping a two-year gradual advancing movement, the furniture trade on Oct. 1 established its largest backlog of unfilled orders for that date since the fall of 1929. Bradstreet reported today. Although slow to gain momentum, the acceleration provided by the current years improvement brought production for the first nine months 30 to- 50 per cent ahead of the 1935 comparative and unfilled orders were 75 to 85 per cent larger than a year ago, the report said. :
Some makers of novelty goods |.
were ahead as much as 50 to 75 per cent, while production of liv-ing-reom suites at some centers gained 80 to 80 per cent. = According to the Chicago Federal Reserve Bank, furniture shipments in that district were 32 per cent above those for September, 1935, and 14 per cent above the 1927-35 average for that month, while unfilled orders were 84 per cent larger than on Sept. 30, 1935, the report
aid. Distribution of furniture at retail was sustained at a surprisingly high rate all during the Summer, as consumer demand Was the strongest .for that period in the past ten years, Dun & Bradstreet reported.
INVESTMENT BANKERS TO HOLD CONVENTION
Times Special oo CHICAGO, Nov. 11.—Preparations for .this year’s annual Investment Bankers Association’s ‘convention are being made in anticipation of the largest attendance since 1929, Orrin G. Wood, Beston, association president, announced today. The bankers are to assemble in Augusta, Ga., Dec, 2 for a five-day conference. Among guest speakers
of the Massachusetts Institute of Technology; C. A. Dykstra, city manager of Cincinnati; Lionel. D. Edie, Edie-Davidson Inc., consulting economist of New York; D. Leon Harp, Texas securities commissioner and president of the Securities and Exchange Commission: James M. Landis, Securities and Exchange Commission - Chairman, and James D. Ross, member of the Securities and Exchange Commission, Mr. Wood is scheduled to open the -sessions with his presidential address on Friday, Dec. 4.
Money and Exchange
TREASURY STATEMENT wa (By United Press) SHINGTON, = Nov. 11.—Govern! expenses and receipts for the current feat year to Nov. 9, compared with a year ago: . ” This Year Last ‘Year es ..$2,635,333,964.58 $2,817.8 $38 3 8 33 1 8
t ... 1,0485,655,607.26 1,486, 4: Bae geb. i 3133.60 28,501 2: id .» 11,089,803, 86.48 9,724.38 Customs .. '158,003,637.68 137.34
SS A i Sh ps en,
Produce Markets
e prices guote@ are pald for stock Ra ered, in the coun a while for dclives fhdian apolis, the prices are 1 cent
ash case of eggs must weigh
aoc 6." siriotly. i gp or iy IT n .- and over, fie pC 5 bs., 110; Leghorn breed Rens. be. Joe: aver | springers, der ers,” 10e. Du se. 5¢ B
uh 4% £ Tn breed springe e- 1 eathere Oc. e; No. 2, 33@3 No. 3 dae oe.
65,404. 5,115.50 5. 4 : B, I
228. 1979.34
fol 0 amery. 0. 1, ttorfat, No. 1—30¢c;
9.40; heavie Ibs., $8.50; 1
Sheep—Receipts, 0, Fat
to Ply Mh er on oF Tore of for week: DUK
242: hogs, sday, sheep,
Dun &|
sre pr, Karl T. Compton, president | tod
New Business Books Available at Library
The following new business books now are available at the business branch of the Indianapolis Public Library:
SECURITY AGAINST SICKNESS: A STUDY OF HEALTH INSURANCE by Isidore -Falk—'The fundamental need is to transfer costs which are burdensome to individuals into costs which are budgeted by large groups of people and which are distributed over periods of time.” GROUP LEADERSHIP WITH MODERN RULES OF PROCEDURE Robert D. Leigh—Description of effective group procedure for thought, di i and action, by the president of Bennington College. ESSENTIALS OF DISTRIBUTION, by Paul E. Converse—‘ There is no longer a problem of production. The big problem today is distribution.” | LABOR FACT BOOK III, comp, by bor Research Association—Por the. first time this annual volume includes chapters on Soviet China. the United Front and Professional Workers.
INVESTMENT PRINCIPLES AND PRACTICE, by Ralph E, Badger (Revised Edition).
LOCOMOTIVE TRADE REPORTS INCREASE
Times Special 3 . NE WYORK, Nov. 11.—Business of locomotive builders during the first nine months of the year failed to increase as sharply as other divisions of rail equipment, but substantial gains over the corresponding period last year were recorded, Standard ‘Statistics Co. reported today. . . About 158 locomotives were ordered during this period against the 1935 comparative of 35. Inquiries are currently being made i= about 80 locomotives, which, together with other business . that may develop over the near term, may carry the total for the year to 250 units, the report said. This would represent the best showing since 1930, when the total was 440.
MOBILE ADOPTS NEW READJUSTMENT PLAN
Times Special MOBILE, Nov. 11.—At a joint meeting of the chairman of the bondholders committee and city officials of Mobile, a public declaration was made by city and the com-
of readjustment dated Jan. 1, 1936, is now operative, it was announced
ay. “This marks the commencement of a new era for the city of Mobile. After having been in default in its obligations for a period of more than four years, it will, upon the exchange of all obligations covered by the plan, face the future with no past due indebtedness, and with a reduction in the interest on its bonded debt amounting to approximately $300,000 per annum,” city officials said. -
INVESTMENT INDEX UP
Times Special NEW YORK, Nov. 11,—Investment companies common stock injex advanced during the week anded Nov, 6 to 23.47 from the preceding week's level of 22.66, Dissributors Group, -Ine., announced today. The average of the mutual funds -losing at 17.77 on Nov. 8 against 17.37 at the close of the week ended Oct. 30, the report said.
INDIANA COAL OUTPUT HIGH By United Press Indiana mines maintained the pace set during the previous week and produced 361,000 tons of coal during the week ended Oct. 24, the United States Bureau eof Mines reported today. : Production for the same period a year ago was 207,000 tons. Indiana produced nearly 4 per cent of the nation’s supply.
-Auy
ote ii
mittee to the effect that the plan
BANKS SETTO EXTEND CREDIT, REPORT SHOWS
Held to Be in Position to Expand Volume by Huge Amount.
Times Special . NEW YORK, Nov. 11.—Despite the fact that loans and investments of reporting: member banks at the end of October practically equalled the annual average in the pre-de-pression year of 1929, the banks were in a position to expand this volume by an enormous amount, ac
cording to an Alexander Hamilton Institute report today. “In the first place,” the report said, . “member bank reserves kept jin the Federal Reserve Banks were $2,160,000,000 in excess of the amount required to be kept against deposits in member banks. “Thus, the member banks had the means of greatly enlarging their deposits through an expansion of loans and investments. In addition, the excess in reserves report ed at the end of October was artificially small due to the fact that the Board of Governors of the Federal Reserve System arbitrarily raised the reserve requirements by 50 per cent on Aug. 15.
Requirements Couvid Be Cat
“Consequently, if the board so desired, it could reduce require~ ments and so make possible a much
greater expansion of loans and investments than that provided by the present reserve base. : “In the second place, member banks were in a position to increase their reserves with the Federal Reserve banks by the discounting and sale of bills to the Federal Reserve banks. For instance, the volume of discounted bills at the end of ° Gctober amounted to only $6,000,000 as compared with the annual average of $952,000,000 in 1929. “The Federal Reserve banks had a sufficient volume of gold certificates to back a large increase in member bank balances deposited with them, together with an increase in the circulation of Federal Reserve notes which would tend to accompany any increase in deposits.
Double Requirements
“The ratio of total reserves of the Federal Reserve banks to deposits and Federal Reserve note liabilities
combined amounted to 80 per cent at the end of October, or abdut double the minimum requirements of 40 per cent against notes and 35 per cent against deposits. “Finally,” the report concluded, “the member, banks at the end of October faced the prospect of building up their reserves with the Federal Reserve banks through the deposit of gold in the member banks. This was indicated not only by the continuation of gold imports into the United States but by the high rate .. domestic gold production.”
AIRLINE PURCHASES NEW TYPE ENGINES
By United Press : . NEW YORK, Nov. 1l.-Jack Frye, president of Transcontinental & Western Air, Inc, announced today the purchase of 41 Wright Cvclone engines of 1,205 maximum horsepower each for TWA airliners being completed by Douglas Aircraft Co. Inc., at Santa Monica, Cal, ~The new planes, Frye said, will increase the TWA fleet to 50. The engines, of nine cylinders each and said to be the most powerful ever developed in the United States, weigh 1,275 pounds each. i Prye said the new planes would use only 1,000 of the available horsepower of each engine on- the takeoff and 550 while cruising. The reserve power, he said, would enhance the reliability and safety of the planes,
—————————_ ee —————— HAS SECOND BEST MONTH Times Special ’ FORT WAYNE, Nov. 11.—The second best monthly production of ordinary businsss in five years was completed during October by the Lincoln National Life Insurance Co. A volume of business totaling, $21,208,000 was reported by company officials,
- oe and they're right}. I don’t waste my earnings driving my ear downtown. The trolley fast and a lot ‘cheaper. ‘Saves wear and ‘tear ‘on
dianapolis
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