Image provided by: University of Oregon Libraries; Eugene, OR
About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (April 19, 1920)
THE MORXIXG OREGOXIAX, MONDAY, APUIE 19, 1920 MORS L1 D BY GERMAN MARK Extreme Low Level Seems to Be no Handicap. POUND STERLING IS UP Interest lug Comparison Between Policies of Governments Noted in European Exchange. Foreijrn exchange still holds the in terest of some Investors who are at tracted by the speculative lure of the German mark, despite the extreme low level to which it has gone. The recovery of the ppund sterling- forms an interesting comparison that dem onstrates the effect of sound policies of government in maintaining the in tegrity of its securities. In the gen eral collapse of exchange of the Euro pean countries that were hard hit by the drain of war upon their resources, it appeared for a time that the en tente powers were in no better con dition to withstand the shock than were the central powers. But finan ciers who had studied closely the sit uation knew that the underlying con ditions were such that the danger to security of gamblers in money 'was far greater in those whose govern ments were uncertain. Whereas the British, French and Belgian govern ments were doing their utmost to bolster up their credit, meanwhile en deavoring to determine what course should be adopted to protect against further decline', the government in Germany apparently was content to have the currency depreciated. Speculative buyers who are willing to take the "gamblers chance" seem to be as plentiful as the prolific class of which it is said the birth rate .is exceptionally high. It is estimated that several millions of good Ameri can dollars were invested in Russian rubles before they became worthless as a medium of exchange in the land of their nativity. When Qerman marks fell to less than 10 cents the American buyers of money in the enemy country were legion. To be sure there were those who bought to pay for goods they expected to buy there, but the heavy volume of buy ing represented large numbers of per sons who were gambling on the ex pectation of an early recovery. Then when the price continued to decline and stood for a time around seven cents for the medium worth at par 23.82 cents, there was heavy buying. But now the mark is quoted at about one and a half cents, and those with the gambling instinct are offered op portunities to buy on margin. Bank Account Swollen, Deposits of German banks have been considerably swollen by the de posits of American purchasers of marks, for under the law it is neces sary to deposit in German banks to retain the exchange where it can be used either that or have the marks sent to the buyer in this country. Under the pressure hi heavy selling mere nave been repeated breaks in the price of Italian. French and the other foreign exchange. Neutral ex change has not shared so actively in the disturbances in foreign exchange ' centers, because there has not been the inclination to heavy trading in those countries, or the speculative at traction to buyers who were en deavoring to proiit Dy the trade in the medium. London is sending .considerable gold to America, presumably to be used in payment of the Anglo-French loan, but some of it to be trans-shipped to Mouth American countries to pay off the debts contracted there during the war and since, for foodstuffs, con siderable quantities of cereals having been sent to the United Kingdom rrom the southern continent. Alto gether, vthe general condition of finances is regarded as healthier than it was some months ago. But no one attempts to predict how rapidly or how consistently the advance in for eign exchange willicome. Canadian Exchange Recovers. With the recovery of Canadian ex change that has recently taken place John L.. Etheridge. president of Mor ris Brothers, Inc., says there will not soon be another offering of bonds of , the municipalities or government of the Dominion at suth attractive-rates to American investors as have fceen possible for several months. He an nounces a large sale of Edmonton per cent, gold bonds, offered to investors at 86.68, a price to net pej- cent, interest. This issue is a 10-year bond, due October 1. 1929, and Mr. Etheridge announces that his tirm purchased $800,000 of Edmonton bonds, the last offering being of 291,000. The Peoples Bank, recently organ ized, will open for business tomor row in their new banking house at the corner of Stark and Fourth streets. This location, in the heart of the financial district, is regarded as one of the very desirable business corners. The organizers of the bank leased .the space when the plans for the building were in preparation by neroert Gordon and had the space arranged to meet their requirements. The lease is for ten years with the option of five years more. Just after the space had been acquired, the Southern Pacific leased the corner op posite for their passenger station on the Fourth Street electric line for a . period of 19 years, which makes this assuredly one of the busy corners of the central business section. Growing interest in development of the China tra'de is evidenced in the activities- of large banking houses' in this country. The visit of Frank A. Vanderlip to the Orient In behalf of the American International corpora tion is significant of the increased trade anticipated with that country in the immediate future. With Thomas H. West, assistant cashier of the Ladd & Tilton bank as tholr guest of honor, a group of 16 representative Portland bank men gathered at a banquet in the blue room of the Hotel Benson last Wed nesday evening. The occasion was one for the exchange of reminiscences and for a spirit of good-fellowship, for after 20 years of loyal service to the Ladd & Tilton bank, during which) time he has earned an enviable repu tation. Mr. West has severed his local connection and leaves May 1 to as sume his new duties as vice president and manager of the newly-organized Bank of Wasco County, of The Dalles. A factor in 'Mr. West's success has been his active and able participation in. the affairs of the American Insti tute of Banking, through which his capabilities have become nationally known to members of the banking profession. He is a past president of Portland chapter of the institute, and at present is a member of the na- stock of the company. These notes are offered at 97.50 and interest, to yield 7.60 per cent. Associated Simmons Hardware companies, five-year 7 per cent, secured gold notes, due May 1, 1925, offered at 98 and interest, to yield 7.50 per cent. . New York Cen tral Railroad 1 per cent, equipment certifioates, due serially from 1921 to 1935.-" These are offered to yield 7 per cent. The notes are issued against equipment, 25 per cent, of which has already been paid for in cash by the railroad. The equipment is- held by the Guaranty Trust company of New York, acting as trustee and leased to the New York Central, pending full payment of principal and interest. m At the regular meeting of the di rectors of the State Bank of Portland last Tuesday, Fred Dose was elected a director. . Mr. Dose is known in banking "circles aa president of the State Bank of Woodburn, and in the business world as president of the International Sales & Produce com pany, which berganized in 1917. con ducting a wholesale produce business and a chain of 10 "cash and carry" stores: The mercantile business has become a large and profitable enter prise under his management, and the officers of the bank express gratifi cation to include Mr. Dose in their of ficial family. ' Wards W. Robinson, for several years connected with the Northwest- PRESIDENT PIONEER BANK OF SUCCEEDED BY SON IN HOOD RIVER RETIRES AND IS ACTIVE MANAGEMENT. ffo ft W ;i Left I.rlle Butler. Right Truman Butler. . v The Butler Banking company was' instituted in 1900 as Butler & Co., bankers, with Leslie Butler as Its head. He has retired from the presidency to devote his attention to public and philanthropic work, thus realizing an object he has long had in mind. Truman Butler succeeds to-the position of president- in active charge of the business, with the senior member i chairman of the board. tional executive council of the Organ ization. The new offerings of the Lumber mens Trust company include the fol lowing B. F. Goodrich company five year 7 per cent, gold notes, due April 1, 1925. These are offered at 98.25 and interest, to yield 7.43 per cent. The Bell Telephone company of Can ada, five-year 7 per cent, notes, also due April 1, 1925, and offered at 98 and interest, to yield 7.50 per cent. The Canadian Bell Telephone company serves .the provinces of Quebec and Ontario, and is a branch of the Ameri can Bell Telephone company. An issue of $50,000 Bench-Canal Drainage dis trict, Wyoming, 6 per cent, bonds, due serially from 1925 to 1938. These bonds are offered at par. The California-Washington timber company irst mortgage 7 per cent gold bonds, due April 1, 1925. These are offered at par.- Southwestern Bell Telephone company five-year 7 per cent, convertible gold notes. The American Telephone and. Telegraph company owns an or the company s stock, excepting directors qualifying shares. The notes are convertible at the option of the holder any time on or before maturity or redemption, into the 7 per cent, cumulative preferred ern National bank, has recently been assigned to the new business depart ment. He is an energetic outside rep resentative and is busily occupied in the work of extending acquaintance among business men. The extraordinary, high yield of 8.20 per cent Is found among the bond issues on the newest offering list of HIGH INTEREST RATES are not usually obtained from HIGH-GRADE BONDS. In the following we have the exception to the rule: ' ( . Due Yield Province of Saskatchewan 4s 1923 7.25 Western Electric Co. Con. 7s... ... 1925 7.36 B. F. Goodrich Co.,Coh. 7s. 1925 7.42 Bell Telephone Co., Canada, 1st Mtge. 7s. 1925 7.50Cc Southwestern Bell Tel. Co. 7s......"......."....:. 1925 ' 7.60 Associated Simmons Hdwe. Co. 7s 1925 7.50 Hooker Electro Chemical Co. 7s. 1922 7.75 Midway Gas Company 1 Notes. 1921 7.75 Midway Gas Company 7 Notes. 1922 8.00 United Light & Railway Sec. 7s . . . . 1922 8.00 Blyth. Witter. & Co. UNITED SAXES GOVERNMENT. MUNICIPAL AHD CXJRPQRMICW BONDS YEON BUILDING PORTLAND, OREGON Telephone: Main 3304 San Fran cisco New York Seattle - Los Angeles Freeman, Smith & Camp company. The list also shows a number of issues yielding up to 7.75 per cent. The securities offered to net investors 8.20 per cent are the notes of the Brazilian Truction, Light and Power company, which operates in. South America. These notes mature in No vember, 1922. and are considered an exceptional investment for securities of their kind. The notes of the Hooker Electro Chemical company, which ma ture February 1. 1922, are being sold to net investors 7.75 per -cent. This is the largest electrolytic- caustic soda concern in the world. The firm still has a small block of city of Edmonton bonds which are being sold to net investors at least 7.50 per cent. Notes of the B. F. Goodrich company maturing in 1925 are being sold to net investors 7.40 per cent. Added to the list during the week were war rants of the Sacramento and San Joa quin drainage and reclamation dis trict, which are being sold to net the investor full 7 per cent; also a block of the city of Colusa. Cal., bonds which are being sold to yield 6 per cent. SOLDIER GOES TO PRISON Overseas Veteran Draws Ten Years in Walla "Walla . TACOMA, Wash., April 18 (Spe cial.) Private Alvln. Swlhart. head quarters detachment, 31st field ar ti lery, began serving a sentence of 10 years in the Walla Walla peniten tiary Saturday. He was sentenced Friday in the Tacoma superior court after having been convicted of hav ing -held aip Tom Pikoris on the night of .March 7 and robbing him' of $125. Swihart was arrested shortly after ward and identified by Pikoris. He had $65 on his person, whicU he told the police he had won gambling at the camp. Swihart served six months in France. He was discharged at Camp Dodge. Ia., and re-enlisted in Ran dall. Kan., where his parents now reBide. POLICE JUDGE APPOINTED Crimeless Era in lloqulam Broken by Transient Crooks. HOQtJIAM, Wash., April 18. (Spe cial.) After being vacant for a couple of months because the former incumbent was ashamed to take the money for holding, down the Job In a "crimeless" city, the office of city police judge here Is filled again. Frank 1. Morgan has been ap pointed by the city commission. An unusual- and unique spell of crime lessnees was followed by the discov ery of moonshlning, with transient crooks operating in these parts. This brought new tenants to the long empty jail. Judge Morgan says he will stay on the Job until things get quiet again. ' Itoardmnn Meeting Lively. BOARDMAN. Or.. April 18. (Spe cial.) A lively meeting of the Hoard man farm bureau last night adopted the following resolutions: Favoring the appropriation from the district road fund money for a reconnaissance survey of the Lexington-Boardman-Irrigon road; the state road 4 per cent bond limit; the higher educational raillage tax; the public school millage tax, and a John Day booster barbecue for the latter part of June. S. H. Boardman, A. L. Iarsen and W. H. Special. Offeriogs . We own and offer the following MUNICIPAL BONDS to yield from 64 to 7 These represent investment securities of the most desirable character possible. A careful analysis of the bonds shown below will prove that here is the oppor- tomity to procure the best class of investments at exceptionally high interest returns, You will find It to your advantage to make your selection and reservation at the earliest possible moment. MCMCIP4L BOXDS. ': Exempt From All Federal Income Taxe. -- Rate Maturity Price Yield S9.000 Areo. Citv of, Idaho. Light 6 J&J 1931-39 100.00 6.00 85.500 t Astoria, City of.Or-.Imp.Ser. No.24 6 M&X 1920-39 100.00 6 0 1,000 Astoria. Port of, Oregon .... 5 J&J 1928 to net S.60 4.000 'Astoria. Port of. Oregon . 5 J&J 1940 to net "6.60 1.000 Astoria. Port of, Oregon 5 J&J 1943 to net 6.50 49.000 Buhl. City of. Idaho, Water 6 J&J 1930-39 to net 6.60 . 33.000 'Buhl. Citv of, Idaho, City Hall.. 6 J&J 1931-39 to net 5.60 14,000 Buhl, City of. Idaho, Fire Dept... 6 J&J 1931-39 to net 5.50 1.000 Buhl. City of, Ida.. Sewer Dis. No. 3 7 F&A 1927-29 to net 6.50 .000 Buhl, Citv of. Ida.. Sewer Dis. No. 4 7 F&A 1926-29 to net 6.60, 16,000 Buhl, Citv of. Ida., Paving 7 F&A 1921-29 to net 6.50 47.000 'Clark Co.." Wash., Road (Donohue) 5V4 A&O 1935-39 to net 6.40 60.000 'Franklin Co.. Washington. Road.. 5 A&O 1924-39 99.00 5.26 1.000 'Gooding Co., Idaho. Bliss Hy. Dis. 6 J&J 1925-33 102.22 6.60 , , 1.000 -'Gooding Co., Idaho, Bliss Hy. Dis. 6 J&J 1927-33 102.93 6.50 1.000 'Gooding Co.. Idaho, Bliss Hv. Dis. 6 J&J 1928-33 103.25 5.60 4.000 'Hepptier, City of, Oregon. Water. . 5V4 M&X 1927-39 100.00 5.50 7.000 'Kelso. City of. Wash., Water 6 M&S 1935 100.00 6.00 167.000 'Klamath Co., Oregon, Road 5 J&J 1931-88 to net 6.25 2.000 'Newport. Port of. Or.. Ser. "B".. 5 J&J 1928 95.24 5.75. 47.000 'Prlneville. City of. Or.. Funding.. 6 A&O 1931-40 100.00 6.00 2.000 'Roosevelt, City at. Utah 6 J&D 1938 102.79 6.75 78.000 'Rupert, City of. Idaho, Sidewalk Dist. No. 4 7 F&A 1921-29 to net 6.50 19,000 'Rupert. City of, Idaho. Paving Dist. No. 1 7 F&A 1911-29 to net 6.50 6.000 'Shoshone Co.. Ida Clarkia Hy. Dis. 6 M&S 1933-39 to net 5.76 12,000 'Shoshone Co.. Ida., Clarkia Hy. Dis. 6 A&O 1931-38 to net 5.76 67,000 'Soda Springs, City of. Ida.. Water.. 6 J&J 1932-39 to net 6.75 19.000 'SodaSprings. City of, Idu.. Sidewalk 7 F&A 1922-29 to net 6.50 34.000 'Soda Springs. City of. Ida., Sewer 7 F&A 1921-29 to net 6.50 . 64.000 'Teton Co.. Idaho, Road and Bridge 6Vi J&J 1929-36 100.00 5.60 3.500 tWashougal, City of. Wash., Imp.. 6 J&J 192R-31 97.64 6.50 1,600 tWashougal, City of. Wash.. Imp.. 6 J&J 1927-31 97.22 6.60 S,000 tWashougal. City of. Wash., Imp.. 6 J&J 1S2S-31 96.92 6.50 CANADIAN BOXDS. Rirmpt From All Dominion Oovrrnmrnt Taxation. 291.000 'Edmonton. City of. Prow of B. C. . 5H A&O 1929 86.58 7.60 1.433 'Vancouver, City of, Prov. of U. C. . 4 Vz J&n 1923 90.54 7. SO 12,000 'Winnipeg. Greater. Water Dist... 5 J&J 1922 94.91 7.60 16,000 'Greater Winnipeg Water District. 5 J&J 1921 " 97.07 7.50 19.100ttGreater Winnipeg Water District. 5 F&A 1923 93.73 7.50 200ttGreater Winnipeg Water District. 6 J&J 1923 95.84 7.60 Denotes bonds of $486.66 denomination. 'Denotes $1000 denomination. tDenotes $500 denomination. ttDenotes $100 denomination. Burglar and Fire-Proof Safe Deposit Boxes for Bent MORRIS BROTHERS, Inc. The Premier Municipal Bond House Capital One Million Dollars MORRIS BUILDING 309-11 STARK STREET BETWEEN FIFTH AND SIXTH Telephone: Broadway 2151 Established Over a Quarter Century Stewart are the local committee of arrangements. ESTABLISHED PORTLAND MANU FACTURING CONCERN REQUIRES ADDITIONAL CAPITAL TO EN" LARGE PLANT TO TAKE ADVAN TAGE OF EXPORT BUSINESS OFFERING . Good domestic trade now established. Statement of company's affairs pre pared by local C. I. A. firm, avail able to bnn.i fide Investors. Will sell $15,000 to $25,000 corpora tion stock In blocks of $5000 and in, or will give good security for straight loan over tnree-year period. Deal direct with principals. Main 6479. 1 How We, i Manage Business and 1 H Income ! Properties I If rjHAT information j H is contained in a R w little book we have n &j just issued, and which P M you may have upoi n g request. fflj Stron6MacNauhton B POBTIAMOJCOBM.TT BUIlPtHOQCmLOONj 1 MAKE YOUR MONEY GROW! safety firstj O. W.T. MUELLHAUPT&CO. "THE INCOME PRODUCERS" WILL SHOW YOU HOW Sl U K 407-40U V. S. 'AT'I. BAXK HI.DO. TK1 HKOADWAY 3 HUH Trade With the Orient With correspondents of the highest standing in China, Japan, India, and other countries of the Orient, and branches in all the principal ports on the Pacific Coast of North America, this branch is excellently equipped to serve the interests of the grow ing trade with the Orient. The Canadian Bank of Commerce Fourth and Stark Streets, Portland, Oregon Four hundred and eighty-five Branches in Canada, also Branches in London, England; Mexico City, Mexico; Havana, Cuba; Kings-, ton, Jamaica other Branches will be opened shortly in -Central and South America and British West Indies. $7,500,000 Associated Simmons Companies - Five -Year 7 Secured Gold Notes Hardware Dated May 1, 1920 Due May 1, 1925 Interest payable January 1 and July I in Chicago, Si Louis and New York. Coupon Notes in denomination of $1,000 and $300, regiatemble. as to principal only. Callable on any interest payment date at 103 in 1920, 102 in 1921, 101$ in 1922, 101 in 1923, 100 in 1924 and at 100 on January 1, 1925. . . f ' ' INTEREST PAYABLE WITHOUT DEDUCTION OF THE FEDERAL INCOME TAXJNOT IN EXCESS OF 2 ! ' TAXI REFUND IN THE STATE OF PENNSYLVANIA CONTINENTAL AND COMMERCIAL TRUST AND SAVINGS BANK, CHICAGO, .TRUSTEE FIRST NATIONAL BANK IN ST. LOUIS, CO-TRUSTEE From a letter of Wallace D. Simmons, President of the Simmons Hardware Company and one of the Trustees of the Associated . Simmons Hardware Companies, ne summarize as follows: V The Associated Simmons Hard ware Companies own practically the entire capital stocks (except directors shares) of the Simmons Hardware Company, St- Louis, and of other affiliated companies, including distributing corporations located in New York, Philadelphia, Toledo, Minneapolis, Sioux City and Witchita. These stocks . will be deposited with the Trustee as collateral security for these notes. The business is the largest and most extensive of its kind in the world. The net worth has been increased since incorporation of the Simmons Hardware Company in 1874 from $200,000 toover $14,000,000, entirely from earnings. For forty-five years annual dividends from the earnings of current years have beenfpaid without interruption.' Total assets, after deducting all indebtedness except this issue, will be $22,236,733, or nearly three times the amount of the issue. Net working capital win be $17,789,019, or 2.37 times this note issue. " - ' Valuable intangible assets, including "Keen Kutter" and other trade marks and good-will are carried on the balance sheet at $1.00. Quick assets of 1 J4 times this issue and all current obligations shall be maintained. Real estate mortgages of com panies wholly controlled aggregate but $184,000, and restrictions are placed against the creation of further mortgages. Earnings in 1919 before interest charges, but after Federal taxes were $2,124,229, and for the last five years have averaged $2,179,275, or four times interest charges on these notes. X. . Management has been in the same hands 'for twenty-three rears and no change is contemplated. Price 98 and accrued interest, yielding about AR legal matltrt will he approved by Meam. Mayer, Meyer, Aaatrian and Piatt, Chicago. Balance Sheet and Earning Statements certified bg Price, Watahoase and Company. Temporary negotiable receipt will be delivered, exchangable for definitive motet when, at and if htaed and received hy at. Continental and Commercial Trust and Savings Bank Chicago t First National Bank St. Louis Halsey, Stuart & Co Chicago New York The abere statements are not guaranteed, bat are based npon information which we belle-re to be accurate and reliable and upon which we have acted in the purchase of these notes. LIBERTY and VICTORY BONDS bonds, sell to uj. If yon can buy If you muit sll your Liberty or Victory more Liberty or Virtorv bnnri hnv from . On Saturday. April 17. 1W20. the closing New York market price were as riven below. They are the sov-rninc prices for Liberty and Victory bonds all over the world and the hlnliest. We advertise, these prices daily In order that you mav al ways know the Nw York market and th- exact value of your Liberty and Victory Uonds: 1st 1st I'd 1st ild . Sd th V I c t r y , , 3i 4s An 4,s 4 V. s 4 V, s 4'is Ss 4-s Market 193.10 JU0.10 f8e.0 J90 30 JXtl.iifl 191.0(1 Stt. $98 18 u 10 Interest 1.2a 1.3S 1.71 1.46 l.(2 .4U .05 1.29 1.B4 Total.. I'.'4.30 $91. 4S SSC1 $91.76 8S.7S $93.36 $87.01 $87.45 $97.74 When buyinir we deduct 37c on a $50 bond and $2.50 on a $1000 bond. We tell at tna New York market, plus the accrued Interest. Vuraiar and Fireproof Safe Dcnooit Itnxra for Kent Open Inul S 1. M. on baturdaja. MORRIS BROTHERS, Inc. The Premier Munliinnl ltond llon-e Canltal One Million Tollara. Morris Ilu.lUina. 309-311 Stark St.. Item ern Ath and 6th Telephone- Rroaduay 2151. KMahliMlied 4rvrr m Quarter Century Kaf it 1 Yields to 7 Short Medium and Long Term Bonds New York Central Equipment, 7s Serials, Dated April 15, 1920. Due 1921-35. Certificates are prior lien on railroad reve nues and rank ahead of lsb mortgrages. PRICE 100 California - Washington Timber Co., 7s 6-year, gold notes, secured on better than 5 to 1 basis. Under sinking fund provision we estimate entire issue will be retired at 101, by October, 1923. PRICE lOO Maxwell Motor Car Co. 90 DAYS' YIELD 77a FT t 1111111 4LV frtMwwVL. Under- S upjri&ioL Oregon slaLt fVutkinDppariaictiC Lumbermen's Bldg. Bonds Trusts Acceptances To yield 7 to 3.20 and ab ove Dominion of Canada 5s . . .' Dec. 1, 1922 7.00 Guaranteeing Canadian Northern Ry. Sacramento and San Joaquin 7 Warrants. .. .Jan., 1921 7.00 Sherwin-Williams Co. 7 Cumulative Preferred 7.00 Wheeler Timber Co. 7s Jan. 1, 1921 7.00 Province of Alberta 4s Jan. 1, 1924 7.05 .Province of Saskatchewan 4s July 1, 1923 7.25 B. F. Goodrich Co. Convertible 7s April 1, 1925 7.40 Convertible Into common stock at SO. Greater Winnipeg; Water District 5s .July 1, 1922 7.50 Southwestern Bell Telephone Co. Conv. 7s.. April 1, 1925 7.60 Convertible Into 7 per cent cumulative preferred stock at par. Hooker Electrochemical Co. 7s Feb. 1, 1922 7.75 Brazilian Traction Lt. & Pow. Co.'s 6s Nov. 1, 1922 8.20 City of Edmonton Gold 5 Vis Oct. 1, 1929 7.50 up To be called on Interest dates at par "by drawings. which will result in a very lftrire interest return to the bolder, par ticularly Those bonds called early. Th-se bonds are not only a direct obligation, but are as well a direct charge upon a . large revenue account unable tr the sole purpose ot redeetn ing these bonds. Ask for fall details of any of tkrse lasaea. tVlre order 'collect. Freeman Smith a Camp Co SECOND FLOOtt NORTHWESTERN BANK BUILDING Main 646 ta Faun crsco u